Technology and features rank ahead of brand among the factors influencing car-buying decisions in India, while concerns about battery reliability and charging infrastructure remain barriers to electric vehicle (EV) adoption, according to a survey by a consultancy firm.

The survey found that technology and features ranked first among the factors influencing car-buying decisions, followed by brand, service and price. Access to vehicle financing and aspirations to upgrade also influence purchasing decisions in India, where price remains a consideration for consumers.

"The tech features that come along with the brand and effectively explain the value for money that consumers are getting become a much stronger differentiator," an executive at the consultancy told media sources.

Features previously associated primarily with luxury vehicles are increasingly being offered in mass-market cars priced between Rs. 1.5 million and Rs. 3 million (US$ 15,830-31,655). The consultancy executive said automakers would need to offer the latest technology while maintaining brand credibility and affordability.

The survey found that 68% of premium car buyers and 71% of mass-market buyers had considered only established brands during their most recent purchase. The consultancy executive said new entrants would need to offer differentiated products and establish a clear identity for their brands and technology to be considered by consumers.

The survey was conducted online in the first quarter of 2026 among more than 12,000 automotive consumers across 11 markets, including India, China, the United States and several European countries.

AI use in the car-buying process

The report found that nearly 80% of Indian consumers use artificial intelligence (AI) during their vehicle-purchasing journey. Adoption was around 90% among Generation Y and Generation Z consumers, compared with approximately 79% among older generations.

Vehicle purchases continue to involve both digital and physical channels, with dealerships remaining a point of contact for evaluating vehicles and completing purchases. Automakers and dealers may need to integrate digital tools with in-person services to address consumer requirements.

EV purchase consideration and barriers

The survey found that 57% of Indian consumers were open to purchasing a battery electric vehicle (BEV). The proportion increased to 61% among Generation Y consumers.

Among consumers sceptical about BEVs, 52% cited battery reliability concerns as a barrier to purchase. Insufficient charging infrastructure was identified by 44%, while 43% cited long charging times.

Vehicle prices were a concern for 32% of EV sceptics, while 31% identified insufficient driving range as a barrier. These findings identify battery reliability, charging infrastructure, charging times, driving range and vehicle prices as factors associated with consumer reluctance to purchase BEVs.

The survey report stated, "Charging remains a major challenge," referring to concerns about charging convenience and infrastructure availability.

Approximately 71% of existing Indian BEV owners reported charging their vehicles at home often or always. This indicates the extent to which home charging is used by current owners.

In its accompanying press release, the consultancy firm said, "Closing the price gap and making charging more convenient will be critical to persuading more consumers to make the switch."

Test drives and purchase consideration

The survey found a difference in purchase consideration between respondents who had test-driven a BEV and those who had not. Among Indian respondents who had test-driven a BEV, 82% said they would consider purchasing one, compared with 66% of respondents who had not taken a test drive.

The findings show an association between test-driving a BEV and stated purchase consideration. However, the report cautioned that "stated consideration does not necessarily translate into actual purchases".

It also noted that "turning trial into purchase is the task for OEMs and dealers".

The consultancy executive said automakers and dealerships needed to reduce the time and effort between a customer requesting a test drive and experiencing a vehicle. He also said they needed to use consumer data and technology to develop products that meet future demand.

The survey identifies technology, features, brand, service and price as factors influencing car-buying decisions in India. For EVs, the findings identify battery reliability, charging infrastructure, charging times, driving range and vehicle prices as barriers cited by consumers. The results also show differences in stated purchase consideration between consumers who had test-driven a BEV and those who had not.