KÜS Survey: Germans prefer traditional car financing
A new KÜS survey reveals that the majority of German consumers favor buying cars with cash or traditional financing, and are reserved about new models like car subscriptions.
German drivers continue to favor traditional methods for financing their vehicle purchases, according to the KÜS Trend-Tacho survey. While the variety of car models and powertrains is continually growing, most consumers want to buy their next vehicle with cash or traditional financing.
The survey indicates that 58% of respondents plan to purchase their next car with cash, and 29% intend to finance it with a loan. Private leasing is only of interest to 10%. Newer financing forms, such as car subscriptions, are significantly less known; as many as 42% of respondents are not familiar with them at all. These new models evoke divided opinions, with half of those who know them considering them potential alternatives, and half not.
Online car purchases also face reservations. 51% of respondents rule out the possibility of buying a new car online, and only 38% would consider purchasing a used car online. The main doubts concern trust in the seller (78%), difficulties in obtaining necessary workshop appointments (35%), and an unwillingness to spend large sums online (33%).
For used car purchases, lack of trust is a significant barrier (66%), and uncertainty about workshop appointment availability (25%) and the ability to assess the vehicle's condition beforehand limit online purchases (70%).
KÜS CEO Peter Schuler stated that while cash payment is popular, traditional financing methods remain dominant. He anticipates that car subscription services could become more common if public awareness increases.