Chips, Used Cars, Auto Insurance, and The Tie that Binds Them – Web Intent Data
How many people do you know that are buying a new car in 2023? Sure, everyone looks forward to the new models in October, but really. How many people? Kelly Blue Book says about 4 million fewer since before the pandemic. We bet some of your current insurance customers are keeping those used cars – even after they pay off their auto loans.
“Pre-pandemic, Americans routinely bought more than 17 million new cars per year. In 2021, we bought just over 15 million. Last year, shoppers purchased close to 13.7 million new vehicles.” Kelly Blue Book
How Can I Upsell Insurance Coverage to Used Car Owners?
Traditionally, when consumers pay off their auto loans, they reduce coverage. Why? Well, auto finance companies require full coverage to protect the asset (the car being financed). Often, to save a buck, Mr. & Mrs. Jones reduce their coverage to liability only. Or a very light policy. Well, until the pandemic, that is.
The truth is, that there is a bit of a lack of trust – along with inflation and higher interest rate loans – with new cars. So, instead of seeing auto coverages go down, encourage your current customers to keep their full coverage. Since used car owners are treating their vehicles as an asset, then they should be protected as an asset – just like their homes. And, hey, who knows? They might also want to invest in renters insurance, too. Bundle it up, baby!
What’s Going On With The Used Car Market? Lack of Chips.
Supply chain issues with chip makers in China, left hundreds of thousands of vehicles, fully built, sitting in warehouses just waiting to be sold. Thanks, Pandemic. But why weren’t they on the lot? Simple. They were missing chips. Hardly any of us drive a vehicle that isn’t built to work with a chip or three, or 3,000. So these vehicles aren’t missing just one chip. They may be missing thousands of chips.
“According to estimates, the average modern car has between 1,400 and 1,500 semiconductor chips. Some cars can have as many as 3,000 chips. That’s a lot of chips! You could say that modern cars are like giant computers on wheels.” DRex
Along with the chip shortage, our data shows a continuing need to return to a sustainable way of life. This isn’t a new trend. But the pandemic turned corporate cubicle zombies into hobbyists. There is a rise in makers’ spaces, craftsmanship, and home improvement. So why wouldn’t these people also feel the inclination to fix their own cars? They can’t fix cars that are computers. Well, not without very expensive diagnostic equipment anyway. Not exactly something you pick up at Napa.
Don’t just believe us. eBay Auto ads are pervasive, AutoZone’s stock is up over 280% over the last five years, and we bet you might have an analog hobby, too. But also, we have the data. So, the numbers tell us the truth.
What is Web Intent Data and Why Does My Insurance Company Care?
Essentially, Web Intent Data is the crystal ball your insurance reps are looking for. They’re trying to find the best leads and their next leads. But what if they knew of customers who already wanted to increase their comprehensive coverage on their used car, for example? Then agents would be prepared to have that conversation.
“Intent data provides information about what is being searched for and how high the purchase intention for a product or service is. Buyer intent is the measure of a prospect's inclination to buy a product or service.” AWI
Web Intent Data is the key to showing customers you’re ready to serve their needs – not yours. Web Intent Data tells you what customers want - even if you think they don’t know what they want. What they’re searching for online is a key insight that leads to closed deals. These allow you to enhance your email campaigns as well as help you augment your internal sales pitches.
Choose The Proven Leader in Web Intent Data
Don’t give your sales reps stale leads or send them down the shrinking list of customers buying new cars in a used car market. With data-driven project requirements, Andrews Wharton is the proven Web Intent Data provider with a long-standing reputation for solving your toughest marketing challenges. Are you ready to get started?
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