Targeting techies is an important marketing strategy for automakers, according to a study released today by J.D. Power.
The company’s 2015 U.S. Automotive Media and Marketing Report -- Summer edition found that 30 percent of new-vehicle drivers cited their vehicle’s latest technology as a reason for purchasing.
J.D. Power has released the report twice a year since 1987, but this is the first time respondents were asked about technology features as a reason for purchase.
Among luxury-brand new-vehicle drivers, 43 percent said cutting-edge technology features influenced their purchase. Lincoln, Infiniti, Cadillac and Audi drivers had the highest proportions of respondents who cited technology features as a reason for purchasing.
Among nonluxury-brand new-vehicle drivers, 28 percent were looking for the latest technology. Mazda, Buick and Chrysler drivers were the most interested in technology when deciding on a vehicle.
“Targeting these technology seekers with the right messaging is critical to using marketing dollars effectively to reach consumers who will actually buy new vehicles because of technology,” Arianne Walker, J.D. Power’s senior director of automotive media and marketing, said in a statement today.
Forget demographics
It’s not just millennials who are demanding state-of-the-art technology.
“Not all young people care about technology, and it’s not only young people who care about technology,” Walker told Automotive News.
Respondents age 34 and younger sought the latest technology in a new vehicle at the same rate as those 55 and older, with 31 percent of each age group showing interest in technology.
“Demographics are not the right guide for marketing … automakers need to tell precise stories in precise locations,” Walker said.
The figures are based on a survey of 28,983 principal drivers who purchased or leased vehicles within the past year. The survey was conducted between November 2013 and October 2014.
Media consumption
New-vehicle drivers looking for the latest technology tend to consume media at high rates, J.D. Power found in the study. Those drivers spend more time on the Internet for personal use, watch more TV and read more magazines than those who aren’t concerned with a vehicle’s technology features.
Overall, magazine readership rose since the previous year, with new-vehicle drivers reading an average of eight magazines regularly. New-vehicle drivers interested in technology features are even more likely to read a magazine via an app.
Drivers age 34 and younger aren’t watching as much TV as their parents. Those young, new-vehicle drivers are watching only about 20 hours of TV a week, while those age 55 and older are watching an average of 35 hours a week. Drivers age 35 to 54 reported watching an average of 24 hours of TV a week.
“A majority of new-car drivers are still baby boomers, so TV is still an important medium, but automakers can take some of those dollars and place it in the growing online and magazine medium,” Walker said.
Technology-seeking drivers of all ages, however, are watching an average of 33 hours of TV a week, citing “The Walking Dead,” “The Big Bang Theory” and “The Voice” as some of their favorite shows.
Whether they’re watching TV or not, an overwhelming portion of new-vehicle drivers are on social media. Close to 70 percent of all new-vehicle drivers said they use social media websites or apps, with Facebook rating as the most popular social media site. LinkedIn and Pinterest were also popular among the drivers J.D. Power surveyed.
