Courtesy of TRADER Corporation
Canada’s leading digital automotive solutions provider, TRADER Corporation, has released its latest survey. TRADER polled AutoTrader.ca users and found that about nine out of ten Canadian car shoppers who use AutoTrader.ca are aware of and willing to adapt to the global microchip shortage by adjusting their purchase journey. Results of the TRADER survey showed that 71% of new car buyers are expecting higher prices on vehicles and 65% anticipate less room to negotiate prices.
With supply constraints a real concern for consumers, 27% of the shoppers polled said they are prepared to shift their intention from purchasing a new vehicle to purchasing a used one. Cross-shopping between different makes and models is another way consumers are adjusting to the current market conditions, with 20% of respondents considering this option.
With supply constraints a real concern for consumers, 27% of the shoppers polled said they are prepared to shift their intention from purchasing a new vehicle to purchasing a used one.
Of those polled, 42% said they are willing to travel further than normal to purchase a vehicle and of that group, 31% said they are willing to travel over 400 kilometers for their vehicle of choice. Of the respondents, 49% reported that they would find it beneficial to have access to a price comparison feature at dealerships that is similar to the one on AutoTrader.ca.
The used vehicle industry showed similar results, with 74% of the consumers who were surveyed saying they anticipate higher prices, lower inventories (63%), and less room for price negotiation (55%). Despite these survey results, AutoTrader.ca confirms that there are just as many used vehicles advertised on their marketplace as this time last year.
“We’re steadfast in our commitment to analyzing and providing top tier market data and insights with our Canadian dealer partners in mind,” says Ian MacDonald, Chief Marketing Officer, TRADER Corporation. “With the current global microchip shortage and the challenges imposed on the automotive industry, dealers can benefit by modifying their customer service and marketing efforts in order to better match how consumer preferences and expectations have changed, to drive sales during this time.”
