Despite news of global economic recovery plans, the recession clearly continues to impact on home soil, with people’s buying decisions swayed by their head and not their heart.
‘No one will be surprised to see that 79 per cent of those surveyed regard lower prices as the most likely influence on their buying decisions and over two thirds said the credit crunch means they are more likely to buy used instead of new,’ said Daniel Burgess, Automotive Director at HPI,.
‘This is despite a focus on the new and nearly new car market by the government with its Act on CO2 campaign and the introduction of a car scrappage scheme.
‘Interestingly, the most popular incentive was “buy one, get one free”, catching 32 per cent of the vote from consumers. However, 31 per cent say that cheap finance would encourage them to visit a showroom.’
When asked how they will fund the purchase of their next car, 47 per cent of buyers said they would use savings, followed by a bank loan (29%) and just 20 per cent choosing dealer finance.
2009 has already seen a new breed of buyer, who will demand a better package than ever before, combining cheap finance with great purchase prices.
Burgess added: ‘While all is being done to encourage motorists to be environmentally conscious, the bottom line remains that it is the cost of the car and the finance deals on offer to support that purchase, which will rejuvenate the motor industry.’