How Digital Technologies are Changing the Buying Process and Experience
Most industries worldwide have now digitally transformed or are currently doing so to accommodate their target customers’ needs. According to a multinational study by GlobalWebIndex, most consumers feel that they are very dependent on media technologies, allowing them to research on a particular product and transact without leaving their homes’ comfort.
Digital transformation allows people to have new ways to interact with a business and gives the customers a consistent buying experience regardless of the channel. Most companies said that customer experience and satisfaction were the leading influences for the digital transformation. This change allowed digitally transformed businesses to be resilient and adapt to the ever-changing competitive business landscape.
Research has shown that 59% of all car buyers research online before purchasing a new car. By researching before making their final purchase, consumers will be more informed and more likely to source for the best car deals and enjoy a great buying experience.
The Buying Process Starts with Online Research
People research before buying anything in a physical store to streamline their buying process. The customer will know all they need to decide what to get at what price before going to the store.
Transforming digitally allows a business to profit offline while influencing people online. Most car buyers search online before they go to dealership for a test drive.
Customers check the car’s details through car manufacturer websites and then through a dealer’s online offers. Once the customer knows what they want, they can go to a car dealership and buy the particular car they want. To ensure that the customer gets a fantastic user experience, both the car dealer and the manufacturer must have a great website and social media strategy to improve customer engagement.
Adapting to new technological developments allow both car manufacturers and dealers to meet their customers’ ever-changing expectations. Neglecting a website’s development and essential digital marketing strategies will fail to achieve customer satisfaction.
More Digital Advertising
Many companies have already used digital advertisements in their marketing campaigns because many people use the internet and social media daily. Businesses need to connect with their target audience through such channels to keep them constantly engaged.
People are researching the cars they want, and it’s essential to identify what platforms people use to research so that companies can reach and engage them. The automotive industry can reach its target audience through social media platforms, such as Twitter, Instagram, and YouTube, allowing brands to create innovative content for their campaigns.
Taking advantage of social media platforms allow car brands and dealers to connect with their customers.
Grabbing the Customer’s Attention is Even More Important
When a company advertises a product to reach its target audience, it must consider getting their attention and engaging them to get sales. The ads can be flashy and informative to get a person’s attention and make them interested in what a company offers.
Because many people use the internet for multiple purposes, such as browsing random web pages, engaging friends through social media, and watching videos through streaming sites, most people suffer from content overload. Thanks to the overload, customer attention has decreased drastically, and ads must change to become eye-catching.
Businesses must also adjust their web content to get their target audience’s attention and sell customers on their offers. Providing informative content is essential to learn more about the company’s products and why they are important. Car dealers should refrain from using flashy ads, keep it simple, and focus more on ads that address what their customers want, including details about their products and other helpful information that the customers want to know more about. People can lose interest in a site that is only interested in selling and marketing their products without being informative.
Digitalization of Auto Retail Models
Modern car buyers rely heavily on the internet to research the car they desire and decide whether they’ll purchase based on what they see, the frequency of showroom visits will likely decline. The novel coronavirus pandemic also played a significant role in digitally transforming showrooms to allow for visits through virtual technologies.
The pandemic forced people to limit their outdoor activities and to adopt digital technologies for their everyday use. Car dealerships were also forced to embrace change and digitize the transactions due to COVID-19 lockdowns keeping people from going to car dealers in person.
Car dealers will likely see far fewer people visiting their showrooms as people use the internet to research and shop for new cars. The lower number of visitors provides an opportunity for dealers to invest in digital technologies to accommodate their customers and allow potential buyers to have early access to the cars.
Physical showrooms will remain to be an important part of a car buyer’s experience. The showroom will feature test-drive simulators and life-sized product configurators to engage any customers who’ll visit the physical location. The customer will be able to visualize multiple options available and have a better understanding of what car they want or need while the dealer saves showroom space.
Small Stores and Car Superstores on the Rise
Digital transformation will allow small car stores to be equipped with visualization technologies like virtual reality or 3D wall screens. Such equipment lets potential customers see the cars offered even if there is no available inventory on site. These stores are located in city center locations where there is little space for dedicated showrooms.
Besides the small stores, car superstores will also rise and allow customers to purchase a car through a cash-and-carry experience. These stores are located in a city’s outskirts and are designed to let the customer drive away with the car of their choosing.
The smaller store doesn’t have a stock of cars on display, but it has the technology necessary to help people choose a car. However, a superstore consists of showrooms, spare parts isles, and a sales office, on top of the digital technology in smaller stores, allowing people to purchase while on site.
The buying process and experience is continually changing thanks to the use of digital technologies in marketing products. The members of the automotive industry must adapt technologies and use them in their day-to-day operations. Any car manufacturer and dealer who will not follow the trend will be left behind.
When people look for new cars for sale, they’ll first go to the internet and likely type in the phrase “car dealership near me” in the search bar. Car dealers must set up online channels and use them to connect with their customers.