Personal car, two-wheeler preferred mode of transport post Covid-19: Survey
A new survey shows that 89 per cent of respondents are likely to use a personal car and two-wheeler as mode of transport post Covid-19. The survey brings good news to passenger-car and two-wheeler makers, who have been struggling to sell new vehicles. Following the lockdown, pre-owned vehicles will see a good traction as 96 per cent of the respondents want to purchase such cars. The survey was conducted by Shriram Automall, India’s largest platform for pre-owned vehicles and equipment.
The survey titled ‘On Buyers’ Vehicle Purchasing Behaviour Trend due to Covid-19’ stated that due to health and safety concerns, personal convenience will become popular over public transport where demand of pre-owned vehicles would like to rise compared to new ones. However, the budget is likely to be stressed due to the fear of job loss and financial stress.
The auto industry is likely to decline significantly in FY 2020-21 across segments. Commercial vehicles sales are expected to drop by 26-28 per cent, while the drop in passenger vehicles would be about 24-26 per cent, two-wheelers may drop by 21-23 per cent and tractors, 7-9 per cent.
In 2019-20, total new CV sales stood at 718,000 units, PV sales at 2.77 million lakh, two-wheelers at 17.42 million and tractors at 709,000.
Nearly 89 per cent of the respondents are likely to use personal cars (63 per cent) or two-wheelers (26 per cent) as mode of transport post covid-19, while 88 per cent of the respondents want to purchase a vehicle post lockdown and 69 per centwant to buy one within 0-3 months post lockdown.
Around 96 per cent of the respondents want to purchase pre-owned vehicles post lockdown, while only four per cent wanted to go for new ones, and 47 per cent want to buy a car post lockdown, according to findings of the survey.
On the impact of Covid-19 on purchase decision, it was stated that 77 per cent of the respondents have reduced their budget for purchasing a vehicle and 73 per cent have admitted that they want to buy a used vehicle due to Covid-19.
Phygital is the new normal
The study says although the popularity of Online Bidding and Digital Physical Event is likely to increase, Physical Bidding still to be a favourite among buyers and financing assistance is likely to be a great move for buyers to take a decision on purchasing a vehicle.
