Online Auto Shoppers Show Strong Preference for New Vehicle Configurators
29 November 2000
Online Auto Shoppers Show Strong Preference for New Vehicle Configurators
Consumers want sophisticated tools to get as much information as possible
before they visit the showroom
CINCINNATI, Nov. 29 New vehicle configurators-online tools
that let car shoppers specify the exact vehicle they want, calculate its
price, and search for it online in auto dealerships' existing inventories --
have strong interest from consumers, according to research conducted by
Friedman-Swift Associates, an automotive market research firm, and The Cobalt
Group , a leading provider of e-business products and services
to the automotive industry.
The study reports that 78 percent of online new car shoppers want dealers
to offer new vehicle configurators on their Web sites. New vehicle
configurators allow shoppers to specify the vehicle they want, choosing the
vehicle make, model, style, color, finish, options and price. The tool then
shows the vehicle's Manufacturer's Suggested Retail Price (MSRP) and dealer
invoice price, and searches a dealership's existing inventory for the closest
match to a vehicle available for immediate sale.
"Configurators are one of several features consumers now want to see on
car dealers' Web sites," noted Judy George, senior vice president of Friedman-
Swift Associates, who directed the research. "More car buyers use dealership
Web sites as part of their shopping process than ever before and these buyers
want to be well informed before they enter the showroom."
There are several new vehicle configurator products available to dealers.
Cobalt's offering, called Make & Match, allows consumers to configure a car on
a dealer's Web site, compare multiple vehicles and research pricing
information. Once the buyer selects their preferred car, they can search the
dealer's inventory for the closest matches and/or submit a purchase request
using an email form from the dealer's Web site. Cobalt's Make & Match
integrates with the dealer's new car inventory so consumers are viewing
vehicles that are on the dealer's lot.
"New vehicle configurators are very important tools that enable consumers
to design the car of their dreams and find an existing match to that car right
on a dealer's Web site," said John Holt, president and CEO of The Cobalt
Group. "In contrast to online buying services that don't display real vehicles
that are in inventory, dealers who give consumers access to configurators on
their Web sites are better able to serve online shoppers and can more
efficiently match consumer demand with vehicles on their lots."
Friedman-Swift's survey was conducted with 1,090 new car shoppers who
visited Cobalt's DealerNet(R) ( http://www.dealernet.com ) during June, July, and
August 2000, and has a margin of error of 2.97 percent. Nearly half the
shoppers interviewed-46 percent-planned to purchase a new vehicle in the next
six months. More information about the research can be found at
http://www.friedmanswift.com .
ABOUT FRIEDMAN-SWIFT ASSOCIATES
Friedman-Swift Associates, based in Cincinnati, OH, is a leading provider
of automotive marketing research to automobile dealers, manufacturers and
advertising agencies. Dedicated to helping automotive retailers better serve
consumers since 1979, the company has pioneered proprietary research that
helps dealers understand the needs of both Internet and traditional automotive
shoppers.
Friedman-Swift has conducted over 4,000 automotive research studies. The
firm's clients include 75 of the largest 100 automobile dealer groups in the
US, and most dealerships who lead in sales performance for each auto
manufacturer.
More information about the company can be found at http://www.friedmanswift.com .
ABOUT THE COBALT GROUP
The Cobalt Group(TM) , headquartered in Seattle, is a
leading provider of e-business products and services that help automotive
dealers and manufacturers effectively manage their businesses online.
Cobalt's suite of e-business solutions includes Web services, Web site
hosting, e-commerce applications, Internet-based customer relationship
management applications, data management, and best practices training and
consulting.
Nearly half of the nation's auto dealers use Cobalt's technology,
including nearly 6,400 Web services clients, and nearly 10,000 PartsVoice(R)
( http://www.partsvoice.com ) clients. Cobalt's e-business products and services are
endorsed by 15 automotive manufacturers and more than 50 of the 100 largest
dealer groups in the United States.
Cobalt operates MotorPlace.com(TM) ( http://www.MotorPlace.com ), a business-to-
business information and e-commerce exchange where auto dealers can find the
latest news, software applications to improve their business operations, parts
locating tools and a wholesale vehicle exchange. Cobalt also operates
DealerNet(R) ( http://www.dealernet.com ), one of the most widely visited consumer
automotive information portals on the Web. Cobalt owns IntegraLink
Corporation, the auto industry's premier provider of auto dealer data
collection and reporting services. Cobalt offers Web site services that are
endorsed by the National Automobile Dealers Association.
Cobalt has offices in Seattle, Wash.; Portland, Ore.; Detroit, Mich.;
Columbus, Ohio; and Austin, Texas. For more information, please visit
http://www.cobaltgroup.com or call 1-800-909-8244.