Automotive Market Research Articles

Auto industry market research, auto industry trends & analysis, market research in automotive industry, vehicle registration data.

Selling More Through Optimal Sequencing

Selling More Through Optimal Sequencing

Market research shows how the ordering of a series of choices has an effect on how much you sell. This is important for auto parts online retailers. The way you order decisions for consumers has a clear impact their buying behavior. A consumer research study at Columbia University used a car configurator to determine whether it was best to put the decisions with more options (such as car color with 56 options) or the decisions with fewer options (like engine size) at the beginning. The study found that customers spent $1,480 more when they started with ‘complex’ decisions than...

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Trend 41: 4 Reasons Young Enthusiasts Are an Endangered Species

Trend 41: 4 Reasons Young Enthusiasts Are an Endangered Species

Today’s Trend 41 covers an extremely important topic in the automotive aftermarket: the number of licensed enthusiast drivers from the Millennial Generation, also known as Generation Y. Years ago in the industry, “somebody turns 16 every day” was our optimistic view of the future. It’s not quite the same today with Millennials (those born after 1980) and the upcoming members of Generation Z (also called the iGeneration). Today, 28% of 16-year-olds have driver’s licenses, down from about 50% 30 years ago. Just 45% of 17-year-olds have licenses, down from two thirds 30 years ago. Since 1995, the number of...

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Trend 42: 2 Things to Know About Today’s Vehicle Shoppers

Vehicle shoppers are becoming more decisive when it comes to shopping for vehicles. They know what they are looking for and make a decision faster than they ever have in the past. Here two things you should know about today’s vehicle shoppers: 1). 81% of auto shoppers decide which car to purchase within 3 months (vs. 67% in 2009). 2). Safety, utility and fuel efficiency are some of the most important attributes shoppers pay attention to. Also of interest, when comparing 2012 to 2013, searches for repair and maintenance services have grown 8% faster than searches for vehicles. (Source:...

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Trend 43: Licensed Drivers by Age 1995-2010

Trend 43: Licensed Drivers by Age 1995-2010

One of the challenges our industry faces is with the number of younger licensed drivers. Drivers are getting older and fewer young people are getting their licenses. Today’s trend shows statistics about US licensed drivers by age group from 1995 to 2010. The total number of licensed drivers in the US grew by 33 million, or 19%, from 1995 to 2010. Licensed drivers 19 and under grew by 432 thousand over the 15-year span and it grew by 5%, less than half the growth rate of all licensed drivers. Only one age group showed a decline during that time,...

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Trend 44: 3 Things You Didn’t Know About 2009-2013 F-150 Owners

The Ford F-150 is the best selling truck model on the market, and many of your customers will be looking for parts and information on this vehicle. It is important to know about these trucks, as well as demographics and statistics on the consumers that own them. 1). 63% of 2009-2013 Ford F-150 Owners currently have less than 10,000 miles on their vehicle. 2). The average household income of a 2009-2013 Ford F-150 owner is $71,862; for comparison the average US household income is around $51,000. 3). 86% of 2009-2013 Ford F-150 owners are male and 14% are female....

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Why Email is Essential to Your Automotive Online Marketing Plan

Why Email is Essential to Your Automotive Online Marketing Plan

Welcome back to our blog for another look at Internet marketing in the automotive aftermarket! Email marketing is one of the most effective ways to reach automotive consumers; you can tailor your marketing message to specific consumers to give them material they¬†want to see. Basing email contents on customer purchases and preferences aren’t the only benefits though, email marketing is very cost effective and non-intrusive. A recent study by Google found that 91% of males in the US check their email at least once a week, 78% check email daily (Source: Google, US male shoppers study). A recent study...

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Trend 46: 3 Secrets on How Smartphones Influence Consumer Buying Decisions

Trend 46: 3 Secrets on How Smartphones Influence Consumer Buying Decisions

Consumers now have endless resources at their fingertips when shopping using a mobile device. At the touch of a button, the scan of a code, a consumer can find endless information about the product on the shelf in front of them; more information than is on the packaging itself in most cases. Product reviews, installation instructions, competitors’ prices and much more are right in their hands. It’s no wonder smartphones or tablets are increasingly becoming a tool to help mobile consumers make buying decisions on auto parts and accessories. Three market research facts about how smartphones influence consumer buying...

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Trend 47: Online Research Leads to Local Purchases

Google automotive

According to an Automotive Aftermarket Study in 2010 performed by Google, the average online research to offline purchase conversion rate for auto parts is 85%. In other words, of all buyers who research online to make an in-store purchase, 85% complete the purchase. If you operate a local retail store that should also illustrate the importance of local search in your marketing efforts, especially since there’s so much you can do to market your business online for free! We’ll cover more about local search in upcoming stories. Do you think your in-store customers research online, or do they rely...

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Trend 48: Sales Volume for General Repair Businesses Is On The Rise

Trend 48: Sales Volume for General Repair Businesses Is On The Rise

Revenue in the General Repair segment of the aftermarket automotive industry has been steadily on the rise for years. With people keeping their aging vehicles on the road instead of buying new vehicles, there is more of a demand for vehicle service repair. As long as vehicle owners keep their aging vehicles on the road, the future of general repair will continue to prosper. Sales volume for general repair businesses are expected to increase at an average rate of 3% per year for the next several years. Here are a couple of interesting U.S. vehicle statistics according to Polk:...

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Trend 49: The Economy And Auto Parts Sales: Personal Income

retail sales and personal income

Retail sales of auto parts and accessories are influenced by many things in the economy. One component of our sales forecasting model at Hedges & Company is personal income, so for today’s trend we look at how that affects retail sales of auto parts. This chart shows the change in auto parts sales (red line) and the change in personal income (blue line) from one year ago. There’s a rather obvious similarity between changes in personal income and auto parts sales, dating back to the beginning of 2003. Auto parts sales bottomed out in late 2009 and it lines...

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Trend 50: 3 Things You Didn’t Know About 2005-2013 Corvette Owners

Today we will take a look at owners of the 2005-2013 sixth generation Corvette. This American classic has been around for more than 50 years and has won many awards since its inception. The C6 Vette is an important vehicle in the specialty parts market. 1). 30% of all 2005-2013 Corvette owners are in Florida and Texas. 2). The average 2005-2013 Corvette owner has an annual household income of $87,576 compared to the national average of around $51,000. 3). 14% of 2005-2013 Corvette owners are female; 86% are male. What interesting facts about Corvettes or their owners do you...

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Trend 51: How Carburetor Buyers Decide Where to Buy

Trend 51: How Carburetor Buyers Decide Where to Buy

Enthusiasts who had shopped for or purchased a carburetor took our survey and were given 8 key factors to choose from when deciding where to buy. Respondents could choose more than one answer. The 8 factors were “business reputation,” “ability to install the part,” “bought from them before,” “product availability,” “good customer service,” employee product knowledge,” “lowest price,” and “company return policy.” The top three factors enthusiasts picked were “business reputation,” “employee product knowledge,” and “good customer service.” Do you think your customers come to you for the same reasons? If not, what do you think their reasons are?...

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Trend 52: Enthusiasts Rank The Most Reliable Carburetor Brands

Trend 52: Enthusiasts Rank The Most Reliable Carburetor Brands

Consumers base their purchases on all kinds of factors, such as customer service, ease of installation, innovative features, and much more. Today, we are going to look at what enthusiasts have to say about the reliability of the leading carburetor brands on the market. Our BrandZoom: Carburetors market research report contains data about consumers’ brand preferences and experiences, and is based on a survey of enthusiasts who had shopped for or purchased a carburetor. Out of 13 brands of carburetors, enthusiasts elected Advanced Engine Design (AED), Edelbrock, and Holley (in alphabetical order) as the top 3 most reliable brands...

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Trend 53: Surprising Stats on Models With a V8 Engine

Trend 53: Surprising Stats on Models With a V8 Engine

Today we’ll take a look at Trend 53: vehicle statistics on domestic models (Ford, GM and Chrysler) with factory V8 engines. Over the past three decades, the number of V8 engines in vehicles has fluctuated as demand changed and OEMs offered smaller, more fuel efficient vehicles. Here is a look at the number of V8 engines over four decades: Forty years ago in 1972, 762 models came from the factory with a V8 engine. Thirty years ago in 1982 it dropped to 451 models with V8 engines. Twenty years ago in 1992 the number of models with V8 engines...

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Trend 54: 3 Things You Didn’t Know About 2010-2013 Camaro Owners

Today we’re reporting three important demographics of 2010-2013 Camaro owners. The fifth generation Camaro has been relatively popular after production ended with the 2002 model year and started back up in 2009 with the 2010 model year. 1). 22% of the 2010-2013 Camaro owner population is age 35-44. 2). 2010-2013 Camaro owners have an annual household income of $74,203. For comparison, the average US household income is around $51,000. 3). 72% of 2010-2013 Camaro owners are male and 28% are female. What’s your experience selling to the new generation Camaro owners? Feel free to post comments below. Watch for...

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Trend 55: The Top 5 Online Holiday Sales Days

Trend 55: The Top 5 Online Holiday Sales Days

Today we will give you a look at the biggest days in online holiday shopping during 2011. Mondays shortly after Thanksgiving are the biggest days of online shopping and here are the top days for eCommerce according to comScore, a company that tracks online sales metrics. 1). Monday, Nov. 28, known as Cyber Monday, tops comScore Inc.’s list of top 2011 holiday season shopping days with $1.25 billion in online sales (this year it’s Monday, Nov. 26, 2012). 2). Monday, Dec. 5, only a week after Cyber Monday, comes in second with $1.18 billion in online sales (this year...

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