An automobile is much more than a mode of transportation. It is your family's pride and joy. As a result, purchasing an automobile for oneself is a critical decision. Choosing the right car can be a difficult task, especially with so many carmakers offering a broad choice of vehicles. Everyone has their preferences in terms of color, model, fuel type, and features.
Searching for a new car is one of the most time-consuming and stressful experiences a person can have, especially if they are a first-time buyer. However, even seasoned car purchasers may have challenges while purchasing a new vehicle, and the reason for this is money. Car is the second largest investment after a home, and it is also the most depreciating. Also, after home and business, individuals spend most of their time in their cars. As a result, people want it to be more personalized and catered to their tastes.
As a result, the best way to begin your search is to determine which segment is right for you. Choosing a segment that fits your demands will help you bring down your options and choose a perfect car for you. This post will go over the fundamentals of car segmentation and considerations to evaluate when buying a new or used vehicle.
Hence, here�s the list of top criteria that buyers keep in mind:
The most crucial and basic step in purchasing a new car is deciding on a budget. When doing a car search, you have the option of making a one-time payment or opting for an EMI payment plan. In the latter situation, your budget is usually determined by how much money you have each month. Just keep in mind that the monthly costs of buying a car are not limited to the vehicle itself. Besides the road tax, there are other costs such as fuel, maintenance, and insurance. For example, a Maruti Suzuki S-Presso with a sticker price of Rs 3.69 lakh (ex-showroom, beginning) will set you back roughly Rs 4.2 lakh (on-road). As a result, it's critical to set a budget and avoid buying a car that would break the bank.
After you've agreed on a budget, you'll need to figure out your body type. The appearance, design, and interior space of a vehicle are all determined by the body type. Hatchbacks, sedans, SUVs, and MPVs are the four basic body types. There are subcategories within these body types. You must be cautious while making a purchase and plan beforehand. If you often travel with family, every six months, you might consider purchasing a 7-seater MPV. However, adding two more chairs for the rest of the day is a waste of resources and space. In that instance, an MPV can be rented. Don't buy anything you don't require.
Many consumers are unsure whether to buy a petrol or diesel car. Along with the increased availability of electric vehicles in Delhi-NCR, CNG is gaining traction as a viable option to the two power sources. To deal with them all, one must first comprehend how they operate regularly. While diesel is less expensive than petrol and provides greater mileage, a diesel-powered vehicle costs at least Rs 1 lakh more than a petrol-powered vehicle, also requires more maintenance. According to our calculations, buying a diesel car over a petrol car is not necessary for 90% of circumstances. And it all comes down to how you run regularly. So think carefully about your calculations.
A car's value depreciates with each successive year, even though it is the second largest investment in an individual's life. Cars depreciate so much that a 2010 Mercedes-Benz E-Class worth Rs 55 lakh can now be purchased for as little as Rs 10 lakh. As a result, it's critical to comprehend the concept of resale value. Nobody wants to lose a significant amount of money on a car for no reason. Purchase a car with a high resale value to counteract this effect. Certain brands and cars, such as the Maruti Suzuki Swift, have a high resale value regardless of when they are sold.
It's simple to choose 1-2 vehicles from the large basket of items on sale now that you know your needs, brand, price, and body type. However, before you go any farther, you must first comprehend the automobile. While internet platforms are helpful for basic research, the value of a test drive should not be underestimated. Nothing matters more than how you feel behind the wheel while making a decision. We often overlook the relevance of so many factors, such as seat height, steering feel, pedal position, visibility, and so on. You should spend some time driving the car. Take at least a half-hour test drive within the city limits and also on the highway.
Another vital element to consider during the car search is the safety features it offers. While the Indian government has been tightening safety regulations for both two-wheelers and four-wheelers, there are still a few things to consider. By October 2019, all cars must include dual airbags, anti-lock brakes, and reverse parking sensors as standard equipment. Check for extra safety features such as Electronic Stability Control (which enables to apply brakes to single wheels for improved control), Steering, and Autonomous Emergency Braking, among several others.
This is one of the most important decisions we make when purchasing a car since it protects our investment and keeps us safe on the road. While automobile insurance is required, consumers often have difficulty distinguishing between the many car insurance options. Is it better to have Comprehensive Car Insurance or basic Third-Party Insurance? Is nil depreciation a vital insurance policy to have? These are just a few of the questions we frequently ponder. To keep things simple, the most rational option for a new car is always comprehensive car insurance, which includes add-ons to protect the depreciated value of the vehicle, as well as a disposables cover (for consumable items such as nuts and bolts, distilled water, screws, washers, AC gas, grease, lubricants, clips, bearings, oil filter, engine oil, fuel filter, and brake oil, among other things), in addition to the standard third-party liability insurance.
However, various extra add-on options ensure that your auto insurance covers anything from rewarding a year of no claims to providing EMI protection for the vehicle, which covers the financial consequences of an accident. Adding extra coverage to your automobile, such as an Engine Cover, Daily Allowance Benefit (which covers your travel expenses while your car is being fixed at the garage), and so on, protects its safety and security in any situation.
When most people decide to buy a car, this is certainly one of the very first questions on their minds. A new car is always a tempting proposition, but that's not always a monetarily feasible option. A new car indicates that a new driver has to be extra cautious, as damage and maintenance for new cars are almost always more expensive than for used cars. There are numerous factors to consider when buying an automobile, and each one must be carefully considered.
Value depreciation of used cars is significantly lower than that of new cars, allowing you to take into account a model out of a higher segment for almost the same sum of money. Value depreciation is generally less for used cars that means better resale value whenever you plan to sell the car. Used cars have lesser insurance premiums compared to new cars.
A used car will be technologically backward than a new car, which means fewer comforts and accessories and lesser safety features. Another significant disadvantage is tracing a secondhand car's maintenance and service records. Maintenance of a used car is usually more costly than keeping a new one, resulting in a higher long-term cost of ownership. Correct and faultless documentation of an old car is also difficult to get because of the lack of clear and proper paperwork about accident records and legal cases.
Nothing compares to the joy and pride that comes with owning a new car. There is no need to be concerned about legal difficulties or previous accidents. It's the most recent model in the market. Therefore it's packed with features and equipped with the latest technology and safety features. A complete warranty comes standard with a new automobile for some time, providing good value and a sense of pride to the customer.
A new car is always more costly than a used one. A new car depreciates faster and at a far higher rate than a used one.
Use this as a guideline. Always take a test drive before purchasing a vehicle. Don't buy anything on the spur of the moment. Also, look into the market's competitors since they may have more to offer. If you are looking for a driver's automobile and it does not appear to be one, it will most likely not meet your requirements. What advice can you get from your friends and family?
It is imperative as word-of-mouth is the greatest judge, and family may assist you in narrowing down the sector you're interested in. While people may not be specialists or professional evaluators, their input is the most reliable approach to determine what is excellent and bad about a vehicle.
Confirm the waiting time on a specific model so that all of the estimates of EMI/cash down, the usefulness of the present car, or the wear and tear of your current car/bike are precise. You don't waste money on further upkeep of your old vehicle while you wait for your new one. Diesel cars have a longer wait time due to running higher costs than petrol cars over long distances.
With obscenely high petrol taxes in most regions of India, automobile customers are seeking cheaper alternative energy sources to fuel cars. The most prevalent fuels used to power passenger cars are liquefied petroleum gas (LPG), compressed natural gas (CNG), and diesel.
Apart from internal combustion engines, electricity is a viable alternative to internal combustion engines. In this segment, Mahindra Reva electric vehicles, Tata Nexon, and Tata Tigor are available in India. But they also come with certain handicaps, like the two-seater Reva is expensive and impractical for daily use, costing between Rs 3.56 lakh and Rs 4.47 lakh (on-road, New Delhi). Its limited driving range of around 40km on a full charge is also a drawback.
Then there are hybrid vehicles, which alternate between using an internal combustion engine and an electric motor to improve fuel efficiency. On the other hand, hybrid cars are relatively costly to purchase, and the batteries, which must be changed after five years, are also pretty costly. The Toyota Prius is the cheapest hybrid vehicle in India, costing between Rs 31.92 lakh and Rs 34.27 lakh (on-road, New Delhi). The Pruis has few takers due to its high price tag, and with a projected city mileage of 13.2kmpl, the Pruis, which operates on petrol, is not very cheap. The conventional petrol Maruti Suzuki Swift is more fuel-efficient than the Toyota Prius hybrid.
This means that, in the end, automobile buyers will only be able to use fuels like diesel, CNG, or LPG for their cars. The difference in cost between a petrol and a diesel vehicle is approximately Rs 1,20,000, or maybe more. So, opting for a diesel vehicle is logical only if you plan to travel long enough distances to recoup the extra Rs 1,20,000 spent on the vehicle.
Due to the high expense of purchasing a diesel vehicle, many people opt to purchase a petrol vehicle and then attach CNG or LPG kits to power their cars on less expensive alternative fuels. Today, CNG kits sold on the aftermarket cost roughly Rs 28,000, including documentation, whereas CNG kits sold by automobile manufacturers cost around Rs 20,000.
If the car is generally used by one person with infrequent passengers, a personal mover makes great sense. Here, space isn't a top consideration. What is commonly sought is the ease of use, as well as good equipment that performs well.
A family, on the other hand, is the polar opposite. It's big, has a lot of space, and is more difficult to maneuver in a city than a personal mover, which is most likely a hatchback or a small sedan. A family automobile, such as an MPV or an SUV, can safely transport 7-8 passengers, have adequate storage space, and include conveniences such as remote door openers, built-in car seats, and seats that neatly pack in the trunk.
It relates to the car's workmanship and long-term durability, as well as its equipment and accessories. Cars with a high-quality rating will have fewer general issues, such as paint peeling, worn rubber seals, rattling noises, and so on.
Nowadays, many quality issues emerge with technology features like GPS, reverse-parking assist, cruise control, and telematics systems. It's worth noting that cars that have been redesigned or launched for the first time will have more quality issues in their first year of production than in later years. This is understandable, given that manufacturers must deal with unforeseeable production flaws and faults.
I advocate waiting until the second year of manufacture before purchasing a new car because you will save money and have fewer quality issues.
For the buyer, a luxury car might serve as a status symbol. When visiting client sites, companies that wish to show their success may have staff drive around in luxury vehicles.
The mid-life crisis is a recurring theme when it comes to luxury automobile purchases. The consumer wants a new, high-end car to symbolize a change of pace in their lives or to mark a personal achievement.
Luxury car buyers are more inclined to seek social prestige and material fortune than those who purchase utilitarian vehicles out of necessity.
Luxury brands appeal to some people as a method to increase their self-esteem. This aspect may interact with other buying motivators, such as the need for a status symbol to boost confidence. Compensatory consumption is the term for this phenomenon. Psychological threats or unpleasant life circumstances that affect the person's ego may prompt the action.
To attract these clients, the luxury automobile firm must retain its brand reputation and quality.
Also, it is quite obvious that the quality of premium car brands is simply superior to that of their competitors. Because the vehicles are more expensive, the manufacturer can afford to use high-end finishes, higher-quality materials, and new features.
Rolls-Royce, for example, has had a reputation for engineering brilliance and silent motoring for almost 108 years. And customers will be willing to pay a premium for it.
The long-term ownership cost of an automobile is much more than the initial purchase price. Depreciation, repairs, fuel, maintenance, and insurance are all included in the cost of ownership. Depreciation is the most significant of these expenditures. Foreign automobiles tend to keep their value better than domestic automobiles. For the resale value, it is highly recommended to look at the Cost of Ownership.
If you ever had a car that was constantly in need of repairs, you realize how crucial reliability is.
The good news is that most modern vehicles are extremely dependable. New car warranties typically last at least three years or 36,000 miles, with some warranties lasting up to ten years or 100,000 miles. Nonetheless, you want a dependable vehicle.
Potential buyers will need to do their homework to receive the greatest deal on a new car. Customers are important to car dealerships, and they want to build long-term connections with them. You can effectively negotiate a reasonable price by showing up with pricing comparisons, clear budget limitations, and a definite understanding of what you're searching for.
If you can pay in cash, that's fantastic! The majority of potential buyers, however, will require a loan or finance. To obtain a better sense of your financing alternatives, look at your credit history and score.
The loan area is where many vehicle dealerships make the most money. Hence it is always advised to look for your lending institutions as a potential buyer as it is always advantageous. Your local bank may be able to undercut the rates offered by the vehicle dealership. On the other hand, manufacturers frequently have the finest promotions, with interest rates starting at 0%.
When dealers clear out stock towards the end of the year to make way for new models, it's the perfect time to buy a new car. The month of October onwards is usually the best time to buy an automobile before the new model is out. Furthermore, towards the end of the model year, prospective buyers should watch for discounts and other incentives. When selling an old car on their own, car owners may get a better offer. A trade-in at the car dealership might save you time and energy. To get the best price for your old vehicle, collect offers from various dealerships.
Whether you're a cautious customer or a risk-taker, you'll undoubtedly spend at least some time selecting a color when purchasing a new vehicle. This selection of an appropriate color for a new car has always been a huge, emotional element of the process. However, color can influence how much a vehicle is valued at trade-in and how much it will sell for on the used-car market. Colors that are less popular among new-car buyers might rarely help a car's resale value. Bright colors are common in sports automobiles and luxury models, whereas more conservative vehicles prefer to stick to a more neutral palette. One of the reasons that neutral hues like white and silver have reigned the car market for years is that consumers believe they will be valued more when it comes time to sell or trade in their vehicle for a newer model or during resale.
choose a vehicle from a seemingly endless number of possibilities? Isn't it self-evident that you should choose a vehicle from one of the country's greatest manufacturers or brand names? Let's take a look at five of India's greatest vehicle manufacturers in 2021.
Suzuki Maruti is the most trusted brand in India when we talk of cars. It has a variety of SUVs and hatchbacks in its kitty. Swift is one of the most trusted brands and best-selling automobiles in the country.
Hyundai, Kia, Mahindra, and Toyota are other well-known brands in India.
After-sale service is a key factor when it comes to selecting an automobile. Repair, rescue, maintenance, insurance, information consulting, replacement parts, modification, and car rental are all examples of automobile after-sale services. The provision of after-sales support is one of the important variables for determining client satisfaction.
A large dealer network is also important since it indicates how readily the car can be serviced. The availability of spare components is also important. We've all heard stories about that one relative whose car was stuck in the shop for days due to a lack of spare parts.
Unfortunately, decent roads are hard to come by in our country, and terrible roads are a brutal reality. Potholes and bumps abound on our highways. During the monsoons, the problem becomes even worse, as not only do new potholes appear by the dozen, but the existing ones grow large enough to be dubbed as craters. Even if you manage to escape them, our poorly designed, illegal, and outrageously tall speed breakers will undoubtedly scrape the underside and exhaust system of your automobile.
The Honda Civic's low ground clearance, which limited it to well-paved city roads, was one of the main reasons why customers avoided it. Buyers prefer crossovers and compact SUVs to expensive hatchbacks and sedans due to their high ground clearance, which allows them to navigate our roads without fear of damaging something.
This is one of the most critical deciding criteria for existing automobile owners who want to upgrade. The internal space offered by the car is often a deciding factor for first-time customers. It's a plus if the boot is roomy and can carry large bags and luggage. The Maruti Suzuki Baleno, Renault Kwid, and Hyundai i20 are among the most spacious cars in their class and the most popular in India.
To sum up, the needs of Indian vehicle purchasers may vary depending on the segment they are interested in. A prospective entry-level hatchback buyer's requirements will differ significantly from those of a premium automobile customer. Similarly, a first-time buyer's preferences will vary from someone looking to upgrade to a bigger vehicle. Some people's priorities are likely to be in a different order; however, these are a few of the main factors affecting the choice of a car when one is planning to buy one.