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Hola Land Rover

A carmaker journeys into the Hispanic market

  • Emerging Markets April 2004

By Paul Smith

Not only have hardy, go-anywhere Land Rover vehicles explored some of the most remote and inhospitable places on the planet, they have penetrated global markets in a way few car brands can match. In continuous production since 1948, Land Rovers today are sold in more than 180 markets around the world.

 

So omnipresent are they, it is estimated that for 40% of the people of the world, the very first vehicle they laid eyes on was a Land Rover.

 

Land Rover branded vehicles also have a dedicated following where it counts the most  in the United States, where it is renowned as a luxury import. In late 2003, a spike in sales to Hispanic drivers in the U.S. prompted Land Rover to take a closer look at the Hispanic market.

 

The Hispanic sector is certainly important to U.S. car marketers as it represents the nation's largest minority group with an annual population growth rate of 1.5 million. When it comes to car ownership, they are comparable to the general population with about two automobiles per household. Partially acculturated Hispanics represent the largest group of car buyers.

 

Land Rover enlisted the aid of Synovate to develop a study that would shed some light on the purchase decision dynamics of Hispanic luxury vehicle buyers.

 

The study centred around in-depth interviews with more than 900 self-identified Hispanic drivers across the U.S.. Subjects had all recently purchased a new vehicle, or expressed an intention to purchase. The interviews were conducted in the subjects choice of Spanish or English.

 

Further goals of the study included exploring attitudes and perceptions of Hispanic luxury automobile owners and the process behind the new automobile purchase. The research sought to determine the part Hispanic social networks play in the purchase process as well as the importance of peer opinion. The study also aimed to quantify the importance and impact of the Spanish language and targeted media on the purchase decision.

 

The results were quite revealing

Larry Rosinski, Marketing Manager of Land Rover, reveals, we learned there were attitudinal elements that Hispanic consumers shared that were consistent with our brand image, and there was alignment between some of the things they felt and some of the things we stand for.

 

The study identified clear differences between the shopping habits of Hispanics and mainstream U.S. consumers. Hispanics regard shopping as a family event and tend to shop together in larger groups than the general population. Shopping decisions are more consensual  56% of respondents reported the auto purchase decision was made jointly by two or more people. This suggests that marketers need to influence a wider social network and develop an appeal that reaches more family members.

 

Land Rover have wasted no time applying their findings. Showrooms are being revamped to include play areas for children and offer more attractions to family groups. Despite the fact that respondents at the highest level of the market considered English language communications sufficient, a clear need to attract the less acculturated purchase decision influencers has resulted in Land Rover paying more attention to Spanish language marketing materials. 

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