Why you might buy your next car online | World News,The Indian Express

Online car shopping appeals to a large proportion of all car buyers, even those buying combustion-engine cars through dealerships, said Michelle Krebs, an executive analyst for Cox Automotive.

In 2019, many auto experts said Tesla was making a big mistake by deciding to sell cars only online, arguing that whatever bad feelings people had about dealerships, they were essential to the car business.

But the strategy, which was adopted by Tesla CEO Elon Musk and combines direct sales with a limited number of stores and service centres, appears to be proving the naysayers wrong. The company dominates the fast-growing electric car market even as other manufacturers struggle to sell cars because of a shortage of computer chips.

Tesla’s approach, which has been copied by other young electric carmakers like Rivian and Lucid Motors, could eventually have major ramifications for the auto industry. Most carmakers and auto dealers are earning rich profits right now because the shortage of new cars has pushed up prices for both new and used cars. Still, car companies and dealers may have to eventually adopt some of the changes Tesla has introduced to win over buyers who have grown used to buying cars online.

People who have traded in conventional cars for electric vehicles made by Tesla and newer companies said they were pleased with the experience and would consider buying future cars in the same way.

“Easiest big purchase of my life, crazy easy,” Rachel Ryan, who lives near Los Angeles, said about her 2021 purchase of a Tesla Model Y. “I bought it while my husband was at work,” she added. “When he came home, I told him he wouldn’t be driving my minivan anymore.”

https://indianexpress.com/article/world/why-you-might-buy-your-next-car-online-7983423/

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