In light of yesterday’s post about Toyota model loyalty, it’s not surprising among repeat buyers that a test drive may not be necessary. Some buyers (if they have owned the same make/model in the past) are not as apt to worry about a test drive based on their prior ownership experience. I think this revelation pertains more to NEW cars than USED cars, but if you have a comfort level with a car you are likely to accept a newer model at face value. In my opinion, this has nothing to do with buyers being apprehensive of car salesmen or dealerships – we know the public already is anyway. This has more to do with a buyer showing up in a dealership rather than a shopper showing up in a dealership.
-JPS
from the Detroit Free Press:
Some car shoppers are skipping the test-drive, study shows
Call them digital test-drivers.
Armed with online research, more than one in 10 new-car shoppers now buy vehicles without taking a test-drive, according to a new study.
A marketing manager in Indianapolis, Andy Thedjoprasetyono, was one of them.
He bought a new 2008 Honda Fit four years ago without taking a test-drive. Before setting foot in the showroom, he researched his purchase onwww.Edmunds.com and www.Cars.com and in Motor Trend and Car & Driver magazines.
“Honestly, I hate dealing with car salesmen,” he said in an e-mail.
Buying a car often is the second-largest purchase most people will ever make. But some consumers are skipping the test-drive, emboldened by familiarity gleaned from online research and previous experiences with a vehicle.
“I just find it quite fascinating and a little baffling,” said Chris Travell, vice president of strategic consulting for Maritz Research, which conducted the survey. “As cliché as perhaps it sounds, there’s that new-car smell that needs to be experienced firsthand and cannot be experienced over the Internet.”
It’s not just the Internet influencing car buyers. Some buyers just aren’t very interested in cars and want to finish the buying experience quickly, he said.
It’s a potentially troubling trend for dealers, who say the test-drive can be a euphoric experience that often converts a wavering shopper to a committed buyer. It also might convert someone who has settled on a competitor’s vehicle through online research, but then takes several test-drives and finds that something else feels better. The opportunity to move a shopper into a higher price point also is lost.
“My manager said, ‘The feel of the wheel will seal the deal,’ ” said Philip Reed, a former dealership representative who now serves as senior consumer advice editor for Edmunds.com.
Ken Thomas, general manager of Telegraph Chrysler Dodge Jeep Ram in Taylor, said a test-drive is in the customer’s best interest.
“Everything that you read isn’t necessarily true,” he said. “There’s nothing online that tells you how that car feels. I enforce it with the salespeople that they have to at least offer a test-drive with every customer.”
The Maritz Research study, which surveyed 80,219 buyers of 2012 model-year vehicles, found that 11.4% didn’t take a test-drive. It’s the first year the study has asked the question. It also found that 9.5% of 2012 car buyers used the Internet to schedule a test-drive, up from 7.4% in 2010.
Overall, it found that about eight out of 10 buyers used the Internet to research their purchase before going to dealership.
Reed said he strongly recommends taking a test-drive before making a decision. But he also suggested that car buyers use dealership websites to set up back-to-back test-drives with three to five different dealerships in advance. That makes comparisons easy and allows you to maintain control of the buying process.
Some buyers are intimidated by the dealership experience, which is why dealers often allow shoppers to borrow vehicles for a few days.
“It’s like trying on a suit,” Reed said. “You’re trying to find out, does it fit me?”
Ann Arbor auto dealership owner Howard Cooper, who is selling his business after 47 years in the industry, said he always advised his representatives to do as much as they could to persuade a buyer to take a test-drive.
“They can do a lot of research beforehand, but they really got to get a feel,” Cooper said. “I don’t think there’s a better way to do it.”
More Details: Trying out a new vehicle
Philip Reed, senior consumer advice editor for Edmunds.com, suggests a few things to keep in mind during a test-drive:
• Drive the car the way you’d normally drive it.
“If you take the car to the mountains, you better find a hill to climb,” Reed said. “If you do a lot of freeway driving, you better merge. Go over some railroad tracks, go over some bumps. Get in and out of the car a few times. Is that easy to do?”
• Pay attention to how it feels.
“Often a salesperson is hovering,” Reed said. “This isn’t a time to be social. It’s a time to be paying attention to what your reactions are.”
• If it’s a used car, have a mechanic check it out before buying.
“There are certain things that only become apparent when the car is running,” Reed said.
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John Paul Strong
John Paul Strong combines his two decades of automotive marketing experience with a team of more than 150 professionals as owner and CEO of Strong Automotive.
