Brand loyalty stays intact even as auto buyers dig deep on internet before purchase, finds study

There is an uptick in online searches by auto buyers, but instances of the exercise influencing their purchase is less as people switching brands is less, says a report.

Press Trust of India January 30, 2019 09:48:27 IST
Brand loyalty stays intact even as auto buyers dig deep on internet before purchase, finds study
  • Around 90% of the 4,000 respondents to the study were found to have used online search before making their final purchase decision

  • Only 7% of the respondents said they decided to switch their brands after the online research

  • Buyers seem to be very certain about the brands which they are looking for

Mumbai: There is an uptick in online searches by auto buyers, but instances of the exercise influencing their purchase is less as people switching brands is less, says a report.

A study commissioned by online advertising giant Google said 90 percent of the 4,000 respondents to the study were found to have used online search before making their final purchase decision.

Interestingly, the buyers seem to be very certain about the brands which they are looking for and instances of brand switching are rare, the report said Tuesday.

Only 7 percent of the respondents said they decided to switch their brands after the online research as against 11 percent in 2016, the report said.

Brand loyalty stays intact even as auto buyers dig deep on internet before purchase finds study

Representational image. Reuters

Maintenance programmes leads with a 41 percent share of the searches being carried out by buyers, and reviews and recommendations at 32 percent trails locations of dealers and promotional offers at 37 percent and 35 percent, respectively, the report said.

Probably because of the cheap bandwidth available in the country, online videos follow with 80 percent of the respondents using them to arrive at their decision, it said.

The same number for videos had stood at 43 percent two years ago, it said, adding videos not only act as a platform for discovery but also as 'buyers' consulting zone' that allows them to explore the car from different perspectives.

Due to the increasing propensity of online searches by potential buyers, the auto dealers are also going digital, which is fast emerging as the primary touch point for buyers.

 

 

To keep watching India’s No. 1 English Business News Channel – CNBC-TV18, call your Cable or DTH Operator and ask for the Colors Family Pack (inclusive of 24 channels), available for Rs. 35/- per month, or subscribe to the channel for Rs. 4/- per day.

To keep watching the Leader in Global Market & Business News – CNBC-TV18 Prime HD, call your Cable or DTH Operator and ask for the Colors Family HD Pack (inclusive of 25 channels), available for Rs. 50/- per month, or subscribe to the channel for Rs. 1/- per day.

Updated Date:

also read

JioPhone Next to run on Pragati OS powered by Google's Android, Reliance reveals
Analysis

JioPhone Next to run on Pragati OS powered by Google's Android, Reliance reveals

The mobile software has been engineered by both Jio and Google to bring Pragati (meaning progress) for all users while 'offering a seamless experience at an affordable cost'

Global chip shortage to result in four to six percent drop in vehicle sales this festive season: CRISIL
News & Analysis

Global chip shortage to result in four to six percent drop in vehicle sales this festive season: CRISIL

The semiconductor shortage has led to production losses, and the waiting period for some models has increased from two-three months to six-nine months now.

Top 10 safest cars in India as rated by Global NCAP: Tata Punch mini-SUV tops the list with near-perfect score
News & Analysis

Top 10 safest cars in India as rated by Global NCAP: Tata Punch mini-SUV tops the list with near-perfect score

In Global NCAP’s #SaferCarsForIndia campaign, three Indian models have secured a full five-star crash test rating.