Friday, 24 April 2015

Study Details Online Car Shopper's Needs & Wants

A new global survey from Accenture of 10,000 consumers found that 80 percent of drivers in the market for a new vehicle are using some form of digital technology to research before purchasing, while almost two-thirds (62 percent) are beginning the car-buying process online before entering a store.
Another sign the car purchase process is headed for the Web? The survey also showed that 75 percent of drivers polled would consider working through the entire car-buying process online.
"The impact of the digital customer is becoming pervasive, disrupting the traditional car-buying experience and the competitive landscape," said Christina Raab, global managing director for digital consumer services in Accenture's Automotive practice. "This is clearly supported by the fact that many would consider conducting the entire car-buying process online.
"In order to grow business in this environment, OEMs and dealers will need to pursue an aggressive digital strategy online, in the showroom and in aftersales, while creating a seamless, integrated experience to accommodate all customer needs."
Taking a look at the U.S. survey results, in particular, which accounted for 10 percent of the drivers surveyed, Auto Remarketing will be dissecting the results over the next week to pick out some of the most compelling material - such as what are the most influential factors on shoppers' decisions when buying a car.
More and more, these factors are increasingly found on the Web. For example, 30 percent of respondents cited social media as the most influential factor, such as Facebook and Twitter/customer feedback. For dealer websites, that number jumps to 32 percent. Manufacturer websites also proved important, with 34 percent of U.S. respondents citing this medium as the most influential factor in their buying decision.
It is apparent that more and more consumers are turning to the Web for their car-buying needs, but the next question is: how do we make the process easier for them online?
When asked what would make the process of researching for a new car via online channels easier, 60 percent of U.S. respondents said having information tailored to their needs would be most helpful. And with the ability to target specific demographics through advertising and email marketing, this is becoming easier and easier to deliver.
The most important factor, however, was comparison shopping sites - 69 percent of respondents said these tools would make car shopping online easier. Many third-party sites can serve this purpose, so perhaps making sure to have inventory on multiple third-party listing sites would prove helpful to dealers.
Another 59 percent of respondents said virtual demos of new-car models prove helpful, while 36 percent calls for augmented reality to instantly access information about the car.
The last two factors mentioned focus on interaction on manufacturer and dealer websites. According to the survey, 32 percent of respondents said they wanted a virtual assistant available to give expert advice, while another 27 percent prefer online chat with dealers.
Research for the study was conducted by Coleman Parkes on behalf of Accenture, and owners were surveyed in eight countries: Brazil, China, France, Germany, India, Italy, Japan and the United States.

Study Details Online Car Shoppers Needs.........................................

Friday, 17 April 2015

Which Sources Car Shoppers Trust The Most

Marketing platform Crowdtap recently conducted a survey of roughly 500 male and female car buyers to get a glimpse at what shoppers think about reviews and social media as well as what sources of information they trust the most.
The poll, conducted in February of this year, yielded several unique insights into the minds of shoppers who were either currently shopping for a car, recently purchased a car, or expected to be in the market for a vehicle within the next year.
When asked which sources they trusted most, nearly a third, 31 percent to be exact, said that friend or family recommendations were the most reliable. In fact, 36 percent also said that friends and family had the most influence over their vehicle purchases. Perhaps surprisingly, the group polled showed that digital ads had the least effect on their purchasing choices. Here are a few of the other results, according to Crowdtap:
Which of the following sources most influences your car purchases?
  1. Friend or family recommendations (36 percent)
  2. Online review sites (19 percent)
  3. Social media (16 percent)
  4. Car dealer (11 percent)
  5. Traditional ads (10 percent)
  6. Digital ads (8 percent)
Which of the following sources do you trust most when researching and deciding on your car purchase?
  1. Friend or family recommendations (31 percent)
  2. Online review sites (22 percent)
  3. Social media (17 percent)
  4. Car dealer (11 percent)
  5. Traditional ads (10 percent)
  6. Digital ads (7 percent)
Dealers knowing what a customer does after the purchase can oftentimes be just as important, if not more important, than their individual sale, as referrals keep many in business. After buying a new car, 60 percent said they would likely share photos of the car on social media. An additional 45 percent said they would likely write or post about the vehicle on their social networks.
As far as online reviews are concerned, 44 percent said they would be likely to review the car online, 34 percent said they would likely review the car's manufacturer online, and another 34 percent said they would likely review the dealership itself online.
Here are a few other interesting findings from the platform's study, according to Crowdtap:
  • 95 percent said they would post about a great car model or maker on social media.
  • 91 percent of car buyers have taken a friend or family member's recommendation into consideration when making a car purchase.
  • 87 percent research potential car purchases on social media.
  • 87 percent reported their friends' comments on social media somehow influenced their opinions on manufacturers.
  • 80 percent are more likely to turn to their social network for car buying advice than a salesperson.
  • 68 percent have bought a car they found on social media.

Which Sources Car Shoppers Trust The Most.............................................

Friday, 10 April 2015

Features & Info Used Car Buyers Want Most

By Auto Remarketing:
Connectivity may be the best feature to plug when talking to a used-car shopper. And whether or not that car is in good shape may be the most crucial piece of information you pass along to that shopper. 
That's according to a white paper from CarStory, which among other areas, investigated the top features used-car buyers want and the most important information they need in buying a car.
CarStory, a provider of crowdsourced data and analytics on pre-owned vehicles, surveyed a random pool of the paper's participants, all ages 18 to 65.
These participants were given a list of the top 25 used-car features that CarStory's data science team found to be in high demand or heavily influential on used prices, and they were asked to select "must-haves" from that list. (More than one feature could be chosen).
More than 40 percent chose MP3 and 30 percent picked Bluetooth. Over 25 percent chose iPod adapter, putting it on the same level as high-performance tires. Fifth on the list was heated seats, with a hair more than 25 percent choosing that option.
Also scoring above 20 percent were keyless entry, remote start, rear-view camera and navigation system. Right at 20 percent were sunroof and all-weather package. The remaining 14 features listed were below 20 percent.
Beyond the features of the car, CarStory also looked into the vehicle description points that resonate with used-car buyers.
"For this exercise, we gave the survey participants a list of details that descriptions of used cars commonly include," the company explained. "We asked participants to rate the importance of each detail using a sliding scale."
The top detail?
Vehicle condition, which got a score of 81 out of 100, according to CarStory's January survey of online used-car shoppers.
Next up was accident history (77), followed by service history (75), listing price (74) and value of the vehicle (73).
The complete list of most important details is below:
Condition 81
Accident History 77
Service History 75
Listing Price 74
Value of the Vehicle 73
Make 72
Mileage 71
Price Compared to the Market 68
Dealership's Reputation 66
Selling Price of Similar Vehicle 65
Year 65
Mileage Compared to Similar Vehicle 64
Comfort Features 60
Cost of Ownership 60
Efficiency 59

Features & Info Used Car Buyers Most Want.............................................

Thursday, 2 April 2015

An Unusual Tax Season Nearing Close

This week's Used Car Market Insights report from Black Book once again focused on how spring in the used-car business is panning out a bit differently from years past. Throughout tax season this year, Black Book has noticed stronger-than-average retention in the entry midsize car and the upper midsize car segments as well as the compact SUV segment.
Interestingly, as these segments are on the upswing, analysts haven't see the usual tax-season strength in segments such as the entry-level cars and compact cars.
The entry-level cars saw prices slide by $7 last week, while the compact cars saw a slight $6 price increase.
Overall, the car segments saw an average drop of 0.06 percent or $6 last week, while the trucks dropped by 0.05 percent or $7.
The report also pointed out truck price movement is bucking trends, as well. According to Black Book, the truck segments didn't see prices fall dramatically at the end of 2014 and "held up high" in November and December.
"This early buying took the steam out of the usual seasonality resulting in more stable prices over several months," the report stated.
Anil Goyal, vice president of automotive valuation and analytics, said, "Seasonality patterns are looking different this spring as the interest from buyers kept the used-vehicle market more level from the latter part of 2014 into the first quarter of early 2015."
And not only did tax season not impact the usual segments as much, but Black Book also reported patterns of strong price retention in March didn't show up this year.
Black Book analysts contend we may be nearing the latter part of tax season, based on many dealers in the lanes reporting and overall market slowdown.
According to a dealer from Washington state cited by Black Book, "Even though vehicle volume and buyer attendance were both normal today, the market was a little slower this week (last week) compared to last."
This may be due, in part, to dealer starting to collect tax season inventory as far back as late November, which was an "early start" for the industry,  according to the report.

An Unusual Tax Season Nearing Close...............................................................