Car buying is becoming faster and more transparent, with more shoppers researching and completing steps online before visiting a dealership.
It wasn’t so long ago that buying a car could take an entire weekend. Buyers would brace for a long Saturday afternoon at the car dealership, test-driving cars, then sitting for hours at a financing desk haggling over pricing, interest rates, and features before facing a final round of paperwork and signatures.
Today's car buyers are saying no, thanks. Instead, they want more efficient processes, greater price transparency, and the ability to fully research the decision in advance. What they don’t want is for the process to take more than an hour
These trends are pushing car dealerships into the future of car buying. Nadir Jones, Head of TD Auto Finance (TDAF), and Alex Bean, Head of TDAF Strategy Implementation, shared what it means to future generations of car buyers, and what customers can do to secure the best deal through a more efficient process. TDAF works with a network of more than 7,000 participating dealerships nationwide, giving their business a front-row seat to how dealers are preparing, catching up, or leading the way. Use the TDAF Dealer Locator to find a dealer that offers TDAF financing options.
How Is Buying a Car Changing?
Car and Driver Magazine reports that the average car-buying experience takes more than three hours at the dealership, after shoppers have already spent about 10 hours researching the best car and deal online. All of this can leave buyers feeling overwhelmed and exhausted in a time when so much can be done with just one click.
“Roughly 80% of buyers want to physically see and test the vehicle, but they want the paperwork done digitally,” Nadir said.
Today's car buyers have different expectations depending on their age and experience. While some clients may still prefer a more traditional dealership experience, younger buyers are often more comfortable with a fast, digital-first approach. Nadir said that dealerships need to move beyond a one-size-fits-all experience to better meet the needs of the next generation of clients.
“Gen Z has a much higher openness to online purchases,” Nadir said. Younger buyers’ mindset, he said, is “how quickly can I get this done?” And for most generations, Covid’s online buying boom “exponentially” sped up the switch to hybrid purchasing online and in person, he added.
That shift reflects a broader change in how consumers shop. U.S. retail e-commerce adjusted sales totaled $302.3 billion in the first quarter of 2026, accounting for nearly 17% of total U.S. retail sales, according to the U.S. Census Bureau . But the auto industry has been slower to move fully online.
While major retailers, digital platforms and some automakers continue to make more of the buying process digital, many vehicle shoppers still prefer to complete certain steps in person. According to the 2025 Cox Automotive Car Buyer Journey, 25% of consumers initially planned to complete the entire process online, but only 7% ultimately did.
Vehicle prices help explain why, Alex said. With new vehicles nearing an average price of $50,000, according to Kelley Blue Book, and used vehicles averaging more than $29,000, buying a car remains a significant financial decision. Digital tools can make the process faster and more convenient, but many shoppers still value the confidence that comes from seeing the vehicle in person before making that final decision.
What else is changing about buying a car? Nadir said customers can expect less negotiating, partly because dealers have less inventory than in previous years and because many of the most successful dealerships TD works with have improved price transparency. “They are the ones who have one price listed online, so when you walk in, the price of the vehicle is the price of the vehicle,” he said.
How Can You Shop Smarter for a Car?
The price a buyer pays for a car is not limited to the sticker price, unless they are paying in cash. While more dealerships offer transparent pricing, there are still a few ways clients may be able to secure a better overall deal.
One important step is know your credit score and get pre-approved for an auto loan by a financial institution, Nadir said. This can give buyers more confidence and a stronger starting point when they walk into the dealership, similar to the homebuying process. “It gives the dealer a ballpark for where to begin the discussion,” he said.
Timing can also make a difference. Nadir said that the end of the month, quarter or year is often a good time to shop, since dealers can be more willing to take a deal when sales are slower or they are looking to move inventory.
It is also helpful to research whether a dealership uses a no-haggle pricing model before arriving and trying to negotiate. “Research the rough price for this type of car, then make sure you get the right deal on that car, especially for a used vehicle,” Alex said.
Buyers should walk into the dealership with a clear monthly payment limit in mind so they know what they can comfortably afford each month.
“To avoid a serious case of buyer’s remorse, a consumer should know the max payment they can comfortably afford,” Alex said. “When you get in there and see menus and options coming at you fast and furious, it’s easy to walk out with an $800-per-month payment when you only wanted to pay $500.”
Finally, if you typically do not keep a vehicle for a long time, the longest financing term may not be the best option. Choosing a longer term could leave you “upside down” on the loan, meaning you owe more than the car is worth if you decide to sell or trade it in. If that happens before the loan is paid off, the remaining balance could carry over into the cost of your next vehicle.
Will Tomorrow’s Car-Buying Journey Be Hybrid — and Better for It?
As car buying continues to evolve, the dealerships that stand out and attract more clients will likely be those that make the process faster, clearer and more flexible. At the same time, buyers who do their homework, understand their budget and know what to expect can put themselves in a stronger position from the start. In a market shaped by digital convenience and changing consumer expectations, the best experience may be one that combines online efficiency with the confidence of seeing the vehicle in person.
“Clients want to be able to go in and already have the transaction done from the paperwork perspective, but they still want to be able to touch the vehicle and decide if it’s a good ride for them,” Nadir said.
Car Buying FAQ
Here are answers to common questions about how car buying is changing — and how shoppers can get ready for a faster, clearer and more flexible experience.
1. How is car buying changing for consumers?
Car buying is becoming more digital, transparent and efficient. Many shoppers now research vehicles, compare prices and complete some paperwork online before visiting a dealership to see and test-drive the vehicle in person.
2. What does a hybrid car-buying experience mean?
A hybrid experience combines the convenience of shopping online with the confidence of visiting a dealership in person. Buyers may complete research, financing steps and paperwork digitally, then go to the dealership to inspect the vehicle, take a test drive and finalize the purchase.
3. Why is price transparency becoming more important?
Today’s shoppers want to understand the price before they arrive at the dealership. Clear online pricing can help reduce haggling, save time and give buyers a better idea of what to expect before making a major financial decision.
4. What should buyers do before going to a dealership?
Buyers can prepare by checking their credit score, considering pre-approval for an auto loan, researching prices for the vehicle they want and setting a clear monthly payment limit before they start negotiating or reviewing options.
5. Is a longer auto loan always the best choice?
Not always. A longer loan term may lower the monthly payment, but it can also increase the risk of owing more than the vehicle is worth if the buyer sells or trades it in before the loan is paid off.
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