Who is the "minority" that accounts for 85% of all consumer purchases?
Women.
Women buy 60% of all new cars, 53% of all used cars, and spend $300 billion annually keeping their cars repaired. And yet, a recent study of 200 Chicago car dealerships by economists Ian Ayres and Peter Siegelman shows that women usually get higher price quotes on vehicles than men do.
Overall, most women liken buying a car to having a tooth pulled. It is not like most of her other retail shopping experiences at all and many women do love to shop. With all that buying power women resent not being taken seriously at the dealership.
On AskPatty.com, the number one complaint we hear is that women hate high pressure sales tactics and the feeling that we are being manipulated or lied to by the salesperson.
If that’s the case with car dealers, what do you think they feel about tire and repair shops? It’s one thing to buy a car, it’s another to have to deal with tires and service work, where women feel more ill at ease.
The Internet has enabled women to find the resources and information they need to take charge of their own finances and buying decisions, and give voice to their needs and preferences.
In today’s competitive auto industry, dealership owners and employees can no longer afford to ignore the need to create a safe comfortable experience for female customers. If anything, they should cater to women, win their trust or risk losing marketshare to competitors that do recognize the huge opportunity to grow their business with these loyal customers.
Here are some facts on the purchasing power of women:
• Women account for 85% of all consumer purchases, including everything from autos to health care:
– 91% of new homes
– 66% of computers
– 92% of vacations
– 80% of healthcare
– 65% of new cars
– 89% of bank accounts and financial services
– 93% of food
American women spend about $5 trillion annually – more than half of the U.S. GDP, according to *M2W.biz Fast Facts.
Underserved Female Majority
With the rising tide of the economic power of women, tire and auto service retailers need to devote time, resources and budget to gain a larger share of this huge market.
If 60% of new car buyers are women and 85% of new vehicle purchases are influenced by women, what percent of your tire and service customers are women?
What percentage of your marketing and advertising budget are you willing to devote to attract, sell, retain and increase loyalty with this majority of the American automotive customer base?
Jody DeVere is the CEO and president of AskPatty.com, Inc. Visit www.askpatty.com to learn more about how to become an AskPatty.com Certified Female Friendly Tire Dealer.
