Purchase intention: Brakes on or gearing up?
Yes, we are all living in interesting times... many individuals are dealing with financial challenges, Governments are trying to manage copious economic challenges and car companies are facing make-or-break times. But through all this, there are still car buyers out there...

Overall, 15% of respondents across 18 diverse markets say they will buy a new car in the next 12 months. The new car purchase intenders were topped by India at 38%, Egypt at 24% and Turkey at 23%.

US-based Vice President of Motoresearch, Tim Englehart, says this is an indicator of where we are economically around the world.

"This clearly shows that car companies have great opportunities in the emerging markets of the world. It needs to be noted that this survey was conducted across urban people from the large cities so, while the results are not representative of the general population of the country, they are absolutely representative of people the car companies may wish to target.

"Many of these people will be first-time buyers and they may not be intending to buy a large family car. For example, a third of urban respondents in India saying they intend to buy a new vehicle is not surprising but this number would be growing with the introduction of a US$2,000 Tato Nano. This car has the entire industry buzzing."

In the case of Egypt, Tamer El Naggar, Managing Director and auto research specialist for Synovate in Egypt agrees there would be a large proportion of first-time buyers in the 24%.

"The dream of car ownership is being achieved by more and more middle-class Egyptians. There are more opportunities now as smaller and cheaper Chinese cars are making inroads in the market."

Least likely to be buying a new car are Australians and Germans with only 6% saying they will in the next year.

Peter Riley, Account Director of Motoresearch in Australia, says "One explanation for the low purchase intentions for new vehicles in Australia could be that just prior to the global financial crisis Australia posted record new vehicle sales. This is likely to have pushed the replacement cycle out. There is also a polarisation in the market between consumers who want to take advantage of low interest rates and great deals on offer, and those who prefer to remain cautious with their spending."

A further 6% of survey respondents across the 18 markets say they will buy a used car in the next year.

Englehart says the 6% is relatively small but car companies have an emerging opportunity in this market.

"There's a strong chance for a second bite at the cherry when it comes to their branded cars. Our survey showed that over half of all respondents (53%) agree they would be happy to pay more for a used car if it came with a manufacturer certification and warranty."

The highest agrees came from Turkey (79%), Korea (70%) and South Africa (69%).

About the Synovate global 'Dream versus green' cars survey
Numbers of people surveyed