More used-vehicle buyers are turning to the Internet in their automotive shopping process than ever before, according to the 2001 J.D. Power and Associates Used Autoshopper.com Study(SM).

The study is based on the online shopping habits of late-model used-vehicle buyers (five model-years old or newer).

Currently, 43 percent of all used-vehicle buyers use the Internet as part of the vehicle shopping process -- a 27 percent increase over 2000.

Just as do new-vehicle shoppers, most used-vehicle buyers who use the Internet go online primarily for research purposes. However, the study shows that used-vehicle shoppers seek out different information, rating the importance of finding vehicle reliability information online higher than they do price information. Vehicle history reports rank a close third in importance.

"Quality is king for used-vehicle buyers using the Internet," said Dennis Galbraith, senior research manger for J.D. Power and Associates. "The two most commonly found pieces of information are used-vehicle prices and trade-in values. While this information is driving consumers to the Internet, they are even more pleased with quality information when they find it. Efforts to develop the most credible and recognizable vehicle quality reports will truly benefit consumers."

The study also finds that 22 percent of used-vehicle shoppers use the Internet to locate the right vehicle for their needs. AutoTrader.com is the leading site among those locating used vehicles for sale online, according to the study.

However, Kelley Blue Book's kbb.com dominates used-vehicle sites overall, with 52 percent of used-vehicle automotive Internet users visiting the site. Among those visiting each site, 49 percent rank Edmunds.com as the most useful automotive Web site. Yahoo! is the most used search engine among used-vehicle buyers using the Internet.

Denove Predicts Internet Classifieds Will Surpass Newspaper Classifieds

"Two years ago the number of people who located their vehicle through a published classified advertisement outnumbered Internet classifieds by more than 7-to-1," said Chris Denove, partner and senior director of automotive retail research at J.D. Power and Associates. "The gap narrowed to only 2-to-1 this year, and it is likely that Internet classifieds will surpass the traditional published classifieds within the next few years."

Within the new-vehicle market, manufacturers have made huge strides in wrestling attention from other automotive Web sites, but their success has not carried over into the used-vehicle market. While 45 percent of used-vehicle shoppers who use the Internet visit a manufacturer's Web site, only 12 percent visit a manufacturer's site first, and only 8 percent find it the most useful site they visit.

"In order to help dealers move large inventories of certified vehicles, manufacturers clearly need to improve the quality and visibility of their used-vehicle online promotions," said Galbraith.

Automotive Internet users tend to be more active, aggressive shoppers than are non-Internet users. While this makes them more challenging prospects to sell to, they also tend to earn more money and purchase more expensive vehicles.

The 2001 Used Autoshopper.com Study is based on responses from more than 5,300 used-vehicle owners who purchased used 1996-2001 model-year vehicles.

About J.D. Power and Associates

With headquarters in Agoura Hills, Calif., J.D. Power and Associates is a global marketing information services firm operating in business sectors including market research, forecasting, consulting, training and customer satisfaction.

The firm's quality and satisfaction measurements are based on actual responses from millions of consumers annually.

J.D. Power and Associates can be accessed through the Internet at www.jdpa.com.

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