For our series this week, we’re looking into the automotive industry.
Today, we profile two different kinds of Car Buyers: First Time Buyers and Upgraders (those who own a car but are looking to purchase a new one).
First Time Buyers skew more male and are generally younger, while Upgraders are typically older.
With newly qualified drivers in the cohort looking for their first car, First Time Buyers are mostly 16-24s. But it’s a bit more surprising to see that 28% of Upgraders are in that age bracket as well, and looking to upgrade so soon.
One quarter of First Time Car Buyers are also over the age of 35, getting their first car later in life.
Much of this is due to economic changes in fast-growth markets, with higher levels of disposable income allowing new drivers of all ages to come onto the road.
Many of these new drivers are from rural regions, where practicality takes precedence over prestige.
Compared to First Time Buyers, Car Upgraders skew more affluent and urban, which opens the door to investing in extra features with their purchase.
Knowing this allows us to build on their demographic profile, by looking at attitudes where income affects what they want from brands and tech.
First Time Buyers, more likely to fall into the bottom income bracket, are less concerned with tech trends or features in their car.
Car Upgraders, however, may be engaged by feature or brand-led marketing, as they’re more brand-conscious and motivated to seek out new tech.
*First Time Car Buyers are defined as those who don’t currently own a car but are planning a purchase in the next 6 months. Car Upgraders are defined as those who own at least one car and are planning a purchase in the next 6 months.