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Online now plays such a key role in how people decide what car to buy that the owner of Citroën and Peugeot, PSA Group, believes the next logical step is to allow them to purchase from a virtual showroom.

Prospective buyers will have that choice in the near future as the car manufacturer gradually introduces the feature across Europe following its arrival in France earlier this month. New Peugeot, Citroën and DS vehicles can now be bought online, building on PSA Group’s earlier efforts to sell directly to buyers.

The group has quietly tested the service for Citroën in Brazil since 2016, securing around 200 online orders. In January, it set up an online store for Peugeot in the U.K., which was followed by another for the DS7 Crossback model in eight European countries in March. Moving forward, customers will not only be able to purchase PSA Group vehicles online, but they will also be able to arrange financing for the cars, trade in their older models and finalize their orders at dealers, should they prefer. Prospective owners will soon be able to start online applications for financing, among other planned developments.

The way people buy cars is “more and more multichannel,” and “nine out of 10” customers begin the process on the internet, claimed Claudine Borel, Citroën’s head of advertising for Europe.

Recent research from Cars.com revealed more than four in 10 (43 percent) shoppers don’t contact a dealership before they visit one. Yet they arrive armed with reviews and insights from several online channels.

Borel declined to reveal further details so early into a shift that could save PSA Group a lot of spend on marketing and dealerships networks. Being able to sell directly to consumers means the group could recoup some of the money spent on fees dealers charge. On the marketing front, it would allow the car brands to exert more control over the customer relationship (data) that dealerships have owned to date.

While dealers have raised concerns that an uptick in online car purchases could threaten sales jobs, Peugeot’s dealerships are positive following clear agreements with the car manufacturer. Among the stipulations is a fixed residual margin to the dealer in exchange for it delivering the car and taking care of the service.

Original Source : digiday.com

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