Chinese brands challenge WeBuyCars amid market shifts

WeBuyCars, once a dominant player in South Africa’s used car market, is now under siege amid fierce competition and shifting industry dynamics.

The company, which reported a substantial 13% revenue growth to R26.4 billion as of September 2025, faces escalating pressure from emerging rivals and market changes that threaten its foothold.

WeBuyCars continues to face obstacles that threaten its once-unshaken position, while surpassing forecasts in vehicle sales, with monthly volumes exceeding 159,000 units in several months.

New entrants eroding WeBuyCars’ market share

The competition for market supremacy is getting fiercer despite WeBuyCars’ growth, which has added over 12,900 parking spaces and more buying pods overall. Chinese automakers and other nimble rivals are affecting WeBuyCars’ immediate financial performance and customer base.

BusinessTech reports that while WeBuyCars CEO Faan van der Walt emphasizes the company’s commitment to innovation and customer focus, these new players are rapidly capturing market share in the second-hand vehicle market.

The company’s strategic growth in Rustenburg, Vereeniging, and upcoming sites in Pretoria North and Cape Town aims to counteract these threats, yet the competition remains fierce and relentless.

Technology transformation vs market challenges

WeBuyCars doubles down on technology to maintain its edge, launching proprietary platforms such as Inspectify for vehicle condition reporting and WeFin to expedite credit approvals.

“Our focus on technology and customer experience will remain central as we drive growth,” said deputy CEO appointee Wynand Beukes.

However, those innovations are challenged by economic challenges and changing consumer tastes. Although the company’s goal of reaching 239,000 monthly car sales by 2028 is lofty, the current siege indicates a turbulent market where innovation is essential but not a foolproof defence against declining profits and more competition.