When buying a car online makes sense
A new car is one of the biggest purchases you are ever likely to make. For most of us, it is a stressful process. We’re not all ‘car people’, so while the thought of spending so much money on a car is already a lot to get your head around, there’s the added pressure of technical detail and a baffling array of choice and specifications to add to the confusion. Then, even if you manage to make it through that minefield of choice, you know that what’s next is the negotiation with the dealership. Let’s face it, this negotiation can make you feel like you’re holding a knife in that gun-fight.
Fortunately, salvation is at hand.
Nowadays, with just a few keystrokes, you can buy a new car online and stress-free. This has completely shifted the balance of power from the seller to the buyer. Consumers can now save themselves both a lot of time and money, with 24/7 access to online sales channels, the ability to compare prices from multiple vendors at their leisure and importantly for many car buyers, the opportunity to avoid having to try negotiating the best possible deal with a seasoned salesperson.
The vehicle industry is bracing itself as this shift in the balance of power continues to penetrate the car market internationally with more and more vehicles being purchased online every year. While online sales provide the industry with much greater insight into what buyers really want, the winners really are the consumers who are spoilt for choice with both the extraordinary selection of vehicles available and the means of acquiring them.
The buyer journey for vehicle purchases is also changing with only 1 in 3 future vehicle buyers saying that they knew which vehicle they wanted when they started searching for a new car. In fact, 85% of car buyers, who were polled in a recent research survey, confirmed that they knew that buying a new car would require them to spend a considerable amount of time (an average of 12 hours) on the process. New car buyers are increasingly relying on the convenience of researching and engaging online, saving them time as they schedule interactions around what is convenient for them, not just shop hours. In addition, consumers interested in purchasing cars online seem to prefer starting their search at third party sites, rather than dealers.
Marius du Toit, founder of Beat the Price, a South African eCommerce New Vehicle Seller, confirms that the South African market is quickly warming up to the idea of purchasing vehicles online. “We have seen a marked increase in the interest from the local market in online buying as car buyers experience the benefits of time saved and appreciably lower prices for vehicles from third party sites,” du Toit said. “In turn, dealerships are happy for these additional sales channels for their products in a market saturated with choice.”
While buying a new car is always going to be a big decision and commitment, it’s comforting to know that the process has become so much simpler for the consumer, because that’s where the rubber really meets the road.