Financial Daily from THE HINDU group of publications Wednesday, Dec 22, 2004 |
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Marketing
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Marketing Research Industry & Economy - Cars `Emotive reasons prompt 50 pc of car purchases' Our Bureau
New Delhi , Dec. 21 EMOTIVE reasons such as `potency, prestige and status' prompt the buying decision of over 50 per cent of car buyers in India, according to TNS' `2004 four-wheeler Brand Health and Need Segmentation' study. "Contrary to the belief that prestige and status needs are pre-dominantly among buyers of higher-end vehicles, the study clearly reveals that needs exist across vehicle segments," Mr Rajeev Lochan, General Manager (Asia- Pacific) of TNS Automotive, said in a company release. He said that while prestige and potency related needs were the key motivators for entry luxury buyers, these needs existed across segments, including the cheaper small cars. Representing the responses of more than 2,000 new car buyers providing over 8,000 evaluations, the study conducted by TNS' specialist division, TNS Automotive, delved on the hidden motivations behind car purchase and customer perceptions of all available brands in the country. Unlike traditional brand research studies where customers are questioned directly about their purchase reason, this study utilises a proven psychological framework to uncover the motives that drive brand selection, the company release said. According to the study, the key drivers for the six need segments (potency, utility, prestige, adventure, status and liberation) in India include a set of `potency buyers', who are motivated by a need to attract the opposite sex and feel powerful. Then there are `utility buyers' who seek a need for basic transportation and care for family and value for money and cost of ownership are the benefits that these buyers associate with. `Prestige buyers' are motivated by a need for prestige, indulge self, and exclusivity and they are least price sensitive and desirous of latest features in cars. `Adventure buyers' seek fun and adventure and to increase popularity, while `status buyers' want to show-off success and attract attention. "It is apparent from the need segment drivers that a majority of motives are about what a consumer desires to communicate to the outside world based on the car he or she uses," Mr Lochan said. "Therefore, it is vital to understand these underlying drivers for consumer behaviour and position brands accordingly, instead of solely focusing on rational elements of purchase such as fuel economy and engine power," he added.
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