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Younger Car Shoppers Favor Online Shopping for Cars

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On: Mon, Jul 1, 2013 at 5:49PM | By: Elizabeth Puckett

Younger Car Shoppers Favor Online Shopping for Cars

The traditional vision of buying a car starts with visiting a car dealership, letting a salesman help you narrow down your options, taking your prospective models on a test drive, then spend lengthy amounts of time haggling the price before the hours of paperwork begin. Millennials are over it, and they don’t have the time or desire to buy based on showroom experiences anymore!

A new study by eBay Motors shows that 20 and 30 year olds are more likely to ask their social networks for advice than car salesmen. This marks a major change in the way people shop for their new vehicles; it also shows that if technology allows, they will likely cut out the dealership altogether.

Based on information gathered from more than 1,000 adults in the United States, eBay Motors says they have discovered that one out of every five millennial drivers would be completely comfortable buying a car entirely through a mobile device.

This eBay research shows that 94% of people born between 1980 and 2000 are turning to the internet to gather information about specific years, makes, and models online first. Additionally, eBay Motors discovered that over a third of people in their 20s and 30s used mobile phones and tablets to shop—that number takes a sharp decline for older shoppers who use mobile devices at a rate of 19%.

Most shocking is the fact that eBay Motors found that only 13% of shoppers in the studied age group actually want to visit a dealership—they view this method of shopping as unnecessary. Older generations prefer showroom shopping at a slightly higher rate, 25 percent.

Other studies have backed up this notion as well. Many experts believe that the majority of buyers are opening their computers to initiate the process of buying a new car. They also know that the majority of buyers will be influenced by the opinions of their connections on social media networks.

The most recent Automotive Social Media and Reputation Trend Study shows that 81% of buyers browse auto reviews online in order to find the right vehicle model. It also found that people turned to Facebook, Google+, and Yelp more often for reviews than other social media sources.

Auto makers like Tesla are harnessing the power of the internet to please people who want to avoid dealerships—they are currently fighting to be allowed to sell cars directly to buyers in all states for customers who wish to purchase straight from their website.

This information shows that it is extremely important for dealerships to reach their customers through online and mobile resources. If dealerships fail to keep up with this trend, they could possibly be left behind in the retail end of the car industry.


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