Are you ready for packed roadways this holiday season? According to AAA, more than 48 million people in the U.S. plan to travel by car during the Thanksgiving break, up from 44.5 million last year. That means heartwarming reunions, big family dinners – and increased auto expenses.
Whether drivers are preparing their vehicles for their first big trip in a long time, preparing for the winter months, or dealing with unexpected breakdowns, they want convenience and value built into the experience.
Especially today. A lot has changed in the past two years. The pandemic ushered in an era of rapid digital transformation. Consumers are working remotely, doing business via Zoom, and purchasing everything from groceries to cars with a few taps on their mobile phones.
Synchrony’s 8th biennial Major Purchase Journey Study revealed the latest consumer thinking related to automotive-related purchases:
· 32% said the pandemic has changed the way they will shop for major purchases in the future
· 64%, up 27% from two years ago, used a mobile device to conduct research
· 62% visited a local/independent retailer
· 64% agree that the in-store experience is an essential part of the shopping experience
· 65% made a payment method decision before shopping
· 22% obtained financing for a purchase
Automotive merchants who are attentive to these evolving preferences are well-positioned to improve customer engagement and generate business growth.
For example, modern consumer financing – driven by advances in cloud computing, business analytics, and mobile computing – enables merchants to meet their customers at the moments that matter most in their purchasing journey, whether it’s in a store, online, or on a mobile device.
Consider a typical motorist getting her car ready for a cross-country trip. She might need an oil change from a local mechanic. In addition, she might want to purchase some accessories – maybe a blind spot mirror and a jump starter – from an auto parts store. Contactless, of course. And she would definitely want to be able to purchase gas at virtually any gas stations along her route and pay for tolls and parking, too.
This motorist wants a flexible financing option that helps speed her on her way, not hinder her. She wants one financing solution that will be there for her throughout her automotive journey and beyond, for a wide range of planned and unexpected expenses – we all hit the occasional pothole that bends a rim or pops a tire. If she needs to apply for credit, it shouldn’t be a laborious paper-based process – but rather fast and easy with a minimum of typing. No annual fee and promotional financing would be welcome bonuses, too.
The shift to a digital application could not come at a more critical time as the significant business disruption caused by COVID-19 has facilitated a rapid acceleration to contactless commerce.
My company, Synchrony, believes that digital payment technology solutions should help automotive merchants ensure a safe, seamless, and socially distant experience for every stage of the omnichannel consumer financing process – applying for credit, completing the transaction, and paying a bill or servicing an account.
The tens of millions of motorists preparing to hit the road this holiday season represent a transformed potential customer base. They’re at ease in the digital world and presume that the merchants they do business with are as sophisticated as they are.
In today’s increasingly competitive environment, automotive merchants should carefully consider how to provide their customers the best, simplest, and most intuitive experience for transparent financing offer terms and real-time approval and purchase.
It’s a great way to keep them coming back all year long.
