50% cars buyers research online before purchase: Study

  • Published June 6, 2012
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More than half of them changed their choice of brand after online research, reveals a Google finding
Online car research

An offline study conducted by Nielsen on behalf of Google India at car showrooms in top 8 metros has revealed that one in two car buyers conducted research online before arriving at the dealership. The survey also revealed that of those who had researched their purchase online, over 50 per cent changed their choice of car brands after uncovering new information on the web.



With over 120 million Internet users in the country, the Internet it appears is playing a major role in influencing the decision making of India’s growing number of car buyers. Respondents reported that they used the web to research and compare prices, watch online videos and find images, do competitive analysis, find dealer contacts and read both expert and user reviews. Most car buyers also rated OEM’s or, in other words, the carmaker’s website as the most important and trustworthy source of information. Of the 50 per cent respondents who went online, 42 per cent said they used search engine as the first source of information, just behind the opinions of friends and relatives’ (47 per cent).


 
On average, car buyers spend 9-12 weeks researching before arriving at their final decision, and of those who turned to the web for assistance, over 90 per cent of shoppers used a search engine to learn more about the cars they were interested in buying.


 
Buyers rated Internet more important than TV or print media for auto-related content, thanks to fast, easy access to necessary information and rich media formats such as online video. Over 56 per cent car buyers also choose to watch videos online as part of their research, with over 48 per cent rating YouTube as the destination and a important source of information on the Internet.

Rajan Anandan VP Google India

Speaking about the study’s findings, Rajan Anandan, VP & Managing Director of Google India, said “This offline study substantiates the growing number of auto-related searches we’ve seen on Google search in India. Auto is among the fastest growing vertical in terms of query volumes on Google. Most OEMs have not yet tapped the full potential of the digital medium and we hope this study will help them understand and engage the Indian consumer online.”


Auto is among the fastest growing vertical on Google, with query volume growth of over 70 per cent year on year. In addition, in 2011 mobile queries grew 125 per cent year on year; from smartphones, the query volumes were almost double at 242 per cent.

In terms of query volume growth, bigger and higher-end cars like SUVs emerged to be the fastest growing car segment with 83 per cent growth YoY, followed by premium cars (82 per cent), sedans (75 per cent), luxury cars (74 per cent) and finally hatchbacks (53 per cent).

The survey also revealed the top 10 most searched new car launches in 2011*:
 
●        Hyundai Eon
●        Mahindra XUV 500
●        Honda Brio
●        Tata Manza
●        Maruti Kizashi
●        Toyota Liva
●        Hyundai Verna
●        Nissan Sunny
●        Skoda Rapid
●        Ford Fiesta
 
*For most searched cars, Google looked at query volumes for 13 weeks around a launch [6 weeks prior to the launch week, 6 weeks after the launch week and the week of the launch].

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