Why Buy a New Car? Because It's There

Aug 12, 2005

 

BALTIMORE -- Many consumers buy a new car just because they want one, a recent study by Vertis Inc. found. In fact, a simple desire for a new automobile will be the driving factor in purchases within the next year for 36% of buyers.

"The large number of adults looking to purchase a new car gives marketers an opportunity to communicate with their consumers when it's timely and relevant," says Janice Mayo, senior vice president, marketing, at Vertis. "Direct mail has proven to be an effective way to connect with adults because it offers information that can help educate consumers prior to a future auto purchase."

Some 43% of adults who plan to purchase a new vehicle responded to direct mail by visiting a dealer in person, while 28% visited a sender's Web site and 14% called an 800 number, the study found. Since direct mail from an automotive dealer can help educate consumers on future purchases, it is also an effective medium to increase visits to a dealership, Mayo says.

The Vertis Customer Focus 2005 study also found:

  • 8% of the new car purchasers said they are motivated to purchase a new car because of their current auto's mechanical problems

  • 11% of new car purchasers are planning on buying a new vehicle within the next 12 months because they need one for work, while 4% need one because they have a new driver in the family and 3% can afford a better car

  • Only 5% of new car purchasers are planning on making a purchase within the next 12 months based on lower prices, lower interest/financing or price incentives

  • 24% of single Generation Y (Born from 1977 to 1994) men stated they plan to purchase a new vehicle within the next 12 months compared to 16% of GenY women.

  • 20% of men with a household income of $75,000 or more and some college education have plans to purchase a new automobile within the next 12 months

  • Similarly, 15% of women with a household income of $50,000 or more and some college education reported they plan to purchase a new automobile within the next 12 months

  • 32% of Generation X (born from 1965 to 1976) adults were motivated to visit a dealership based on price incentives; 5% more than the average adult

  • Generation X adults are 9% more likely than total adults to be motivated by a special financing offer, while Generation Y adults are 6% more likely than total adults to be motivated by the same factor

  • Of the Younger Baby Boomers (born from 1956 to 1964) surveyed, 21% said a rebate offer motivates them to visit a dealer when shopping for an automobile, compared to 16% of total adults

  • Generation Y adults are 5% more likely than total adults to be motivated by a special trade-in offer

  • 66% of direct mail readers who plan to apply for an auto loan said they are more likely to open a package that looks interesting

  • Of the direct mail readers who have plans to apply for an auto loan, 64% are more likely to open a piece based on the timing of its arrival

  • For 60% of direct mail readers who plan to apply for an auto loan, having their name on the front of the envelope will influence their decision to open

  • 57% of direct mail readers who plan to apply for an auto loan are more likely than total adults to open packages that contain a special offer or discount

Your mailers are open to all the people all the time with "Cards that Sell Cars©". Call us today and put more people on your lot every month! Edward Waldman 1-800-604-6535

 

 

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