2025 car buying trends

The car market has changed remarkably quickly over the past ten years. Whether it’s new technology like self-parking systems or the increasing popularity of SUVs, we seem to have more choice than ever when looking for a new car.

To find out what Brits prioritise most when searching for a new car, here at Saga Car Insurance, we surveyed drivers, analysed the latest Google search data, and enlisted car-buying experts to forecast which features and traits are most likely to influence car-buying choices in 2025.

Which car types will grow in popularity in 2025?

1. Luxury Cars

Luxury cars have seen the biggest rise in demand over the past 12 months, with a 24% increase. According to SMMT data, luxury brands like Audi and BMW are among the top three best-selling car brands of 2024, with Mercedes also ranking in the top ten. Their continued popularity despite the cost-of-living crisis indicates that the demand for luxury cars should continue into 2025.

2. Supercars

Comprising the rarest and most expensive cars on the roads, it’s perhaps a surprise that search demand for supercars has increased by 7% over the past twelve months.

3. SUVs

Six of the UK’s top-selling car models of 2024 so far are SUVs, including the Ford Puma, which is the most popular car model of the year. SUVs saw a 6% increase in searches over the past 12 months suggesting their surge in popularity isn’t going anywhere in 2025.

Tim Rodie, car-buying expert from used car retailer Motorpoint, said: “Car buying preferences have undoubtedly changed in recent years, with motorists beginning to favour SUVs over more compact family cars. This shift has been so pronounced that Ford has discontinued both the Focus and the Fiesta – something that would have been unthinkable 10 years ago.”

Which car types have seen a decline in interest?

1. Electric car

Electric cars experienced the biggest decrease in search demand, dropping 12% over the past 12 months. A Saga survey of 1,234 Brits found that just 5% said that environmental impact was a key factor in purchasing a new car.

This appears to be reflected in the latest SMMT sales data with private battery electric vehicle (BEV) registrations experiencing a 6.4% decline over the past 12 months. To help dissect the stats, we spoke to Motorpoint’s car-buying expert, Tim Rodie.

Tim said: “We’re starting to see EV prices coming in line with the price of traditional petrol vehicles making used EVs a much more attractive proposition as motorists can afford a larger range of electric vehicles.

“While this has been enough to convince some motorists to make the jump, there’s still notable trepidation from many. The negative press surrounding electric vehicles and the Government’s inaction when it comes to promoting widespread EV adoption has undoubtedly impacted consumer confidence.

“Charging infrastructure remains a major obstacle to EV ownership as all motorists need access to reliable and affordable charging. It’s the biggest barrier for motorists without a private driveway or at-home charging infrastructure already available.”

On the other hand, EV expert John Ellmore, editor of Electric Car Guide suggests the drop in search interest, “is down to the maturing EV market in the UK. It’s no longer the “early adopters” who are buying EVs, but instead more and more drivers are aware of the technology and therefore don’t need to search online before making a purchase.

“There are still plenty of government incentives like grants and salary sacrifice schemes that will sustain the upward trend in sales. Also, as customers become aware of new EV brands (such as Polestar, BYD, NIO etc) they may instead start searching for brands instead of “EV” related search terms.”

2. Convertible

Due to the UK’s increasingly unpredictable weather, significantly fewer convertible models have been released to the market over the past 20 years. We may continue to see fewer convertible cars on the road going into 2025.

3. Family car

The number of people looking for family cars has also slowed, with just a 2% increase in searches over the past 12 months. The rise of SUV crossovers has perhaps led to a decrease in the number of people looking for family cars like MPVs and people carriers.

What are Brits prioritising when looking for a car?

Unsurprisingly, price is the top factor influencing car purchases, with 74% of Brits considering it crucial. The average new car price in 2024 has risen by 4.5% compared to the previous year, so it’s likely that price may continue to influence Brits’ car buying decisions into 2025.

Fuel efficiency was the second most important factor for Brits, with 44% saying it was a priority, while safety rounded out the top three, with 34% saying it was a key factor.

Running costs like booking a service ranked fifth, which may be surprising given that price was deemed most important. The recently stabilised cost of fuel may have lessened Brits’ concerns about the cost of car ownership.

Environmental impact was among the least important factors, with just 5% of Brits citing it as a priority when buying a car.

EV expert John said: “The low priority placed on environmental impact is a real surprise. Although with high living costs and energy prices right now in the UK, it’s understandable that drivers are focusing more on price and fuel efficiency. Environmental concerns, while important, are perhaps being viewed as a side benefit rather than a key factor in the decision.”

Which car features will increase in demand in 2025?

Android Auto was the most in-demand breakout feature, with a 15% increase in searches. This perhaps coincides with the Android smartphone operating system having the biggest mobile phone market share in the UK for the first time since 2020, surpassing smartphone competitor Apple. This may also explain why Apple CarPlay didn’t feature in the top ten.

Both Android Auto and Apple CarPlay allow users to connect their smartphone to a car's infotainment system, enabling access to phone calls, music and navigation while driving.

Remote start also ranked in the top three, reinforcing how key smartphone interconnectivity is moving into 2025.

According to a recent Saga study, 1 in 5 Brits feel stressed when attempting to parallel park, so it’s no surprise that both rearview cameras and parking sensors rank among the top ten trending features.

Tim said, “While there’s certainly no single feature that all motorists want, we find that car buyers are reluctant to do without the technology they have in their current vehicle. For example, if a motorist is looking to part-exchange a car that has parking sensors, a heated steering wheel and Apple CarPlay it's unlikely they’d be happy if their next car didn’t have those things."

It also appears that Brits are looking for more spacious cars, with searches for seven-seater cars and boot space increasing by 8% and 7% respectively.

Which car features will see a decline in interest in 2025?

Demand for in-car WIFI hotspots has dropped significantly, with a 24% decrease in search volume over the past 12 months. While it continues to be a popular feature for new cars, it seems that interest in car Wi-Fi will continue to drop into 2025 as mobile data costs have declined dramatically over the past five years.

LED headlights have also seen a 5% decline. However, this may be due in part to the fact that LED lights tend to come as standard in new cars. Flashier features like self-parking and 360-degree cameras also appear like they will see a decline in popularity, with both experiencing decreases in search volume.

Which car colours will grow in demand in 2025?

While UK roads are usually filled with grey, black and white cars, it seems that Brits may be looking for something brighter in 2025.

Purple is a rare colour to see on the road, but surprisingly, it had the biggest increase in searches at 11%. The unusual colour is perhaps set to become more mainstream as manufacturing giants like Audi and BMW now offer purple as a colour option on certain models.

Expect to see more green and yellow cars on your travels soon as both had strong increases in demand. Searches for pink cars also increased by 9%, perhaps prompted by a renewed interest in all things Barbie.

Methodology:

The opinions of the experts cited aren’t the opinions of Saga.

Saga analysed Google search data from September 2022 to August 2024 to investigate the most searched-for car types, features and colours. We compared the average monthly search volume from September 2022 to August 2023 against the average between September 2023 and August 2024 and then calculated the year-on-year search growth to forecast car buying trends for 2025.

We also surveyed 1,234 British drivers in September 2024 to ask them what they prioritise most when buying a new car.