How Conscious are Car Buyers about Vehicle Safety? And does it influence buying behavior? Christopher L. Franks May 15, 2017 AutoDeal.com.

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1 How Conscious are Car Buyers about Vehicle Safety? And does it influence buying behavior? Christopher L. Franks May 15, 2017 AutoDeal.com.ph

2 About AutoDeal AutoDeal is the Philippines no.1. online automotive marketplace. We help car-buyers to research vehicles, find promos and connect with a wide network of partner dealers. Our web and mobile app ecosystem assists dealers to better manage their prospects and calculate end-goal ROI on a variety of marketing engagements Million Visits More than 350 Partner Dealers Nationwide Transact ~10% of all vehicle sales. Partnered and mandated by more than a dozen vehicle importers at the brand level. Our custom-built technology enables us to track consumer behavior and generate industry based reports.

3 Survey: How important are vehicle safety features in the decision-making process of buying a new car? Respondents were asked to rate how important in car safety was in the decision making process of buying a new car. Single Most Important Factor Important but not the most important Important But Many Other Factors More Important Not Important At All 26% 47% Findings Almost half of respondents said that safety features were the single most important factor. Survey was entirely susceptible to Response Bias, which may result in respondents answering questions untruthfully. With this particular survey, there were strong demand characteristics which may have led to respondents answering in a way which they believed would support the hypothesis of the experiment. This may also be referred to as a good participant role.

4 Measuring customer engagement on AutoDeal.com.ph. Data Sample: 6,000,000 users engaged in the AutoDeal Car Guide from April March 2017

5 Engine Details Power & Performance Features Economy Safety Dimension Technology Summary How engaged are prospective buyers with safety features? Breakdown of Expanding Spec Details in the AutoDeal Car Guide 19% 18% 16% 16% Safety was only the fifth most read portion of the vehicle specifications. 14% 11% 10% 9% 14% Engine, Performance, Features and Economy all received higher rates of engagement. 8% 7% 6% 5% 4% 7% Data contests survey results. 3% 2% 3% 1% 0%

6 Differences in Demographics? 16% Safety Viewing % by Age Group 20% Power & Performance Viewing % by Age Group 14% 11% 19% 18% 16% 14% 19% 10% 9% 10% 11% 8% 10% 7% 9% 6% 8% 7% 5% 6% 4% 5% 3% 4% 2% 3% 2% 1% 1% 0% 0%

7 Differences in Brands Browsed? Breakdown of Expanding Spec Details in the AutoDeal Car Guide by Brand (April April 2017) Audi Mercedes-Benz BMW Volkswagen Subaru Peugeot Mazda BYD Foton Nissan BAIC Chevrolet Toyota Honda Isuzu Ford Hyundai Suzuki Mitsubishi Kia 6.9% 7.7% 8.7% 9.8% 10.4% 10.5% 12.0% 12.1% 12.4% 12.7% 12.7% 12.9% 12.9% 12.9% 13.0% 13.1% 13.2% 13.5% 13.6% 13.7% 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 14%

8 Vehicle Types? Breakdown of Expanding Spec Details in the AutoDeal Car Guide by Brand (April April 2017) Small City Car Subcompact Mid-Size SUV Compact Crossover MPV Pick-Up Full-Size SUV 13.8% 13.6% 13.5% 13.4% 12.5% 12.3% 11.3% 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10%11%14% 15.2% Engagement 12.2% Engagement

9 April 2016 May 2016 June 2016 July 2016 August 2016 September 2016 October 2016 November 2016 December 2016 January 2017 February 2017 March 2017 Seasonal & Other Influences changing in engagement with safety. 29% 28% 27% 26% 25% 24% 23% 22% 21% 20% 19% 18% 16% 14% 11% 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% Brand X (Negative Influences) Brand Y (Positive Marketing) Engagement with safety features research can be influenced by external features. Negative press related to safety or recalls can increase buyer sensitivity to safety features by up to 14%. The influence of negative attention to vehicle safety may be more impactful to a brand than positive reinforcement.

10 Initial Findings & Basis For Further Study Safety plays a complex role in purchase decision making and is influenced by a widerange of variables, such as a customers age and segment purchase. As such, it may be more effective for brands to actively promote safety features within these specific segments. Prospects may already have pre-conceived beliefs about safety of specific vehicles before they enter the buying cycle. Safety appears to become more relevant for customers purchasing in lower price categories. How can brands measure customers pre-conceived beliefs about safety in their vehicles?

11 Christopher L. Franks May 15, 2017 Thank you