49% of Indian consumers prefer to subscribe a car rather than buying

Delhi, 28 January 2021: A recent Capgemini Research Institute research note, titled Shifting gears: COVID-19 and the fast-changing automotive consumer –  an update on the Capgemini research note examining car buying behaviors in the pandemic era, which assesses 11,000 consumer attitudes to buying a car, across 11 countries, as recently as October and November in 2020. The ongoing COVID-19 pandemic and fresh lockdown restrictions have dissuaded consumers to return to public or shared modes of transport.  As a result purchase intent has grown globally in almost all markets and is being driven by a combination of low-cost auto loans, government incentive programs for electric vehicles, and a pent-up demand for cars following an economic recovery, overlaid by the desire to avoid public and shared transport.

The key global and India findings of the research note are as follows:

• Consumers preference for personal vehicle and avoidance of shared mobility options significantly jumped in last six months

• Overall 57% of consumers in April 2020 said that they and their family were safe in a personal vehicle compared to 87% of consumers in November 2020
• In India 69% of consumers in April 2020 said that they and their family were safe in a personal vehicle compared to o 95% of consumers in November 2020

• Growth in use of personal cars

• Overall use of personal cars grew from 51 % of consumers using personal cars in April 2020 compared to November 2020 it was 61%
• In India use of personal cars grew from 40% of consumers using personal cars in April 2020 compared to November 2020 it was 56%

• Consumers in China, India, and Germany show the most pronounced shift in terms of how sentiment has tilted to cars over public transport compared to before the pandemic

• Consumers considering buying car in next 12 months

• Overall 46% of consumers are considering to buy the car in next 12-months
• In India 74% of consumers are considering to buy the car in next 12-months
• Consumers in China (57%) and India (74%) showed the strongest appetite for buying a car in the next 12 months.

• Younger consumers (less than age 35) globally are considering buying the car

• Overall 35% of younger consumers were considering buying the car in April 2020 compared to 59% of consumers in November 2020
• In India 58% of younger consumers were considering buying the car in April 2020 compared to 77% of younger consumers in November 2020

• Subscribe to the car instead of Buying across age groups

• Overall 20% consumers prefer to subscribe to the car instead of buying
• In India 49% of consumers prefer to subscribe to the car instead of buying

• Younger consumers (less than age 35) globally prefer subscribing a car

• Overall 20% of younger consumers prefer subscribing to the car
• In India 58% of younger consumers prefer subscribing to the car

• Consumers increasingly prefer online channels of interaction – Online channels (apps/websites/social media) to find information on cars

• Overall 49% of consumers prefer online channel of interaction
• 80% of Indian consumers prefer online channel of interaction