UAE: 53% residents prefer to purchase cars online, reveals new study

by Tanvir Awan
Published: Updated:
2024 car sales forecast in UAE

A recent study by Arthur D. Little (ADL) has revealed that over 53% of respondents in the UAE prefer to complete their car purchases online, the highest percentage among all regions globally.

This finding underscores the significant shift towards digital transactions in the automotive market, reflecting the UAE’s growing embrace of innovative purchasing solutions.

Future of Automotive Mobility report

The Future of Automotive Mobility (FOAM) 2024 report, which surveyed more than 16,000 respondents across 25 countries, highlights the UAE’s leadership in automotive innovation and consumer readiness for new mobility solutions.

According to Alan Martinovich, Partner and Head of Automotive Practice in the Middle East and India at ADL, “The UAE is at the forefront of automotive innovation, showcasing a strong inclination towards digital transactions in car purchases.”

Car ownership

The report also indicates that over half of UAE respondents see the importance of car ownership on the rise, with approximately 80% expressing interest in purchasing new vehicles—surpassing interest levels in more mature markets like Europe and the USA.

Electric and hybrid vehicles trend in UAE

In addition to car ownership trends, the study reveals a notable shift towards electric and hybrid vehicles, with more than half of UAE respondents intending to choose alternative powertrains for their next car. This is part of a broader movement toward sustainability, as environmental considerations increasingly influence consumer choices.

UAE consumers also show a remarkable openness to autonomous vehicles, with favourable attitudes rising from 32% in previous years to 60% this year, well above levels seen in more established markets.

Furthermore, the research highlights the importance of integrating online and offline experiences, as UAE car buyers visit dealerships an average of 3.9 times before making a purchase — more than any other region globally.

The findings affirm the promising market opportunities for automotive manufacturers and distributors in the UAE, with consumers displaying a growing appetite for the latest vehicle technologies and seamless purchasing experiences.

For industry stakeholders, the comprehensive report serves as a vital resource to navigate the dynamic changes shaping the future of mobility in the region.

tanvir@dubainewsweek.com

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