Luxury Study 2.0 – Opportunities to Grow the Luxury Market
Luxury Brands can differentiate with the consumer experience
Retain Owners – one-third of luxury vehicle owners are open to considering non-luxury for their next vehicle
Luxury brands have an opportunity to grow by reaching those shoppers who are “on the fence” by showing the value of the luxury brand experience
Shoppers view luxury and non-luxury vehicles similarly based on interiors, despite the pricing differential
When it comes to advertising, consider highlighting the interior features that resonate most with shoppers
> Interior attractiveness is driven mainly by paneling and seats
> Warranty and dealership experience are significantly more important to luxury shoppers
Behavioral data and consumer insights help drive a more customized approach
Approaches to personalized marketing at their company according to senior marketers in the U.S. and Western Europe.
- Use data extracted from loyalty and customer value programs to create relevant personalized offers 69%
- Use behavior-based data to develop the right content based on insights and emotions 97%
- Use customer data to create individualized content and offers on a channel-specific basis 64%
- Integrate customer data to create individualized content and offers by demographics 61%
- Use customer data to create targeted content and offers by demographics 52%
- Use demographic categories to create at least some level of personalization for unidentified prospected customers 37%
As the automotive industry undergoes transformational change, old assumptions about consumer habits are being challenged. Looking at the latest automotive industry data and recent Google Consumer Survey results, here are the three most pronounced shifts.
The three trends are:
1) People who use car-sharing also buy cars
2) Consumer behavior us changing – and video is leading the drive
3) Bold brands think digital first
Disruptions getting a lot of attention: urbanization, gen z/millennials, sharing economy
Implications & Considerations: industry implications, dealer/OEM considerations, COX Automotive considerations.