Austria's car market defies the Corona crisis

Austria's car market defies the Corona crisis

As part of the Global Automotive Consumer Study, the consulting firm Deloitte analyzes consumer opinions on developments in the automotive industry every year. The current edition contains the assessments of over 24,000 people from 23 countries, including 1,046 respondents from Austria. The positive result is that the majority of consumers are not abandoning their original car purchase plans. The corona pandemic has a relatively small impact on the purchasing behavior of Austrians in the automotive sector. Only 21% of the study participants postponed their purchase plans because of the crisis, and only 5% decided on a different vehicle model. This means that purchasing power in Austria is quite stable compared to other countries. In the USA, for example, 34% are planning to buy a car at a later date, and 16% are choosing a different model due to the crisis.

Burner at the dealer

Diesel and gasoline vehicles are still considered a tried and tested and, above all, affordable option for around 58% of the Austrian study participants. "In uncertain times, many people fall back on tried and tested methods. This trend can be observed worldwide," explains Matthias Kunsch, partner at Deloitte Austria. "The majority of Austrians prefer a diesel or gasoline vehicle the next time they buy a car. Interest in electric and hybrid cars is not decreasing at around 35%, but it is not growing either because of the crisis." When it comes to buying a car, most of the local respondents prefer it traditional: despite social distancing measures, buying a vehicle virtually is only an option for very few people. 87% still want to purchase their next vehicle physically from a trusted car dealer.

Electric cars are still too expensive

Those interested in electric cars are attracted by the lower fuel costs, the positive effects on the climate and government subsidies. However, the lack of affordable models on offer is a deterrent. Around 41% of Austrians are currently willing to spend up to 30,000 euros on an electric vehicle, but the choice in this price segment is still slim. In addition to the high purchase costs, respondents also expressed concerns about range and safety as well as a desire for better public charging infrastructure.

Skepticism about automation

According to the results of the Deloitte study, Austrians are largely skeptical about technologies such as autonomous driving or connected vehicles. 48% of domestic respondents believe self-driving cars are not safe. That is 6% more than in the previous year. Only just under a quarter of the study participants believe in the advantages of cars connected to the Internet, and 64% even have serious security concerns. According to the study, Asian consumers seem to be a lot more open: in China, for example, 83% are convinced of the advantages of this technology. “Since the benefits of autonomous driving and connected cars are still not tangible for most Austrians, providers must carry out intensive educational work in order to overcome existing fears of contact,” concludes Matthias Kunsch.