When doing market research in the automobile industry, start with a list of questions you hope to answer. Collect data from as many data sources as you can, which may include but are not limited to sales of vehicles, production reports, and consumer data. Then use qualitative research methods, which may include focus groups, one-on-one interviews, and social media data analyses, to reveal trends and consumer attitudes that are starting to shape a trend. Finally, using quantitative and qualitative data together can help with identifying target audiences, understanding competition, and conducting a PESTEL analysis to help with strategic marketing decisions.

1. Determine Clear Research Objectives

The start of any effective automotive market research project should begin with clear, measurable objectives. These objectives and goals will not only inform your use and collection of data, but also your analytical framework and understanding of the automotive space.

Some possible objectives might include:

• To measure the demand for electric vehicles (EV) and hybrid vehicles.
• To measure customer satisfaction and brand perceptions.
• To evaluate competitors’ pricing and innovation strategies.
• To understand any technological disruptions that are impacting sales.

By formulating focused research objectives, companies are ensuring their study of the vehicle market will lead to actionable recommendations and uncover current issues

2. Evaluate Automotive Sector Trends & Data

Appropriate evaluation of the larger automotive sector trends requires a significant data collection exercise. To be effective, you want to collect automotive sector data from secondary sources, such that you may be able to understand total market performance, production, and opportunities for growth and innovation.

Examples of secondary data sources include:

• International Organization of Motor Vehicle Manufacturers (OICA)
• Trade organizations, such as ACEA & SIAM
• Market Research, such as Statista, IBIS World, & Marketsand Markets

After you evaluate automotive sector trends then you can identify opportunities for growth and continue to leverage consumer preferences and innovation trends to build the automotive sector market research world.

3. Automotive Consumer Research

Understanding the end user is vital for automotive consumer research. The auto buyer is informed, environmentally conscious, and digitally connected as never before. To understand what drives their decisions, it is essential to employ both qualitative and quantitative approaches.

Qualitative Research Methodologies

• Focus groups: Understand attitudes to vehicle features and vehicle design
• In-depth interviews: Realize the motivations for purchase
• Social media listening: Follow consumer sentiment and emerging discussions online

Quantitative Research Methodologies

• Surveys and polls: Measure satisfaction, awareness, and intention to purchase
• Online analytics: Review consumer interaction with your website and/or app to inform what drives behavior to purchase.

Using mixed methods provides a 360° view of your audience and important insights for your automaker’s business.

4. Evaluate Competitors and Market Positioning

Knowing who your competitors are is a key component of any market research in the automotive industry. Understanding what competitors are doing and how they are doing it can help you benchmark your performance against competitors, identify gaps in the market, and build out your own unique point of difference in the marketplace.

Examples of what to assess:

• Competitors’ product portfolios and innovation capabilities
• Competitors’ market share and sales performance
• Competitors’ branding, advertising strategies, and customer engagement
• Competitors’ distribution capabilities and after-sales service

You can utilize helpful analytical tools like SWOT and Porter’s Five Forces to shape your competitors’ data into valuable, actionable analysis for the automotive industry, which will help make informed decisions for future growth.

5. Conduct a PESTEL Analysis

To gain a wider lens to examine the ramifications of external influences in the automotive market, a PESTEL analysis framework is required to comprehend automotive market trends more broadly.

The PESTEL analysis framework consists of:

• Political: import export rules, EV incentives, and government policies in general.
• Economic: inflation, fuel prices, and disposable income trends.
• Social trends: perceptions changing lifestyles, being conscious of sustainability, and attitudes about owning cars.
• Technological: AI developments, automation, and connectivity.
• Environmental: emissions legislation, eco-sustainability of manufacturing.
• Legal: health and safety law, intellectual property rights, and trade compliance.

The analytical framework for conducting automotive market research assists organizations in building a risk perspective and developing business strategies in line with expected future market situations.

6. Employ Data Analytics and Predictive Analytics Tools

Current automotive market research relies heavily on technology-enabled research and analysis. Data analytics tools are designed to examine and analyze large sets of automotive market data for insights into trends that conventional market research may not identify.

Some effective tools and methods for market research include:

• CRM systems: Analyse customer interactions and indications of loyalty.
• Predictive modelling: Estimate future trends regarding sales and demand.
• Big data platforms: Visually interpret and analyse datasets from the automotive industry.

These analytical methods provide greater accuracy in automotive market research for clients, as trends in the market and shifts in consumer behaviour occur more rapidly.

7. Develop Actionable Strategies from Insights

The goal of automotive market research leads to a strategy. Results must be communicated clearly and converted into actionable steps that impact marketing, manufacturing, and investment decisions.

Some examples of strategic use include:

• Manufacturers expanding EV production due to growing consumer demand.
• Dealers optimizing inventory based on regional demand indications.
• Suppliers using rates of technology adoption in determinations for diversification.

When automotive market research works properly, it will not only identify the opportunity within the market but also foster innovation and profitability.

Conclusion

In a time of electrification, connectivity, and digitalization, continued automotive marketplace research is vital for success in the automotive market. Using automotive consumer research, automotive market data, and auto industry intelligence enables an organization to understand shifting conditions and strategically remain competitive in the marketplace.

Whether you are an automotive manufacturer, automotive parts supplier, or investment firm, having expanded automotive industry market research provides you with critical input for your decision-making, identification of new opportunities, and strengthens your influence and position in a quickly evolving global automotive market.