THE economy is pulling out of the recession but the demand for auction bargains will remain strong going into 2010, says Park Village Auctions (PVA).
THE economy is pulling out of the recession but the demand for auction bargains will remain strong going into 2010, says Park Village Auctions (PVA).
"Business conditions are finally beginning to recover, but it's apparent that auctions of everything from motor cars and trucks to property and heavy engineering equipment will remain first choice for sectors across the board as well as for consumers and small businesses," PVA's Roy Lazarus said.
Lazarus quotes FNB's latest Econotrends report, which shows that after three quarters of negative growth, the South African economy grew by 0,9percent during the third quarter of 2009.
"This was better than had been forecast and the big winners were manufacturing, construction, government, personal services and communication," Lazarus said.
"On the other hand, agriculture, mining, retail, wholesale, the motor industry and finance are still in the doldrums, but hopefully they and other sectors will recover in 2010, and anything to do with the World Cup is going to benefit tremendously, courtesy of the R55billion it will inject into the economy.
"Further positive indicators are that our factories are producing more again and consumer confidence is increasing, according to research. Also, the property market is showing signs of improvement with prices at last increasing and more sales going through.
"Against this background, the question is, what are trends likely to be in the auction industry?
"The simple answer is that as a result of the recession, auctions have become the method of choice for the acquisition of all manner of goods, and we are gearing up for another exceptional year, with a busy timetable already fitting into place, including the first car sale of the year on January 13 at the Bank Repossession Centre, 221 Main Road, Martindale, when everything from students runabouts to mom's taxis, utility vehicles, 4x4s and executive vehicles will be on sale.
"Even as the recovery of the economy gains pace and the country feeds off the euphoria of the World Cup after the superb draw ceremony last week, the advantages of auctions will remain as relevant as ever.
"Those advantages are numerous, but arguably the most important are that South Africans, whether in the corporate world, entrepreneurs and consumers alike, will all be looking for the most cost-effective way to run their businesses and their lives.
"That's where auctions fit in, notably where businesses need to expand, others need to realise cash from assets that are tied up in equipment, property and so on. On the other hand there are bidders who need assets to update, expand and enhance their lifestyle.
"Our prediction for 2010 is that it will be more of the same, only better, with strong demand for vehicles, trucks, property and heavy capital equipment."
PARK VILLAGE ready for A
THE economy is pulling out of the recession but the demand for auction bargains will remain strong going into 2010, says Park Village Auctions (PVA).
THE economy is pulling out of the recession but the demand for auction bargains will remain strong going into 2010, says Park Village Auctions (PVA).
"Business conditions are finally beginning to recover, but it's apparent that auctions of everything from motor cars and trucks to property and heavy engineering equipment will remain first choice for sectors across the board as well as for consumers and small businesses," PVA's Roy Lazarus said.
Lazarus quotes FNB's latest Econotrends report, which shows that after three quarters of negative growth, the South African economy grew by 0,9percent during the third quarter of 2009.
"This was better than had been forecast and the big winners were manufacturing, construction, government, personal services and communication," Lazarus said.
"On the other hand, agriculture, mining, retail, wholesale, the motor industry and finance are still in the doldrums, but hopefully they and other sectors will recover in 2010, and anything to do with the World Cup is going to benefit tremendously, courtesy of the R55billion it will inject into the economy.
"Further positive indicators are that our factories are producing more again and consumer confidence is increasing, according to research. Also, the property market is showing signs of improvement with prices at last increasing and more sales going through.
"Against this background, the question is, what are trends likely to be in the auction industry?
"The simple answer is that as a result of the recession, auctions have become the method of choice for the acquisition of all manner of goods, and we are gearing up for another exceptional year, with a busy timetable already fitting into place, including the first car sale of the year on January 13 at the Bank Repossession Centre, 221 Main Road, Martindale, when everything from students runabouts to mom's taxis, utility vehicles, 4x4s and executive vehicles will be on sale.
"Even as the recovery of the economy gains pace and the country feeds off the euphoria of the World Cup after the superb draw ceremony last week, the advantages of auctions will remain as relevant as ever.
"Those advantages are numerous, but arguably the most important are that South Africans, whether in the corporate world, entrepreneurs and consumers alike, will all be looking for the most cost-effective way to run their businesses and their lives.
"That's where auctions fit in, notably where businesses need to expand, others need to realise cash from assets that are tied up in equipment, property and so on. On the other hand there are bidders who need assets to update, expand and enhance their lifestyle.
"Our prediction for 2010 is that it will be more of the same, only better, with strong demand for vehicles, trucks, property and heavy capital equipment."
Would you like to comment on this article?
Register (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Trending
Latest Videos