Officials highlighted the results of this study affirm for the first time many common perceptions among the BHPH community about the priorities and behaviors of BHPH customers.
There are also findings about their Internet usage as well as the amount of research BHPH shoppers are conducting prior to visiting a dealership.
Finally, NABD and AutoTrader.com identified key messages that BHPH dealers can focus on to more effectively target their advertising and influence BHPH shoppers during the shopping process.
Conducting Research Prior to Visiting Dealership
According to the study, 81 percent of BHPH vehicle buyers said they performed either “some” or “a great deal” of research as part of the vehicle shopping process before going to a dealership, compared to the 19 percent who stated they conducted “very little” research.
Regularly Using the Internet
Study orchestrators indicated BHPH shoppers use the Internet as much as traditional shoppers for general purposes. However, they noticed BHPH buyers do not use the Internet for vehicle shopping as much as traditional car buyers.
With four out of five shoppers conducting research prior to visiting a dealership coupled with the high percentage of BHPH customers already online, NABD and AutoTrader. Com explained the implication is that there is an opportunity for BHPH dealers to reach and influence BHPH shoppers by tapping into the online automotive space with advertising messages and information that resonate with the BHPH consumer.
Aligning Advertising with Unique Needs of BHPH Shoppers
NABD and AutoTrader.com reiterated that the need for financing approval drives the vehicle shopping process for BHPH shoppers. In fact, nearly two out of three BHPH customers enter the vehicle shopping process with securing financing and/ or identifying a dealer as their first priority.
While this information is in line with what the BHPH industry has long suspected, study showed that the key is for operators to align their advertising messages with the shopping priorities of their customer base.
“Effectively communicating the right messages in your advertising may dramatically improve the chances of turning a shopper into an actual customer,” officials said.
As a result, BHPH dealers can consider using messages like, “We Can Help You Rebuild Your Credit.”
Officials added, “Just be sure that if you advertise this message, then follow through on it. Also, don’t forget to vet this message with your legal counsel.”
KEY MESSAGES TO COMMUNICATE
NABD and AutoTrader.com wrapped up their study analysis with three recommendations, including:
Focus on Approval
Since approval is BHPH shoppers’ No. 1 concern, messages about financing approval should take precedence in BHPH dealer advertising — both online and offine.
Talk about Speed of Process
When making a dealership selection, many BHPH shoppers are interested f nding a dealer who can handle the vehicle purchase process quickly, according to the study. The good news is that 83 percent of BHPH dealers complete the buying process in two hours or less. As a result, this message is an important one to include in your advertising. For example, “get your car in less than two hours.”
Consider Reporting Customer Payments to Credit Bureaus
Officials noted only 37 percent of BHPH customers’ payments appear on their credit report. However, the study showed 63 percent of BHPH customers would like their payments reported.