Women Customers are Changing How Cars are Sold

For most automotive businesses women make up anywhere from 60 percent to 80 percent of their customers. This indicates that a massive shift has taken place within the past ten years.

Women have an incredible amount of purchasing power and are directing a growing proportion of it into their vehicles. Proprietors of motor industry businesses are coming to realize that the future success of their enterprises will depend largely on how well they adjust to the needs and expectations of female customers.

The statistics tell an interesting story. Women now purchase more than 50% of all new vehicles, purchase 48% of all used vehicles, and influence 80% of all vehicle sales. Gone are the days when the little lady sat back and let the “man of the house” choose her car. Now she’s surfing the net for information and saying “yes” or “no” where it counts – in the showroom and in the workshop.

Female customers have historically tended to be very loyal, scoring quite high on the loyalty scale in consumer research studies. However, today’s women are much more likely to “walk” if they aren’t recognized and respected as decision-makers.

The phenomenon is worldwide, as shown by these comments from Elsa Wols, an Australian motorist. “If the salesman addresses you as ‘dear’ or ‘love’, go elsewhere. If he tells you to come back with your husband, tell him you’d like to meet his wife too, then leave.”

Women are increasingly likely to shop around to find services, products and respect. They are less likely than ever before to put up with high-pressure sales or mediocre service. If they don’t get the customer service they expect from a business, they’ll go elsewhere.

They are not only becoming more influential in deciding what car to buy, they are also taking over the traditionally male-dominated responsibility of maintenance and repair.

A study conducted by America’s National Institute for Automotive Service Excellence (ASE) shed new light on the importance of catering for female customers in all areas of the motor trades.

The ASE found that more than 65% of customers who take their vehicles to a repair shop for service and repair are women. Some repair industry experts estimate that the average may actually be closer to 80 percent.

Unfortunately, research also shows that 80% of these female customers are not satisfied with the service and repairs they receive, and 89% feel they are treated differently because of their gender. Without doubt, things will have to change.

Among industry members there is a growing appreciation of female customers. Technicians report that females ask more questions, inquire about details, and are more willing to look under the bonnet or check out parts. Repair businesses that respond to women’s needs and expectations by providing clean waiting rooms, timely delivery, and repair orders that are easy to understand are making smart business decisions.

“The Aftermarket Consumer: Do-it-Yourself or Do-it-for-Me” study released by the Automotive Aftermarket Industry Association (AAIA) revealed that from 1994 to 2000 the percentage of total U.S. households performing light, medium or heavy-duty maintenance has not changed, but the percentage of DIY households with female DIYers has increased from 27 percent to 34 percent of the total. Males still comprise about 66 percent of the DIY segment but their percentage is on the decline.

Careers as automotive service professionals are no longer gender-specific. Servicing and repairing today’s vehicle requires more brainpower than brawn, and that leaves big openings for women in the automotive trade areas. Just as we see more women in the showroom and at the service desk, we will see more women behind the service and parts counter talking to customers, and under the hood diagnosing and repairing automobiles.

Efforts to address the needs of female customers are evident in the marketplace. From conducting women’s car care clinics to hiring female service writers and technicians, repair businesses are taking steps to welcome female customers. Many women feel less intimated when interacting with female service advisors and technicians. A greater comfort level can turn the whole repair experience into a more positive one.

On the selling side there is little doubt that the “typical” motor vehicle retailer is still perceived as being male. It is a stereotype based on a century of experience, where women were either not interested in joining the industry, or not encouraged if any interest existed. But times are changing and an increasing number of dealerships worldwide are run by women.

However women have to be just as careful as males to avoid stereotyping their customers. Says Alexis Woolloff of Sydney, Australia: “The first thing the female sales rep showed me was the cup holder! I steered clear of female reps after this as I wanted facts about the car and not its cosmetics.”

Copyright 2003, RAN ONE Inc. All rights reserved. Reprinted with permission from www.ranone.com.