Showroom Walk-outs Account For Potential Losses In New Car Sales Of Over £17 Million Per Week
-Female drivers overlooked by car industry
As new ‘57’ plate cars start leaving forecourts across the UK, Britain’s automotive industry could be out of pocket by an estimated £17.4 million* this week due to lost new car sales by disgruntled female drivers, according to shocking new research.
In the ‘Car Showroom Shake-up’** report from female-friendly insurer, Sheilas’ Wheels , one in five (20%) women questioned confessed to pulling out of buying a new car because of offensive comments made by a salesperson or the off-putting showroom environment - potentially resulting in a loss of sales totalling a massive £907 million*** this year.
In fact, more than two in five (44%) women admitted to walking out of a showroom due to the intimidating atmosphere.
Nearly three fifths (58%) of female drivers describe showrooms as a ‘very male dominated’ environment, with around half (48%) saying they had experienced ‘patronising and rude’ male sales executives.
Sheilas’ Wheels also undertook an audit of over 200 car dealerships**** from across the country to investigate the ratio of male to female car salespeople — the results showed that only 14% of salespeople working in the showroom are women. But, with almost a third (31%) of female motorists saying they would prefer to negotiate a new car purchase with a female sales executive, the car industry has a long way to go to meet this demand and help tap into this growing market.
Almost three quarters (72%) of the women drivers questioned said they now take a male partner, friend or family member with them for support and to help them get the best deal — being afraid to ‘go it alone’.
Jacky Brown, spokesperson for Sheilas’ Wheels, commented: “Our research shows that Britain’s car industry is not meeting the needs of the modern-day female driver. It’s stuck in the dark ages and is missing out by not grasping the female market with both hands. The fact that so many women have pulled out of a new car purchase because of the atmosphere in the showroom and sales experience shows that a lot of changes are needed.
“Our figures also show that over two fifths (41%) of women in relationships have total control of the household purse-strings, so if the industry wants to maximise its profits, it needs to wise up to the fact that women won’t tolerate unwelcoming surroundings and patronising or intimidating behaviour.“
When asked which key characteristics they thought a male sales executive possessed, the female drivers quizzed by Sheilas’ Wheels said that they were ‘target driven’ (81%) and ‘persistent’ (72%). ‘Honesty’ (5%) and ‘emotionally responsive’ (3%) came bottom of the list.
Female sales executives, meanwhile, were deemed to be ‘good communicators’ (56%), ‘confident’ (48%) and ‘emotionally responsive’ (39%) whilst ‘honesty’ scored highly (29%).
Dr Sandra Wheatley, an independent psychologist, added: “We want to feel that sales people are trying to fulfil a need we have and not rip us off — those that appear most honest and trustworthy will be the most successful.
“Interestingly, female drivers, who are a growing and significant portion of the car buying market, believe that other women are more likely to possess these qualities, and therefore it is them — and not male sales executives — who will be most successful with this audience.“
- Ends -
Notes to editors:
*Calculation: Number of female drivers on the road (14.4 million — National Travel Survey) x Number of female drivers who always buy new cars (9% - Sheilas’ Wheels ‘Car Showroom Shake-up’) / Average number of years that women change their car (4 - Sheilas’ Wheels ‘Car Showroom Shake-up’) x Number of females who have pulled out of car purchase due to the showroom atmosphere or sales experience (20% - Sheilas’ Wheels ‘Car Showroom Shake-up’) / Number of weeks in the year (52) x Average price of new car (£14,000 — Society of Motor Manufacturers and Traders) = £17,446,153 Quick calculation: 14,400,000 x 0.09 (= 1,296,000) / 4 (324,000) x 0.2 (64,800) / 52 (1,246) x 14,000 = £17,446,153 Calculation assumption: the 20% of women drivers who pulled out of a car sale purchase did not buy a new car in another car showroom for at least 12 months.
According to the Society of Motor Manufacturers and Traders, 2,179,000 new cars were sold in the UK in 2006 which is 41,903 each week on average. Therefore, new car sales in the UK in 2006 totalled £30,506,000,000 or £586,653,846 per week.
**Sheilas’ Wheels commissioned YouGov to speak to 797 female drivers in August 2007: ‘Car Showroom Shake-up’ report.
***Calculation: £17,446,153 x 52 = £907,199,956
****Sheilas’ Wheels undertook an audit of 220 new car dealerships by telephone on 16 August 2007 located in major cities within the following regions of the UK: Scotland, Wales, London, North East, North West, Yorkshire, West Midlands, East Midlands, East Anglia, South East and South West of England.
Sheilas’ Wheels: Sheilas’ Wheels was launched in October 2005 to offer women drivers cheaper car insurance and product enhancements including £300 handbag cover — for bags stolen from the car (comprehensive cover only) — competitive breakdown recovery rates, a dedicated counselling line run by trained professionals to help customers cope with driving issues such as road rage (comprehensive cover only), and a network of female-friendly repairers. www.ilovesheilas.com
