7:55 am, April 13, 2023
Car buyers retain a strong appetite for purchasing vehicles, despite ongoing concerns around the cost of living, a new survey has revealed.
Data collected as part of eBay Motors Group’s latest Consumer Insight Panel found that almost half of buyers (43 per cent) are still planning to make a purchase this year.
The poll, which surveyed more than 2,000 motorists, also found that one in 10 had either already started looking or were planning to do so within the next month.
Meanwhile, just over a quarter (26 per cent) told researchers that they expected start searching from July onwards.
When it came to demographics, the study found that parents with young children were most likely to start searching for a vehicle in 2023, with 51 per cent saying they intended to begin looking before the year is out.
Meanwhile, 50 per cent of under-35s also gave the same answer, as well as 46 per cent of men.
However, some buyers were found to be thinking more long term, with 24 per cent expecting to start searching in the next one to two years; 17 per cent in two to three years and the same amount in three years’ time.
The study also uncovered a sharp rise in the number of buyers planning to pay for their next car on a monthly basis.
Almost half (47 per cent) of those surveyed said that’s how they expected to pay for their next car – a 25 per cent increase on those who currently do so.
Overall 27 per cent expected to pay monthly using finance – up from the 23 per cent – and one in 10 buyers expect to use a monthly car subscription to finance their next car.
Monthly leasing agreements were also popular, with 11 per cent expecting to use one.
On the flip side, the number of buyers planning an outright purchase plummeted to 53 per cent, compared to the current level of 62 per cent.
Addressing the findings, Lucy Tugby, marketing director of eBay Motors Group, said: ‘Our research reveals a strong appetite among car buyers, especially young parents, to search and purchase in 2023, which will be welcome news for all car retailers.
‘While some of these purchases will be the result of natural replacement cycles, as owners look to trade-in older cars, the strength of the desire to start searching also suggests some families are once again considering big ticket purchases, as they work their way through the cost of living crisis.
‘Changing attitudes towards funding cars is helping inform some of these decisions with almost half of all buyers now expecting to pay for their car on a monthly basis, enabling them to budget accurately while controlling their household outgoings.
‘For dealers this presents an important opportunity to present consumers with reasons to buy from them, such as finance options, and be clear and consistent online and in the showroom for each and every car they sell.’
