'09 New Vehicle Intender Study released in China

Exterior styling is of primary importance in capturing new-vehicle purchase intenders in China, according to the 2009 China New Vehicle Intender Study SM released today by J.D. Power Asia Pacific. The inaugural study examines automotive brand awareness, consumer perceptions and purchase considerations as well as media habits among consumers in China who intend to purchase a new vehicle within the next 12 months.

"The first step in engaging new-vehicle purchase intenders in China is to appeal to their eyes," said Dr. Mei Songlin, general manager of research at J.D. Power Asia Pacific, Shanghai. The study finds that exterior styling (23 percent) is the most important factor for new-vehicle purchase intenders when they consider purchasing a vehicle. Other important considerations include seating comfort (19 percent) and fuel economy (17 percent).

The Internet is the most widely used information source among intenders included in the study, with 85 percent saying they go online for information about vehicles under consideration. Those who use the Internet for vehicle information most often search for consumer reviews and reliability ratings. Other information sources used frequently include auto shows (53 percent), automotive magazines (52 percent) and television (49 percent).

"When automakers pump a large percentage of their advertising dollars into television, they may underspend on other marketing channels that connect them more directly with their target consumers," said Mei. "Manufacturers would be well served by utilizing the Internet for marketing, as it can be particularly effective in reaching their desired targets."

The study finds that Audi, BMW and Shanghai Volkswagen have particularly high brand awareness, with more than 85 percent of intenders stating that they have heard of these brands. When it comes to consideration rates for specific brands, the study finds that new-vehicle intenders in China are more likely to consider international brands than Chinese brands. Among 45 vehicle brands examined in the study, consideration rates are particularly high for Audi, BMW and Guangzhou Honda overall. Among Chinese automotive brands examined, BYD, Chery and Roewe have high consideration rates.

"It is important to understand what triggers consumers in China to consider purchasing particular vehicles and what sways their decision-making process," said Hannah Chao, research director at J.D. Power Asia Pacific, Shanghai. "Such insights help automakers determine how to spend their marketing budget more effectively."

The 2009 China New-Vehicle Intender Study is based on responses by 4,694 new-vehicle purchase intenders. The online study was fielded between April and May 2009 in 32 major cities across China.