Dealerships remain the preferred place to view, test drive and buy cars, according to new research from Cazoo.
The online automotive marketplace found that nearly three-quarters of car buying decision makers prefer to complete the entire purchase journey at a dealership, highlighting the continued importance of showrooms and face-to-face interactions in the buying process.
Cazoo’s latest Consumer Insight Panel, which featured responses from 2,008 car buyers, found 72% of buyers want to view, test drive and purchase their next car at a dealership.
The figure has remained broadly unchanged across the company’s last three consumer surveys.
While digital channels continue to influence how consumers research vehicles, relatively few buyers want to complete the entire process online.
Ensure you always receive AM insights. Make us a preferred source of news on Google
Demand for viewing and buying cars online in decline
The proportion of buyers who want to view and test drive a vehicle at a dealership before completing the purchase online has increased slightly, rising from 19% in 2022 to 21% in the latest survey.
Meanwhile, the proportion who want to both view and buy their next car online has fallen from 11% to 8% over the same period.
Lucy Tugby, chief marketing officer at Cazoo, said: “Our research shows that dealerships remain the preferred destination for most buyers to view and purchase cars.
“This underscores the invaluable interpersonal role played by car retailers in establishing trust and building relationships.
“While marketplaces and other digital touchpoints play pivotal roles for buyers in the search and discovery phases, most still want the certainty that goes with personal interactions in showrooms when it comes to buying.”
Humans vs AI assistants
The research also suggests that consumers continue to place significant value on human interaction when engaging with dealerships.
More than half of respondents (53%) said they would rather speak to a member of dealership staff than an AI-powered phone assistant.
However, attitudes towards the technology appear to improve with experience.
Among buyers who had already interacted with an AI phone assistant, the proportion preferring a real person fell to 42%.
Tugby said: “The use of AI assistants is becoming more widespread across many different sectors, including car retailing.
“While some car buyers have expressed reservations about using them, acceptance will ultimately be driven by trial, experience and improving AI tech.
“Until then, dealers need to carefully manage how they deploy AI assistants and not to under-estimate the power of positive interactions with real people.”