Mercedes-Benz in 360-degree view
Forty-eight percent of British consumers in the market for a used car are undecided about what vehicle they want, according to research by Auto Trader.
While 52 percent of consumers have a model in mind when setting out, the process of obtaining a car is likely to disrupt predetermined choices. With such an enormous amount of consumers undecided or open to influence, auto brands must ensure that digital resources are in place to facilitate the research journey.
"The most striking finding in the report as a whole is that more than half of UK buyers make no contact with a dealer before arriving on their forecourt in person, fully armed with all the info they need to make a deal," said Nigel Wonnacott, public relations director at JJ Marketing, Portsmouth, Britain.
"Dealers and manufacturers can use that fact and the data to validate additional resource allocation to online channels," he said.
The Annual Buyer Behavior Study attempts to better understand the consumer journey and involves telephone interviews with 1,300 customers.
Back and forth
Of the 48 percent of undecided consumers, 27 percent are unsure about make and model, 6 percent only have a make in mind and 15 percent begin by shortlisting options.
Thirty-two percent of women begin from square one, compared with 21 percent of men.
Thirty-six percent of consumers aged 17-24 are similarly befuddled, compared with 25 percent of those over 45.
BMW 3
Collectively, the report finds that 2.5 million buyers need guidance from the outset.
The best way to provide this is through enhanced search engine that enable granular and relevant searches. Sometimes such search engines take the form of intimidating reams of information and outdated interfaces.
Instead, players in the auto industry should created guided and cumulative search engines that mimic a journey, with a manageable amount of options gradually narrowing as consumers select certain features and go through the customization funnel.
Jaguar XF
Then, consumers have to receive actionable advice on how to get the car, including prices, dealer locations and customer reviews.
Auto Trader also recommends and even gentler digital pathway that assumes little knowledge on the part of the searcher that begins with terms such as "four seats" and "low mph."
Searchlight
Many auto brands recognize how essential the Internet is to the car buying experience.
As Audi of America unifies the digital strategy of its independent dealers, customers are given greater control of their buying experience, according to an Audi executive Oct. 14 at Luxury Interactive 2014.
In the past, Audi’s more-than 280 dealers in the United States played a large role in shaping the online experience, resulting in uneven and disjointed experiences, but the brand is switching to a consistent digital strategy that lets online interactions flow seamlessly into any dealer experience. Far from hurting dealer autonomy, the new approach has resulted in empowered sales associates and a greater feeling of brand community (see story).
Perhaps more so than other product categories, digital is reshaping the consumer journey to a new car. Consumers spend hours watching video, reading consumer reviews, learning technical features and taking all sorts of virtual tours before making a decision and heading to a pre-determined dealer (see story).
"If the opportunity to influence a buyer takes place increasingly in the digital space, and not on a physical forecourt, then it makes sense to channel more effort into promoting cars/products/services on a digital forecourt," Mr. Wonnacott said.
Final Take
Joe McCarthy, staff reporter on Luxury Daily, New York