When buying a car especially a used one there are so many factors to take into consideration.

Would you buy a car online without a test drive, or even having seen it in person?

OK, maybe a new car from a well-known dealer.

But what about a used one, from a seller you have never met?

A growing number of stakeholder groups across the automotive industry—led by eBay EBAY +0.00% Motors and BMW—are betting that you will.

Why?

Price is certainly one reason. It can be significantly cheaper to market a new or used vehicle online rather than maintain the expense of a fully functional automobile dealership or car lot. These reduced costs can be passed on to sellers in the form of lower prices.

Selection is another big advantage of online car selling. The ability to merchandise vehicles from multiple dealers and/or sellers in one place creates a convenient one-stop shop for buyers. It also changes the dynamic of haggling over the price of a vehicle into electronic communication, which is more comfortable for today’s car-buying demographic, which is increasingly younger and female.

Furthermore, mobile technologies will also allow customers to take a “virtual test drive” if they would still like the experience of sitting behind the wheel before they make a purchase decision.

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