Online Car Buyers Not Looking to the Web for Auto Financing
July 11, 2007
A new and exclusive survey by consumer advice and price quote web site BuyingAdvice.com shows that even car buyers who obtain online car price quotes are less likely to use the web to arrange their vehicle financing than more traditional methods.
In response to a new BuyingAdvice.com survey, 1759 buyers who requested online price quotes and who stated they were within a month of purchasing a new car were asked what steps they had taken to arrange car financing. Only 15 percent of those questioned said that they had obtained an Internet quote for their vehicle loan.
The study also showed that most car buyers are not arranging their loans prior to getting an online price quote and fewer still are getting multiple quotes on their car financing.
Just under 60 percent of respondents, 59.9 percent, said that they had not arranged car financing before requesting their online price quote. The sample was taken from among the 50,000 users who request Internet price quote from BuyingAdvice.com each month and who agreed to participate in the study.
Almost three times as many of the consumers surveyed said they would be seeking financing at a dealership than via the web. More than 43 percent said that they would be applying for financing at the dealership. That is about ten percent lower than the average car buyer, according to automotive industry statistics.
While leading consumer advocates suggest getting multiple quotes on car loans to obtain the most competitive rates only 22 percent of respondents to the survey said that they had obtained multiple quotes.
The survey, taken during June 2007, is one of a series being conducted by the web site that provides an up-to-the-minute picture of trends in the automotive market and focuses on the behavior of buyers who request Internet price quotes.
BuyingAdvice.com is a consumer advice and Internet price quote site that features tips and advice for car buyers, new car reviews and the latest news and information from the automotive world.
