Auto Buyers Consumer Journey Whitepaper Microsoft Advertising Intl

8/12/2019 Auto Buyers Consumer Journey Whitepaper Microsoft Advertising Intl

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INFLUENCES & MINDSETS ALONG

THE PATH TO PURCHASE

JOURNEY:

AUTO-BUYERS


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Executive summary ............................................................................................................. 3

Introduction ............................................................................................................................. 4

Methodology ............................................................................................................................ 5

Market overview .................................................................................................................... 6

Journey model ......................................................................................................................... 7

Te ecosystem o influence ............................................................................................11

Ready, set, drive ....................................................................................................................12

01 Open to Possibility ............................................................................................12

02 Decision to Change ..........................................................................................12

Influencers and mindsets along the journey......................................................14

03 Evaluating ................................................................................................................14

04 Shopping: Te errain ....................................................................................17

04 Shopping: Te Car & Te Deal ................................................................23

05 Experiencing ..........................................................................................................27

Reach and engage consumers ......................................................................................30

CONTENTS


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1. Consumers across markets experience fivedistinct stages as they travel along the autopath to purchase, and digital media playsa critical role at each stage.

2. US consumers move through the pathwith relative ease due to a long legacy ohome-grown industry knowledge. But manyconsumers experience switchbacks to earlierstages, based both on unique cultural andinrastructural realities, as well as needs thatgo unulfilled by media and technology.

3. Most consumers establish their considerationset by determining the best fit or their currentliestyle. Marketers should leverage contentsuch as op en Family Cars or Best CityVehicles to help consumers establish theirearly fits beore they embark on heaviereliminate-and-compare research.

4. Consumers seek ways to avoid switchbacksto earlier stages o the journey through acombination o authoritative content, expertreviews, consumer opinions and local dealer

inormation across PCs, tablets and mobilephones. Marketers should consider ways tohelp consumers triangulate and store theirresearch to keep it accessible at home, at workand on-the-go.

5. Consumers seek enrichment opportunitieswhere they can experience the car beore theyget to the dealership. Rich media, video andinteractive gaming can bring the test driveexperience and eeling o driving the car aliveand oster more confidence beore consumersinteract with dealers.

6.Consumers are more likely to purchaserom a dealer they like, but there are myriadopportunities to enhance the dealershipexperience through touch screen technologyand ongoing mobile communication.

7. Consumers who personalize their vehiclepost-purchase, via mobile apps andcommunication technologies, are more likelyto become loyal advocates or the brand.Marketers should leverage the window oopportunity afer a new purchase to encourageconsumers to ully integrate mobile andin-car technologies.

8. While knowing where consumers go orinormation is a critical part o media

planning, marketers who understand theemotional or unctional needs o consumersat each stage in the journey will be betterable to develop effective messages acrossmedia channels that build brands and enabledecision simplicity.


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From amous movie stars leaping intogetaway cars to beloved childhoodcartoons that bring vehicles to lie, the

iconic imagery o the automobile has been withmost o us since our earliest memories. Carsevoke reedom, liestyle, status and mobility.And or many consumers, they represent one othe biggest purchase decisions they make overtheir lietimes. But while our grandparents hada finite and well-known set o influences whenpurchasing a car, its a different story today.

Te prolieration o digital channels is reshapingthe way consumers make purchase decisions;they take more time, complete more research,and travel through more points o influence thanever beore. As a result, consumers are aced

with an overabundance o inormation, whilemarketers are also acing new challenges: howto engage their audiences at the most relevantpoints o influence.

At Microsof Advertising, we believemarketers can get closer to consumers in amore meaningul way by gaining a deeperunderstanding o consumer needs throughouttheir journey, and how digital channels canmeet those needs.

For Te Consumer Journey: Auto-Buyersstudy, we partnered with Ipsos Media C andIposo OX to transorm the traditional salesunnel into a consumer-centric model, onewhere consumer behavior and need-statesdrive marketer opportunities and solutions.Te Consumer Journey: Auto-Buyersaddresses the ollowing questions:

How do consumers travel along the pathto purchase?

What points o influenceincluding media,activities and other peopledo consumersencounter when researching cars?

How are local markets unique? How can

manuacturers in emerging markets suchas Brazil and India start to create brandequity with a large and influential emergingmiddle class?

What types o interactions trigger specificoutcomes, such as making a purchase, sharingrecommendations or experiences with a riend,going to the dealership or changing long-termassociations with brands?

What emotions and consumer need-states

are involved when people are considering carbrands, researching, searching or discussingautos with their riends and amily?

Where are the gaps in the journey? At whatpoints do consumers need help, and what arethe opportunities or specific platorms to assistin making the process smoother?

When I first drove, the car was everything.

It meant reedom.Female, US


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M

icrosof Advertising partnered withIpsos Media C and Iposo OX overa five-month period rom February

to June 2012, leveraging both quantitativeand qualitative methodologies to uncover theinfluences, behavioral themes and mindsets oconsumers as they make buying decisions oreconomy and mid-size cars.

Te first stage consisted o qualitative andconsumer-led discussions, where we sought tounderstand each individual purchase journey,while exploring influences in terms o people,place, content, media and devices. With 12-16 in-depth interviews in each countryBrazil, India,

the UK and the USwe uncovered the patternso decision-making with a unique emphasison emotions, behaviors and triggers or actionthroughout the path to purchase. We ollowed upwith consumer online diaries, where we trackedand validated behavior over the ollowing month.

For the quantitative segment, we built aquestionnaire or a panel o 1,000 consumers ineach market (Brazil, India, UK, US)* where we

mapped the influences, triggers and emotions ateach step along the path to purchase. Tis enabledus to draw out the influencers and milestones, andsubsequently quantiy the channels, people andbrand experiences along the journey in order toidentiy successul connection points, as well asgaps where opportunities or interaction betweenmarketers and consumers could be improved.

QUANTITATIVE AND QUALITATIVE:

BRAZIL, INDIA, UK & US

* Quantitative Sample = 1002 (Brazil), 1022 (India), 761 (UK), 1106 (US); +/- 3.10% (Brazil),3.07% (India), 3.55% (UK), 2.95%(US) at the 95% confidence level.


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OVERVIEWBRAZIL, INDIA, US & UK

More than 60 million passenger carswill be produced in 2012, according tothe International Association o Auto

Manuacturersthats 165,000 new cars on themarket every day. And much o that growth isdriven through emerging markets.

In Brazil, where business is thriving and

the emerging middle class is acquiring newconsumption patterns, the automotive industryhas beaten its orecast or five years running.*But we ound that overall cost considerations,including uel consumption, availability o partsand ease o maintenance are all still significantactors in choosing a car. Te eeling orexperience o driving was also critically importantto the consumers we spoke to, more so than theimage the car projects.

India, where local sales are up 7% this year**,

is reaching the very first stages o massmotorization. For middle class consumers, weound that image is importantand so is theeeling o driving the right car. As one consumerput it, cars define you in the same way thattechnology does. Perhaps not surprisingly ina market where the tech industry is booming,the desire or new and better eatures is morepredominant in India than in other markets(39% vs. a global average o 33%).

Te United States and the United Kingdom,where markets are more saturated, offer acompelling contrast. Te homegrown USautomotive industry carries a long brand lineage,and average consumers have bought and ownedcars or several generations. Troughout UShistory, commercial content and Americanliterature have associated cars with reedom,

rugged individuality and the myriad optionsavailable on the open road (Whither goest thou,America, in thy shiny car in the night? JackKerouac, On the Road).

Despite a reduction in car manuacturing in theUK, commercial auto imagery is still associatedwith classic, urbane stylethink James Bondand ofen drenched in sex appeal. But petrol andtariffs are high, and the UK consumers we spoketo tended to take a slightly more hesitant path topurchase as a result.

* Brazils Record Car Sales to Continue, Te Rio News, January 2012** India Car Sales Rise 6.7%, Te Wall Street Journal, August 2012

I saved rom my first job in a fish and chip shop tobuy my first carand was very proud o mysel!Female, UK


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THE RIGHT FIT FOR WHERE YOU ARE NOW

Cars are a major purchase or mostconsumers and demand a rationaldecision-making process, but we ofen

underplay the emotional actors that persistthroughout the journey. In established marketsin particular, people start out with pre-conceivedideas and brand preerences that are difficult tochange. But consumers still eel pressure to workout what they want and how they approach thebuying process.

Te Consumer Journey: Auto-Buyers researchreveals five key stages on the path to purchase.Te first three stages build clarity, and the last twobuild confidence. Both the clarity and confidenceneed-states have a dynamic range that varies bycountry, rom clarity to conusion, and then romconfidence to uncertainty.

Each stage contains at least one phase that is specific to the automotive category, described overlea.


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When I firstdrove, the carwas everything.It meantfreedom.

Female, US

DECISION TO CHANGE

MOTIVATION

Over time, a consumers new car becomes hiscurrent car. Some purchases are driven by theage o the car, while or some, the motivationto purchase a new car is linked to a lie-change:the birth o a child, a new job in a new city orthe reedom o becoming an empty nester. Veryoccasionally the motivation may be the strongdesire or a specific cara desire that can bedriven purely through advertising.

OPEN TO POSSIBILITY

CURRENT STATE

From what our parents drove and what weveowned in the past, to the influence o glossyadvertising campaigns, cars are everywhereand every encounter we have with them shapesour perceptions. Some consumers, especiallyin developed markets such as the US and UK,have established solid brand preerences overthe course o their lives, which help them movethrough their auto-buying journey aster andwith more certainty. Other individuals mayapproach car buying in a more open way.Tis openness, however, can ofen prolongthe process.


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SHOPPING

Te Shopping or In-store stage happens in a

unique manner or car buying. Most o theeliminate-and-compare activity that consumersnaturally exhibit when researching purchaseshappens online, well beore people make it tothe dealership. Tree phases make up this stageor auto buyers.

THE TERRAIN

In Te errain phase, consumers commit tobuying a new car. Teir consideration set isbased on experience, trusted recommendations,

advertising and some light research. Somemakes and models will not be the right fit andconsumers will eliminate these quickly. Afera bit more light exploration, theyre down toa smaller group. At this point, the real workbegins: a compare-and-contrast task based onmore detailed specs, reviews, seeing the vehiclein person, andor a ewan early test drive.

THE CAR

At this point, consumers are ocused on theone. Teyve narrowed the choice down to acar, specification and options. For some,Te Car phase comprises planning negotiationtactics and knowing where to compromise.Others are determined to hunt down the oneideal car at exactly the right price.

THE DEAL

Ideally, the consumer wants to go to the

dealer to buy a specific car, armed withall the acts that he or sheneeds to get the best pricepossible. He or she willwant to meet his or herobjectiveand then getout as ast as he or she can.

EVALUATING

WORLDVIEW

In the Worldview phase, there are generally our steps that theconsumer has to work through: confirming i he or she is goingto buy a new car, working out what he or she wants rom a newcar, determining how he or she is going to make the decision, andestablishing a level o brands or models. Tose with solid brandpreerences or past experience get through this stage quickly andeasily, but most consumers have trouble with some, or all, o thesesteps. In some cases, it may be difficult or the consumer to workout how to get the inormation needed to move on to the next stage.

I use the Internet for all kinds

of information online.

Male, Brazil


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EXPERIENCING

OWNERSHIP

Te final stage o the consumer journey is ocused on the car, howit perorms and how others react to it. More than ever, consumerspersonalize their vehicles through technology, and ofen discoverunexpected eatures that can drive their advocacy, such as integrationwith their smartphones via apps and other technologies. Tis is whereconsumers not only determine their personal satisaction with thevehicle, but also seek out external post-purchase validationthrough reviews, riends, amily and even media.

CLARITY & CONFIDENCE

Te ollowing figures (clarity, then confidence) are derived rom market-level indexdata, where 100 is average.

COUNTRY WORLDVIEW ELIMINATE COMPARETHE CAR &

THE DEALOWNERSHIP

CLARITY/CONFIDENCE

BRAZIL 92/92 109/93 93/99 100/102 104/112

INDIA 86/90 105/95 104/102 103/102 102/108

UK 90/91 88/92 98/99 102/99 119/116

US 80/80 99/94 96/91 114/120 109/113


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If Im honest,

Im driven and

infuenced bymedia more than

Id like to admit.Female, UK

At each part o the journey described above, we highlight the influencers at play, as wellas the consumer mindset.

EffectivenessTe outer-ring o the bubble shows the degreeto which an influence has a lot o influence vs.a little influence at this stage (more complete= more effective). Te size o the bubble isdetermined by the ollowing data:

70% and above = more coverage from outer ring

55-70% = middle-weight coverage from outer ring


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, ,01 OPEN TO POSSIBILITY

02 DECISION TO CHANGE

Cars to me are more than transportation. Tey define you as person.Male, US

CURRENT STATE & MOTIVATION

In the US, consumers generally begin their

journey with more clarity than people inother markets. Assessing what they wantand what else is available is relatively quickand painless. American consumers are used to

eliminating the cars that dont eel right beore

they begin comparing and contrasting a shortlist.Tey are subsequently able to ocus on a narrowconsideration set and hunt down the best caror them.

We asked our consumers how they would rate their levels o knowledge, interest andunderstanding at the very start o the journey. Heres how they compare:

WHERE THEY BEGIN

29% 40% 35%

34% 40% 60%

36% 54% 47%

48% 50%55%

* top 2 box

KNOWLEDGE* CONFIDENCE*INTEREST*


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PURCHASE CONSIDERATIONS

In other countries, personal actors (i.e.

increase in wealth, changing amily dynamic,change in commute, etc.) tend to weigh moreheavily on the decision-making process thanin the US. Tis comparative lack o extraneousconcerns is another contributor to the smootherconsumer journey we see in the US relative to theother countries examined.

A consumers current state and motivation drive

the first two stages o the journey, and these tendto be very specific to an individuals circumstance.As a result, well ocus on influences during theEvaluating, Shopping and Experiencing stages.

, ,01 OPEN TO POSSIBILITY

02 DECISION TO CHANGE

IN BRAZIL AND INDIA, ALMOST EVERYTHING IS TAKEN INTO CONSIDERATION

...WHEREAS IN THE US AND THE UK, AUTO-BUYERS FOCUS ON FEWER FACTORS

Av. number of factors

considered important 9.88.7 11.1 11.2

Fuel efficiency

Safety

Price/payment

Performance

Warranty

Body/style

Brand

Specific models/options

Innovation & tech

Green/environment

Stereo equipment

Location of dealer

GPS/navigation

Hybrid technology

Hands-free mobile tech

Voice command tech

89%

89%

88%

84%

83%

81%

75%

70%

57%

40%

50%

42%

39%

32%

39%

26%

85%

82%

83%

76%

76%

72%

61%

59%

47%

39%

41%

44%

31%

26%

30%

19%

91%

91%

90%

87%

87%

74%

75%

69%

75%

66%

53%

56%

53%

62%

43%

41%

85%

85%

80%

84%

81%

77%

75%

73%

73%

68%

62%

60%

58%

63%

55%

43%


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MINDSETS ALONGTHE JOURNEY03 EVALUATING

WORLDVIEWHOW CONSUMERS NAVIGATE THE JOURNEY

Consumers in the Worldview phase make our key decisions:

1. Tey confirm that they are going to buy a new car.

2. Tey determine what they want rom a new car.

3. Tey decide how theyre going to make their decision.

4. Tey establish a base consideration set o brands and models.

his early stage is critical or automobilemarketers. For consumers, anticipation isthe dominant emotion here, although its

ofen tinged with some regret at the passing o

their current car and, in some markets, anxietyabout how to make the best possible choice.

In the UK, deciding between a new or used caris a common and ofen complex decision.And even once committed to a new car, someconsumers dont know exactly what they wantrom it. Different emotional and unctional need-states are ulfilled through car comparison andreview sites, with close amily members suchas partners and parents also providing input.Te influencers are slightly more diffuse than

in other markets, however.

In the US, clarity and confidence are at theirlowest in the Worldview phase; they both index at80, which is below average. Clarity and confidencewill eventually grow to 113 and 120 respectivelyat the moment beore purchase. But comparedto the UK and other markets, US consumerstypically require only a quick assessment o whatelse might be out there, particularly i they are

seeking out a new category o car thatsless amiliar to them. US auto-buyers arepredominantly looking or enrichment,confidence and investigation.

Brazilian consumers approach the Evaluatingstage quite differently as there is mistrust o mediasources and less knowledge o the auto marketin general, mostly due to a lack o strong brandlegacy. As a result, many Brazilian consumerscycle through a vortex o doubt as they turnto many different sources to try to make uptheir minds. Partners inspire confidence here,while cars on the street and seen at work provideaspirational guidance.

For an Indian consumer, amily acceptance o theproposed purchase is key, so the Worldview phaseis ocused on convincing riends and amily whattype o car should be pursued. First, a consumermust identiy the purchase that seems to ulfilltheir needs; then use the same logic to persuadethe amily and get buy-in beore moving orward.Indian consumers are already turning to mediasources here to provide evidence.


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Aspirational

Informational

Functional

Emotional

Partner

Car

comparison sites

Car review sites

Car review sites

Autos

Car review

sites

Opinions

Dad

NEEDS AND OPPORTUNITIESHow consumers navigate the journey

ProjectionCurrent state

Served via partner and to alesser extent, riends and travel

Needs & Opportunities

Portable liestyle-related autoscontent: most uel efficientsmall hatchbacks

Video: help auto-buyersexperience the car, engagingthem with sight, soundand motion

Discovery andEnrichmentCurrent state

Served via print and webautos content, particularlyconsumer opinions


Video rom experts to buildconfidence that consumeropinions alone cannot provide

Early fit and experiencecomparison: more general,sofer version o anEliminate opportunity


Served via partner, and to alesser extent, Mom, search(deals), and travel


Portable autos content:

most uel efficient smallsedans, sae amily cars, etc.distributed across network,including liestyle


EnrichmentCurrent state

Currently served via autosand dealer sites, and to a lesserextent, riends and some V


Expert opinions (text or

video): bridges enrichmentand boosts confidence

Early fit and experiencecomparison: more general,sofer version o anEliminate opportunity

Opinions

Carcomparisonsites


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Discovery & ProjectionCurrent state

Discovery not served

Projection served travelingto work


Portable autos content:most uel efficient smallsedans, sae amily cars, etc.distributed across network,including liestyle

Video: help auto-buyersexperience the car, engaging

them with sight, soundand motion


Served via autos and dealersites, riends and to a lesserextent, V


Expert opinions (text or video):bridges enrichment and boostsconfidence

Early fit and experiencecomparison: general, sofer

version o an Eliminateopportunity

Discovery & ProjectionCurrent state

Discovery not served

Projection not served

Needs & Opportunities Portable autos content: most

uel efficient small sedans, saeamily cars, etc.distributedacross network, includingliestyle and amily needs


Enrichment

Current state

Served via autos anddealer sites


Expert opinions (text or video):

bridges enrichment andboosts confidence

Early fit and experiencecomparison: general,sofer version o anEliminate opportunity


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As consumers move into the active Shopping stage, they travel through threedistinct phases: Te errain, Te Car & Te Deal.

THE TERRAIN: ELIMINATE

he errain consists o two steps: a deeperanalysis that starts with elimination oany car that doesnt fit, which is ollowed

by a rigorous comparison o those that makeit through.

In the UK, eliminate and compare behaviorsexist, but they are ofen combined, and happen

in a more haphazard way. We call this Te Fogo Consideration. No single source o influencestands out here, but car review and comparisonsites, manuacturer sites and dealer sites helpofen ound through search engines. Tere is greatpotential in the UK or consumers to switchback to their earlier Worldview.

In the US, this step is where an assessment ofit is madean emotionally-led route whereconsumers discard the cars that really wontwork or them. Tis is a airly clean, straight-orward process.

For Brazilians, this step tends to happen incombination with comparison behavior, making

it a painul part o the consumer journey, andsometimes causing a vortex o doubt that canreset the consumers Worldview, and set themback an entire stage.

Indian consumers, however, ofen rely on amilyto help them eliminate options; this trust in theopinions o others helps them move through thisphase relatively smoothly.

MINDSETS ALONGTHE JOURNEY04 SHOPPING: THE TERRAIN


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Projection &ComprehensionCurrent state

Served via partner and work


Virtual test drives, videoand 360 degree views: Mustbe prominently positionedto encourage and acilitateEliminate behavior beoreCompare begins


Served via cars in street, travel,print and review sites


General fit and experiencecomparison: incorporatingactors o liestyle, lie stageperhaps with game elements

Comparison that gets local:prominently connect fit andexperience elements to local

dealers, influencing later stages Again, a key benefit to

consumers is in disentanglingEliminate and Compare,making their path smoother


Served via partner, as well assome travel, work


Virtual test drives and360 degree viewsmakeseliminating options by howwell they fit, relatively hassle-ree and accelerates this stageo the Journey

Video

Cross-category opportunities,especially in ravel content


Served via autos sites,primarily comparison


General fit and experiencecomparison: incorporatingactors o liestyle, lie stageperhaps using game elements

Localized comparison:prominently connect fit andexperience elements to localdealers, influencing later stages


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Served via travel


Virtual test drives and360 degree viewsmakeseliminating options by how wellthey fit relatively hassle-reeand accelerates this stage othe Journey

Video

Cross-category opportunities,

especially in ravel content




General fit and experiencecomparison: incorporatingactors o liestyle, lie stageperhaps using gaming elements

Localized comparison:prominently connect fit andexperience elements to local

dealers, helping influencehunt and deal, and makingthe path smoother


Not served


Virtual test drives and360 degree viewsmakeseliminating options by how well

they fit, relatively hassle-reeand accelerates this stage othe Journey

Video





General fit and experiencecomparison: incorporating

actors o liestyle, lie stageperhaps using gaming elements

Localized comparison:prominently connect fit andexperience elements to localdealers, helping influencehunt and deal, and makingthe path smoother


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THE TERRAIN: COMPARE

In the Compare step, the real work begins:comparing the options. Tis is a compare-

and-contrast task based on more detailedauto specs, consumer and expert reviews, theexperience o seeing the vehicle in person,andor a ewa test drive. But confidencedips slightly as a result o diving deep into somany choices.

UK consumers are still enmeshed in Te Fog oConsideration at this point and risk backtrackingto earlier stages i they dont start to buildenrichment and confidence. As consumers starteeling more organized, however, inspiration and

confidence starts to build.

In the US, consumers compare detailed specsor all models in their consideration set. Tis ismore serious, act-based research, as we see romthe influencers clustered at unctional side o theecosystem. Tere can be a slight dip in emotionsand mindset here; as the search becomes moreintense and detailed, people are searching or aright answer.

Clarity and confidence is no higher here thanin previous stagesnot until they come to a

decision, at least. Consumers want a detailedunderstanding o the cars they are comparing,adding to their knowledge and ultimately buildingthe confidence to make the final decision.

In Brazil, there is a marked contrast with theUS: influencers are still clustered on the moreemotional side o the ecosystem. As with theEliminate step, a lack o trust, knowledge andauthority add to the vortex o doubt. Mostconsumers have no choice but to compare a largernumber o options at a detailed level without first

filtering them down to a manageable list.

Te opinions o amily members guide Indianconsumers through the onset o conusion,and this support continues into test drives. Itscommon to drive our to five carsand to doso with amily. Teres plenty o inormation toconsume too, including content rom car review,comparison and manuacturer sites.


What car will

fit me best?


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DiscoveryCurrent state

Served via travel and carsin street


Tis behavior should really bepushed earlier in the Journey.By encouraging Eliminatebehavior, the conusion thatnew discovery causes at thisstage can be removed

Enrichment &ConfidenceCurrent state

Served via partner, riends andreview sites


Focus on communication: aspeople make comparisons theywant to reach out to the peoplethey know and trust

Goal is reaching confidence,hence important to link their

enrichment inormation tothoughts o amily and riends

Consumer reviews needtriangulationor approvalby inner circle

Enrichment &ConfidenceCurrent state

Overlaps between the two roles

Served with expert reviews,manuacturer and dealer sitespulling toward enrichment

Buyer and partner opinionspull toward confidence


Localized comparison:prominently connect fit andexperience elements to localdealers, helping influence

hunt and deal, and makingthe path smoother

A ocus on communication: aspeople make comparisons, theywant to reach out to the peoplethey know and trust

Te goal is reaching confidence:its important to link theirenrichment inormation tothoughts o amily and riends

Consumer reviews needtriangulationor approvalby inner circle


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Served via travel


Virtual test drives and360 degree viewsmakeseliminating options by how wellthey fit relatively hassle-reeand accelerates this stage othe Journey

Video

Cross-category opportunities,

especially in ravel content




riangulate authoritativeinormation withcustomer reviews


Served via Dad


Virtual test drives and360 degree viewsmakeseliminating options by how well

they fit, relatively hassle-reeand accelerates this stage othe Journey

Video



Not served


General fit and experiencecomparison: incorporatingactors o liestyle, lie stage

perhaps using gaming elements

Localized comparison:prominently connect fit andexperience elements to localdealers, helping influencehunt and deal, and makingthe path smoother


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THE CAR & THE DEAL

By the time they reach the midway pointo the Shopping stage, auto-buyers have

finally zeroed in on the one. Teyknow the specs and options they wantandhow much theyre willing to pay or them.For some consumers, this stage is ocusedon planning negotiation tactics and knowingwhere to give in. For others, its about findinga specific car at exactly the right price andhunting it down remorselessly.

Once consumers in the UK have finishedtheir comparison work, they take one last lookbeore they leaptheres a pause to reflect onthe purchase and plan the negotiation phase.Confidence is rising and relie starts to kick in.

For US auto-buyers, confidence and clarity areat an all-time high at this point. But maintainingconfidence in their decision is key. Consumersseek the final details they need to achieve ullunderstanding o what they are getting into, asthey think about how the car will fit into theirdaily lives.

In Brazil, however, the Shopping stage is yetanother where consumers dont have all the pieces

they need to eel good about their decision. ABrazilian auto-buyer can become ocused on oneparticular make and model, but i it doesnt eelright, hes pushed back several stages, to the messyprocess again. But i a consumer successullysettles into this phase, confidence starts to build,with commitment (at least partially) to a car.Six out o ten consumers in Brazil will revert toearlier stage behavior here.

With test drives complete, consumers in Indianeed confirmation rom their amilies that theirintended decision is the right one. Again, itsa matter o keeping up the confidence in theirpreerred car, while seeking to get a better sense oit and understanding all the options. As in Brazil,six out o ten Indian consumers will revert to theCompare and Eliminate steps here.

MINDSETS ALONGTHE JOURNEY04 SHOPPING: THE CAR & THE DEAL


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Served via partner


Lending ree or cars/sharingdata with dealers to reach outwith deals

Link between MSN Autos andMSN Money content

Location-based links to dealers,combined with easy liestyledata-sharing

Price comparisons and deallocation via smartphonebarcode scan

ConfidenceCurrent state

Not served


Local reviews o dealersto build confidence goinginto deal

Maintain confidence in the carthroughout deal and delivery

via communication o eaturesand driver testimony

Projection &ComprehensionCurrent state

Not served


Lending ree or cars/sharingdata with dealers so they canreach out with deals: exists butis not well known

Interesting partnershipopportunitiesand great linkbetween MSN Autos and MSNMoney content

Location-based links to dealers,combined with easy datasharing (less personal data,more needs/liestyle/fit data)

Price comparison and deallocation via smartphonebarcode scan


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DEALERS

Most consumers go to the dealer with theintention o buying a specific car, armedwith all the acts they need to get to the

best price possibleand then get out as ast asthey can. Tey typically begin relying on mobiletechnology to locate dealerships and get on-the-fly inormation. Once there, consumers may belucky enough to have a avored and riendlydealer; otherwise the dealership experience issomewhere between a game and a battle.

When it comes to the actual purchase, consumerstend to buy rom dealers they like. Our researchshowed that 49% o purchasers globally liked thedealer they bought rom a lot. Consumers whoare less confident generally are less positive aboutdealers overall.

Dealer Bought From

0

1

2

3

4

5

20

40

60

80

100

120

Other Dealers

On a scale o 1-5 with 5 as liked a lot, how did you like the dealer you bought romcompared to other dealers?

My smartphone is my rock, my lie.Its portable and discreet.Female, US


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OWNERSHIP

At an average o just over five months intothe journey globally, consumers have their

vehicle. Now, the ocus is on the car: howit perorms and how others react to it. Consumerspersonalize cars just as they would a new mobilephone. Teres a period o discovery, wherepeople explore unexpected eatures. ypically, thehoneymoon period isnt long-lasting, though. Teamount o ongoing dealer contact and warrantyactivity required by consumers helps validate theirdecisionor fill them with regret.

In the UK, new owners try to work out how tomake the most o their purchase, and this ofenresults in quick checks against review sites tomake sure they got the best deal on the idealcar. Teyll also seek the opinion and judge thereaction o their partner.

US auto-buyers tend to swing back over to theemotion side o the ecosystem. Clear, confident,relieved and proud o their decision, they tend totrust the way they made the decision and the endresult. Tey might even love their new purchaseso much that they give their new car a name.

From filtering through unhelpul inormation tosecuring the financing, navigating the journey or

Brazilians is not easy. At this point, consumerstend to eel relie that the process is over. Mostcant help making a ew checks though, just tobe sure they made the right choice. Tey are stillseeking to understand the car better, but this time,they only have one vehicle to researchand explore.

Car-buyers in India tend to expect an easy post-purchase relationship with the dealer, but thisphase is primarily about the amily reconfirmingthe choice and ully experiencing the new car.Consumers will subsequently get comortablewith the technical elements and show off theirnew purchase on their social networks.

MINDSETS ALONGTHE JOURNEY05 EXPERIENCING


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Not served


Later ownership stage to beserved through portable autoscontent and videoas coveredin Worldview stage

ComprehensionNeeds & Opportunities

Facilitate contact betweenmanuacturer and consumer

Encourage driver testimony

to validate choices and inspireusage o newly purchased car

ConfidenceCurrent state

Not served

Validation & AdvocacyNeeds & Opportunities

Encourage greater linkagebetween validationand advocacy

Reviews easily linked or co-published on social networks

More sharing o decisionprocess (e.g. Pinterest or cars)


Served only via partner


Later ownership stage to beserved through portable autoscontent and video

ComprehensionCurrent state

Not served



ValidationNeeds & Opportunities

Encourage greater linkagebetween validationand advocacy

Enable reviews on MSN Autosto be easily linked or co-

published on social networks Allow or greater sharing o

decision process (e.g. Pinterestor cars)


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Served via dealer sites


Show how the new purchase fitsinto his/her lie via customizedmobile content

Validation (& Advocacy)Needs & Opportunities

Encourage greater linkagebetween popular validation andless common advocacy

Enable reviews on MSN Autosto be easily linked or co-published on social networks

Allow or greater sharing odecision process (e.g. Pinterestor cars)


Only served via partner


Later ownership stage to beserved through portable autoscontent and video

ComprehensionCurrent state

Not served



Validation (& Advocacy)Needs & Opportunities

Encourage greater linkagebetween popular validation andless common advocacy

Enable reviews to be easilylinked or co-published on

social networks Allow or greater sharing o

decision process (e.g. Pinterestor cars)


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At Microsof, were developing new ways to bring marketers and consumers closertogether along the path to purchase. Heres just one example:

CONSUMERS ATEVERY STEPHOW MICROSOFT ADVERTISING CAN HELP

he study Te Consumer Journey: Auto-Buyers demonstrates that marketers nolonger have a captive audience reached

through a select ew points o influence. As aresult, its difficult to know and understand whereyou should invest marketing dollars along thepath to purchase or optimal impact.

Both consumers and marketers find themselvesin a challenging new environment, where toomany choices and complexity can ofen obuscatethe right solution or purchase decision at any

given time. But knowing how to harness digitalchannels can help start to close that divide,reaching and inspiring consumers at the rightplace and time, clariying their choices andenabling easier decision-making.

OPEN TO POSSIBILITY

Current state

While consumer brand associations run deep inthe US and UK, theyre more open in emerging

markets. Xbox LIVE drives high brand lif whenconsumers are paying attention in a lean-orwardgaming environment. Ad effectiveness researchon more than 20 campaigns shows double-digitlifs across key brand metrics (Microsof Internal,2012). And in act, in the Consumer Journey:Auto-Buyers study, 30% o consumers in theUS and UK said they would be interested inexperiencing a test drive through agaming environment.

DECISION TO CHANGE

Motivation

Consumers are usually motivated to make achange because o personal circumstances. Butsome consumers admit they simply buy a newcar because they want one. Microsof enablesconsumers to investigate something that catchestheir eye, without doing any hard work, viaKinects integration with Bing.

EVALUATING

Worldview

In the Evaluating stage, the Worldview phaseprovides consumers with a route into their earlyresearch using liestyle content. MSN Autos inthe USwith 5.5 million unique usersprovidestop ten lists and other helpul ways to startresearching in a way that helps establish early fit.


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SHOPPING

Te errain

As consumers begin the heavy job o eliminatingand comparing options, MSN Autos provides asingle location or reviews, proessional ratingsand compelling video, bringing to lie a consumersconsideration set.

Te CarTe easy integration o MSN Autos andMSN Money makes it easy or consumers toeel confident beore entering negotiations withthe dealerships.

Te DealLocal dealership listings on the MSN Autos mobileapp enable consumers to leave a dealership theydont like, and easily find one nearby that they do.

EXPERIENCING

Ownership

Windows 8 apps on Microsofs new Suracetablet are an ideal way or consumers to continueinteraction with the car manuacturer throughoutthe ownership process. Now, the brand becomes aninormation sourceand helps drive validation.

CONSUMERS ATEVERY STEPHOW MICROSOFT ADVERTISING CAN HELP


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ADVERTISING

GLOBAL INSIGHTS& ANALYTICS

While many tech and media companies conduct market research thatdescribes what consumers are doing, the Microsof AdvertisingGlobal Insights & Analytics team believes innovation stems rom

getting at the why.As a result, we go beyond behavior to ocus on why consumersdo what they dowhether thats choosing one brand over another, or exhibitinga preerence or a specific platorm. Our goal is to create more robust, insights-driven narratives that put a human ace on our audience, making it easier orcustomers to tell creative, relevant and connected stories across platorms.

Natasha HritzukSenior Director o Global Insights

[email protected]

New York, NY

Kelly JonesHead o Marketing Insights

[email protected]

New York, NY

2012 Microsof Corporation. All rights reserved. Tis document is provided as-is. Inormation and views expressed in this document,including URL and other Internet Web site reerences, may change without notice. You bear the risk o using it.

Some examples are or illustration only and are fictitious. No real association is intended or inerred.

Tis document does not provide you with any legal rights to any intellectual property in any Microsof product. You may copy and use

this document or your internal, reerence purposes.

Auto Buyers Consumer Journey Whitepaper Microsoft Advertising Intl

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