Indian auto buyers shift gears as quality, direct purchases and innovation lead the way: Deloitte

The automotive market in India is changing rapidly. In the most recent Deloitte 2025 Global Automotive Consumer Study, 76 per cent of Indian consumers indicated that they would be likely to buy a vehicle directly from the manufacturer with growing confidence in an online platform switching away from traditional dealer networks. This change also mirrors the rising prevalence of OEM-led sales channels in transforming the purchase process.

Meanwhile, as the Indian automobile market matures, 62 per cent of the customers list product quality and safety as most important when choosing a car. Contrary to markets such as Germany and Japan, where pricing is more important, Indian buyers care less about price and are more concerned with performance, strength, and driving experience. State-of-the-art in-car amenities and smooth driving performance are increasingly becoming the determining factors shaping brand choices.

Indian automobile purchasers are also increasingly open to technology. 88 per cent of them are ready to give up personal information to OEMs or third-party entities in return for services such as anti-theft tracking—far higher than the U.S. average of 60 per cent. Additionally, 82 per cent of Indians feel that AI incorporation into cars will prove to be a plus, a clear leaning towards connected, smart mobility solutions. Smartphone integration and smooth connectivity continue to be paramount expectations.

Electric vehicle evolution amid price sensitivity

The electric vehicle (EV) industry is picking up speed, albeit with challenges. Though affordability issues and infrastructure constraints remain obstacles, interest persists. 21 per cent of Indian consumers are looking into hybrids and 8 per cent are leaning towards battery electric vehicles (BEVs). A significant 36 per cent are looking for fast-charging functionality, an indicator of increasing consumer expectations from the EV ecosystem.

Notably, Indian customers are not hesitant to change loyalties. The research reveals that 72 per cent are willing to switch car brands, primarily driven by the presence of cutting-edge features and technology. This willingness to experiment ranks second only to China and is much higher than in Western markets such as the U.S.

Additionally, nearly 70 per cent of 18–34-year-old consumers are willing to substitute personal car ownership with Mobility-as-a-Service (MaaS) alternatives, including ride-sharing or subscription. Urban convenience and financial pragmatism are the primary drivers of this movement.

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