And the survey says…

Following two recent online motoring surveys, it would appear that free extended warranty packages and ‘predictable’ future-proof service plans are two of the most-liked dealer offers when choosing a New or Used Car in 2011.

Our very own Sandicliffe Marketing team gathered together information from hundreds of completed questionnaires from car-owners and car-buyers from around the region, in order to learn if the buying habits had changed from previous times. The initiative was developed so that the feedback would ultimately in turn, help the same customers by way of new and improved offers in 2012.

The first survey was to take the same number of customers and split them in to New and Used Car categories. The first showed that of 195 Used Car buyers, 161 (83%) said they preferred an extended warranty over any other offer shown on the list. This included special finance offers, buy-now-pay-later schemes and free accessories worth up to £300. The result doesn’t mean to say that financial offerings are not of benefit these days, it shows that given a choice, people prefer longer-term safety factors such as driving a vehicle that is covered by a parts and labour warranty in case it ever went wrong. This reduces the doubt of not knowing what costs are around the corner.     

In terms of New Car buyers, warranty is less important because today’s manufacturers provide at least three years or 60,000 miles cover within the price (as much as 7 years in the case of Kia). The difference between the two types of buyer is not as great as one would have thought however. Because the warranty aspect is taken care of - giving that all-important peace of mind, the New Car buyer instead opted for the dealer-supplied Service Plan Contract.

Of the 195 people who completed this particular section, 148 (76%) of New Car buyers found that paying reduced, interest-free monthly payments for the annual servicing to be taken care was more valuable than a tank of fuel and other complimentary accessories for the same price.

Service Plans were likened to buying electricity bills three years in advance at cheaper rates and have shown to work because of associated costs are gathered together, fixed for two or three years and with a discount thrown in for good measure, the customer pays by even, interest free payments for the duration of how long the services last. The report also highlighted drivers who said they thought it was very important to take their car to a dealer whose Technicians were manufacturer-trained (63.7%).

Based on this and other research during November and December 2011, Sandicliffe has improved its Used Car warranty by giving twelve months free on every Approved Used Car. In addition, the company has also launched its Used Car 2 year TLC Servicing Plan package for a fixed, one-off payment of £250. New Car service plans remain untouched and at 60% of all New Car sales, are the number one item purchased by Sandicliffe New Car customers.

Added: 22 January 2012

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