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More used car buyers opting for physical dealerships as cost-of-living crisis bites – survey

  • Pressure on personal finances cited for wanting to see in the metal the car they’re thinking of buying
  • More than half have become less likely to buy online, according to April’s Startline Used Car Tracker
  • Seventeen per cent think they’ll get better deal by negotiating with dealer in person

Time 9:01 am, April 11, 2023

Used car buyers are being driven away from online purchases and into dealerships because of the cost-of-living crisis – and many of them expect to bag a better deal that way.

That’s according to April’s Startline Used Car Tracker, which found that 55 per cent of people have become less likely to buy a used car online because of pressure on personal finances.

It quizzed 300 consumers and 60 dealers, with its research revealing that 31 per cent of consumers prefer to view the vehicle and meet the retailer in person, with 17 per cent intending to negotiate.


In addition, 13 per cent want to view the car dealer’s premises, while 12 per cent are looking to discuss the finance options offered.

Startline Motor Finance CEO Paul Burgess said: ‘People are being much more careful with their money, especially when it comes to major purchases such as cars.

‘It makes sense that they want to take a good look at the car they are buying, as well as the dealer and the people they are buying from.


‘It’s also probably a result of the fact that the average used car has been getting both older and more expensive since the pandemic, thanks to stock shortages.

‘This means potential buyers are more likely to want to take time looking at a vehicle to make sure it is a sound purchase.

‘Additionally, it’s interesting that almost one in five also believe they’ll get a better deal by turning up and negotiating in person as well as wanting to talk to someone about their finance needs.

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‘It all underlines that a majority of people still want to deal with another human at some point during the car-buying process rather than do everything online.’

However, the Startline Used Car Tracker also shows that 35 per cent believe they’ll get a better deal online, with 25 per cent confident about buying remotely and 10 per cent wanting to have the vehicle delivered to them.

Burgess said: “Many dealers – and not just large ones but some relatively small, local garages – now have very sophisticated online car-buying processes. For people who are happy to buy online, the experience is likely to be a good one, despite the cost-of-living crisis.

‘Also, of course, during the last few years, we’ve seen large digital disruptors enter the used car market and compete against traditional dealers.

‘They’ve had varying degrees of success but have arguably helped to popularise the idea of buying a used car on your phone or laptop. The research shows that a large minority of people are receptive to the idea.’

John Bowman's avatar

John has been with Car Dealer since 2013 after spending 25 years in the newspaper industry as a reporter then a sub-editor/assistant chief sub-editor on regional and national titles. John is chief sub-editor in the editorial department, working on Car Dealer, as well as handling social media.



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