Unravel today’s complex route to market.
TAPPS: Developments for 2013
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Unravel today’s complex route to market
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Understanding the Chinese car buyer
We talked to 1,000 people in China as they made a decision about which car to
buy. We gathered the information in real-time to understand how people make
decisions and what really is influential at each stage of the purchase journey.
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Unravel today’s complex route to market
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2
Consumer buying behaviour has changed
The traditional funnel fails to capture today’s
complex world…
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Today’s buying process takes place within
a multi-faceted path to purchase
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5
Consumers and brands now co-create the
buying process
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6
Traditional “look back” study designs are no longer
adequate
Tracking the same people through their buying process is optimum
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A new approach
TAPPS
What is TAPPS?
4-month online
continuous interaction
measuring all touch points
Provides a micro-level
analysis of the path to
purchase
a
Snakes and ladders
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Valuable insights in real time with online data reporting
TAPPS’ provides an in-depth understanding of:
 Actual buying process timeline
 Role and use of digital and social media
 Interactions between, and influence of, brand and consumer generated content
 Key touch points at different stages of the car-buying process
 Triggers of vehicle consideration, rejection and purchase
 The changing role(s) of dealers
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TAPPS’ unique insights build into your marketing
strategies…
Positioning
Communications
TAPPS
Media planning
Pricing, promotions
& incentives
Targeting
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2012 TAPPS
A positive first step
The operational framework consists of 4 components
Months
0
1
2
3
4
1
2
3
4
Screening of the panelists & initial interview
Online focus groups & click-stream data for a
sub-sample
Weekly online ‘touch point’ survey and photo
journal
Post-purchase interview (as soon as a
consumer buys a vehicle)
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Representative sample with wide geographic coverage
Sampled from 184 cities in 27 provinces
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Actionable TAPPS insights
The benefits of a clear understanding of the buying process have
multiple applications
 Media spend adjustments to reflect
the importance of TV and social
media
 CRM use adaptations to identify
and activate committed brand
owners to act as brand
spokespersons in specific social
media
 Brand website content adjustments
to better reflect use throughout the
buying cycle, not just at the end
 Communication styles adaptations
in those media used extensively by
‘fast decision’ takers, to reflect
their decision making style
 Dealer follow up behavior
adaptations to enhance conversion
of ‘confused’ shoppers
 Promotions and Incentives
adaptation to reflect the
parameters of what’s acceptable for
specific brands.
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TAPPS has been further optimized
Changes for 2013
The 2013 operational framework again consist
of 4 components
Months
0
1
2
3
4
1
2
3
4
Screening of the panelists & initial interview
Online focus groups & click-stream data for a
sub-sample
Weekly online ‘touch point’ survey and photo
journal
Post-purchase interview (as soon as a
consumer buys a vehicle)
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Study Background
Consistent data collection method over time
Year 1 Oct. 2011 – Feb. 2012
Year 2 Oct. 2012 – Feb. 2013
Online Panel Survey
Sample from 214 cities in 32 provinces in China
Initial n=1607, Diary n=864, Clickstream n=482
121 brands and 460 models available on the market
• Aged 18 -50 yrs old;
• Live in Tier 1, Tier 2 and Tier 3 cities
• Did not participate in auto related survey in the past 3 months
• Plan to purchase a vehicle in the next 6 months
• Plan to purchase a new vehicle
• Is the decision maker or one of the main decision makers for the
purchase of the intended vehicle
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Representative of the new car buying public
60% of respondents are first time car buyers
Gender
Age
Family
60
Living in
Personal monthly income
Note: TAPPS focussed on intending buyers of sub-compact, compact and mid-size vehicles
Unit: %
N = 1,670
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Robust sample available for most brands
Brands under consideration
Sample size
Audi
466
BMW
270
Buick
418
Cadillac
63
Chevrolet
351
Citroen
202
Ford
227
Honda
348
Hyundai
390
Mercedes
200
Nissan
212
Peugeot
207
Toyota
347
Volkswagen
745
Only selected brands shown of 78 under consideration by shoppers
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Large sample (1399 of luxury and near luxury brand
considerers)
Brands under consideration
Sample size
Audi
466
BMW
270
Bentley
15
Ferrari
22
Infiniti
33
Jaguar
29
Land Rover
71
Lamborghini
14
Lexus
88
Lincoln
12
Lotus
18
Mercedes
200
Porsche
58
Volvo
79
Small samples also exist of Aston Martin, Bugati, Maserati and Maybach considerers
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Number of minutes on the site
More detailed analysis on specific sites: eNissan.com.cn is attractive and sticky among shoppers
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New
Compare TAPPS results in China with US results
How TAPPS helps our customers
high
Influence-Performance-Matrix of one specific or an
overall purchase stage for any desired target group
TP 1
Performance
TP 2
TP 3
TP 1
TV
TP 2
Billboard
TP 3
Independent expert in newspaper/magazine
TP 4
Friends/relatives
TP 5
Visit Car Dealer
TP 6
Ad in newspaper
TP 7
Radio
TP 8
Social Media
TP 9
Manufacturer web sites
TP 10
Blogs/Forums
TP 11
Saw vehicle on the road
TP 12
Visit price comparison web sites
TP 13
Dealer web sites
TP 14
Independent expert opinion online
Importance to preference
Derived by Hierarchical Bayes Regression
SAMPLE ONLY
low
Performance:
Stated performance for touchpoint
Importance to brand
preference
low
high
Bubble size:
Frequency of touchpoint usage
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Allocating resource to the right channels at the right
time
In the early stage of shopping brand generated content is most influential and is
widely used. TV Ads have the most impact.
Performance of Touchpoint
High
Low
1=TV ad
Importance of Touchpoint for Preference Score
2=Press as
6=Radio ad
3=Billboard ad
4=Discussed cars with family and friends
7=Discussed on social media 8=Online review
11=Car brand website
12=Car dealer website
5=Vehicle on the road
9=Car-related comments
13=Car dealer
High
10=Saw vehicle in public space
14=Car promotional offer
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Identifying the key hubs to influence
Although they have limited impact in the final stage of decision making TV Ads
and car dealers are crucial hubs.
They drive the use of other touch-points that impact brand preference
5%
7%
Car brand website
14%
4%
Online review
Car dealer website
8%
Social media
4%
Car dealer
Promotional offer
Brand preference
9%
3%
TV ad
17%
Billboard ad
4%
Family and friends
5%
Radio ad
6%
Vehicle on the
road
14%
Press ad
Other touchpoints
Effects of Touchpoint (1 to 2 weeks ago)…
%
Significantly positive on usage of different touchpoints
Significantly negative on usage of different touchpoints
On brand preference (combined effect of contact yes/no and helpfulness) in terms of relative importance
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Managing non-brand generated online content
Ensuring good presence and content in multiple forums and blogs is important to
impact consumers to buy Brand X
Life service:
ganji.com
0.2046
Life service:
58.com
0.4038
Mirco blog:
t.qq.com
0.3596
Blog: Blog.
hexun.com
0.5511
Auto:
51auto.com
0.1658
Auto:Auto
.sina.com.cn
0.2786
Blog:
Live.com
0.2052
Blog: blog.10
jqka.com.cmn
0.7374
SNS:
yy365.com
0.4762
Blog: Blog.
Sina.com.cn
0.3653
Auto: Auto
home.com.cn
0.5767
Auto:
Xcar.com.cn
0.4603
Blog: zhidao.
baidu.com
0.6987
Auto:
auto.163.com
0.1139
SNS:
qzone.qq.com
0.6982
SNS:
renren.com
0.6682
Micro blog:
weibo.com
0.4552
Forum:
tangdou.com
0.5153
Blog:
Blog.163.com
0.4533
Auto:
Bitauto.com
0.2101
SNS:
pengyou.com
0.5946
Forum:
taoguba.com.c
n
0.1228
Life service:
baixing.com
0.5256
Auto:
52che.com
0.1342
Buy
Respondents who finally purchase Brand X N=51
Note: The websites marked in Pink are the websites that are only relevant to the PURCHASERS rather than those CONSIDERING the make
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Getting personal
Looking through the lens of individual consumers brings the data to life
XXXX
40 years old
Employed as Secondary
level staff in hotel
Personal salary: Around
17,000 RMB per month
Lives together with his wife
and children in Qingdao
Education: University
Time consumption on internet
Morning
v
1
Afternoon
v
Evening
v
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Getting personal
Looking through the lens of individual consumers brings the data to life
Auto Portal
Forum of Auto
Forum of Auto
Forum of Auto
Forum of Auto
Forum of
Auto
Start
Visit www.autohome.com.cn
for first browsing
Visit forum of www.autohome.com.cn
to collect the information and read other
people’s comments for first selection of
model/brand
Visit the specific channels of “Lavida”
and “Excellent” to collect basic
information for these two models
Compare “Lavida” and “Excellent” in
terms of the evaluation from forum
of www.autohome.com.cn
Browse and investigate the
maintenance/repair/technics
information for “Buick” on
forum of www.autohome.com.cn
Study the instruction for taking
the delivery in 4S store via
forum of auto
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Valuable insights in real time
To summarise, TAPPS’ provides an in-depth understanding of:
 Actual buying process timeline
 Role and use of digital and social media
 Interactions between, and influence of, brand and consumer generated content
 Key touch points at different stages of the car-buying process
 Triggers of vehicle consideration, rejection and purchase
 The changing role(s) of dealers
Automotive
Unravel today’s complex route to market
© TNS
31
Andy Turton
Andy.turton@tnsglobal.com
+ 44 (0)203 130 7350
Kelvin Koh
Kelvin.koh@tnsglobal.com
+86 21 2310 0995 ext. 156
Visit www.tnsglobal.com/automotive
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