Indian buyers still prefer physical dealerships over online mediums to purchase cars: Survey

PTI, Dec 23, 2024, 4:56 PM IST

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New Delhi: Majority of car buyers in India still prefer making their purchase decisions through physical dealerships, with digital platforms increasingly complementing the overall acquisition process, according to a survey.

The findings of a global study conducted by Urban Science involving over 9,000 people across the US, Germany, UK, China, India, and Mexico, revealed that most Indian buyers still predominantly prefer purchasing vehicles through a traditional dealership in person, with trust and relationship-building playing pivotal roles.

According to the survey, nearly 9 out of 10 car buyers in India are more inclined to visit a physical dealership, highlighting the critical importance of in-person visits in shaping their overall buying behaviour, it stated.

The survey highlighted that India provides a compelling blueprint for balancing the rising digital demand with a deeply rooted, trust- driven car-buying culture.

For Indian car buyers, tradition is not merely nostalgic— it’s a trusted approach to making a major financial decision, it noted.

Purchasing a car often involves family, personal relationships, and a hands- on experience that digital platforms cannot fully replicate, it added.

Dealerships offer a space where trust is cultivated, deals are personalised, relationships are nurtured, and after-sales support all come to life, making them an indispensable part of the car-buying process, as per the survey.

While digital platforms are poised to play a complimentary role, the human element remains the heart of India’s car-buying experience, it stated.

By expanding their physical networks, automakers are aligning with this enduring preference for trust, tangibility and personal interaction,which continues to define the market, it added.

While traditional dealerships currently dominate India’s automotive landscape, the digital wave is steadily gaining momentum, the survey findings revealed.

Younger, tech-savvy consumers are increasingly browsing online before stepping into a showroom, it said.

This shift suggests a future where dealerships and digital platforms coexist in harmony, creating a hybrid model that combines the strengths of both approaches, it added.

Striking the right balance will be essential to meet the evolving consumer expectations while preserving the trust and personal connection that traditional dealerships uniquely provide, it stated.