Buying a luxury car was once a decision led by instinct, in-person negotiations, and manual paperwork. This effort and tiresome process has transformed, and looks very different in today’s world. This is the era where buyers are making decisions based on algorithms, reviews, and personalised digital experiences. People increasingly rely on digital and technological tools to streamline their daily lives, and so in case of what was once a showroom-first approach is now being quietly reshaped by artificial intelligence.
In India, the pre-owned luxury car segment is growing faster than its new car counterpart. In 2024, over 80,000 pre-owned luxury vehicles were sold, while new luxury cars sales remained at approximately 50,000. This shift is more than just about affordability. It is being driven by technology that simplifies discovery, increases transparency, and makes ownership accessible.
The beginning of a buyer’s journey is a pivotal part of this transformation. According to recent studies, research shows that 87% of buyers now start online. This single behaviour switch has placed pressure on traditional dealerships to upgrade their digital presence. It is not enough to list inventory on a website. Buyers expect a seamless online experience, from research to booking and financing.
Artificial Intelligence is making this possible at scale. These powerful tools now manage lead capture by tracking behavioral signals, helping platforms identify serious buyers early. Buyer scoring systems evaluate intent based on how long someone browses a listing, what features they filter for, and whether they have visited similar models. This data-driven approach helps sales teams prioritise follow-ups and close deals more efficiently.
Alongside lead management, AI-powered chatbots are increasingly becoming the first touchpoint for most of the customers. Since it is AI, virtual assistants are available through day and night, answering questions, recommending models, offering finance estimates, and even scheduling test drives. There is no longer a waiting period for buyers for business hours or sales calls. The result is faster decisions and a smoother path to purchase.
We’re also seeing a significant rise in reputation technology. For businesses where trust is absolutely paramount, online reviews hold immense power, capable of sealing or sinking a deal. This is especially true in India, where a striking 83% of buyers now report that reviews influence their purchasing choices. While AI tools are valuable for quickly analysing sentiment, highlighting negative feedback, and identifying recurring praise, the core idea is to truly grasp and leverage the collective customer voice. More importantly, it can prompt satisfied customers to leave feedback, creating a strong digital reputation that acts as a competitive edge.
These tools are in demand because of the new generation of buyers. Millennials and Gen Z customers are more comfortable with technology than any group before them. The global market is experiencing significant shifts, poised to redirect an estimated $3.8 trillion in spending over the next decade. In India, this transformation is already evident in the evolving journey of luxury vehicle consumers. They increasingly seek the same seamless and intuitive experience from car platforms that they’ve come to expect from leading e-commerce or fintech services. AI provides an infrastructure that meets these expectations, from personalised recommendations to instant support.
The combination of this rising demand and AI’s powerful features is having a direct impact on the used car market, especially for luxury vehicles. People are realising the significant benefits, like digitally confirmed car histories, more affordable prices, and flexible payment plans. This shift means buying a pre-owned luxury car isn’t a compromise; it’s genuinely considered a smart and trustworthy decision. It is because platforms can now offer curated, tech-enabled journeys, these vehicles are reaching a wider and more informed audience.
The pre-owned market in India is growing more confident, and technology is a significant reason why. As we look forward, the next wave of growth will be led by businesses that can combine the reliability of human service with the precision of AI systems. That blend is no longer the future, it is already here.