In the auto industry, the HIspanic consumer is a subject of much speculation. People constantly pose questions such as: What is their purchase process? What is the best media strategy to reach them, and how do they consume media? What are the objective groups as defined by category within the industry? What is the dynamic among HHI consumers making $50K y +$75K, and those that have lower HHI? What is the importance of sales strength and sales materials in the bilingual concessionaire? What do Hispanics think of leasing? And on and on.
This will be the first article in a series on the auto dealership industry, and in this first article I’ll address the first question.
When a consumer considers buying or upgrading his car, he goes through 5 phases:
1. Definition: the consumer begins a process of examining his needs and desires (whether, for example, he needs a car for personal, family or work reasons, or all of the above). In this stage, the consumer begins to focus on information about the auto industry.
2. Information: in this stage, the consumer beginsto pre-select certain makes and sub-categories (i.e, Sedans vs. SUVs), price ranges and styles. In this stage, the consumer spends a lot of time online researching, whether alone or with family and friends, and on sites like MyAutomovil.
3. Comparison: the consumer is still researching cars, mainly online, to compare and have quick access to information, along with some TV and Tier 2 print media. The consumer begins searching for promotions, discounts, the “big deal”.
4. Consulting: at this phase, the consumer already has his pre-selection, an idea of what suits his needs, but he is still looking for support, opinions, user reviews, and to a lesser extent, the opinions of friends and family. Digital media is essential in this stage, since the consumer is looking for impartial information from his social circle.
5. Purchase: at this stage, the cosumer is focused on test drives, and is still looking for good deals, almost ready to make his final decision.
Next week I’ll address the question, What is the best media strategy to reach Hispanics, and how do they consume media?
This post is also available in: Spanish