Posts Tagged ‘car buying

26
May
11

BHPH customer vs. Traditional buyer characteristics

As we would probably guess, there are a few differences between a traditional buyer and a Buy Here Pay Here customer. At the recent NABD conference AutoTrader.com shared the results of a special BHPH study. One of the things they discovered is that 81% of BHPH customers do “some” to a “great deal” of research before buying a vehicle and although they use the internet just as much as traditional buyers, their car research is not done online. This makes for a pretty big opportunity to target BHPH customers with the right message said, Howard Polirer of AutoTrader.com. Since the BHPH customer is most concerned with finding financing first, that should be the focus of advertising if you want to target BHPH customers. The following are some of the characteristics of the average BHPH customer compared to your average traditional buyer:

  • Higher percentage are female
  • Average age is younger
  • Annual income is less
  • Lower percentage are married
  • Lower credit rating (poor credit rating)

To read the full article in SubPrime Auto Finance News, please click here.

25
May
11

what type of advertising most influences car shoppers?

When it comes to finding out what exactly influences customers on what car they will buy or really just what car they should look into and find out more about, television advertising has the biggest influence according to TVB and Futures Company. TVB recently surveyed the impact of different forms of advertising and media and how they influence a customers purchasing decision in various product and service categories. In the automotive category, television advertising had the highest influence. This influence however doesn’t mean you’ll automatically close a deal because of a TV ad but what it does do is move the customer into the “Consideration” phase, as TVB and Futures Company puts it. The “Consideration” phase prompts them to do more research, particularly research online.

According to TVB, “Television is more important as a consumer influencer in the automotive category than the average of all 11 categories combined”. Overall since buying a vehicle is rarely an impulsive decision the number of times that a consumer sees an ad is of key importance as well.

To read the full article on NADAFrontPage.com, please click here. To find out more about TVB, please click here.