Car buying interest remains solid thanks to online ‘showrooms’

Interest among car buyers is said to have remained strong despite the widespread closure of dealer showrooms amid the deepening coronavirus shutdown.

The closure of physical outlets does not mean that dealers are closed for business, according to online car buying marketplace Heycar.

The firm said that if dealers have a live online offering and can attract buyer interest, they can either continue to make sales now or maintain interest for when the outbreak subsides and demand gathers pace.

Data from the used car buying website, which has thousands of dealerships nationwide using it, shows that in the weeks leading up to the start of the Covid-19 crisis, a strong pipeline of customer leads had been established.

Chief commercial officer

Karen Hilton believes it is the nurturing of these prospective customers in the medium term that will be key to the industry emerging from the outbreak in the best shape possible.

She said: “Everyone knows inbound leads are going to continue to drop as the UK government has implemented further measures to halt the spread of the virus and keep our community safe.

“However, this situation will change and when it does dealers must be ready to build again. That’s why it is particularly interesting to look at the numbers of people continuing to show interest in changing their cars. This suggests there are good pipelines of existing customers to nurture and develop in order to tide dealers over the next few months.

“Our site data shows that before the start of the initial government measures on social distancing, demand in the market was still showing normal seasonal increases.

“Top of the funnel site traffic and car views were at seasonal highs and these are still high now as people spend more time at home and online.”

Heycar said the number of visitors using its on-site “value my car” tool had also remained strong since the introduction of social distancing, indicating that people are still planning for a car change.

Hilton added: “Dealers who have warm leads can use this time to educate their customers on delivery options.”

Many dealers and garages are only open now for essential maintenance work.

Car production fell by 0.8 per cent in February, although the industry accepts this was the “calm before the storm”. The Society of Motor Manufacturers and Traders said the sector was bracing itself for the coronavirus impact, as car plants are effectively on shutdown.