Skip to main content

How much longer will consumers keep buying cars at dealerships?

prodigy car dealership sales platform colorful cars in a lot
welcomia / 123RF Stock Photo
Do you like negotiating with car salespeople? There actually are some people who enjoy buying cars at auto dealers, but if you’re one of them, you’re in a minority. The 2016 Beepi Consumer Automotive Index, based on an online Harris Poll survey, found 87 percent of Americans dislike something about car shopping at dealerships and 61 percent feel they’re taken advantage of while there.

Harris conducted the survey of 2,135 U.S. adults 18 and older in April 2016, on behalf of the Beepi used car online peer-to-peer marketplace. The purpose of the survey was to find out how Americans feel about car ownership experiences, including traditional and newer buying alternatives. The survey also checked attitudes about autonomous vehicles.

According to the survey, 52 percent of car shoppers feel anxious or uncomfortable at dealerships. Millennials lead the pack in their dislike, with 56 percent saying they’d rather clean their homes than negotiate with a car dealer. Gen X-ers aren’t fans either, and faced with alternatives 24 percent say they’d rather have a root canal than get into car negotiation. Among millennial women, 62 percent feel pressured to buy right away and 49 percent said they felt tricked into buying features they didn’t need.

Of parents with children under 18, 80 percent “would rather do anything else unpleasant than negotiate with a dealership salesperson.” It doesn’t look much better with parents without younger children — 71 percent of those people would choose the “anything else” option over negotiating.

Beepi’s business model is based on facilitating the purchase of used cars, without test drives, directly from the car owners. Beepi serves as a marketplace that inspects, delivers, and backs the cars with a 10-day money-back guarantee. When the survey asked about newer car buying alternatives, 54 percent said they would “love” being able to sell or buy a car from home and 42 percent were fine buying a car without a test drive, as long as there was some form of guarantee.

Looking at future issues of automotive use and ownership, the survey, taken before a recent Tesla Autopilot fatality, found that 46 percent said they wouldn’t feel safe owning a self-driving car. When asked about driving alongside a self-driving car, 47 percent of American senior males (age 65 or older) said they’d be fearful, while only 38 percent of senior women said they’d be scared. Millennials in the survey saw a more positive impact from self-driving cars — one third said driving would be less stressful and one quarter thought they’d be more productive in the car.

The survey, as a result, supports Beepi’s intentionally disruptive used car sales model. “The stereotypical used car dealer is a caricature Americans have had to deal with for far too long,” explained Beepi senior automotive editor Alex Lloyd. “People don’t want to waste their weekends and be upsold when there is an easier, more transparent way to do things. This study helps us better understand what people want, so we can continue to improve the experience of buying, selling and leasing cars.”

Editors' Recommendations

Bruce Brown
Digital Trends Contributing Editor Bruce Brown is a member of the Smart Homes and Commerce teams. Bruce uses smart devices…
Tesla’s fix for faulty Cybertruck pedal is simpler than you might think
Tesla Cybertruck

Less than five months after handing over the first Cybertrucks to customers, Tesla has had to recall the electric pickup to fix an issue with the accelerator.

In a notice issued on Friday, the National Highway Traffic Safety Administration (NHTSA) said that the recall impacts Cybertruck vehicles manufactured from November 13, 2023, to April 4, 2024. This suggests that all -- or almost all -- of the 3,878 Cybertrucks being recalled are those that have been manufactured to date.

Read more
Ford Mustang Mach-E 2024 vs. Mach-E 2023: What’s new in Ford’s electric Mustang?
Blue Ford Mustang Mach-E on a rooftop

The Ford Mustang Mach-E is easily one of the best EVs for the price, offering a solid range, sleek design, and pretty good tech on the inside. In recent years, it has gotten even cheaper -- thanks in large part to a price war between it and the Tesla Model 3. And, the company just took the wraps off of the latest and greatest version of the Mach-E, labeled as the 2024 model.

The 2024 Mustang Mach-E is notably different from the 2023 iteration in some meaningful ways. So much so that we decided to take a look at the two head-to-head -- to see if it was better to pay for the 2024 model or save some cash on any remaining 2023 stock.
Design
The Mustang Mach-E looks relatively unique -- in a good way. And thankfully, Ford has largely kept the overall design the same for the 2024 model, at least when it comes to the more consumer-focused models. The car retains the slatted taillights and crossover size. It also offers a large selection of colors, including the very blue Grabber Blue Metallic, as well as Rapid Red Metallic. It's a good selection of colors, and there should be an option for most buyers.

Read more
Tesla to begin production on new, more affordable models
Tesla Model 3

With competition increasing from Chinese and other automakers, Tesla boss Elon Musk revealed on Tuesday that his company is planning to begin production of new, more affordable models in “early 2025, if not late this year.” Notably, that's earlier than the previously stated date of late 2025, though whether Musk actually succeeds in meeting the earlier production time frame is another question entirely.

The news came as Tesla released its latest quarterly figures. Revenue for the electric vehicle maker came in at $21.3 billion, down from the $23.3 billion it reported for the same three-month period a year earlier and also down from the $25.2 billion reported in the previous quarter. Profit reached $1.1 billion, marking a 55% fall compared to the same period a year ago.

Read more