Nielsen: The Car 'Is' The Information Superhighway
October 9, 2014 at 3:57 AM (PT)
In a newly released report, NIELSEN writes, "Cars are big business, and as technology continues to permeate our lives, the auto industry is broadening its revenue base by tapping into consumers’ desire to stay connected from behind the wheel. The industry is also amplifying an array of connected car options across a swath of TV ads. And when you consider how personal a car purchase is, new connectivity features are helping automakers personalize content for everyone, from working moms in need of hands-free talk to twenty-something singles looking to score reservations at the local hotspot.
"Regardless of tech preference, however, the modern car offers some form of connectivity for everyone -- and that appeal is growing. In fact, of the 44% of future auto intenders who plan to purchase a new car within the next two years, 39% are very likely to purchase a connected car with built-in features. So what’s the draw? In most cases, it comes down to having what’s cool: 60% of future auto intenders say they’d like a connected car because they want to experience emerging technologies, 58% feel it will provide entertainment to passengers while on the road, and 43% say it will boost their productivity while they’re on the road."
So who is the connected car user?
The study found the majority are men (58%), 42% are age 55+ and 62% have at least a college degree and 37% made more than $100,000 per year. More still, NIELSEN found, is the "added convenience that connected cars can afford to drivers who spent ample time in their vehicles." In fact, 37% of connected car users say they spend 30 minutes to an hour in their cars on a regular basis."
Connected Safety: Alert Today, Alive Tomorrow
Safety is a predominant value among consumers and, as NIELSEN’s study found, it’s among the highest-ranking features incentivizing them to buy a connected car. Among future intenders, 79% said they believe a vehicle’s safety features will make them feel safe. Users of connected car technologies also value crash notifications (64% very important), Internet-enabled navigation (58% very important) and safety alerts (51% very important). Connected car consumers also rated these same features as most important in their car-buying decision-making processes.
Information and Entertainment
But connectivity isn’t just about safety. It can be fun and informative too. According to NIELSEN’s latest Music 360 report, nearly one-fourth of all music listening each week happens behind the wheel. Forty-six percent of connected car users use driving analytics, and 41% use wireless hotspots every time they’re on the road. They also connect for entertainment about one-third of the time. In Q2 2014:
- 36% of connected car users streamed audio every time they were in their car (36% stream regularly)
- 26% say they connect to the Internet every time they’re in their car (41% connect regularly)
- 21% use their connectivity to download media every time they’re in their car (27% do so regularly)
There is a slight gender divide when it comes to hot spot connectivity. In fact, 74% of men and 84% of women whose connected cars came with built-in wireless hotspots say that using their car as a wireless hotspot is a somewhat or very important connected car technology.
Get Ready For The DASH Conference
For more on the connected car and what it means to radio’s future, make sure that you attend the DASH CONFERENCE next week in DETROIT, OCTOBER 15th-16th at the WESTIN DETROIT METROPOLITAN AIRPORT HOTEL. For more info on the DASH CONFERENCE, please click here.