If it were possible and practical, most people would never set foot in a car dealership when purchasing a vehicle.
A national auto pollster recently surveyed 10,000 people in the U.S. about buying or leasing new cars, and the results show most consumers aren’t exactly fans of the standard car dealership experience. In fact, three quarters said if given the opportunity, they would consider making their entire car-buying process online-- including financing, price negotiation, back office paperwork and home delivery.
For many, purchasing a car at a dealership is too much of a confusing high-pressure process. It’s easy to see how it’s preferable to haggle over prices and options and review the fine print at one’s leisure in front of a screen rather than surrounded by salespeople and their “let me talk to the manager” games. After all, a classic negotiation tactic is walking away from the deal on the table, and walking away from an online offer is as simple as ignoring an email.
For another indication of the degree to which consumers don’t like the traditional car-buying experience, check out a recent survey conducted by another national auto ranking pollster. Of 4,002 consumers polled, only 17 said they like the current car buying process just as it is. The rest said they “want significant changes, particularly in the test drive, deal structuring, financing paperwork and service phases.” Many said they’d like to see the nitty-gritty of deals conducted online rather than in person.
For instance, consumers indicate that they would like to see a big change in the way they go about negotiating the deal structure. Of those who liked the idea of online deal building, over half, 65%, want the ability to start the negotiation on their own terms—preferably online—and 35% would like to remain anonymous until they lock in the deal structure.
Nearly three fourths of consumers, 72%, want to complete the credit application and financing paperwork online. The key factors driving this desire are to save time at the dealership (reported by 72% of those who favor online paperwork) and to have less pressure while filling out paperwork (reported by 71% of those who favor online paperwork).
Let’s not forget that one of the supposed purposes of car dealerships is to provide a place for consumers to kick the tires, test-drive vehicles, and (hopefully) get good insights and advice from employees. Nonetheless, there’s considerable pressure to change the often-maddening experience—to make it quicker, more transparent, less stressful, and less complicated—and become more open to online purchases.
"There aren’t too many things out there anymore that you can’t buy in an online way, and it’s really automotive that’s lagging pretty much every other industry out there until now."
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For inquiries, please contact us at 1-800-886-1950, or email email@example.com.