10:32 am, December 14, 2022
Despite the current cost of living crisis, nearly half of all new and used car buyers expect to make a purchase at some point in 2023, a new poll has found.
eBay Motors Group quizzed 2,000 buyers in its latest Consumer Insight Panel survey and found 43 per cent of buyers expect to purchase a car in the new year.
Nearly a quarter (22 per cent) said they think they will buy in 2024.
Those looking further into the future include 11 per cent who expect to buy in 2025 and seven per cent in 2026 or beyond.
Of those planning to buy in 2023, most (30 per cent) expect to transact in Q3.
New car supply is expected to return to more normal levels in Q3 2023, Auto Trader recently told Car Dealer.
eBay Motors Group said the appetite to buy in 2023 is concentrated on new and nearly-new and driven by men, under 35s and households earning over £60,000.
The company said this highlighted the strength of confidence among some consumers making lifestyle purchases, rather than buying out of necessity.
However, the cost of living crisis will have a major influence on whether buyers put their car buying decisions on hold.
Nearly a third of buyers (31 per cent) said they will delay their next purchase because of concerns about the economy slipping into recession and increases to their energy bills.
Other significant factors in delaying purchases included the impact of inflation on goods and services (27 per cent), increased council tax bills (25 per cent) and rises to the cost of borrowing (25 per cent).
Lucy Tugby, eBay Motors Group’s marketing director, said: ‘Our research reveals a strong intent among some car buyers to make a purchase in 2023, despite the challenges of the cost of living crisis.
‘While many are taking an understandably cautious approach to making a big ticket purchase, factoring in the impact of the looming recession, rising energy bills and inflation, dealers will be encouraged by the resilience shown by buyers.
‘Car searches traditionally gather momentum from Boxing Day and the run up to the new year, so dealers need to maintain high online visibility of their stock over the seasonal period to ensure they are there for potential customers researching their next car.’
Earlier this month, What Car? polled 1,328 in-market buyers and found that 50.8 per cent of them intended to place an order or buy a car before the end of the year.
