The latest Car Buyer Journey Study from Cox Automotive marks its 15th year, offering vital insights into consumer behavior, satisfaction, and digital retailing trends. As inventory stabilizes and digital adoption grows, the study highlights critical areas where dealers and OEMs can enhance the customer experience and drive business success. Jade Terreberry, Senior Director of Strategic Development at Autotrader and Kelley Blue Book, and Vanessa Ton, Senior Manager of Research and Market Intelligence at Cox Automotive, join us on the latest episode of Inside Automotive to discuss the findings and their implications for the industry.
The 15th annual Car Buyer Journey Study reveals that consumer satisfaction with the car-buying process has reached an all-time high, particularly for new vehicle buyers. A key driver of this satisfaction is improved inventory availability, which has reduced price-related frustrations and enhanced transparency in the buying process. According to Ton, smoother transitions from online research to in-store purchasing have also played a significant role in boosting consumer confidence.
One major takeaway from the study is the increasing time consumers are dedicating to their vehicle purchase journey. New car buyers now spend an additional 1 hour and 50 minutes researching, while used car buyers invest nearly 30 minutes more than before. This trend reflects greater consumer empowerment, as buyers leverage digital tools to compare options and ensure they get the best deal.
The study also highlights the growing alignment between new and used car buyers in their approach to digital retailing. More consumers are opting for online tools to facilitate the purchase process, with many embracing omnichannel experiences that blend digital and in-person interactions. Terreberry emphasized that digital engagement not only improves the buying experience but also boosts profitability, as consumers feel more in control and make more informed purchasing decisions.
Another critical insight from the study is the increasing significance of fixed operations in building customer loyalty. A strong sales experience often translates into future service opportunities, reinforcing brand attachment and lifetime customer value. Terreberry noted the success of Ford’s Blue Advantage certified pre-owned program, which has set a benchmark for manufacturers looking to enhance customer retention and drive post-sale engagement.
As the industry navigates shifting consumer expectations, the findings from Cox Automotive’s study underscore the importance of digital transformation, data-driven marketing, and customer-centric strategies. With greater transparency, seamless online-to-offline transitions, and a focus on service retention, dealers and OEMs can position themselves for long-term success in an evolving market.
“We don't have to be scared as an industry anymore about losing our profit by giving our consumers the ability to take these virtual and e-commerce steps online." – Jade Terreberry
