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|Consumer behaviour and retail trends influence the motor industry|
|Monday, 16 January 2017|
The psychology of consumers and their evolving shopping journey is key to understanding the dynamic transformation of the motor industry, according to experts.
As purchasing preferences change, marketers around the world continue to anticipate shifts in customer behaviour as they examine retail trends. Ever-rising expectations, social influence, and retailers striving to engage with attractive and specific offers, continue to sway customers.
Such influence has not escaped the motor industry and recent years have seen major changes in the way consumers purchase a vehicle.
“We now have people calling us who are more interested in talking about the finance than the car,” said Adam Stott, Director at Big Cars. “Customers tend to do most of their due diligence before even speaking to the dealer so we’re talking about the transaction not the research phase. Enquiries are coming in through social, email, web, as well as phone and in store – we need to be ready to engage on finance however they get in touch.”
His comments have helped shape the most recent instalment of Alphera’s industry-leading ‘Financing the Car of the Future’ report, released this week. It explores the ways that vehicle dealers are working hard to secure a sale and understand the consumers of tomorrow.
Developed to shine a light on the opportunities for the motor finance sector over the coming decade, ‘Financing the Car of the Future’ brings together diverse voices from across academia, trade bodies, dealer networks, brokers and automotive suppliers.
The latest chapter, titled ‘Consumer behaviour and retail trends’, examines the retail world today and highlights customers’ desire for convenience. It focuses on the purchasers of tomorrow; Millennials – those consumers born between 1978 and 1995, who are highly motivated by social information and recognise the importance of a sharing economy – as well as Centennials, also known as Generation Z, who are self-aware, savvy and equipped with the very latest technology.
“It is this group of our population that will be the car buyers and motorists of tomorrow,” said Gerry Kouris, ALPHERA’s Financial Services marketing manager.
“It is for this very reason that they cannot be ignored and should remain on the radar of dealers, and the wider motor industry. We operate in an evolving and fast-paced industry and as part of this future-focused project it was essential that we examined the behaviours of this generation; it makes very interesting reading.
“Understanding the consumer journey can help dealers identify consumer connections and enables them to stand out from the crowd. It is important to appeal to underlying motivations and values; understanding your customer is key.”
Alphera’s thought-provoking report profiles the many opportunities for the motor finance sector over the coming decade. The latest chapter provides hard-hitting insight from industry experts and is the final instalment to be released from this first phase. Previous chapters covered connected vehicles, online relationships, regulation and a review of the past decade in motor finance.
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