Guide To The Modern Car Shopper: Consumer Journey eBook

8/12/2019 Guide To The Modern Car Shopper: Consumer Journey eBook

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A Guideto the Modern

Car-Shopper JourneyConnecting the Dots from their Screens to your Lots


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eBook: The Modern Car-Shopper Journey

Contents

The Consumer Journey:Adding it all up

04

In Conclusion

The Big Ideas Behind theModern Consumer Journey

Explore RealCar-Shopper Journeys

The Four Stagesof Car-Shopping

07

13

24

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The data were sharing represents

real shopping behavior as analyzed

by Cobalt data scientists.

Science Sells Cars

80

Cobalt employsover

car-buying behavior analysts


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The Consumer Journey:Adding it all up

Until now, weve measured the car-shopper journey in terms

of website metrics: visitors and visits, leads, and phone calls.

But these standalone metrics represent mere snapshots in

time. Its time to start viewing this journey in a more

complete way, by stitching together those snapshots to

produce a true continuous experience, a movie of the new

consumer journey.

This ebook will investigate real car-shopper journeys.

Throughout this book, well show you a handful of these

shoppersmodern families, Gen Yers, and even truck

driversunique behavioral segments youll ultimately want

to advertise to in a targeted way.


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There isnt another company on the planet that has as much in-

market car-shopping data as we do.

So, how do we have all of this insight into

the consumers car buying digital journey?


Every day our network sees million leads.1.3

Each week, we track million visits to our website properties.5Every month, over billion online ads are served to local

shoppers and tracked in our advertising systems.

1

All resulting in billion inventory searches per year.1/2

COBALT DATA: A PEEK BEHIND THE CURTAIN

Want More?

See Real-Time Car Shopper Search Activity in Action
http://www.cobalt.com/real-time-data-visualization/http://www.cobalt.com/real-time-data-visualization/


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All of this tells us a lot about shopper

behavior. It tells us how they engage

with online information. It tells us whatthey respond to, or dont. We know

what vehicles they are interested in, and

what actions they take as they get closer

to buying. And most importantly for

dealers, we now know unequivocally how

to deliver shoppers from their screen to

your lots.

This data is the petri dish from which

these three modern consumer personas

were extracted. We saw numerous

patterns across all buyers, and these

three composite personas represent

of the more common patterns

we observed.

So, what does this all mean?

Disclaimer:The Cobalt Business Intelligence team

collects activities, not identities. No personally

identifiable information is collected in our

business intelligence.

This information also allows Cobalt to

paint an amazing picture of the journey

that each individual shopper takes. Heresa high-level view, and then well break

down three individual journeys.

TAKE ME STRAIGHT TO

REAL CONSUMER JOURNEYS
http://www.cobalt.com/consumerjourneyhttp://www.cobalt.com/consumerjourneyhttp://www.cobalt.com/consumerjourneyhttp://www.cobalt.com/consumerjourney


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During the average car-shopping journey, most consumersspend 19 hours shopping (60% of it online1). While every

shoppers journey is unique, they experience four phases

The Four Stagesof Car-Shopping

1 RL Polk / AutoTrader Auto Buying Study, 2011

2 Google / Shopper Sciences, June, 2011

18.2information influence the

decisions shoppers make

along the way.

sources2of

Google / Shopper Sciences, June, 2011

READ TIPS FOR PROVIDING

A BETTER INSTORE EXPERIENCE


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This is what makes someone aware of your brand and

ultimately inspires them to consider it. Theyre not in-market

yet; but they are being influenced by advertising and socialmedia as they go about their daily lives.

Maybe it was their friend who drove them to the

mountain to go skiing in their brand new 4 wheel drive.

Maybe it was an ad during the holidays

Maybe it was a Super Bowl TV commercial

New car buyers typically start the shopping process with 2-4

models3in mind.Over 60% start with a focus on one model

but may expand their consideration set as they discover

alternatives.4They are likely inspired to consider these brands

because of national advertising and social influences.

1. Inspiration:


3 2010 CapGemini / Cars.com study

4Google / Shopper Sciences, J une, 2011


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5 Cobalt Business Intelligence


This is where shoppers begin to research brands in their initial

consideration set. They are pulling for information in this

phase. Our Cobalt Business Intelligence reveals 75% ofcar-shoppers visit manufacturer websites, and most of those

shoppers visit the OEM website and the dealer website in the

same thirty minutes.5

They also visit 3rd party websites for model reviews and

comparison shopping, as well as multiple dealer websites to

explore inventory and pricing (61% search inventory on dealer

websites6). Shoppers are more aware of their options thanever before, and theyre likely to ADD more brands to their

consideration set before whittling it back down.

2. Discovery:


75visit both a dealers site and a

manufacturer websites, 75% doso within the same day. Most of

those do so within the same 30

minutes.5

Of car-shoppers that

%

Cobalt Business Intelligence


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Discovery Contd:



According to Google research, 50% of shoppers select a dealer

during this phase of the journey. Theyre most likely to engage

with the dealer who makes frequent impressions through

online advertising and positive consumer reviews.

Did you know that 7 of the top 8 influences in the Discovery

phase occur online?7

These digital influences have more impact than TV, newspapers

and radio. When it comes to influencing the purchase decision,

online influences are second only to the experience consumers

have in the dealership8.

Searched online, used search engine 71%

61%Searched the inventory of a dealership

Sought information from an automobile brand/manufacturer website 59%

Sought information from a dealership website 56%

Talked with friends / family about automobiles 56%

Comparison shopped automobiles online 59%

Requested a quote on an automobile 53%

Searched online for a dealership 49%

1

2

34

5

6

7

8


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The consumer makes contact with you, virtually, by phone,

email, and/or by visiting your dealership.

Remember that shoppers are getting more and more self-

sufficient due to new technology and platforms (smart

phones, tablets, social media).

Most never call or email you; 69% first contact you when they

walk on your lot.9

If they have a positive experience, they purchase a vehicle.

3. Engagement:


9 RL Polk / AutoTrader Auto Buying Study, 2011

This is when a shopper is done researching and initiates contact.

Congratulations, you are officially in their consideration set.

69contact you when they walk

on your lot.9

of shoppers first%

AutoTrader Auto Buying Study, 2011


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They accessorize their new vehicles and return for

maintenance. Their ownership experience influences

someone elses discovery; as owners, they writereviews and influence their social circles.

4. Ownership:


Without further ado, lets take a look at our first journey:


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Explore RealCar-Shopper Journeys

on your ad

Remarketedcustomers are

3x

&

more likelyto click

to convert than

new customers4xmore

likely


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MISS POP CULTURE

Shopper #1

Miss Pop Cultureis an Internet

savvy shopper.

She embarked on a 36 day shopping

journey, about half the average

length. She cared deeply about color,

features, trim and style of the cars.

She looked at:

5different models.

8different dealersNOT of the same

make, but of competing brands.

Over her journey, she looked at a

whopping 127different VINS.

At the end of her journey she

bought a car.

For more information about this journey, visitwww.cobalt.com/consumerjourney

Like a large majority of shoppers,

Miss Pop Culture never filled out

a lead form on a dealer website.
http://www.cobalt.com/consumerjourneyhttp://www.cobalt.com/consumerjourney


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She looked at these different models. The model she bought

was model E. She spent 40 minutes on this single VIN.

You can tell based on these patterns where she was leaning.

A digitally savvy dealer will show her targeted adsbased on

the models shes looking at.

Why didnt she buy the light blue modelmaybe it wasnt the rightsegment of vehicle (ie SUV vs sedan). Maybe it was the way the dealer

was or was not advertising to her. We can show that the dealer with

model E on the lot was keeping ads in front of Ms. Pop Culture with

the right message.

JAN FEB


Model A Model B Model C Model D Model E

40 Minutes

on this Day

36 DAYS

Each color represents a different car model searched over the span of 36 days.

The size of the bubble represents the amount of time Miss Pop Culture spent researching that particular VIN.
http://www.cobalt.com/flexdaphttp://www.cobalt.com/flexdap


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Its all about Inventory. Not one of these shoppers

submitted an email lead. Our Cobalt Business Intelligence

shows that Hours and Directions page views, VIN views,number of vehicles viewed, and time spent on VIN are all

true sales indicators.

Best Practices: Drive emotional attachment! Add as much

detail to your inventory pages as you can to create a rich

experience and drive deep engagement.

Key Insight #1:Email Leads are not the Holy Grail.


Lets take a look at our second journey:


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MR BIG WHEELS

Shopper #2

Mr. Big Wheelsis a brand buyer.

He shopped for 45daysLooked at 2models, both of the

same brand.

He consistently went back and forth

between the brand website and

multiple dealer websites.

At the end of his journey hebought a car.

In one day Mr. Big Wheels shopped

20 different dealers. Although he

was clearly loyal to the brand, he

shopped around.

For more information about this journey, visit:www.cobalt.com/consumerjourney


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20 dealers

shopped in

ONE DAY.

45 DAYS

Each color represents a different dealers website visited over the span of 45 days.

Across the board, we found that 75% of shoppers who go to

both a brand and dealer website do so within the same day

most do that within the same 30 minutes.

75%of Shoppers who goto both a brand and dealer

website do so within the same

daymost do that within the

same 30 minutes.


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Still think shoppers are loyal to you?All of these shoppers

shopped a minimum of 8 dealers, and Mr. Big Wheels

shopped 20 in a single day. Online retail makes ruthlesscomparison shopping a way of lifeit takes less than a

minute to drive from dealership to dealership.

Best Practices: Have a strong Why My Dealership message

on your dealer website. Retargeting is key to keep your

dealership top-of-mind.

Key Insight #2:You are One with the Manufacturer


Online retail makes

ruthless comparison

shopping a way of life.


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Consumers experience the dealer website as an extension

of the manufacturer website, offering complementary

information they need to make a purchase decision.

To maximize shopper confidence and purchase intent,

consistency between manufacturer and dealer website is

critical. Discordant style, models, or incentives will confuse

shoppers and lower conversion.

Still think ALL you need to do is align with your OEM?

Not true. Mr. Big Wheels shopped a single brand and 20dealership websites. Hes hungry and he knows he wants a

hamburger, but hes not picky about where he gets it.

Translation:Brand alignment just gets you

in the consideration set, then its all about your

competitive advantages.

Best Practices:Balance OEM alignment with a strong

Why Me? Message.

Key Insight #3:Think About the Consumer


Lets take a look at our final journey:


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THE MODERN FAMILY

Shopper #3

Throughout The Modern Familys

90-day journey, we saw that they

engaged with:8different dealership websites.

Every single day throughout the 90

day journey they had interaction

with a dealershipvia website visits,

inventory searches, digital ads, etc.

They were exposed to digital ads 329

different times.

At the end of their journey they

bought a car.

The dealership that this shopper

bought from was one who began

interacting with the family from the

beginning of their 90 day journey

and kept the line tight.

For more information about this journey, visit:www.cobalt.com/consumerjourney


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Exposed to329 different

dealer ads

90 DAYS


You can see in the graph below that the dealer The Modern

Family purchased from began building an online relationship

early on in the journey with advertising and then kept the

line tight through every phase of the purchase process with

continuous online advertising.

Each color represents a different dealers online ad exposure over the span of 90 days.


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Still think you can swoop in at the low funnel and

capture the sale? Our data shows that consumers buy from

the dealer who messages them first and most frequently.Savvy dealers are building a relationship with the shopper

long before they call or walk in your store.

Best Practices: Start your digital marketing efforts early

and be present throughout the entire journey.

Key Insight #4:The Ever-Present Bird gets the Worm


Consumers buy

from the dealer who

messages them first

and most frequently.


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The Big IdeasBehind The Modern

Consumer Journey


While there is plenty of tactical strategy to be

gleaned from these three individual personas,

there are also some high-level insights we

can conclude about how the overall nature of

modern car-shopping has changed.

Here are just a few top-level takeaways:


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The Modern Car-Shopper Journeyis a Road Trip, not a Commute

As weve seen from these paths to purchase, to call the

modern car-shopper journey non-linear would be an

understatement. Rather, todays car shopping journeyis dynamic, digital, and consumer-driven.

To put this in context, its helpful to contrast the difference

between a commute and a road trip. Rather than a speedy

journey from point A to point B, the modern car-buyer

journey is self-paced, meandering, and riddled with sensory

distractions. From inspiration to destination, online research

is the steady fuel throughout the journey.



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Modern car shoppers are digital tourists who, like most

travelers, start out their automotive research road trip

armed with a clear plan, which inevitably falls apart.

The path becomes riddled with wrong turns, backtracking,

scenic distractions, and breaks to stretch your legs.

The digital journey is no different:Modern car-shoppers

may make a reviews pitstop, then travel to the dealer

website, then backtrack to reviews, and so on. As a dealer,

your goal is to put enough signage on the highway to keep

drawing shoppers down the path to purchaseyour path.


Contd


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There is no Virtual

There are no virtual shoppers. There are just shoppers.

Our research shows that 64% of your website visitors are likely

to purchase a vehicle within 60 days.9

Online and offline existin one single experience, which is why we talk so much about

connecting the dots from screens to lots.


9 Cobalt Business Intelligence

60

DA

YS

64%


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Its an Online World

While the in-store experience remains critical, the sheer

volume of online car-shopping activity is staggering. We

know from Googles ZMOT playbook that seven of the eightautomotive buying influences are online, and our shopper

journeys underscore this in mind-blowing ways:

We know what youre thinking: dont these people have lives?

The answer to that is debatable, but we can tell you these

in-market shoppers are voracious for automotive shopping

information, so its more important than ever to shine online.


249 Online activities.MISS POP CULTURE alone completed

329 dealership ads and interacted Online everyday for 90 days.THE MODERN FAMILY viewed

20 dealership websites in a single day.MR BIG WHEELS shopped
http://www.cobalt.com/reputationmanagementhttp://www.cobalt.com/reputationmanagement


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In Conclusion:

A true understanding of digital car-buying behavior is nowavailable, you as dealers have a responsibility to immerse

yourselves in understanding these journeys.

Do you speak digital?

Become fluent in online buying behavior for more car sales.


Know what makes them TICKto know what makes them CLICK

DONT WAIT!

SEE REAL CONSUMER

JOURNEYS RIGHT NOW

Documents

Guide To The Modern Car Shopper: Consumer Journey eBook