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Car buyers set to spend more cashBack

Car buyingIt has been revealed that 27 per cent of consumers in a recent survey are planning to spend more than £25,000 on their next car. This latest figure is up from 23 per cent in November 2012 and shows that the car-buying world is could be on the road to recovery.

Figures released by from a survey of 1,500 car buyers showed that 77 per cent of consumers intended to change their car in the next three years, which is up 5 per cent from November 2012. Forty per cent of buyers surveyed planned to buy a used car, 24 per cent wanted a new car and 36 per cent were still undecided.

Twenty-seven per cent of consumers confirmed they were planning to spend more than £25,000 on their next car, with 14 per cent spending over £20,000, 22 per cent over £15,000, 24 per cent over £10,000 and 13 per cent over £5,000.

When it comes to how buyers will fund their next car, the number of people who planned to use dealer finance, hire purchase and contract purchase has increased by 50 per cent since November 2012 and now stands at 18 per cent, with car buyer’s expectations on monthly repayments remaining constant.

Twenty per cent of people will budget, between £250-£299 per month while 19 per cent are budgeting £150-£199, 15 per cent are budgeting £250-£299, 13 per cent are budgeting £300-£349, 11 per cent are budgeting £400 plus, 10 per cent are budgeting £100-£149 and 6 per cent are budgeting £350-£399.

Research also revealed that 77 per cent of consumers intended to change their car in the next 3 years, which was up from 72 per cent in November 2012.

Chris Green Sales Director said: “The research, conducted amongst our engaged automotive community, shows that consumers are starting to open their purse strings just a little and some are planning to spend more on their next car than six months ago. The shift away from funding their car with cash and using dealer finance continues and this is partly due to the compelling finance offers from volume brands like 0% finance and premium brands, who now have incredible subsidised finance offers.


Posted by Leana Kell on 20/08/2013