WITH lockdown spurring record numbers buying cars online without even seeing the vehicle, dealers are being advised to make sure used vehicles are sold with adequate warranty cover.
Research by WMS Group found that a third (30%) of buyers are likely to purchase their next used car online, relying on pictures or videos of the vehicle on a website – especially amid the ongoing coronavirus lockdown.
Yet, with the average car repair bill estimated to be £574, WMS Group said dealers and consumers need to ensure that in the absence of physical viewings and test-drives, all used vehicles purchased online come with suitable warranty cover.
Craig Grant, Commercial Director of the WMS Group, said: “The ability for consumers to easily buy cars online during lockdown is undoubtedly keeping the industry going whilst showrooms remain shut.
“However, this shift in purchasing behaviour – where consumers are buying cars without even seeing or test-driving them – means warranty cover is now more important than ever in giving dealers and customers confidence and peace of mind.
“At a time when many people are facing financial worries – and a third of Brits have less than £600 in savings3 – consumers should be checking that they buy a car with a valid warranty to give them protection and peace of mind that expensive mechanical failures and repairs are covered.
“Our own research shows two thirds (64%) of car buyers agree that extended warranties – which last up to three years covering all mechanical and electrical issues with multiple levels of cover available – are important yet many may not be offered this at the point of sale.”
He added: “It’s clear that we’re at the precipice of an e-commerce revolution in the car buying market – and it’s commendable that dealer groups have invested heavily in making the online purchasing journey easier and simpler than ever before. Yet, as this segment grows and evolves rapidly, we hope the benefits of warranty and motor protection products are still being promoted as, ultimately, this will benefit the consumer.”
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