COVID-19 Digital Shopping Study
Exploring the impact of coronavirus on automotive consumers' purchase intent and digital journey
Updated May 28, 2020
More car shoppers are ready to transact now as they ease into the new normal
As governments develop plans to reopen businesses in their states and remove social-distancing restrictions, the percentage for delaying sales is dropping and almost half of new vehicle shoppers will be ready to transact within a month.
a month of restrictions
being lifted
Incentives remain the most important to new vehicle shoppers and half will transact faster if they find the right deal
(among new vehicle consumers delaying purchase)
SUV shoppers (52%) are significantly more likely than CAR shoppers (47%) to select “deal or incentive”
39% of Luxury shoppers are more likely to purchase if they find a deal they can’t refuse
Marketing the right incentives to the right consumers is vital at this time as 9-out-of-10 new vehicle shoppers expect a good deal
Since most of the new car deals that recently rolled out revolves around zero-percent financing, almost all new vehicle shoppers believe that now is the best time to get a great deal.
Type of "Favorable Terms" Shoppers Expect to Receive
The expectation of good deals has caused half of new vehicle shoppers to rethink their budgets and down payments.
Reconsidered their vehicle price range and expect it to decline
Reconsidered their down payment and expect to it to decline
Most appealing special incentives
Shoppers are also looking for more than just competitive incentives, rebates/assistance cash, low to no APR and assurance programs.
Other incentives shoppers want offered:
Interest in electric vehicles has grown since COVID-19
Shoppers who were previously interested in an electric vehicle are now more motivated than ever to buy. Not only do these intenders think they can get a good deal, but they believe electric vehicles will allow for less touchpoints at gas stations and reduce vehicle servicing.
1 out of 3
new vehicle shoppers say avoiding the gas station and reducing service is an appealing aspect to EV ownership
New Vehicle Shoppers:
Change in EV Interest
55%
Pre-COVID 31%
Luxury Shoppers:
Change in EV Interest
62%
Pre-COVID 52%
Several OEM brands have experienced significant lifts in share after announcing their incentive and relief programs
+25%
Lift in engagement
New-vehicle shoppers and those closer to purchase are open to switching brands if the deal makes sense
of new vehicle shoppers would switch brands
of 3-month intenders would switch brands
Truck buyers are most willing to switch brands with the right incentive
In today's reality, shoppers are definitely open to completing their entire purchase online
2 out of 3
shoppers are more likely to buy the vehicle 100% online
62%
of consumers state they are more likely to complete steps of the purchase process online due to COVID-19*
A critical tipping point will be reached where it is much more important to have tools and resources available to help shoppers not only seamlessly research and shop, but also purchase their cars online. Consumers have always wanted quicker interactions during their automotive experience, and now, with more online tools available to them such as scheduled test drives, pick-up and delivery, their willingness to completing the entire vehicle purchase online is accelerating exponentially.
Overall, shoppers are continuing to research and shop during this very important time, and there is still time to influence them while they delay. Leverage our trusted brands and first-party data to put an integrated, personalized and dynamic message in front of them when it matters most.
COVID-19 digital shopping study
The first online survey was fielded April 4-5, 2020 among 1,000 consumers. The second online survey was fielded April 25 – 27, 2020 among 1,125 Total Consumers (575 New Vehicle Shoppers)
Ages 18-70 years old
Shoppers must intend to purchase within the next 6 months