Sparesbox Blog

Wait Times Affecting Increasing Number of Australians Wishing to Purchase Vehicles

By Shane O’Sullivan

Wed Nov 10 2021

According to a new report, the lack of vehicles available due to the well-documented delays are affecting an increasing number of Australians choosing to look for a new car as opposed to international travel. This is obviously more difficult given the current nature of the COVID-19 pandemic. 

As Tung Nguyen writes over on Cars Guide, the latest Household Spending Intentions (HSI) report by the Commonwealth Bank of Australia (CBA) confirms that the number of Aussies wanting to purchase a new vehicle this year has jumped massively. By 31.9%, in fact. 

Due to the pandemic, international travel is much more difficult. Therefore, most Australians are sticking to road trips and internal holidays. The sales of vehicles like the Toyota LandCruiser and Nissan Patrol have increased exponentially, up to 23.2% and 59.5% respectively. 

What is really interesting about the sales figures in the HSI is the decrease by 1% each month for customers who have an intention to purchase a vehicle. CBA believes the constraints are due to the delays and shortages, which have resulted in potential customers having to wait longer to purchase the vehicles while also giving them added time to consider other options.

Stephen Halmarick, chief economist and head of global economic and market research at Commonwealth Bank had the following comments to say in regards to this matter.

“One of the lasting impacts of COVID could be Australian household appetite for private transportation options, especially personal cars,” he explained. He would go on to add that “due to global supply chain problems, while the intent to buy a new car is there, that car may not be available from the dealerships for quite some time.”

For the report, CBA looks at approximately 40% of payment transactions across 2.5 million households, cross referencing them with Google Trends to determine insights into consumer spending to better understand the economic climate.

The next few months will be critical for the industry as the shortages continue. It remains to be seen where consumers will go when the shortages aren’t an issue, but rest assured, Sparesbox readers will know when we know.