What is the automotive retail revolution?
The biggest issue is about the customer and the value chain. The auto-manufacturing industry has taken a while to sit up and take notice of competitors like Uber, Google and Apple. Consumers are digital. In the car industry channels, some dealers are still living in the past where everything is manual. You see this if you try to test drive or make an appointment over the internet. Some 95% of interested customers try to contact a dealer online and 80% change dealers if they do not receive an email within seven hours. Around 41% would consider buying a car online and as many as 25% would do so without even test driving it.
What are the key steps when buying a car today?
There are five digital moments in the customer journey that are crucial for every manufacturer: Which car is best? Is it right for me? Can I afford it? Where should I buy it? And am I getting a good deal? This is the new mantra of car buying and why the digital value chain is so important in getting things right.
What is Hyundai doing differently?
We started some initiatives with Rockar whereby we are leapfrogging the old legacy system and going directly to the consumer. We are working with our dealers to help them make the digital transformation. With our digital strategy in Europe and the digital hubs, we are taking a shortcut to increase new business, income and interest from buyers who want a Hyundai.
“The biggest challenge we are facing is the clash between two industries: the digital industry and the old car industry.” Jochen Sengpiehl,
Vice President Marketing, Hyundai Motor Europe
What is the secret of your current retail success?
The idea behind the Rockar and Click2Drive story is that we went to a busy shopping center where customers go on a frequent basis to buy food and clothes. People don’t have the time or inclination to go to a dealership in the suburbs for a test drive. So, we saw the potential for a completely new online retail strategy. We welcome customers in to take a look and, if they are interested, get in touch with someone who is not a salesperson, but instead comes from the hospitality industry. We do not want to replace dealers, but we want to find a new contemporary way to reach our customers’ needs. Under these premises we build incremental business by installing digital hubs and retail stores that invite people to develop a relationship with the brand in a different, more efficient way. Everything is built around the customer.
What else is included in Hyundai’s digital communication strategy?
For the first time Hyundai Motor is launching the new IONIQ models across Europe primarily via digital channels and video content. In doing so, the IONIQ Digital Hub bundles all relevant content about the vehicle tailored to the target audience by data-driven storytelling based on the different customer interest and needs. By using the potential of the digital approach, we are able to directly address the customer with a product that fits to his or her needs. Through this approach the customer becomes familiar with the technology and features and finds the perfect match. The customer can digitally explore the IONIQ family from the outside and inside also being helped by augmented reality
