If you’re planning on buying a used vehicle from a dealership, a new report says you’re probably in for a headache.
Nearly three out of four British Columbians say they don’t trust used car dealerships, according to a recent survey conducted by the Angus Reid Institute and Clutch — an online platform for buying and selling used vehicles.
The report highlights the top frustrations for buyers: undisclosed issues with the vehicle, price negotiating, high-pressure sales tactics, and hidden fees.
Data shows four out of five British Columbians say they’ve faced problems with a used-car purchase.
“The used car-buying experience is pretty broken for Canadians,” said Dan Park, CEO of Clutch.
“It feels pretty wild that in order to buy a used car, you either have to spend 5 to 6 hours at a dealership or meet some stranger in a parking lot.”
Park believes the traditional dealership model hasn’t kept up with how people want to purchase.
“Ten or 15 years ago, people thought buying shoes online was crazy. Now it’s normal. Cars are one of the last big categories not fully touched by e-commerce, but that’s changing.”
Clutch operates more like an Amazon-style platform. Cars are listed at a fixed price, fully inspected, and can be delivered straight to the buyer’s home.
Park says that transparency and convenience are what people want. Even in B.C., where Clutch only recently launched, their first customer was 83 years old.
“Ultimately, this is a more convenient, seamless, transparent way to purchase a vehicle, and it’s faster. So I think we’ve seen adoption from all age ranges,” said Park.
Even though Park has a certain vision for the future of used-car sales, he also admits traditional dealerships likely aren’t going away anytime soon — especially as the price of buying new continues to climb, with U.S. tariffs on imported vehicles primarily impacting that market.
But he predicts the industry will eventually continue shifting more online, much like travel bookings, retail, and even buying TVs.
Roughly four million used cars are sold in Canada each year, compared to about 3.5 million new ones, according to Clutch.