A new survey of Irish motorists by Carzone has found that the biggest worry for drivers is the cost of fuel. The survey included an analysis of more than ten million searches for cars on the Carzone website, as well as a direct survey of 1,000 Irish drivers by 3Gem.
69 per cent say fuel is a top concern
69 per cent of respondents said that fuel costs were their top concern when it came to the running costs of owning a car. One-third of those who replied to the survey said they spend between €201 - €300 per month on running costs, and 23 per cent spend upwards of €300 per month to keep their vehicle on the road.
40 per cent of Irish drivers say that they check the fuel price before filling up, while 41 per cent said they 'sometimes' check first. 45 per cent of drivers said they were using public transport more often to save on costs.
Unsurprisingly, this is affecting the cars that we buy. Half of all motorists say that what type of fuel a car uses is the most important factor when buying a new one, and 18 per cent admit they chose to buy a smaller car to save on running costs (fuel, tax, insurance). A further 33 per cent said they have already downsized or plan to downsize the number of cars in their household to cut back costs.
35 per cent said that they were considering switching to an electric or hybrid car, and 57 per cent of those drivers said that the fuel cost was behind that decision. Environmental benefits are the second most popular reason to purchase (50 per cent).
It's also possible that the announcement of a cut in the electric car purchase grant - from €5,000 to €3,500 in July - might speed up some buyers' decisions on EVs. Of those not yet ready to go electric, 50 per cent cited the rising cost of electricity as a concern, while 52 per cent were worried about the cost of installing a home charging point.
Insurance still a worry
Insurance remains another major financial concern - 65 per cent citing it as a concern - with 36 per cent of drivers saying that their insurance premiums had gone up this year. 78 per cent said that they shop around for the best possible quote.
Regarding how we buy our cars, 44 per cent said that they change their cars every 4-5 years, while 27 per cent change every three years or sooner. 23 per cent plan to spend between €1,000 and €5,000 on their next car. 35 per cent budget €5,000 to €15,000, 22 per cent plan to spend €15,000 to €25,000 and 19 per cent say that they'll spend more than €25,000.
One-third of buyers said they've had to shop around different car brands than their usual purchase because of supply restrictions and delivery delays. The shortage of new cars has also pushed a whopping 72 per cent of buyers into the used car market.
46 per cent said that they'll use a finance product to fund their next purchase, with Hire Purchase as the most popular form of finance. 55 per cent of buyers said they're more likely to consider purchasing a car if the monthly repayment cost is flagged up in the advertising.
Regarding what cars we're buying, Carzone reports that the BMW 5 Series is the most searched-for car, followed by the Volkswagen Golf. The BMW 3 Series picks up a second podium spot for the Munich brand, the Audi A6 takes fourth place, and the Mercedes-Benz E-Class is in fifth.
Electric interest growing
Electric and hybrid vehicles only made up ten per cent of the 'preferred fuel types' in the survey, but overall interest in those cars is definitely increasing. The Audi e-tron claims the top spot as Carzone's most-searched electric model in 2023 thus far. The premium Tesla Model 3 remains high on electric car buyer wish lists in second place, while Volkswagen's ID.4 is third. In terms of plug-in hybrid models, the BMW 5 Series has jumped to the most-searched plug-in hybrid model on Carzone, followed by the BMW 3 Series and the Volvo XC90.
Commenting on this research, Karl Connolly, Audience Manager Carzone, said: "The 2023 Carzone Motoring Report examines industry trends as well as the impacts the cost of living crisis is having on Irish motorists. Our report indicates that motorists are most concerned about the rising costs of running their vehicles, with fuel being the top concern for 69 per cent of motorists. The effects of the pandemic are still lingering in the industry, with a third of car buyers having to consider another brand or car model due to stock shortages. However, it is encouraging to see that a third of Irish motorists plan to purchase an electric or hybrid model as their next car, with 57 per cent of those choosing to purchase because they are cheaper to run. The results from this report are extremely insightful and reflect the current climate for car buyers and motorists".