CarGurus’ Research Finds Sedans Facing an SUV/Crossover Takeover
Second Annual Survey Shows Consumer Interest Continues Trend Towards Utility Vehicles
CAMBRIDGE, Mass., January 28, 2020 – CarGurus (Nasdaq: CARG) a leading automotive marketplace, today released the results of its second annual CarGurus Sedan Survey. Findings show that while sedans remain the most commonly owned body style, SUV/CUV models are gaining ground with 39% of car owners expecting to buy an SUV or CUV for their next vehicle. According to the study, fewer car owners are driving sedans (38% in 2019 vs. 42% in 2018) and of those that currently do, 25% of them plan to switch to an SUV/CUV for their next automotive purchase.
Despite this trend towards utility vehicles, the brightest spotlight for sedans lies in their affordability. 62% of current sedan owners chose that body style because the price range was favorable, up from 56% in 2018. Additionally, 60% of sedan owners care most about getting a low price when choosing a car. However, when taking cost out of the equation, 40% of sedan owners would choose a SUV/CUV if price were not a factor in their purchase decision.
“Price has always been a main priority when people shop for a car, and that continues to be the case as vehicles become more expensive,” said Madison Gross, Director of Consumer Insights at CarGurus. “Our study shows that sedans are purchased largely due to their affordability, and until automakers are able to offer comparable prices on new SUV models, sedans will still draw buyers despite the appeal of other body styles.”
In November 2019, CarGurus surveyed 1,072 automobile owners on their sentiments towards sedans. Among them, 402 currently own a sedan. In December 2018, CarGurus surveyed 1,622 automobile owners as the inaugural survey of this benchmarking study.
Founded in 2006, CarGurus (Nasdaq: CARG) is a global, online automotive marketplace connecting buyers and sellers of new and used cars. The Company uses proprietary technology, search algorithms and data analytics to bring trust and transparency to the automotive search experience and help users find great deals from top-rated dealers. CarGurus is the most visited automotive shopping site in the U.S. (source: Comscore Media Metrix® Multi-Platform, Automotive – Information/Resources, Total Audience, Q3 2019, U.S. (Competitive set includes: CarGurus.com, Autotrader.com, Cars.com, TrueCar.com)). In addition to the United States, CarGurus operates online marketplaces in Canada, the United Kingdom, Germany, Italy, and Spain. To learn more about CarGurus, visit www.cargurus.com. CarGurus® is a registered trademark of CarGurus, Inc.
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