Market to Millennials Like World Class Auto Brands And Their Agencies

Millennials suffer from a common misconception that they are not in the market for cars. They waited longer before getting their licenses and purchasing cars, but they are the fastest growing segment of car buyers. Autoweek reports that they will make up 40 percent of the new car market in 2020. So how can auto brands market to millennials? 

The way millennials shop is far different from previous generations. Their buyer journey involves extensive online research, with a limited number of in-person visits. Older demographics may visit three to four dealerships during this process, while the millennial averages 1.9.

Your automotive marketing strategy must shift to accommodate this experience and meet the expectations of tech-savvy buyers who are cautious about the in-person experience.

Like Other Demographics, Market to Millennials by Starting Off With Value

Put yourself front and center in the millennial's research process. Their buyer journey is fueled by a lot of content as they determine the best car for their lifestyle and budget. You will not be the only source of information, as these buyers leverage third-party resources frequently, but you can position your dealership website as a valuable asset.

Step away from sales-centric messaging and look for ways to add value. You can offer guides on the types of cars that work best for your local area, quality-of-life features that daily drivers benefit from, and calculators that introduce transparency into car pricing. Brands such as Subaru and CarMax provide excellent examples of quality content marketing.

Create video test drives that allow potential buyers to better narrow down the cars that they're most interested in. Answer first-time car-buying questions on social media without using the opportunity to push for a sale.

You are starting the relationship with the millennial buyer by getting to know them and being authentic and helpful every step of the way. The information that you gain during this process leads into another area that is important for these customers.

Key takeaways:

• Add value through content
• Embrace authenticity

Take Opportunities for Personalization

Marketing messages are an ever-present element in the millennial's life. They often have ad blindness and overlook anything that is not relevant. Personalization helps your dealership stand out when you are vying for their limited attention. Take a look at this personalized video campaign by TriHonda Dealers for an example.

The personalization can take many forms, from addressing them by name in communication to segmenting them in your email marketing software so they receive customized content.

Millennials place a lot of emphasis on their overall experience in their buyer journey, whether they are picking up groceries or making their first car purchase. Personalization allows you to improve their experience and use targeted methods for getting them closer to a purchase decision.

Key takeaways:

• Provide a highly relevant experience
• Look for opportunities to personalize the buyer's journey

Build Around the Mobile Experience

Some dealerships treat their mobile website or app experience as an afterthought. When 98 percent of 18- to 24-year-olds own a smartphone and often turn to it in the buying process, it is essential that you have mobile in mind for your entire strategy.

Optimize your mobile channels and test them on multiple devices. You do not want to perfect the smartphone experience and have the website look bad on tablets with larger resolutions. Put the most important information front and center on the page so it is easy to find.

Ideally, you have the chance to conduct usability tests that cover mobile. Pay close attention to feedback that you receive from testers, potential customers and your current clients. A detail that might seem small to you could be a deal-breaker for a millennial looking at your dealership.

Key takeaways:

• Use a mobile-first approach
• Test your mobile apps and websites out on multiple devices

Innovate Your Live Experiences at the Dealership To Close the Sale for Millennial Buyers

It takes a lot of effort to get the millennial generation through the door. They are wary of the in-person experience at the dealership, as they expect high-pressure sales tactics, shady financing terms, a time-consuming application process and other unpleasant situations.

Look for areas that you can streamline in the live experience, as well as personal touches that make all the difference to millennials. Outfit the sales team with tablets or other mobile devices, so they do not need to go back to a desk to look up information on car pricing, inventory and features.

Offer a transparent and seamless financing process. The salesperson can walk the buyer through the application by integrating financing with the mobile software on the tablet. The customer gets to finalize the sale with the person they have been talking to, rather than going to the financing office and dealing with someone completely new.

Offer payment terms that are clear and easy to understand. The millennial buyer may have limited experience with making this type of purchase and working with a secured installment loan. Create an environment where they feel comfortable asking questions.

Some dealerships have even changed the way they offer sales commissions to decrease the emphasis on closing the sale at all costs. The base salary is higher, and the amount they get paid in commission is not tied solely to the sales volume. Instead, the customer satisfaction score is one of the most important factors. The sales team has more motivation to build rapport with the millennial buyers, which serves to improve the live experience.

Key takeaways:

• Reduce potential pain points during the live experience
• Use technology to streamline the process and make it enjoyable

You may need to make drastic changes to your sales tactics if you want to capture the millennial car buying market. Move the goal posts to a quality end-to-end experience and you put yourself in a competitive position for their purchasing power.