New-car buyers will have the chance to complete their purchase completely online, including trade-in valuations, if an ambitious Nissan Australia upgrade of its website comes to fruition.
Nissan says the new retailing features will smooth the way for car buyers who spend an increasing amount of time researching purchases online before visiting dealerships.
“Delivering great products is extremely important, but addressing the way we do so and bringing them to market in a unique and different way is something that is very important to Nissan,” said Nissan Australia managing director Adam Paterson.
“In 2023 we are going to be working very, very hard to accelerate our digitalisation of the customer journey.
“It’s transforming how we offer and market ourselves to customers across Australia and also driving a space in that area that differentiates how we go to market compared to some of our competitors.”
However, Paterson rejected the suggestion the expansion of its website’s retailing capabilities signalled a move from traditional dealer franchising to the controversial ‘agency’ retailing model. It currently has a network of 179 dealers.
“We have been talking about this with them [Nissan dealers] and including them in the journey,” he said.
“I don’t like using buzzwords, but this is how we develop an omnichannel experience.”
Paterson was speaking at the launch of the Nissan X-TRAIL e-POWER, the latest in a recent rush of new models Nissan is rolling out locally as it fights back by a slump in sales during the COVID era.
It has promised another four new model launches over the next 18 months, with the first of them likely to be the locally-tuned Patrol Warrior in September.
While purchasing a car online is not new, it is predominantly offered by car brands selling direct or through the agency model such as Tesla, Honda and Mercedes-Benz.
Car brands retailing through franchised dealers do occasionally take deposits and have sold some low-volume vehicles only online.
But Nissan’s plan is to offer its whole range for sale online all the time.
In 2023 it wild add the ability to pay a deposit and secure finance through its captive finance company.
Paying the balance of the drive-away price to the dealer through the Nissan website, including any accessories or options selected during the buying process, seems set to be added as soon as 2024.
“That is the vision, the timing is being worked out,” confirmed Paterson.
The trade-in valuation service will be developed in combination with a data supplier.
The process will be completed physically with the dealer for the foreseeable future because the vehicle will need to be inspected to guarantee it is worth the price quoted online.
Currently, the Nissan Australia website allows visitors to configure a potential purchase and obtain a finance quote. A request for a vehicle price is referred to a dealer.
Paterson said dealers would remain an essential part of the online buying process because potential buyers would be shopping from existing dealer stock.
He said that shopping digitally would help “satisfy customer demand faster” by showing the national stock of Nissan models.
Paterson stressed customers who want to visit dealerships directly to negotiate a price and complete the buying process will still be welcome to do so.
“Customers can continue that [buying] journey into the showroom [doing] the same thing they have done from their loungeroom or office,” explained Paterson
“I think it’s quite frustrating when you spend as much time researching a product [online] as we do and then you have to start at ground zero when you want to continue that process [in the dealership].
“If you have made a credit application and you have been approved when you get into the dealership the dealer should be aware of that.
“So that process has started and can be continued as you move through the journey.”
The development of the Nissan Australia’s website retailing capabilities is part of a global push by the company.
But certain aspects such as the financing and trade-in valuations have been tailored specifically for the local market.
“The finance approval process is different in this market to other markets so that is going to have to be built uniquely for us,” said Paterson.