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New Consumer Trends in Used Car Research and the Rise of AI

Thu, May 15, 2025

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Nearly all Canadian used car buyers begin their search online, but their go-to sources are changing. Our latest research shows that used car buyers trust channels like dealership and listing sites and have a growing interest in newer influences like YouTube and generative AI.

 

Where buyers are spending their screen time

Most buyers spend five hours or more researching vehicles online before making a purchase. While 74% already know the exact vehicle they want before getting started, only 16% have a specific dealership in mind, leaving plenty of opportunity to attract new customers on new channels.

Here are the top 10 online resources used car buyers rely on:

DI-Graphic-ConsumerResearchTrends

YouTube drives car research

The popularity of dealer and listing sites is obvious, but it may come as a surprise that one-in-three (33%) used car buyers are now using YouTube in their search — that’s up from 18% in 2022. They’re jumping down a rabbit hole of influencer car vlogs, reviews, and test drive clips before they kick any actual tires.

Now’s the time to make some of your own video content (e.g. walkaround videos) if you haven’t already. Consider partnering with local creators or encouraging your own customers to share videos of their experience. Younger generations are increasingly placing their trust in recommendations from video-based channels like YouTube.

 

Automated research

While AI tools like ChatGPT aren’t in the top 10 research channels yet, 5% of used car buyers are already using them in their search — and we expect this to grow. A Leger poll found that 30% of Canadians now use AI tools in their day-to-day.

Here are some steps to optimize your online presence for AI-driven search:

  • Use automotive-specific tags (vehicle details, financing, trade-ins).
  • Create organized content like FAQ pages, financing guides, and model comparisons for better AI visibility.
  • Create pages targeting common searches (e.g. “Best used car under $20,000”) for higher AI response chances.
  • Keep things consistent across platforms (your website, AutoTrader, Facebook Marketplace) to avoid outdated listings or pricing differences.
  • Engage with customer reviews, online forums, and social media to boost your AI search ranking.

The landscape of used car research continues to shift. Dealerships that adapt by enhancing their online presence, creating video content, and optimizing for AI-driven search will lead the way in attracting new buyers.

 

Explore how our research can be applied at your dealership to help you win more business - request a consultation with a CARFAX Canada Rep:

Driving Insights
Driving Insights takes your questions about Canadian car owners and finds the answers! Our proprietary research looks closely at the motives and behaviours of today’s car owners to uncover exclusive insights you won’t find anywhere else. To date, we’ve surveyed over 9,000 Canadians to identify their biggest pain points when buying, selling, and servicing their vehicles. If there’s a question you’d like us to address, email insights@carfax.ca and we’ll get you some answers!

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