Interest In Purchasing Cars Online Up Sharply
The percentage of consumers who say they would buy a vehicle online has increased tenfold since 2001 from 2% to one in five, according to a new study by Capgemini.
Cars Online 07/08, Capgemini’s ninth annual automotive study, explores trends within the retail side of the automotive industry, focusing on consumer buying behavior, environmental issues, web usage, lead management and customer loyalty. In total, nearly 2,600 consumers were surveyed in five countries: China, France, Germany, the United Kingdom and the United States.
The study shows that the Internet is at the top of the list of information sources for consumers when researching car purchases; 80% of those surveyed now use the web, but the way it is being used is changing. New online tools such as search engines, automotive blogs and web forums have become key information sources for vehicle buyers who are turning to user-generated websites to obtain a more objective view. Of web users questioned, 29% referred to consumer-to-consumer (C2C) sites when researching information, up from 21% a year ago; while 78% of respondents rely on search engines.
Moreover, consumers are rejecting traditional information websites – the most popular information source two years ago – in favor of manufacturer websites.
“Now the most frequented source for information, manufacturer sites tend to be visited first by consumers, who then turn to user-generated content for reviews. The generation gap is also narrowing in web usage with almost half of consumers 50 and older visiting manufacturer sites, a similar number to those in the 18 to 34 age group.”
Key findings from Cars Online 07/08 include:
Consumers are going “green”
Over a quarter of consumers currently own or lease a fuel-efficient vehicle, and half said they are planning to buy or seriously considering a fuel-efficient vehicle. But market differences are clear when it comes to going “green.” European consumers were more likely than those in the U.S. or China to cite environmental impact as a primary factor influencing their buying decisions, while more respondents in China and the US pointed to fuel economy.
Vehicle buyers want their information fast
As web usage grows consumers are becoming more demanding; 34% of European and U.S. consumers said they expect to receive a response to a web inquiry within four hours, up from 30% last year. Critically, if they don’t get their response fast enough, half of the respondents will look for a new dealer and 25% will look for a new manufacturer or for both a new dealer and a new manufacturer.
Personalized communications impact repurchase decisions
Two-thirds of those questioned said that personalized post-sale communications from a dealer or manufacturer would make them more likely to buy from that company.
The survey also highlights a willingness to share information with automakers and dealers that should not be ignored:
70% said they would be willing to share information about their future vehicle preferences; 68% would share their vehicle buying history; and 56% would share information about their future purchasing intention.
Capgemini worked with SmartRevenue, a Ridgefield, Connecticut-based research firm, to conduct the survey. Analysis and interpretation of the data has been made by Capgemini in collaboration with the Car Internet Research Program (CIRP) of the University of Ottawa, Canada.
Capgemini’s Cars Online 07/08 is available for free download (registration required).
You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
October 15th, 2007 at 9:18 am
[...] Number 2, 3 and 4 posts had online activity in common. Number 2, Capgemini’s Interest In Purchasing Cars Online Up Sharply, was followed by Wharton’s Web Recommendation Engines Can Miss The “Long Tail” and [...]