The cost of living crisis is having a far reaching impact on car buyers, with three-quarters admitting recent rises will influence their next purchase, according to eBay Motors Group’s latest Consumer Insight Panel research.
Of those buyers nearly a third (32%) are putting their next purchase on hold, while 28% will buy a cheaper car and 16% a smaller one.
However, a quarter of respondents said the increases will have no impact on their next purchase.
The research was conducted last month by Insight Advantage, an independent market research firm, and polled the views of over 2,000 new and used car buyers across the UK.
The findings identified soaring energy bills as the biggest concern among buyers, with 74% saying these increases will influence their next car purchase. This was followed by the inflationary impact on goods and services (70%), high petrol and diesel pump prices (68%) and rises in the cost of borrowing (59%) and council tax (57%).
“The cost of living crisis is having a profound impact on car buyers, with a third now delaying their purchases,” said Lucy Tugby, Marketing Director of eBay Motors Group.
“However, the balance is responding to higher costs by looking to buy cheaper or smaller cars, while a quarter say the rises will have no influence on their buying decisions.
“Our research shows the resilience of the car market with many buyers saying they will be purchasing out of necessity, despite the impact rising costs are having on their household budgets.
“For dealers this means maximising the online exposure of their stock and pricing to market because now, more than ever, in-market buyers will be looking for value for money,” said Tugby.