2016. Understanding the Automotive Path to Purchase. Newspaper Media Drive Automotive Sales 2016 . What media . influence . vehicle purchases in Canada. ?. Vehicle . advertisers . want to . know the facts about the market in Canada. . ID: 739468
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Newspaper Media Drive Automotive Sales2016
Understanding the Automotive Path to Purchase
Slide2Newspaper Media Drive Automotive Sales 2016
What media
influence
vehicle purchases in Canada
?Vehicle advertisers want to know the facts about the market in Canada. This study was created after consulting with industry experts and dealers to find out their needs.More than 2,400 online interviews were conducted in early 2016 and the results once again prove the power of newspaper advertising.This report focuses specifically on new vehicle purchasers*, a market worth more than $2.5 billion in Canada1.
1
DesRosiers
Automotive
Consultants
*also referred to as New Car Buyers in this report
Slide3Newspaper Media Drive Automotive Sales 2016
This follow-up survey on the automotive
p
ath to purchase confirms the effectiveness of newspaper media and explores the similarities and differences between two key demographic groups:
Boomers and Millennials.Seven out of ten New Car Buyers* read automotive ads in printed newspapers compared to 16% who read auto ads on social media.Newspapers continue to be the most influential media at all stages of the two-month vehicle purchase cycle.Newspapers should be used to drive traffic to automotive websites and to provide offline reach.
New Car Buyers are cross-platform newspaper readers.
Source: Totum Research, February 2016; *in the past 2 years
Slide4Online Panel
(yconic)
2,408 Canadians surveyed
467 buyers of new vehicles in past 2 years*
Study Timing
January/February 2016
National Scope
78% English / 22% French
Margin of Error
±2.0% at the 95% confidence level
Study Management
Totum
Research
Nationally Representative Sample
Men
50%,
Women
50%
18-34
: 29%,
35-54
: 37%,
55-64
: 16%,
65
+:
18%
West
31%,
Ontario 39%, Quebec 23%, Atlantic 7%
Study Design
* New Car Buyers in the past 2 years
Slide5Newspaper Media Drive Automotive Sales
Generational Divide
Source: Totum Research, February 2016; * New Car Buyers in the past 2 years
Together these two demographics represent
almost
two thirds (63%) of new vehicle buyers.
+
=
Boomers
have traditionally been the demographic group with the greatest economic impact.
Millennials
now make up the same size (in numbers) as the Boomers.
Slide6Newspaper Media Drive Automotive Sales Generational Divide
Millennials (age 18-34)
Grew up online – digital natives
Second largest group of new vehicle buyers
Average age 27Average household income $70,918
Boomers (age 45-64)
Money to spend and higher disposable incomes
Continuing to drive and are buying new vehicles
Average age
54
Average household income
$84,085
Source: Totum Research, February 2016
Slide7Automotive Purchase Cycle
New Car Buyer*
Boomer
Millennial
Source: Totum Research, February 2016; *in the past 2 years
Slide8Readership of Automotive Ads
Slide9New Car Buyers are Reading
Auto Ads in Printed
Newspapers
New Car Buyers* notice automotive ads in printed newspapers more than digital newspapers.
MillennialsTwo thirds (65%) of Millennials are reading the automotive ads in their printed newspapers.37% of Millennials read auto ads in digital newspapers.Boomers
Almost three quarters (72%) of Boomers are reading the automotive ads in their printed newspapers.Four in ten Boomers read auto ads in digital newspapers.
Source: Totum Research, February 2016; *in the past 2 years
Slide10New Car Buyers are Reading Auto Ads in Printed Newspapers
Source: Totum Research, February 2016; *in the past 2 years
** Non-Auto Websites
excluding newspaper, TV, radio, magazine, auto media sales and vehicle manufacturer, model and retailer sites
**
Slide11Social Media Usage
Source: Totum Research, February 2016; *in the past 2 years
Slide12Media Influence in theAutomotive Path to Purchase
Slide13Automotive Path to Purchase
Consumers navigating the automotive purchase process in today’s world are presented with an increasing number of options and media influences.
Stage 1
Considering vehicle purchase/lease
Stage 2 Researching options
Stage 3
Ready to make purchase decision
Slide14What Media Influence V
ehicle Purchasesin Canada?
Eleven different media were measured for influence at various stages of the automotive path to purchase.
Printed Newspaper
Newspaper Website (including newspaper-owned auto sites like Driving.ca, GlobeDrive.com, Wheels.ca, autonet.ca, auto.lapresse.ca etc.)
TV StationTV Station/Network
Website
Radio
Station
Radio
Station Website
Auto Sales Media
(publications/websites
like
Autotrader
, Kijiji etc
.)
Magazine
Magazine Website
Social Media
(Facebook, Twitter etc.)
Non-Auto/Other
Websites
(not
auto manufacturers or
dealers)
Slide15Media Influence in the Automotive Path to Purchase
60% of New Car Buyers* are influenced by newspapers in their auto path to purchase.
Media
are one
of the key drivers of influence during the auto path to purchase.Potential consumers move in and out of the various stages as they navigate their vehicle purchase.Almost half (47%) of all New Car Buyers* report being influenced by some form of media throughout the process.Source: Totum Research, February 2016; *in the past 2 years**Websites excluding Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^Autotrader
,
Kijiji
etc.
Slide16Media InfluenceStage 1 – Considering vehicle purchase/lease
New Car Buyers*
Boomers
Millennials
Newspapers
(print + digital)
37%
Newspapers
(print +
digital)
47%
Newspapers
(print +
dig.ital
)
39%
TV
(stations
+ digital)
35%
TV
(stations
+ digital)
35%
Auto Sales Media
(
eg
.
Autotrader, Kijiji)35%Magazines (print + digital)25%
Non-Auto
Websites**
24%
Magazines
(print + digital)
31%
In the early stage of the purchase
process,
many potential New Car Buyers start with a specific brand in mind. Newspapers top the list of media that influence both Boomers and Millennials at this stage.
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
Slide17Media InfluenceStage 2 – Researching options
New Car Buyers*
Boomers
Millennials
Newspapers
(print + digital)
37%
Newspapers
(print +
digital)
45%
Newspapers
(print +
digital)
38%
Non
-
Auto
Websites**
27%
Non
-
Auto
Websites**
26%
TV
(stations
+ digital)
27%
TV
(stations
+ digital)
25%
Auto Sales Media
(
eg
.
Autotrader
, Kijiji)
20%
Auto Sales Media
(
eg
.
Autotrader
, Kijiji)
24%
In stage
2,
potential New
C
ar
B
uyers are doing research into different manufacturers, brands and models. Less than a quarter of shoppers buy the first vehicle they research. Again, Newspapers top the list of media that influence both Boomers and Millennials at this stage.
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper
, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
Slide18New Car Buyers*
Boomers
Millennials
Newspapers
(print + digital)
34%
Newspapers
(print +
digital)
38%
Newspapers
(print +
digital)
32%
Non
-
Auto
Websites**
27%
Non-Auto
Websites**
30%
TV
(stations
+ digital)
29%
TV
(stations
+ digital)
26%
TV
(stations
+ digital)
29%
Magazines
(print + digital)
27%
In the final stage potential
New
C
ar
B
uyers
are ready to make their purchase. Decisions about financing and dealers need to be made at this stage. Newspapers top the list of media that influence both Boomers and Millennials, followed by
Non-
Auto
Websites**,
TV and Magazines.
Media Influence
Stage 3 – Ready to make purchase decision
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
Slide19Purchase Decision Making
Slide20Purchase Decision Making
In the final stage, when it is time to make the purchase decision, Newspapers (print and digital) are used by both Millennials and Boomers, with slight differences.
Boomers
– more likely to use Newspapers for:
General Information
Comparing prices
Deciding make of vehicle
Millennials
– more likely to use Newspapers for:
Photo galleries
Deciding where to buy/lease from
Making final purchase decision
Source: Totum Research, February 2016; *in the past 2 years
Slide21Automotive Purchase Decision Making
Newspapers are good for …
Source: Totum Research, February 2016; *in the past 2 years
Slide22Automotive Purchase Decision Making
Newspapers are good for …
Source: Totum Research, February 2016; *in the past 2 years
Slide23Automotive Purchase Decision Making
Newspapers are good for …
Source: Totum Research, February 2016; *in the past 2 years
Slide24Factors Influencing
Final Purchase Decision
%
Source: Totum Research, February 2016; *in the past 2 years
Slide25Price is a key attribute in the final purchase decision. Millennials are more
likely to be influenced by price than Boomers.There was no difference between Millennials and Boomers for
Size
or
Fuel Economy attributes.Although not a major influence, Colour influenced Millennials 28% more than Boomers.Factors Influencing Final Purchase Decision
Source: Totum Research, February 2016; *in the past 2 years
Slide26Driving Traffic to Automotive Websites
Slide27Who never visits these websites?
At what stage do visits occur?Which media trigger visits?
Driving Traffic to Automotive Websites
Source: Totum Research, February 2016; *in the past 2 years
Manufacturer Sites
Brand/Model Sites
Dealer Sites
Slide28Driving Traffic to
Automotive Manufacturer Websites
Auto manufacturers spend considerable resources building websites for potential customers. In today’s digital
world,
the manufacturer site is an essential sales tool.BUT some New Car Buyers will never visit those websites.
28% of recent
New Car Buyers*
20%
of
Millennials
32%
of Boomers
Source: Totum Research, February 2016; *in the past 2 years
Slide29When do New
C
ar Buyers* visit Manufacturer websites?
Stage 1
Stage 2
Stage 3
New Car
Buyers*
74%
45%
38%
Millennials
82%
49%
36%
Boomers
84%
53%
46%
Auto manufacturers need to engage with New
C
ar
B
uyers early in the process, when they are visiting their websites.
Driving Traffic to
Automotive Manufacturer Websites
Source: Totum Research, February 2016; *in the past 2 years
Slide30Newspapers
are the #1 trigger for sending traffic to manufacturer websites.
New Car Buyers*
Millennials
Boomers
Newspapers
26
30
30
TV
19
23
19
Radio
12
21
8
Magazines
17
22
17
Auto
Sales Media^
10
16
8
Non-Auto Sites**
15
17
10
Social Media
14
16
11
Driving Traffic to
Automotive Manufacturer Websites
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
%
Slide31Driving Traffic to Automotive Brand/Model Websites
30% of
New Car Buyers*
never
visit Automotive Brand and Model websites.Almost a quarter of Millennials, who are digital natives, don’t visit these websites.Boomers are 17% more likely to avoid these websites – 35% of them have never gone to Brand/Model websites.
✗
✗
✗
Source: Totum Research, February 2016; *in the past 2 years
Slide32When do New Car Buyers* visit Brand/Model websites?
Stage 1
Stage 2
Stage 3
New Car
Buyers*
49%
51%
32%
Millennials
52%
65%
33%
Boomers
58%
48%
38%
New Car Buyers are best engaged by brands early in the process – in Stage 1 for Boomers and in Stage 2 for Millennials.
Driving Traffic to
Automotive Brand/Model Websites
Source: Totum Research, February 2016; *in the past 2 years
Slide33Newspapers
are the #1 trigger for sending traffic to Brand/Model websites.
New Car Buyers*
Millennials
Boomers
Newspapers
25
31
27
TV
15
24
12
Radio
13
25
5
Magazines
15
24
9
Auto
Sales Media^
10
18
8
Non-Auto Sites**
14
21
3
Social Media
13
20
8
Driving Traffic to
Automotive Brand/Model Websites
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
%
Slide34Driving Traffic to Automotive Dealer Websites
Newspapers are an essential component of the automotive path to purchase for Dealers.
A third (32%
) of New Car Buyers* never visit a Dealer website.
Boomers need to be engaged online AND offline – 40% of them will never visit a Dealer website. Despite a preference for “all things digital”, a quarter (24%) of Millennials do not visit Dealer websites.
✗
✗
✗
Source: Totum Research, February 2016; *in the past 2 years
Slide35When do New Car Buyers* visit Dealer websites?
Stage 1
Stage 2
Stage 3
New Car
Buyers*
23%
20%
34%
Millennials
31%
31%
40%
Boomers
18%
16%
25%
Driving Traffic to
Automotive Dealer Websites
Dealers need to be engaging with New Car Buyers throughout the entire path to purchase. Millennials needs to be engaged early with additional focus in the final stage. Boomers are less likely overall to visit dealer
websites,
but the final
stage
is critical.
Source: Totum Research, February 2016; *in the past 2 years
Slide36New Car Buyers*
Millennials
Boomers
Newspapers
17
22
16
TV
13
23
7
Radio
11
18
4
Magazines
11
20
9
Auto
Sales Media^
9
15
8
Non-Auto Sites**
8
14
4
Social Media
13
16
11
Driving Traffic to
Automotive Brand/Model Websites
Newspapers
are the #1 trigger for driving Boomers to Dealer websites.
Millennials
are influenced by multiple media, including TV, Newspapers and Magazines.
Source: Totum Research, February 2016; *in the past 2 years
**Websites
excluding
Newspaper, Media
and Auto Manufacturer, Model and Retailer sites ^
Autotrader
,
Kijiji
etc.
Slide37Cross-Platform Readership
Slide38New Car Buyers* are dedicated newspaper readers, across all platforms.
Phone and print are the top reading platforms for New C
ar
B
uyers.Newspaper access is multi-platform. A third of New Car Buyers (32%) read on ALL FOUR platforms.
New Car Buyers are
Cross-Platform
Newspaper Readers
Totum Research;
Canadians age 18+, weekly readership, February 2016
*in the past 2 years
Nine of ten (89%)
New Car Buyers* read a newspaper on any platform each week.
Slide3989
Newspapers Reach Nine of Ten
New Car Buyers
Desktop/Laptop
readership adds
15% more reach to p
rint
readership. Add the
p
hone platform to reach an additional
10% of New
Car Buyers and tablet
to reach another 3%.
%
Any Platform
Totum Research;
Canadians age 18+, weekly readership, February 2016
*in the past 2 years
Slide40Newspapers Reach New Car Buyers on All Platforms
New Car
B
uyers*
read newspapers on multiple platforms. New Car Buyers index highest for tablet readership.
%
89%
Any Platform
87%
Any Platform
Totum Research;
Canadians age 18+, weekly readership, February 2016
*in the past 2 years
Slide41– reading peaks at breakfast and
strong after dinner
Desktop/Laptop
– morning and evening peaks
Phone
–
primary platform through the day
Tablet
– peaks at breakfast and strong again after dinner
Newspapers Reach New Car Buyers Throughout the Day
Totum Research;
Canadians age 18+, weekly readership, February 2016
*in the past 2 years
Slide42Newspaper Media Drive Automotive Sales 2016
Seven out of ten New C
ar Buyers* read auto ads in printed newspapers compared to
16%
who read auto ads on social media.Newspapers continue to be the most influential media at all stages of the two-month purchase cycle.Newspapers should be used to drive traffic to automotive websites and to provide offline reach.New Car Buyers are cross-platform newspaper readers.
Totum Research;
Canadians age 18+, weekly readership, February 2016
*in the past 2 years
Slide43Appendix
Slide44Sampling – Markets Measured
Greater Vancouver Regional District (GVRD)
Greater Toronto Area (GTA)
Greater Montreal
Calgary Region
Hamilton
Quebec City Area
Greater Edmonton
St. Catharines
Gatineau
Winnipeg Capital Region
Niagara
Saguenay
Regina SK
Kitchener
Sherbrooke
Saskatoon SK
Cambridge
Trois-
Rivières
Victoria BC
Waterloo
Rest of Quebec
Kelowna BC
London
Abbotsford-Mission BC
Ottawa
Rest of Western Canada
Kingston
Peterborough
Halifax Regional Municipality (HRM)
Oshawa
St. John's NL
Brantford
Moncton NB
Guelph
St John NB
Windsor
Rest of Atlantic
Barrie
Greater Sudbury
Thunder Bay
Rest of Ontario
Slide45Questionnaire WordingWhich of the following media would you say influenced the
[stage of your car buying process]? Please check all that apply.
Printed
Newspaper
Newspaper Website (including newspaper-owned auto sites like Driving.ca, GlobeDrive.com, Wheels.ca, autonet.ca, auto.lapresse.ca etc.)TV StationTV Station/Network WebsiteRadio StationRadio station WebsiteAuto Sales Media (Publications/websites like Autotrader, Kijiji etc.)MagazineMagazine WebsiteSocial Media (Facebook
, Twitter etc.)Non Auto/Other Websites (not auto manufacturers or
dealers)
None
of the above
Slide46Questionnaire Wording
Websites
Auto Manufacturer Site
Auto Brand or Model Site
Auto
Dealer Site
Printed Newspaper
□
□
□
Newspaper Website
(
including newspaper-owned auto sites like Driving.ca, GlobeDrive.com,
Wheels.ca,
Autonet.ca
, auto.lapresse.ca etc.)
□
□
□
TV Station
□
□
□
TV Station/Network Website
□
□
□
Radio station
□
□
□
Radio station website
□
□
□
Magazine
□
□
□
Magazine Website
□
□
□
Publications or websites like Autotrader, Kijiji etc.
□
□
□
Social Media e.g. Facebook, Twitter etc.
□
□
□
Other websites - not auto manufacturers or dealers
□
□
□
Never visit site
□
□
□
Which of the following media trigger you to visit each of the listed websites? Please check all that apply for each website.
Slide47Newspaper Media Drive Automotive Sales2016
Understanding the Automotive Path to Purchase
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