In addition to the microchip shortage and other industry challenges, there is major buzz around the future of electric vehicles and accelerated adoption rates. Auto manufacturers are launching more EVs, opening more factories, and investing in more battery innovations. In fact, EV market share is predicted to grow nearly seven times by 2030.1 With this current climate in mind, Cox Automotive conducted research in June and July of 2021 with more than 4800 consumers to better understand market perceptions and provide insights to OEMs around barriers to EV purchase.
EV Consideration is Healthy
Nearly 4 in 10 consumers are currently considering an EV for their next vehicle purchase, with Gen Z and Millennials leading the growth in consideration.2 However, when we dive further into asking consumers how certain they are on purchasing an electric vehicle, their intentions wane. Conversion from consideration to sales will be challenging as shoppers are still trying to solidify their decisions based on the purchase barriers holding them back.
Barriers to Adoption
What’s interesting is that the top five barriers to electric vehicle adoption remain consistent when compared to our previous EV study in 2019. The good news is that some of these concerns are decreasing when compared to the previous results. Across consumers, anxiety is lowering around lack of charging stations, battery holding a charge and limited mileage range, as innovations in this segment address these concerns. However, costs including EV price and battery replacement are still high on the list of apprehensions for consumers.
Brand Loyalty and Content Marketing Pave the Path to Purchase
Brand loyalty is crucial to driving electric vehicle adoption. Our research asked respondents how likely they would be to purchase or lease from the same brand if their current brand produced only EVs after 2030. A whopping 84% of considerers said they would likely re-purchase from the same brand, while nearly 50% of Non-Considerers said the same.2 Most current brands have low to moderate brand awareness, as consumers are not savvy on what EVs are available in the marketplace. There is a massive opportunity for brands that want to win in the EV segment to invest in CRM, elevate brand trust, and maintain strong quality for the consumers to stay with the brand. Start introducing consumers to any EV concept vehicles or upcoming EV launches to gear them up for your brand’s future line-up.
Third-Party Online Presence is Key to Future EV Success
Three in four vehicle buyers leverage third-party sites for their research and shopping needs. Autotrader and KBB.com were the top two most visited sites among EV buyers.2This is because one of the most effective ways to reach electric vehicle buyers is through content marketing. Ninety-three percent of EV purchasers consumed content marketing as a part of the research process.2 This type of content can provide objective testimonials for shoppers to better understand the EV ownership experience. Expert and consumer ratings and reviews, articles, and side-by-side comparisons were crucial to guiding consumers to make the best-informed decisions for their EV purchase.
As an industry, we are on the path to widespread EV adoption. While perception and consideration are improving among consumers, it will be crucial for OEMs to strategically focus on marketing initiatives that inform and educate EV shoppers.
Learn more about how CAMP 360 can connect you to EV shoppers.
1 IHS Markit’s Power Train Forecast
2 2021 Cox Automotive Path to EV Adoption Study
Estimated reading time: 3 minutes
Cox Automotive conducted research1 in August to understand how the chip shortage is impacting car buyer behavior; we compared our findings to research completed in April, as chip shortage impacts were first realized. As you’re thinking about how 2022 strategy and planning, here’s what to know about how car buyers perceive the chip shortage:
People are still willing to pay above MSRP.
Only slightly fewer shoppers now than in April are willing to pay above MSRP to get their vehicle of choice and would pay a 13% premium. In April, our research found that 42% of in-market shoppers were willing to pay above MSRP, and in August, that number dropped down to 35%. Demand drives pricing today, not suggested retail prices.
More car buyers are delaying their vehicle purchases due to the chip shortage.
48% of in-market shoppers are likely to postpone, compared to 37% in April. Among those likely to postpone their purchase, about half would delay their purchase by six months or less. More of those who are not waiting are likely to switch brands, categories, or from a new to a used vehicle. It’s safe to say these consumers want a car sooner than later and are willing to compromise on what they originally planned.
Car buyers are willing to drive outside of their local area for a vehicle.
Three-quarters of shoppers are willing to drive 50-200 miles for the right vehicle but less likely to travel more than 200 miles away from home. As consumers are willing to travel more distance, marketing strategies should pivot. It’s less about geography and more about matching the right person to the right car at the right time.
Most car buyers still anticipate negative impacts as a result of the chip shortage.
From increased prices to inventory shortages and longer delivery times, most consumers recognize the effects of the chip shortage on the car buying process — and expect that the trends will continue. 76% believe that all vehicle brands will be impacted, and 61% expect less favorable deals or incentives. We’ve seen an increased number of consumers ordering direct from manufacturers.
You can bridge the gap from consideration to purchase.
Now that we understand the chip shortage’s ongoing impacts on car buyer behavior, we can help shift your strategy to reach the right customers to drive quality traffic and revenue. Although some consumers delay purchases due to limited availability and increased prices, that won’t last long. This is the time to evolve your marketing and messaging strategies to target shoppers most interested in your brand. So why should you advertise now? We know that CAMP 360 helps influence sales both in the near and long term. We know that 66% of sales transactions will happen 3 or more months after a shopper’s first engagement with CAMP 3602. Using CAMP 360 to bridge inventory gaps in the present builds demand to fuel future sales.
2 Cox Auto Buy Through Rate Study, Sales = January 2021 – May 2021
Estimated reading time: 6 minutes
The Cox Automotive Marketing Partnership — or CAMP 360 — supports your strategic marketing goals by connecting our audience with your brand, ultimately connecting shoppers and advertisers at impressionable moments throughout the car shopping journey. Harnessing the power of Cox Automotive, CAMP 360 leverages our portfolio of brands, consumer insights, relevant and meaningful content and deep data touchpoints to create a 360-degree view of the automotive customer journey.
We’ve evolved digital marketing to meet the needs of shoppers, delivering a more effective marketing campaign for you. When you partner with CAMP 360 , you gain exclusive access to our data intelligence, high-quality audience, enhanced user experience, brand integration, and strategic insight. These are the five advantages of CAMP 360. Dive deeper into each advantage and learn more about how to get started to level up your marketing.
Data Intelligence
Nobody knows more about car shoppers than Cox Automotive. The size of our brand ecosystem means we have access to data generated by customer interactions at every step of the process from early consideration through sale — and even into service and repair before they head back around to start the process again.
We are uniquely positioned to have a direct view into the car shopping and ownership cycle. We can see shopper activities in real time and at scale, which our data intelligence platform then interprets as buying signals. We analyze those real-time shopper actions to create in-depth, automotive-specific behavioral models that we can track all the way to purchase.
These first-party, proprietary insights along the path to purchase and through ownership enables us to observe car shopper behavior at massive scale. Because we have so much data, and the intelligence layered with that data connects behaviors to gauge intention to purchase, we’re able to identify “ready–to-buy” shoppers who are 15 times more likely to buy a new vehicle than the average person. Onsite and offsite, we can reach precisely who you’re looking for.
That’s how unrivaled access to data gives you a clearer picture of your specific shopper.
Audience Quality
A cornerstone of CAMP 360 is connecting our OEM clients with our high-quality audiences through our well-known and trusted brands. Our powerhouse consumer brands, Autotrader and Kelley Blue Book, deliver a client-to-shopper connection rooted in unbiased truth and brand integrity, connecting them with valuable content and easing the friction of the second-largest household purchase for most Americans.
Kelley Blue Book and Autotrader together reach almost 60% of all car buyers and account for more than half of the time car buyers spend on third-party sites.? Each month these platforms see a combined 33M+ unique visits.?
Car shoppers name KBB.com as the best resource for key shopping activities like researching vehicle pricing, researching vehicle brands, comparing makes and models and reading ratings and reviews.?
Autotrader offers superior, personalized car buying experience for shoppers, delivering the highest quality leads in the business, with a close rate 68% higher than the nearest competitor.?
Your marketing content and strategies should enable the shopper to feel more confident in their decisions, and connecting your brand with KBB.com and Autotrader helps create that confidence. New car shoppers overwhelmingly agree that Kelley Blue Book and Autotrader lead in delivering informative, helpful content. When compared with other brands, new car shoppers rank Autotrader and KBB.com as the highest for helping shoppers learn about specific vehicles or brands.?
User Experience
Consumers simply won’t tolerate a cluttered or clunky website experience anymore. Our user experience experts have spent the time examining user expectations and behaviors and combined our vast network of consumer insights with our site experience. The result: modern, clean websites that are easy to navigate and cut through the noise. The user experience includes:
More personalized, streamlined shopper experiences that serve content relevant to each shopper
Better integration of native advertising to make it easier for a shopper to focus on relevant content that takes them deeper into steps that lead toward purchase
An experience that allows OEM clients to differentiate their products and reach new audiences
Personalized and relevant content targets shoppers when they’re most impressionable, which means they’re more receptive to your messaging. Most car shoppers (70%) report that content marketing is useful, which is why we’ve spent the time ensuring that it’s displayed intentionally, surfacing a targeted message when consumers are most likely to engage.?
Your marketing content and strategies should enable the shopper to feel more confident in their decisions, and connecting your brand with KBB.com and Autotrader helps create that confidence. New car shoppers overwhelmingly agree that Kelley Blue Book and Autotrader lead in delivering informative, helpful content. When compared with other brands, new car shoppers rank Autotrader and KBB.com as the highest for helping shoppers learn about specific vehicles or brands.?
And this is the kind of personalization that customers want. 63% of new vehicle shoppers say they’ll provide more information online if it results in a more personalized experience? (and less time at a dealership!)
Case in point: After our strategic refresh of KBB.com in 2021, we found that shoppers are spending 15% more time on KBB.com editorial content compared to other automotive editorial sites. We’re also seeing double-digit improvements to value creation on the site, which is helping us meet client needs.?
When you partner with CAMP 360, your brand and message will realize the power of personalization.
Brand Integration
Our brand integration allows you to more seamlessly deliver your message without disrupting the user experience. Almost 60% of new vehicle shoppers believe targeted marketing could lead to finding a vehicle that’s best suited for them, indicating they are open to your message throughout their journey.?
CAMP 360 offers a flexible, customizable suite of brand integration opportunities that match impressionable shoppers with brand messages. Our campaigns reach new car shoppers at all stages of the journey and create a shift in consideration.
Think of brand integration from CAMP 360 like merchandising in a grocery store. Other targeting strategies have your brand waiting by the register, only available for customers who are ready to check out. But CAMP 360 integrates your messaging across our sites. We’re the heat map that knows where customers go throughout their entire shopping journey. We’re the end cap, the cart sign and the shelf talker. And 91% of the time, our buying signals can reliably predict whether your vehicle is in a shopper’s consideration set .? This brand integration is the merchandising strategy that puts you in all the right places to boost consideration.
CAMP 360 campaigns are proven to reach shoppers at all stages of the shopping process, shifting consideration toward your brand. That’s the impact of right-time messaging.
Strategic Insight
We know that the success of your digital campaign depends on more than leads and sales; it’s about garnering valuable and actionable insights about your consumers, your campaigns and your business —and that’s what we deliver.
Our data makes your data smarter and as we learn more, you learn more. Clients enrolled as CAMP 360 partners get access to advanced audience targeting and a robust suite of customer analytics reporting, as well as guaranteed incremental visitor traffic to influential content. Our insights and analytics help you optimize and inform future campaigns.
That’s the advantage of a marketing partnership.
Are you ready to get started with CAMP 360? Learn More
Estimated reading time: 4 minutes
Ready, Set, Go: 2021 Launch of CAMP 360, the premier Cox Automotive Marketing Partnership
At the beginning of this year, we brought our clients a revolution in the automotive digital media landscape. We introduced CAMP 360, and through this partnership with our clients, we can better influence shopping behaviors, consideration, and sales. The past six months have continued to show us that there will always be another surprising market change or challenge. As I think back on the first six months since our launch, CAMP 360 continues to help solve complex business problems to help clients reach the right customer more efficiently than ever.
The acceleration of digital transformation
As the Cox Automotive team has discussed before, the digital transformation is here. The digitization of shopper interactions increased faster than anyone could have predicted. We’re already years ahead of the average rate of adoption from the last three years.? Customers have grown to expect the click-of-a-button convenience for just about everything. Existing trends have intensified so much that now a U.S. adult spends over half of their day consuming media.? Due to this rapid rise in consumer digital adoption, data and privacy are now a top priority.
The rise of privacy as a priority
One study found that consumers are more than twice as likely to share their personal information or pay attention to brand advertising if it’s a high trust brand.?We recently commissioned a study through Nielsen, which helped us to understand the car shoppers’ awareness and opinion of data handling for advertising. Over half (56%) of new car shoppers noted that they value privacy but are accepting of personal data being collected. Sixty-seven percent of these shoppers felt that personal data collection is even more acceptable if it’s from a trusted site.? So if consumer journeys will continue to become more complex, and their touchpoints will continue to multiply over time, it’s crucial to align with a trusted brand in order to reach the right customer at the right time.
What we’re learning from CAMP 360
CAMP 360 thrives at the intersection of this digital transformation and shopper’s need for brand trust. We’re a part of each stage in the customer’s journey, each stage in a car’s life, as well as a part of each step in the dealership process – from inventory and marketing to sales and service, which provides us with a wealth of first-party consumer intelligence and analytics. We are able to link various touchpoints, connect the dots between numerous interactions, and create that “360-degree view” of the automotive customer journey.
Over two-thirds of automotive shoppers are coming to our sites to do research, discover the right car, figure out pricing, and start the buying process. That’s roughly over 40 million unique shoppers a month on Autotrader and KBB.com.? And every time they visit, we are capturing their consumer activity signals, which includes their search habits, research topics, currently owned vehicles, and more. Our clients get a clearer picture of who the consumer is at that second, which allows for real-time optimizations that can boost marketing performance. As proving ROI gets more difficult, our OEM partners have found CAMP 360 reaches their intended audience in a way that is privacy-compliant, effective, and measurable.
The highlights from our first six months:
CAMP 360 campaigns drive additional research. In a segment case study, we found a 24% increase in research year-over-year for our CAMP 360 clients.?
CAMP 360 campaigns gained a competitive advantage in shopping. We saw a 48% lift in share of shopping year-over-year, when comparing CAMP 360 clients to non-CAMP 360 clients.?
While CAMP 360 is a tool for driving incremental consideration and engagement, we know that these campaigns also result in converting shoppers to buyers. In one case study, we found that shoppers who were exposed to a CAMP 360 campaign were 5 times more likely to purchase than the general baseline.?
The road ahead
As we look back on the results since CAMP 360 launched, it’s important to stress the value of understanding the full shopper journey. Our partners have gotten to tap into the powerhouse of insights from CAMP 360 campaigns. This allows us to optimize performance and drive continuous value across the life of the campaign. But the data isn’t just useful for CAMP 360 campaigns, we are able to provide these insights to clients to help make broader strategic marketing decisions. It’s another way we can continue to evolve and adapt with our clients, no matter the market challenges.
Estimated reading time: 4 minutes
Welcome to the new normal. Digital marketers are at a crossroads where car buyers’ digital expectations are meeting data privacy regulations and changes — and you need a road map to navigate this tricky and often technical terrain.
In our recent webinar, “Welcome to the New Normal,” our panelists of automotive industry marketing experts discussed how OEM (Original Equipment Manufacturers) clients and agency partners can balance car buyer expectations with the data privacy changes taking place in digital marketing.
How car shoppers have changed since 2020
It’s no surprise that as a direct result of the pandemic, shopper motivations and behaviors have shifted dramatically, pushing our industry head-first into the digital future we’d been inching toward for years. Remember, the digital shift was already happening — the pandemic just sped up adoption due to necessity.
Time, convenience, and accessibility are priceless commodities that have risen to imperative status. Our Cox Automotive Car Buyer Journey Study found higher digital engagement proved to build trust, save time and impact loyalty. In fact, new car buyers who are more likely to engage in automotive e-commerce tend to be more brand loyal.
The same study also found that the pandemic accelerated positive change in consumer satisfaction through the digital shopping experience. Nearly 3 in 4 new car buyers were satisfied with their car shopping experience, representing the highest satisfaction levels we’ve ever seen.? So now that car buyers have had a taste of how seamless and on-demand car buying can be, there’s no going back to the pre-pandemic way of purchasing.
Customers now prefer to shop and purchase a vehicle online. They like, want and expect digital retailing to stay — with two-thirds of shoppers more likely to purchase a vehicle 100% online today than pre-pandemic.?
Moving forward, OEM marketing strategies will need to leverage sites like Autotrader and KBB.com for branding actions at the top of the funnel to influence Make Model and Trim to influence the shopping journey. The ability to monitor audience actions through buying signals becomes essential for success. Platforms that can interpret those signals and use predictive technology to anticipate the consumer’s next move will win.
What’s changing in digital marketing technology and data privacy
So how do you reach the right customer at the right time with the right message? By tracking digital behavior and buying signals. Tracking and measuring is key to allowing digital marketers to deliver more relevant messages to the right audience.
But while digital retailing and more online activity is on the rise in the automotive industry, consumer concern over personal privacy and data is also on the rise.
The good news is that with the crumbling of third-party cookies, leaning into first-party data (the data that you own in your CRMs and other systems) is essential for digital marketing success.
First-party consented data (like users creating an account and logging in on a website) is the new foundation of audience segmentation and activation. Shifting from third-party (or cookie-based) audiences to consumer-first consented marketing is imperative to adjusting to the privacy-centric ecosystem.
And your shoppers don’t mind giving you their information either. 67% of new car shoppers find personal data collection acceptable if it’s from a website they trust.? As a best practice, make sure you are clear and forthcoming about what information you’re collecting and for what purpose. 73% of consumers are willing to share even more personal information if brands are completely transparent in its use.?
Team up with high-quality data partners
In addition to using your own data to build audiences and create digital marketing strategies, you should find meaningful partnerships with high-quality data providers. Look for data partnerships with companies who allow access to their walled garden and “share” first-party cookie information.
Cox Automotive has one of the highest-quality walled gardens of data in the automotive industry. We track car shopping behavior down to the hour with the ability to identify “ready-to-buy” shoppers who are 15 times more likely to buy than the average person in-market. We’re also able to correctly predict which make the shopper purchases over 91% of the time.
That’s the power of building meaningful, quality audiences specific to the auto industry.
The future of your digital marketing strategy
Your digital marketing strategy is all about using smart first-party data and leveraging quality partnerships to build high-quality audiences. That’s how you reach the right consumer at the right time on the right channel.
And if we’ve learned anything over the course of the last 18 months, it’s that empowering the shopper drives success. Shoppers are more satisfied when they can drive more of the shopping activities online.
Your marketing content and strategies should empower shoppers to feel confident in their decisions. They want to feel like they’re completely in the driver’s seat of the car-buying process — and we can help you get there. Visit CAMP 360 to learn more about how to build your digital marketing strategy with CAMP 360.
Estimated reading time: 4 minutes
A worldwide shortage of semiconductor microchips has created significant disruption in the automotive industry. With several OEMs slowing or temporarily stopping vehicle production, many are reconsidering marketing plans until supply normalizes. So, how do you best channel your efforts to reach the right customer at the right time during an inventory disruption?
How We Got Here
During the pandemic people across the world bought new electronics, but fewer new cars. The chip industry worked overtime to meet the demand for laptops and web cameras as more people were working from home. As consumers emerged from lockdown, their interest in new car shopping rose. The capacity to build new chips for cars fell behind, and now there are fewer semiconductors available to meet demand. With the average new vehicle using between 50 to 150 microchips, some auto industry experts say the shortage will last until 2022.
A Steady Flow of New Car Shoppers Continues to Build
From new jobs and growing families to car accidents or mounting repairs on aging vehicles, the life events that drive purchases haven’t slowed down. At Cox Automotive we see this interest in new car shopping on our sites. We calculated buying signals from approximately 39 million unique households just last month.? New consumer research from Kelley Blue Book indicates that new car shoppers are expecting limited choices and high prices due to the chip shortage. Even with a chip shortage, only about one-third of shoppers are likely to postpone their purchase.? The fact that in-market consumers are acutely aware of market conditions is likely energizing the automobile market.
Making the Most of Impressionable Moments
An old adage says a river is easier to channel than to stop. These inventory disruptions and supply constraints are a real-time issue, and OEM marketing budgets need to be more streamlined and efficient than ever. Kelley Blue Book consumer research shows that only 23% of new-vehicle intenders are willing to switch their purchase intention to a used vehicle, and fewer are willing to shift segments.? It’s most important to channel your energy to the most qualified, focused shoppers. Even during an inventory disruption, your shoppers are still creating impressionable moments, and it’s crucial to meet qualified new car buyers in these moments, staying connected and keeping a flow of engagement with those most interested in your brand.
Channeling Momentum Where It Matters
The imbalance of supply and demand is where tremendous market share opportunities come into play for OEMs that will accelerate and widen the gap between you and your competition when those factors normalize. Here’s a few key ideas to keep in mind:
Third-party sites keep you connected. We know that third-party sites continue to be the most popular online sources of information for new car buyers at the start of their purchase journey. With two-thirds of shoppers turning to Cox Automotive for advice, it’s clear that Autotrader and KBB.com play a crucial role in the flow of early shopper consideration.?
Focus on early consideration. That’s where marketing programs can channel your efforts to those early consideration shoppers. There is a long lead time to move shoppers from early consideration to purchase. According to our Buy-Through Rate Study, 62% of sales close after a CAMP 360 campaign period. We know that sales accumulate post-exposure, and CAMP 360 clients can expect more sales to come in as a result of the campaign.
Optimize and mind the inventory gaps. By connecting to in-market shoppers earlier and with stronger influencing signals and right time content, you can optimize the flow of sales connections along the path to purchase. Marketing programs, like CAMP 360, that can move quickly to adapt, adjust and meet your inventory needs.
Supplement supply with Certified Pre-Owned inventory. With limited new vehicle inventory, CPO supply provides another avenue for shoppers.On Autotrader, we are seeing an increase of site activity related to CPO shopping. Interestingly, CPO shoppers tend to cross-shop the same brand-new vehicles at a higher rate than used shoppers. The opportunity exists within the CPO category to keep your shoppers on-brand and in-market, especially during inventory disruptions.
Fixed Ops channels future vehicle consideration. The chip shortage also offers the opportunity to channel efforts into fixed ops and after sales campaigns. This can also act as an upstream marketing tactic for future consideration. One in ten lane visits result in the sale of a new car, and vehicle owners nearing major maintenance or repairs can be driven into new vehicle consideration.
If recent history has taught us anything, we know that with challenge comes possibility. The microchip shortage creates the opportunity to channel your marketing efforts and create a watershed moment of focusing more closely on your highest quality shoppers.
Learn more about how dealerships can navigate the chip shortage.
Estimated reading time: 4 minutes
It’s no longer “ready or not, here it comes.” The age of the electric vehicle has arrived. With the EV segment’s challenge to internal combustion engines, OEMs are at a tipping point to inform and educate consumers who are likely considering an electric vehicle for the first time. As OEMs race to introduce more and more new electric vehicle offerings, opportunities exist to close the gap between overwhelming choices and lingering consumer barriers to purchase through continued education.
Electric vehicle consideration is rising among new car shoppers
OEMs are still trying to uncover the winning strategy for gaining consideration in the segment’s evolving landscape. Sales volumes of electric vehicles are expected to increase sharply in 2021, with upcoming EV versions of America’s best-selling vehicles serving as a driving force of this growth. Electric vehicles are expected to double their share of the new car market by next year.
With more inventory, variety and affordability coming to the EV category, consumer awareness and consideration are rising as the benefits to own become more apparent. According to a 2019 study:
98% of electric vehicle considerers value ownership cost when considering buying an EV?
65% of these considerers think there are cost savings associated with charging an EV versus fueling a gas-powered vehicle?
54% of people considering an EV believe there are cost savings on maintenance?
Cox Automotive is seeing the spike in interest, with site traffic on Autotrader and KBB.com increasing within this segment as consideration rises. In fact, we’ve seen a 155% increase month-over-month in EV content consumption between February and March 2021 alone,?demonstrating the growing portion of our audience that is actively considering an electric vehicle. An integrated marketing plan promoting EV awareness can help OEMs create a credible, winning strategy during this critical early consideration stage. It’s an unprecedented opportunity to set their brand and model apart from shoppers’ many choices.
The charging point for unconvinced new car shoppers
While perception is positively shifting among electric vehicle considerers, there remains a portion of new car shoppers who are not yet convinced. The top obstacles to consideration for those potential buyers continue to focus on two key areas?:
Cost to own
Battery anxieties (charging time and charging infrastructure)
These common obstacles serve as evidence that shopping for an electric vehicle is inherently an upper funnel activity. Most shoppers are researching this segment for the first time. We know that third-party sites continue to be the most popular sources for information and education at the start and the end of a new car shopper’s journey. With approximately two-thirds of shoppers looking to Autotrader and KBB.com to help along the path to purchase?, we play an integral role in informing and educating this segment of new car shoppers. They seek out our quality content for vital information to relieve lingering concerns and lower the barriers to an electric vehicle purchase.
CAMP 360: Driving positive change among new car shoppers
CAMP 360, the premier Cox Automotive Marketing Partnership, stands at the intersection of technological advances and elevated consumer expectations to reach new car shoppers. This is especially important for a category like electric vehicles. Potential EV shoppers are looking for assistance at every step. CAMP 360 precisely targets these shoppers to offer the right educational and informative content they seek right when they need it. For the unconvinced shopper, we are continuing to evolve our editorial content. With almost 50 new electric vehicle articles in development in conjunction with Earth Day 2021, we will continue to find ways to create the tipping point to EV consideration.
Cox Automotive is charging into the future of electric vehicles. Together with our marketing partners, we have the opportunity to make car ownership more sustainable by advancing electric vehicle education and adoption, all while delivering the confidence consumers seek. We will continue to develop ways to work with our OEM partners who share our vision to positively impact our world.
Estimated reading time: 4 minutes
What a difference a year makes
For 11 years, the annual Car Buyer Journey Study, conducted by Cox Automotive (formally known as Autotrader Group), has analyzed new car buyer survey data to track trends in car shopping behavior over time. While COVID-19 has created widespread hardship in the last year, there is also a small silver lining for the automotive industry. The pandemic accelerated change in shopping efficiencies, making the new car buyer’s journey easier and faster than ever.
Car Buyer Journey Study reveals significant consumer shifts
How the pandemic affected new-car buyer satisfaction
Our study results found that nearly 3 in 4 new car buyers were satisfied with their shopping experience. That’s a 12% increase in buyer satisfaction in one year.1
Trends in time spent online and websites visited
Buyers spent 17% less time shopping online for their next new vehicle when compared to 2019. Because of this compressed timeframe, they also visited fewer auto websites during the decision-making process, with the average shopper only browsing 3.5 automotive websites.1
The role of OEM incentives and special offers from auto dealers in 2020
Buyers were more decisive last year because of the attractive deals and pandemic-induced incentives they were offered. Often, buyers searched for these deals on their own. On occasion, these deals found them through OEM advertising or dealers proactively reaching out with special offers.
So, now what?
As consumers are spending less time actively shopping online, how can you ensure that you grab their attention early and offer them concise, relevant information that leads to meaningful consideration? How can Cox Automotive programs, like CAMP 360, help you create those impactful connections?
Navigating the compressed car shopping journey
With these industry changes in mind, Cox Automotive commissioned a 2020 Nielsen Content Influence Studyto uncover content marketing’s influence and effectiveness across the entire car shopping process. The results were clear. Consumers heavily rely on content marketing to act as their “concierge” in the car buying process. Much like vacationers may rely on a travel agent to quickly narrow down hotels, excursions, and experiences to align with the traveler’s interests, content marketing is the new car shopper’s efficient means to make quicker decisions with confidence. The research shows that new car buyers have very positive sentiments toward content marketing:
An overwhelming 88% of new car shoppers use content marketing sources to research a new vehicle before purchase.2
80% of shoppers use content marketing to learn about automotive brands.2
85% of shoppers believe content marketing drove their brand awareness,2 with shoppers reporting that these sources were crucial to learning about specific vehicles.
To read the full findings of the 2020 Nielsen Content Influence Study commissioned by Cox Automotive, click here.
The role third-party sites play in your content marketing strategy
Interestingly, content marketing plays the most impactful role at the beginning and end of the purchase journey. In the shopper’s opinion, it’s most useful when learning about brands at the beginning of the shopping process and later when purchasing a specific vehicle.2
If you pair that with the Car Buyer Journey Study, we see that third-party sites continue to be the most popular online sources of information for new car buyers at the start and end of their purchase journey. That’s because buyers find the content on third-party sites to provide unbiased information that gives consumers an objective review of vehicle ownership. With two-thirds of shoppers turning to Cox Automotive for advice, it’s clear that Autotrader and KBB.com play a crucial role in guiding the entire new car shopper experience.1 Shoppers will increasingly rely on our content to provide assurance along the path to purchase. Autotrader and KBB.com will continue to act as the passengers sitting alongside consumers in the conversation for the entire journey.
1. Cox Automotive Car Buyer Journey Study – Pandemic Edition 2. 2020 Nielsen Content Influence Study Commissioned by Cox Automotive
Estimated reading time: 4 minutes
Digital marketing can be a lot like listening to an orchestra warm-up. You hear the beat from the percussion section and long notes from the strings floating in the undercurrent as the woodwinds and brass burst through, notes darting chaotically through the air. Haven’t we all had a dissonant online experience where ads and promoted content overlapped and battled for our attention?
What we considered for our symphony
With an orchestra conductor in place, the sounds are guided with a single focus. This person’s job is to set the tempo and shape the performance. Turning all the musical inputs into a single, concerted effort to create a melodic arrangement for the intended audience. Along the same lines, the Kelley Blue Book product team started 2021 by bringing hyper-targeted, one-to-one personalization to our KBB.com shoppers. We asked ourselves the following questions:
How can we shape the elements in our orchestra, from consumer insights and native ads to editorial content and brand trust, and arrange them for our audience?
What if we conducted the shopper experience to make sure they receive content based on relevance?
What if we serve content marketing on our site that’s music to their ears, so to speak, making them feel empowered, supported, and ready to take the next step in purchasing their vehicle?
Using insights to understand the key players
We knew that promoted content would play a pivotal role in this new onsite experience. Cox Automotive recently conducted a Content Influence Study through Nielsen, and the results were definitive. 77% of new car shoppers believe that content marketing is useful. 70% believe that it is valuable, and more than half believe this information is impartial and objective.1 This study also showed us that Autotrader and KBB.com lead as the top influential third-party sites, as users feel empowered by the trusted, unbiased and reliable content. Our websites, KBB.com and Autotrader, are often the first and last sites visited by new car buyers.2 Pairing these insights with the Nielsen Content Influence Study showed that content marketing is highly impactful at the exploring (beginning) and buying (ending) stages of the car buying process.1
Setting the tempo: Creating the all new KBB.com experience
With CAMP 360 as our “conductor,” we created the all-new KBB.com experience, combining our vast network of consumer insights with our site experience. Flexible native and branded ad units serve each guest a unique arrangement of promoted content specific to him or her. This new experience includes:
A personalized, streamlined experience that effortlessly gives the audience what they want
Better integration of native advertising to increase brand trust, improve page speed, and performance
An experience that allows OEM partners to differentiate their products and reach new audiences
These changes decrease the noise and make it easier for the shopper to focus on relevant content and go deeper into steps that lead them toward a purchase. Letting the shopper focus is producing positive results. In 2021, we have found shoppers spending 15% more time on KBB.com editorial content when compared to other automotive editorial sites.3 We’re also seeing double digit improvements to value creation on the site which is helping us meet our clients’ needs.
Encore!
We’re engaging new car buyers with more seamless real-time content marketing so that they find the vehicle that fits their lifestyle and checks their individual list of ideal features. By streamlining each new car buyer’s experience, we have found that shoppers are more likely to engage with OEM brands through valuable onsite activities, like visiting year/make/model/trim pages, submitting leads, and viewing listings. Through the end of January, we are seeing these results translate to sales. Total sales for Autotrader and Kelley Blue Book are up 8% year-over-year, in comparison with many of our competitors who have seen recent sales declines.4 We’re more effectively closing qualified shoppers, ultimately creating a better shopping experience for our audience and delivering more efficient marketing to our partners. And we’ll continue evolving to meet the right shopper at the right time with the right content. In the end, it’s really about reducing the noise and creating a beautiful arrangement for our audience.
1. 2020 Nielsen Content Influence Study Commissioned By Cox Automotive
