How do New Zealanders Buy their Cars?

Over the years purchasing a car has changed dramatically. Where people used to purchase a newspaper to browse the car listings, now they are choosing to use their devices to search. At Shopless we are an online marketplace that helps buyers with that process of purchasing a car. But what are the steps kiwis are taking to purchase their vehicles? How much online research do we do? And what are factors that encourage New Zealanders to buy a car? We have looked into the buying habits of the 21st century, to give you an insight into today’s car purchasing processes. 

Buyers Want a Hybrid Online/Offline Experience

A recent article in Forbes magazine suggested that car buyers want to search for and buy cars online. But they also want to experience the cars in person both for a test drive and to observe makes and models. A poll conducted by a American automotive company, in September 2020 analysed what part of the car purchasing process consumers wanted to do online: 

• Search for a car (80%)
• Determine the final price (78%)
• Schedule an appointment to receive/take possession of the car (76%)
• Value their trade-in vehicle (75%)
• Conducting credit checks and financing (74%)
• Review and purchase insurance or extended warranty products (73%)

Suggesting that the majority of car buyers want to conduct the car purchasing processes online. However still just under 50% of American car buyers purchase their car in-person, ie from a dealer or car yard. This indicates that there is still a mistrust in the online car purchasing system. 

Buyers don’t want to be Overwhelmed by Dealers

The results of the Forbes article suggests that buyers prefer the online experience, but buyers do want to observe the car. Which is the best option to ensure safety of purchase. However most international data suggests that buyers wish to avoid dealerships when purchasing a car. This is because of the pain of being pressured into a car sale, or because of the confusion caused by too much choice. Additionally most dealerships offer their entire range online. Whether that is through an online platform or that is through their own website. Nowadays buyers have the choice to take a look at a dealer range before going into the dealership. Or finding the most desirable car without talking to a car salesperson. 

How long does Online Research take? 

All of the research for what car you want to buy can be done online. There are forums discussing brands of cars, articles about various makes and models, and some car companies and dealerships also have chat. While you are researching and arranging a view online, you can also schedule a vehicle inspection, and do the majority of other small tasks online. One article suggested that the process of purchasing a car online could take a total of 1 hour. Indicating that the efficiency of online shopping for a car, saves a lot of time and energy. 

The car industry has acknowledged the effectiveness of purchasing online. And even car brands are starting to move their vehicles online for sale. Polestar is one of the car brands that when bringing their cars to New Zealand have chosen to only sell in an online capacity, with one showroom available to view the cars -but the purchase is expected to be made online. 

How do you research the right car? 

There are plenty of options New Zealanders choose to utilize when researching a car purchase. Some do choose to talk to a dealer, or a car specialist in person. The majority rely on internet methods. AA provides a car review section of their website where they discuss the specs and benefits of individual makes and models. There are many youtubers that review cars, particularly electric vehicles or modern vehicles but you can find a range of opinions and car niches on the platform. If you are going with a dealership you can often also look at the ratings of that dealership on google maps, or on the platform they are advertising on. 

Shopless has given you an insight into how kiwis buy their cars. Particularly as the trends are tracking in an online capacity. Shopless is an online marketplace to buy or sell your car in New Zealand. We have a large range of vehicles in our motor section here. With dealers and individuals using our services. You will also find a range of cars in our selection – new or used, and a range of makes and models.