South Africans prefer to own their own vehicles, are sceptical of overseas trends like carpooling and are happy to pay for apps that make their time on the road quicker and safer.
Image: REUTERS/YUYA SHINO
This is according to the latest Deloitte Global Automotive Consumer Study.
The country’s constrained economy was evident in the finding that “South African consumers are looking for practicality and 67% said they would consider a model that offers more utility, compared to 26% who would likely favour more luxury”.
In addition, second-hand cars are in demand.
“South Africans still place a high value on owning their own cars and purchasing a car is also still very much a rite of passage for most South Africans. However, we have in recent years seen more and more consumers opting for used cars instead of new cars,” said Deloitte Africa Automotive monitor Adheesh Ori.
SA motorists are interested in innovative mobility services and are willing to pay for technology, despite having some concerns.
“Consumer concerns around connected vehicles include vehicle hacking and vehicle location data being collected,” said Deloitte, adding that more than half of consumers are also worried about the privacy of their personal data, particularly related to app usage and the collection of biometric data.
“Regardless, they are interested in updates on traffic congestion in particular. More than 80% of consumers are also interested in safer travel routes, updates on road safety and vehicle maintenance reporting,” the study found. “Most are willing to pay for connected technologies. Around half would prefer to pay for a monthly subscription service or on a per-use basis.”
More than half of the consumers surveyed also indicated they were interested in subscription services for selecting multiple vehicles and those that offer unlimited e-hailing services. However, people were less interested in e-hailing services than in previous years: average usage has shifted from regular to occasional, as well as from business to leisure, the study showed.
One-third of e-hailing service users surveyed said they were considering giving up vehicle ownership – a slight decrease from 2017, when 36% said this.
