The Impact of COVID-19 on New Zealand’s Car Wreckers Industry

COVID-19 pandemic hit the shores of New Zealand almost two years ago, and it has since changed life and the world as we know it. Seemingly overnight, we had to adhere to strict lockdowns. We wear masks to step outside, many industries started working from home, and we also had to start speaking to our loved ones only through phone calls. It took the entire world by storm, spreading doom and death everywhere. So many innocent lives succumbed to the merciless Coronavirus, even with the world as a whole trying hard to stay safe.

Like numerous other industries, the Car Wrecking industry in NZ was certainly hit hard by the Coronavirus. First, at the pandemic’s peak back in early 2020, we had to follow the strict lockdown set by the government and put the entire operation on hold. Then, as the country started slowly reopening, the social distancing restrictions continued to impact us negatively.
As trusted cash for cars company, it is a truly essential part of our service to pick up the vehicles that we purchase from customers’ homes in person. And we always used to pay them in cash, which has been a coveted feature in our process. It was no longer possible due to safety concerns. This was only the start of many adverse effects on our industry. So, since the beginning of the COVID-19 pandemic, car wreckers Hamilton was negatively impacted in many different ways, as mentioned below:

The Reluctance of Customers to Sell Their Used Cars

Public transportation has now become almost obsolete in NZ in the aftermath of COVID-19. Even those who regularly take the bus tend to opt for driving a private vehicle these days as a safety measure. This tendency has vastly decreased used vehicle sales in cash for cars services. Before the pandemic, car wreckers were the easiest option for many who wanted to sell their used cars. At present, nobody is willing to sell their old yet roadworthy vehicles since they like to have a backup. 

Inability to Maintain Essential B2B Relationships

We offer a full range of services such as cash for cars, car removal, and car wrecking service in Hamilton. However, you probably did not know that the services we offer are often combined with several other service providers we regularly collaborate with. Some of the businesses we work with include scrap metal buyers, part suppliers, and oil disposal companies. 

This is because we handle many different kinds of used cars since we buy all vehicles. Moreover, we even employ mechanics and car technicians both inside and outside of the company. All these collaborations came to a sudden halt due to COVID-19. Some of the businesses we used to work with had to close entirely due to the lack of revenue during this period. 

Fewer Written off Scrap Cars

Write-offs or highly damaged junk cars used to be one of the most significant revenue streams for us before the pandemic. These came in the form of vehicles damaged by accidents and many other ways. Due to the lockdown measures, there are not many vehicles on the roads. This has led to fewer broken cars and write-offs, hence less business for us. 

Lack of Business Due to Health Concerns

A consistently prevailing negative impact we have been facing for the entirety of the past two or so years is that our customers are simply unwilling to do usual business with us due to health concerns. They do not want to risk an accidental infection by interacting with others. This is a perfectly valid and understandable reason, but it has hurt our business largely just the same. 

How Atlas Auto Has Made It Safer for You to Sell Your Used Cars in Hamilton Amid COVID-19?

  • We offer zero contact same-day car removal free of charge.
  • Virtual payout methods such as bank transfers are available (up to $12000 instantly)
  • Visitors to the premises are required to scan a COVID-19 traced QR code
  • Hand sanitizers are readily available for visitors.
  • We deep clean our premises regularly.

The Future of NZ Car Wreckers in the Aftermath of COVID-19 

With things slowly getting back to normal in NZ, we are genuinely looking towards the future of the car wrecking industry with hope. There will undoubtedly be some negative impacts that may take months, if not years, to get back to normal. Our intention right now is to ensure that we continue doing business with the same level of honesty, integrity, and reliability that we always promised and delivered to our customers. We will implement every safety measure possible to make the car selling process more convenient for our customers during this time. The future may seem uncertain right now, but we are always hopeful since we saw the excellent way our nation responded to the pandemic as one. Better days are indeed ahead!

Looking to sell your car? Get a free quote now

Atlas Auto is paying cash for cars. Instant top cash paid – Free Pickup – Up-to $12000.

Terms & Conditions

  1. In case of helping our driver, you are responsible for your own health and safety.
  2. By signing, the seller agrees that he/she is acting in good faith.
  3. A comprehensive OWNERSHIP CHECK will conducted before the purchase.
  4. The seller agrees to remove and return registration plates to the authority.
  5. The vendor warrants that the goods herein stated are his/her sole property and are free of all encumbrances both at law and in equity and there is no impediment whatsoever to his/her giving possession and a good title to the goods immediately upon the execution of this agreement and the covenants contained in this clause shall constitute a condition precedent to this agreement and further should at any subsequent date the purchaser suffer any loss through a breach of this clause by the vendor, then the vendor will upon demand made of him/her by the purchaser make good to the full, any and all such losses. Goods sold remain the property of the vendor until the financial transaction is completed.
  6. The payment is G.S.T inclusive
  7. Atlas Auto Limited take no responsibility for any outstanding road user charges. Customers should be aware of safety measures in the car yard.