Results of a new Market Intelligence survey* provide some insight about consumers’ attitudes toward buying a new vehicle and the influence of the economy on their buying decision. For in-market car shoppers, the survey data indicated:

• Nearly three-quarters (74 percent) of car shoppers plan to purchase a car within six months.
• The average shopper has three vehicles in his or her consideration set. Still, 83 percent of all respondents noted they are still undecided on the make and model of their next vehicle. 
• 67 percent of consumers are looking to buy a used car, while only 33 percent are looking to buy a new car.
• 62 percent of used car shoppers plan to spend $15,000 or less on their next vehicle purchase.
• 50 percent of new car shoppers plan to spend $25,000 or less on their next vehicle purchase.
• 62 percent of all shoppers prefer having to negotiate, rather than having a single set price for the vehicle.
• One-third of all car shoppers plan to pay the entire cost of their next vehicle purchase in cash. Those consumers also report that the automakers’ incentive offers largely do not influence their car-buying decision. 
• Zero percent financing remains the most appealing incentive for those looking to finance their vehicle purchase. The most popular loan term was 60 months.

*Results of this survey are based on 338 in-market car shoppers who were surveyed on the  Kelley Blue Book website from June 18-21, 2010.

A Kelley Blue Book spokesperson indicated that consumer attitudes toward car buying can be directly attributed to low consumer confidence in the economy right now. Consumers are taking a conservative approach to car buying, deciding to purchase what they can afford rather than over-extending their credit lines or yielding to incentive offers from the automakers.

What do you think about the results of this survey? Join in the discussion on our automotive forum.

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