The lockdown has definitely affected our daily lives, social distancing is set to become the new normal at least for the next few months. In order to understand the changing consumer sentiments, purchasing behaviour, and commuting preferences in the post Covid world, we at CARS24 conducted a research study using various digital platforms. Based on the same study we earlier published a report charting the potential impact of the coronavirus on car purchases in India. According to it, a huge chunk of the Indian population might prefer to buy used cars instead of new cars post the lockdown.
The lockdown has altered many habits of people across the globe and lifestyle change is one of them. Health and safety will be the top priority for Indian masses as they prefer to use more their own vehicles and less of public transport for commuting once the lockdown is lifted. They’ve also turned out to be more economically conscious owing to the huge dip in the economy as a direct impact of the coronavirus lockdown which has left most businesses shut for 40 days and counting. A budget cut when purchasing is definitely on the card in many households due to financial constraints.
According to the report, ‘Family needs and risk of the infection‘ emerged as the major reason for consumers to buy cars in the post-Covidworld. Also, 46 percent of the consumers have registered a reduction in their overall budgets. In such a situation, buying a brand new car can be a stressful ordeal.
Buying a car was still a priority as 53 percent of the masses are likely to buy one in the next 6 months due to a lack of trust in the safety of public transport, the change in purchase preference is clearly visible. Before the outbreak of COVID-19, 40% of the subjects were willing to purchase a new car as opposed to 60% who were interested in buying a used car. However, after the spread of the pandemic and keeping in mind the monetary cuts, those who were willing to buy a new car decreased to a mere 31% and those interested in used cars increased by 9%.
Therefore it is plain to see that 22.5% of the consumers who were planning to buy a new car last year would now prefer to buy pre-owned cars because of the limited budgets and a plummeting economy.
What would be your choice of car after the lockdown, a pre-owned or a brand new one? Leave your answers in the comment below