SHOPSMART AUTOS – CUSTOMER INFORMATION – MARCH 22, 2021


Car Buyers Want A Hybrid Of Online And Offline Shopping Experiences
Consumer expectations are forcing dealers to morph the traditional car-buying process into a hybrid of online and offline interactions. That’s the finding of a recent consumer survey by consulting firm Deloitte and a Harris Poll conducted on behalf of auto retailing giant Sonic Automotive. Consulting firm Deloitte’s 2021 Global Automotive Consumer Study found that 71% of American consumers still want to buy in person. The Harris Poll similarly observed that 64% aren’t comfortable buying entirely online. Both studies, however, discovered there are many parts of the process that customers prefer to do online, especially when they streamline the process, making it easier, more transparent and giving customers more control. Car buyers want to complete most or all of their research and paperwork online as well as guide their own financing process. They also want to evaluate extras like extended warranties in a more transparent way and at their own pace. But in-person test drives and close-up evaluations of vehicles are must-haves for many people—and barriers to online shopping. But how long are most people interested in spending at a physical dealership? One hour, max.
Still Value in the Test Drive
When asked by Deloitte why they’d prefer an in-person experience, 75% of consumers surveyed want to see a vehicle before they buy and 64% require a test drive. After that, however, the “requirement” for in-person shopping drops off sharply. Only 38% cite face-to-face negotiation as an important reason to visit the dealership. Only 54% of consumers aged 18 to 35 still want in-person transactions, says Ryan Robinson, automotive research leader at Deloitte. On top of this changing demographic is the reality that while you can’t digitally test drive cars, online tools can replace many parts of the process customers have historically loathed: long waits, tension over financing, dealing with lots of people and paperwork. “The main reasons consumers want more of a virtual process are convenience and speed,” Robinson told Forbes Wheels. “A virtual experience tends to alleviate a lot of the consumer pain points that we’ve been hearing about for, frankly, decades.” “We’re moving into a very interesting time for vehicle retailing,” says Robinson, noting that digital tools will generally empower customers and consumer expectations may change how dealers do business. Those changes are already underway, and consumers have definitive ideas about where they should lead. People are still going to showrooms during Covid-19, but consumers say they want to do most of their research, financing and paperwork online if they can, preferring a quick visit to the store mostly to sample the product.

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Trackback from your site.

Leave a comment

Save my name, email, and website in this browser for the next time I comment.

Shop Smart Autos is not responsible for any errors in price or vehicle information provided to us from our dealer partners. We take every precaution to ensure the information is accurate and correct. Any questions please contact the dealer.