07/06/2019
The new model that's shaking up the car industry
Just behind insurance brokers, real estate agents and advertising people, car salesman is the least trusted profession in Australia, according to a recent Roy Morgan's annual Image of Professions Survey. They've been at the bottom since the survey began in 1988.
While this reputation
might not always be warranted, the realities of used-car dealerships mean
buyers can often feel unduly pressured – sales people working on commission are
incentivised to get buyers driving off the car yard. This business model also
means buyers will almost certainly be paying more to cover overheads, dealer
margins – and 'on-road' costs adding to the price.
Searching online
provides an alternative but comes with its own downsides. Buyers can choose
from a larger selection of cars without navigating the hard-sell approaches of
many dealers. However, they could end up buying from a dealer (and paying those
extra margins) just the same. If you're buying privately, you may pay less, but
you'll also get less protection if the car turns out to be faulty, or
misrepresented.
There's a third option
and it's disrupting the used car market - Online car dealers. This new business
model is directly connecting buyers with cars. It gives buyers the best of both
worlds – a larger selection, much lower prices, no hard sell, and the same
guarantees and protections you'd expect from a dealer. Here's how it works:
With online car buying
your choices are almost endless. Rather than just what's available in New
Zealand, you can tap into the huge international markets, which have thousands
of options. You aren't just limited to what New Zealand car dealers think they
can sell off the car yard quickly. Conduct a search yourself and you'll be
delivered all the information you need to make a decision.
Sites like Autoport
(www.autoport.nz) allow you to ask questions about each vehicle either online
or by picking up the phone. They also offer a search service – give them a
brief and a budget and they'll deliver some likely candidates.
CUT OUT THE MIDDLEMAN
AND SAVE UP TO 20 PER CENT
With no car yard or
stock to purchase and store, these new online car dealers can operate with
significantly lower overheads, and pass on these savings to car buyers. Sites
like Autoport claim that without the middlemen costs, they can save customers
up to 20 per cent. And Autoport's prices are all inclusive drive away prices –
there are no hidden costs like On Road Costs (ORC's).
As you would expect
there are laws and regulations that Registered Motor Vehicle Traders who must
abide by. Buying privately doesn't give you the same safeguards and means
you're not protected by the Consumer Guarantees Act to the same extent. With
Autoport you also have the reassurance all their cars have passed AA Safety
Compliance standards.
Online car buying
offers you the same safeguards as you'd find at a traditional car dealer, and
some go even further. For example, Autoport offers a 5-day money-back
guarantee, a 12-month mechanical warranty (on non modified and non performance
cars), finance if you need it. Autoport makes it easy for the buyer – they take
care of getting the car in from overseas, and manage all the foreign taxes,
GST, compliances and registration.
NO TEST DRIVE ONLINE?
YES, THERE IS
A fifteen-minute test
drive out of a used car yard isn't long enough for you to truly assess the car
you're considering. The likes of Autoport overcome this by offering a 5 day
money-back guarantee, essentially giving buyers the chance to test-drive 5
days. Return the car in the same condition within 5 day and having not
travelled more than 500km for a full refund – no questions asked.
"We appreciate
that buying cars online is a new concept for the public to get their heads
around - but is it really?. At Autoport we offer all the same services as a
traditional car dealer including Finance. However unlike others, we remove the
risk associated with purchasing a car by offering our 5 day money back
guarantee and including a 12 month mechanical warranty" David Paviour –
Autoport Co-Founder goes on to say.
THE FUTURE OF CAR
BUYING
Online car buying is a
disruptive new business model – a direct connection between buyers and
thousands of cars. By side-stepping the middlemen in the traditional model
you're getting the legal protections of buying from a car dealer, without the
extra cost.
For more information
about Autoport visit www.autoport.co.nz.
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