Car dealers who underestimate their female shoppers do so at their peril
The auto industry has typically been considered to be a male-dominated sector for decades.
From the production line to auto service to dealerships, the automotive sector was primarily a man’s world — however, the industry is changing and evolving, and so are consumer buying habits.
In fact, it has been regularly cited that women influence 80 per cent of auto purchase decisions.
Women control well over half the spending in many households and are the primary decision makers for consumer goods in 85 per cent of households in the United States, according to Marti Barletta, the author of Marketing to Women.
Catalyst, an international non-profit organization focused on workplace inclusion for women, highlights that in 2013, women controlled $29 trillion in consumer spending worldwide. By 2018, earned income of working women will increase by about $6 trillion globally.
Knowing this, what can car dealerships do to influence the buying outcome when a woman is in the showroom?
Women have a different set of priorities and react differently than men, according to Barletta. Men simply want the transaction to take place, while women tend to research more to find products that better suit their needs.
Men may be more impressed with the product and the features, but women are more in tune with how the product will suit her needs and how she can utilize the features to make her life easier. All in all, Barletta suggests that women buy differently from men because they tend to spend more time researching all the different options available.
“Research” in the twenty-first century can come in many forms. Consumers can turn to automotive sites, and forums are good outlets to ask questions anonymously or they can simply talk with their friends and family to compare different models.
But more often than not, the first point of contact and the person who should be answering questions with informative and thoughtful answers is you — the dealer.
Buying a car is a huge investment, one of the biggest most Canadians will make in their lifetimes. Some women are looking for turbocharged engines and rally cars, while others may prioritize fuel economy and safety features — it’s the job of the dealer to create a relationship to find out what drives the target audience.
In an article for Forbes Magazine, author and public speaker Bridget Brennan highlights that women have a “multiplier effect” because they are primary caregivers for children and the elderly in almost every society and therefore purchase on behalf of their entire households. According to Brennan, women also tend to have higher expectations for customer service.
Taking that time to find out what a customer’s needs are and creating that relationship is key to any successful transaction; but determining a woman’s motivating buying point and personalizing your service to find a suitable vehicle for her lifestyle can be more effective than a two-minute elevator pitch.
Some questions to consider (and answer) as a car dealer are:
How will the vehicle benefit her life? Would it make her life easier? What stage of her life is she at? What is her priority when purchasing a vehicle?
“Thinking pink” isn’t necessarily the best strategy — more often than not, women know a lot more about cars
than men do.
The bottom line is that women want what everyone wants out of a dealership — good service and transparency. As auto dealers, it’s important to keep in mind that she may be the one (figuratively and literally) controlling the purse strings.
