Social media's impact on car buying
InsightNews
13 July 2025

Social media's impact on car buying

In South Africa, 76% of consumers use social media for car research, with 92% researching online before visiting dealerships.

Social media has fundamentally transformed the automotive retail landscape, creating new opportunities and challenges for dealers and manufacturers alike.

TransUnion's Mobility Insight for Q1 2025 reveals that 63% of South Africans actively seek brand content on social media platforms, ranking fourth globally. This represents a paradigm shift from traditional one-way advertising to reciprocal interactions between manufacturers, dealerships, and finance institutions engaging directly with potential customers in real time.

Platform performance and consumer behaviour:

Facebook maintains market leadership with a 59.9% Adult Reach Rate for social media advertising, significantly outperforming the global average of 39.4%. YouTube follows at 52.7%, TikTok at 52.5%, whilst Instagram lags at 15.9%.

South African consumers demonstrate sophisticated digital behaviour: 76% use social platforms for product research, 92% research online before visiting dealerships, and TikTok advertising grew 34% year-on-year. The average consumer spends 3.6 hours daily on social media, with 82% conducting online searches before dealership visits.

Generational insights

Generation Z shows 27.9% year-on-year growth in vehicle finance volumes, with platform preferences varying by demographic. Gen Z favours TikTok, Instagram, and YouTube, focusing on affordability and digital features. Millennials prefer Facebook and Instagram, prioritising practicalityand resale value. Gen X gravitates towards Facebook and YouTube, emphasising reliability and brand loyalty.

Strategic implications:

Successful automotive brands are implementing platform-specific strategies including engaging visual content, user-generated content campaigns, and influencer partnerships. Short-format video content proves particularly effective for digital-first audiences.

Emerging technologies like augmented reality test drives, AI-powered chatbots, and social commerce integration are transforming the online buying experience, enabling friction-free browsing and enhanced customer engagement throughout the purchase journey.

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(Source: TansUnion).

Header image designed by Freepik

S

Staff Writer

Reporting from the front lines of the automotive industry, delivering expert analysis and the technical updates that drive the South African motor sector forward.