Thanks to the Internet, consumers are more informed than ever before about their car purchase, spending on average six weeks researching before ever setting foot in the dealership or going for a test drive. Gumtree Cars has released new research, which shows how car buying in Australia has taken a U-turn towards digital platforms and how women are feeling about purchasing their next car.
“Gumtree Cars wanted to understand more about their customers, both the dealerships and consumers, to better understand the buying journey leading up to during and after the sale and showcase to dealers where the disconnects are,” said Jessica de Vries, Gumtree Cars’ National Sales manager (pictured here).
“I was surprised by the disconnect between how the car dealer and the consumer were viewing the experience, but also happy to hear the positive emotions felt during the car buying journey,” added Jessica.
The ‘Connecting the Disconnected in the Australian Car Buying Journey’ study compared and contrasted the opinions and processes of Australian car buyers and sellers. It was commissioned by Gumtree Cars and conducted by BrandSpark International in August 2019. It involved an online survey of over 1,000 Australian consumers and a quantitative phone survey of over 100 auto dealers in Australia.
Online is the first step for the majority (52 percent) and almost everyone (92 percent) goes online when researching their next potential car. Women are a less trustworthy of online car advertising than men, with more than half of women (63%) stating they would not purchase a car without visiting a dealership first, compared to (55%) men. Whilst Online Classifieds is the #1 research method of choice for both sexes, women also heavily rely on word of mouth, dealer sites and direct mail.
While people are more trusting of dealers as whole compared to five years ago, women are the least trusting of the sexes, with only 1 in 4 women, compared to 1 in 3 men. Whilst women feel more prepared than ever before in the car buying journey, they are slightly more anxious and apprehensive than your average man when walking into a dealership. When choosing between dealerships, honesty, fair prices and high quality of vehicle are the top three attributes to get female car buyers walking into dealerships. And once you have made a good impression on a woman they are more likely to be advocates, with 1 in 5 more likely to recommend your dealership to family and friends.
Women are more inclined to take up dealer finance, more than half of women (55%) opting for dealer finance over a bank institution in their last purchase and men (45%) are more likely than women (36%) to have saved up and bought their first car themselves.
Purchasing a second hand car is something men feel more confident doing than women. Men (88%) are more likely than women (63%) to say they are confident to negotiate or haggle on price if they were buying a second hand vehicle. While women are more likely than men to feel anxious (38% compared to 29%) and apprehensive (35% compared to 29%) when thinking about the process of buying a second hand car while men are more likely to feel proud (13% compared to 7%).
Not surprisingly men (86%) are more likely than women (62%) to claim to be very knowledgeable or to know enough and be able to access additional information about cars to make an informed decision when buying a car. This is something that Driven Women Magazine would like to help change by supporting women who have an interest in cars to show other women that this is something they need not be anxious about.
The research also asked women what aspects of a car are important to them. This revealed that 75% of women stated fuel efficiency a major factor in the car buying journey, compared to 64% of men. Whilst both sexes agree making environmentally friendly choices is important to them. Women are more likely than men to say reliability (91% compared to 82%) and size (54% compared to 43%) are the most important considerations when choosing a second hand car.
When it comes to the colour of their second hand vehicle men and women have different preferences. The top pick for men is black (20%) while for women it is silver (19%). Women (65%) are more likely than men (57%) to say the external features they would like their dream car to have includes keyless entry while men are more likely to say they would like it to have running boards (17% compared to 9%).
As for the future of driving men (44%) are more likely than women (30%) to say they are likely to consider an electric vehicle the next time they purchase a vehicle. While men (73%) are more likely than women (63%) and Millennials are more likely than Baby Boomers (73% compared to 64%) to think that driverless cars will feature significantly in 15 years from now.
On average, there are more than 150,000 listings on Gumtree Cars with more than 6,000 new listings each day. Potential car buyers spend 30 minutes on average on site per visit and there are a lot of them! With seven million Aussies visiting the site each month (Source: Average Jan-April 2018, Nielsen digital panel) or to put that another way 850,000 Aussies per day (Source: Average March-June 2018, Nielsen content ratings). It’s no wonder then that there are 1,600 dealers currently subscribed to Gumtree Cars.
“The advantage Gumtree Cars gives consumers is the opportunity to engage with dealers on their terms and at their time. All the info about the car is on the ad, they do not have to contact the dealer to get more information,” said Jessica. “We want Gumtree Cars to be the number one motor market place in Australia.”
Gumtree Cars Brand Ambassador Grant Denyer offers his tips for Aussies looking to buy a car, whether new or second-hand:
1. Doing research saves time in the end
“When looking for your next potential car, do your research before making the journey to test it out. Ask for as many photos as you see fit before you get on your way to have a look at the car.”
2. Strength in numbers
“When going on a test drive, take someone with you who knows enough about cars. This way you can be sure you’re being smart about your next purchase – you can always ask an independent mechanic or workshop to conduct a more thorough inspection.”
3. Look further to save
“You can make big savings if you are willing to look beyond your local area for your next car. Gumtree’s research shows that many price-savvy Aussies have already caught on, with many willing to drive as far as 120 kilometres to save $1,000, which is not a bad reward for a scenic ride.”
4. Be smart about the price tag
“Realistically, sellers are going to be ready for a little bit of bartering so you might as well go in lower than the initial asking price. This comes hand-in-hand with knowing how much that model is selling for elsewhere and how your potential new car fits into the price range.”
To find your next car visit the Gumtree Cars.