New Data Shows Tire Shoppers Do Their Research and Know What Brand They Want Before Going to the Retailer

by Deborah Grieb, Director of Marketing and Consumer Insights

More than half of replacement tire buyers know what brand they plan to purchase before they go to the tire retailer, according to AutoPacific’s recently completed U.S. Replacement Tire Buyer Study. Up 9%pts from 47% in 2019 to 56% in 2024, the study also reveals an increase in time from the start of shopping to actual purchase, indicating consumers are doing more research prior to taking that final step. The study was conducted in July 2024 and consists of nearly 7,000 vehicle owners who reside in the U.S. and replaced one or more tires within the previous 12 months from one of 25 surveyed brands. Tire manufacturers and retailers need to know who their consumers are, how they’re making their replacement tire purchase decision, and what they’re looking for in a tire, among other things. The 2024 U.S. Replacement Tire Buyer Study is the 10th installation of our study, designed to provide tire companies with actionable insight into brand awareness, shopping behavior, tire attribute importance and satisfaction, buyer psychographics, demographics and more.

Consumers are Doing Their Research About Price, Promotions and Ratings

Consumers have a wealth of information available at their fingertips and not surprisingly, the top activity done by replacement tire buyers during the shopping process is checking pricing and promotions, followed by checking tire ratings and reading tire reviews. When asked specifically about research done online, a simple Google search topped the list as tire shoppers were most likely to do a Google search for tires for their vehicle (49%) or about a particular tire brand (47%), followed by visits to a tire retailer website such as Discount Tire or Sam’s Club Tire Center (41%). While researching tires on social media is at the bottom of the list of online research activities for the total sample of replacement tire buyers, it is age dependent with buyers under age 40 more likely to get information about tires via social media than those 40 and older. 

How Important are Advertising and Sponsorships?

Only 12% of replacement tire buyers say they noticed or watched a tire brand ad during their shopping process but 75% of those people say it had an influence on their purchase decision. Additionally, 41% of tire shoppers say if a tire brand sponsors a race team, sporting event or sporting team they are more likely to consider it. Advertisements and sponsorships definitely have their role but it’s more about brand awareness and image – about getting in the heads of consumers before they’re in the shopping process so you’re top of mind. Replacement tire buyers who watch various sports, motorsports, read automotive periodicals, watch YouTube videos and subscribe to streaming services have a greater familiarity with all surveyed brands and in turn those brands have higher future brand consideration. For sports in particular, those who watch sports such as the NFL, NBA and world soccer regularly when they’re in season are 14-22%pts more likely to be familiar with a brand, with the greatest impact on Toyo and GT Radial. Viewership of motorsports such as NASCAR and Formula1 has an even greater impact than regular sports, ranging from an increase of 14-29%pts in brand familiarity compared to those who don’t watch motorsports.

Big Infotainment Screens & Functionality Appeal to Young Families and In-Vehicle Multi-Taskers

by Deborah Grieb, Director of Marketing and Consumer Insights

The bigger, the better when it comes to in-vehicle screens for new vehicles – at least that’s the direction many automakers are heading. In the recently released 2024 Future Attribute Demand Study (FADS) conducted by noted automotive market research and consulting firm AutoPacific, consumer demand for in-vehicle screens was measured – from a simple passenger side infotainment screen to full width infotainment displays with passenger-specific functionality, windshield base displays and having the ability to use the screen to purchase products, technologies and vehicle upgrades. Results reveal relatively modest overall demand (13%-18% depending on the screen type or functionality) with greatest interest coming from those intending to purchase a 2 or 3-row large SUV, sports car or large car. Our study surveyed over 14,000 consumers who intend to purchase or lease a new vehicle within the next 3 years about their future vehicle intentions, from vehicle type, price range and powertrain to interest in 163 different features and technologies.

The Role of In-Vehicle Infotainment

Infotainment has played a vital role in vehicle interiors since the first digital display in the 1970’s displaying time and radio station, followed by the first touchscreen display in the 1980’s. Since then, screens have grown steadily in size and functionality, with some of today’s vehicles housing pillar-to-pillar infotainment screens that provide both driver and passenger functionality. AutoPacific surveyed screen size specifically back in 2022 by measuring consumer interest in having a 10-inch or larger center screen. Results showed nearly 30% of all respondents wanted a screen that large, with highest demand coming from large and mid-size 3-row SUV intenders. The wider and more functional screens we surveyed recently have less overall appeal, but interest comes from the same groups of consumers – the ones who drive the longest, carry passengers the most frequently, and have the highest intention for EVs and PHEVs.

Function over Form

Use of expansive infotainment screens can enhance the visual appeal of an interior and emphasize an image of technological advancement, but it seems to be the functionality that is driving consumer interest. Consumers with young children, who are most likely to intend a large SUV, and those who use their vehicle for work-related activities such as deliveries, client transportation, vehicle sharing and conference calls, are the most interested in full-width infotainment displays, passenger side screens and on-screen purchase capabilities. Interest also rises consistently with the number of miles driven daily. Road warriors and multi-taskers need highly visible, safe and convenient access to information and technologies that enable them to do life efficiently.

In addition to the importance of functionality, when given the choice between buttons, rotary dials, touch screen with tap or swipe, and voice commands for controlling center screen content, preference for touch screen controls with tap or swipe was highest with 28% of all surveyed respondents preferring this technique.

Enhancing Safety is Essential

Though some consumers and media are critical of large screens, citing their potential for distraction, safely executed large screen displays may enhance safety by displaying more “panes” of information on the screen, reducing the need to take one’s eyes off the road to actively swap between functions such as navigation and audio since both can be displayed at once. In addition, larger screens can make use of larger typefaces that are easier to read at a glance. AutoPacific contends it is of the utmost importance that large screen interfaces are designed to be simple to read and use, and not cram in too much distracting content. We believe the safe use of large screens is heavily dependent on the design of the interface, and automakers can increase consumer interest and demand by demonstrating their ease of use and reduction of distraction. After all, for consumers – and especially those with families – safety comes first.

New Research Reveals Strong Interest in Customizable Driver Profiles, Wireless Charging Pads for Smartphones

by Robby DeGraff, Manager of Product and Consumer Insights

AutoPacific’s 2024 edition of its respected Future Attribute Demand Study (FADS) has been released, and the study shows comfort and convenience features at the top of new vehicle shoppers’ wish lists. The annual nationwide study contains responses from over 14,900 licensed drivers in the U.S. who intend to acquire a new vehicle within the next three years. Respondents were asked a range of questions from what brands they will consider for their next new vehicle to what type of vehicle and powertrain they intend to acquire and most importantly, what features they want to have in that vehicle. AutoPacific’s 2024 FADS measures demand for 163 features including autonomous driving and safety tech, necessities for families, infotainment technologies, connected features, exterior appearance packages, and even hands-off towing aids. The study also measures interest in unique powertrain-specific features, like varying degrees of bi-directional charging for EVs.

Wireless Charging is Convenient and Increasingly Ubiquitous

The most-wanted feature for 2024? Wireless charging pad for portable electronic devices for front passengers. As awareness rises for this popular amenity, demand isn’t just isolated to a vehicle’s front cabin, as the second most-wanted feature in this year’s FADS is a wireless charging pad for portable electronic devices for rear passengers as well. Note that in the 2023 study, both features ranked in the top 10 most-wanted list but moved higher up the ladder this year.

Driver Profile Settings are Becoming More of a “Must”

Today’s vehicles continue to offer numerous ways to fine-tune and tailor one’s experience behind the wheel. From dialing in particular seat comfort adjustments and customizing exterior LED light signatures, to suspension stiffness and preprogramming on-screen shortcuts within an infotainment system, personalization has become very important to today’s new vehicle shoppers. 35% of new vehicle intenders want driver profile settings, elevating it to the sixth most-wanted feature in this year’s study, up 10th rank in 2023 and 19th in 2022.

I believe this feature can be a huge help among households with multiple drivers who may at times share a vehicle. Making your own driver profile settings requires a bit of initial homework, but once established, it’s essentially a get-in-and-go experience with the vehicle automatically setting the seat, mirrors, steering wheel, audio presets, and many other personal settings to your preferences when you get in the vehicle.

Hands-Off Driving Systems Stay Off the Top 10, but Demand for Simple Safety-Related Automated Features Prevails

Despite a growing number of automakers offering hands-off semi-autonomous driving systems for use on highways, they’re not yet among the most demanded features by today’s vehicle shoppers. Rather, two simpler and more affordable safety-enhancing automated features have climbed their way into the top 10 most-wanted features list. Reintroduced for the 2024 study is rain-sensing windshield wipers, the most-wanted safety-related feature among new vehicle intenders with 36% of new vehicle shoppers wanting this feature in their next new vehicle. While this feature has been available to consumers for decades, it still isn’t a standard feature on most non-luxury models.

The other safety-related feature in the top 10 in this year’s study is rear cross-traffic alert with automatic emergency braking, demanded by 32% of new vehicle intenders. We’ve seen countless automakers demonstrate how this feature works via catchy television ads, but the benefits are critical to safeguarding those both inside and outside the vehicle, whether backing up in a busy parking lot or out of your driveway into the street. I believe consumer demand for rear cross-traffic alert with automatic emergency braking will continue to be strong in the future.”

Earning a top 10 honorable mention is unresponsive driver stop assist. Ranking 3rd last year with interest from 43% of consumers, the feature was reworded this year to measure two types of assist separately: stop in lane and redirect to shoulder. Combined, the demand for unresponsive driver stop assist is 45% with a nearly equal split between consumers wanting stop in lane and those wanting redirect to shoulder.

Younger Americans Most Open to Chinese-Brand Vehicles; Willing to Overlook Privacy Concerns

by robby degraff, Manager of Product and Consumer Insights; Ed Kim, President and Chief Analyst

There are currently no Chinese vehicle brands for sale in the U.S., but what if there were? In a recent survey issued by AutoPacific, nearly half of respondents said they are familiar with Chinese vehicle brands and about 35% of respondents said they would consider (definitely or maybe) purchasing a new vehicle from a Chinese brand. The results are part of our bi-monthly Fuel Price Impact Survey, issued to a proprietary panel of vehicle owners in the U.S. The survey yielded responses from nearly 800 respondents aged 18-80 who were asked a unique set of questions about Chinese-brand vehicles and privacy concerns. However, that overall purchase consideration doesn’t tell the whole story. When broken down by age, 76% of respondents under 40 said they would consider buying a vehicle from a Chinese brand. Consideration then declines significantly by age group with only about 26% of those 60 and older willing to consider one. A surprising number of American consumers are familiar with Chinese car brands even though none are sold here currently. This is especially true among savvy Millennials and Gen Z, who would be the most likely to consider acquiring a vehicle from a Chinese brand.

Concerns About Privacy are High Regardless of Age Range

Overall, 44% of respondents said they would be very concerned about their privacy if Chinese-brand vehicles were sold in the U.S., and another 34% would be somewhat concerned. Even younger respondents, those under age 40, have concerns about privacy, with 73% saying they would be concerned about their privacy. However, despite strong concern among the under 40 age group, purchase consideration remains high. Privacy concerns about Chinese-brand vehicles are likely to eventually subside given that most of the connected smartphones, smart watches, laptops, connected home devices we are comfortable using every day are in fact manufactured in China.

Respondents of all ages were similarly concerned about potential national security risks if Chinese automakers were to sell their vehicles in the U.S. (68% to 82% depending on age group), and regardless of manufacturing location of the Chinese-branded vehicle: China, U.S., or other countries including Mexico.   

The Biggest Game-Changer for Consideration is Vehicles Built on this Side of the Globe

North American vehicle assembly is becoming more of an imperative “must” among automakers with EVs in order to meet eligibility requirements for mainstream vehicle shoppers to take advantage of federal tax credits for electric vehicle purchases. Could U.S. assembly of Chinese-brand vehicles also be a way to bolster consumer consideration? 16% of all respondents and 39% of those under age 40 said that knowing a Chinese-brand vehicle was built in the U.S. would increase their purchase consideration. Even 12% of respondents aged 60 and older, the least likely to consider a Chinese-brand vehicle, stated they’d be more open to one.

Heading south, a handful of Chinese automakers are already selling and will soon build lower-cost vehicles in Mexico for the Mexico market. Under current USMCA free trade rules, such vehicles could potentially be eligible for the full tax credit if they are sold in the U.S., as well as avoid the just-announced 100% tariff announced by the Biden Administration on Chinese-built vehicles.

When gauging consideration for a Chinese-brand vehicle if it were assembled in Mexico and then sold here in the U.S., about 37% overall would definitely or maybe consider a Chinese-brand vehicle made in Mexico, with that jumping to 73% among those under 40. Only about 29% of those 60 or older would consider a Chinese-brand vehicle built in Mexico.

EVs from Chinese Brands Could Solve Many of the Roadblocks Holding Up U.S. Buyers

It’s no secret Chinese brands are building some of the most innovative new EVs with striking technology, cutting-edge software, hyper-fast charging speeds, and fun features desired by younger buyers, and doing so at price points that significantly undercut what EVs from American, Japanese, Korean, and European brands currently sell for in the U.S. market. AutoPacific research has shown a main reason many Americans are hesitant towards EVs is purchase price, and Chinese-brand EVs could potentially offer appealing EV products that could generate excitement for EVs at much more affordable price points.

Despite the punishing new 100% tariff on Chinese-built automobiles, it is likely only a matter of time before they arrive on these shores – just as Japanese automakers did decades ago despite efforts to limit their presence here. Younger generations of shoppers are clearly aware of the enticing products Chinese automakers are cooking up overseas. It’s only a matter of “when” they’ll be able to get their hands on them.

EV Sales Growth Forecasted in Connection with New Lower-Priced Options

by Deborah Grieb, Director of Marketing and Consumer Insights; Ed Kim, President and Chief Analyst

Over half of new vehicle intenders who aren’t already intending to purchase an electric vehicle (EV) say they would consider purchasing one in the near future, according to AutoPacific’s most recent EV Consumer Insights Study. The finding is part of a large study designed to help the automotive industry navigate through the vast consumer sentiment regarding EVs. We know widespread adoption of EVs in the U.S. is a huge challenge. One of our goals with this study, and much of our syndicated study work, is to focus on the future and to understand the potential for turning EV rejectors into acceptors.”

With 58% of consumers who are in the market for a new vehicle within the next 3 years being willing to consider at EV, the challenge becomes finding an EV path for the remaining 42% who say they won’t consider an EV. The study confirms many known obstacles to EV adoption, including concerns about range, charge times and charger availability, to name a few, yet also sheds light on EV cost. 36% of EV rejectors say the cost of buying and/or operating at EV is too expensive. When asked a follow-up question regarding a price point that would change their mind and get them to consider an EV, nearly half of respondents (47%) indicated a price under $35,000 would change their mind. EVs are known to be expensive, luxury-type vehicles, so many consumers looking for a $25,000-$35,000 vehicle simply don’t even have one as an option.

Could New Lower-Priced EVs Help Propel Sales Growth?

According to our latest U.S. Sales Forecast, sales of EVs will reach 1.4 million units by the end of 2024, accounting for 9.1% of total light vehicle sales. Yet the real growth happens between 2026 and 2029 when EV sales are forecast to grow from 2.5 million units, 15% of total sales, to 4.1 million units, 25% of total sales. The next couple of years are likely to see moderate growth of EV sales in the U.S. as the infrastructure advances and consumer trust grows. Then, an influx of new, lower-priced EVs that fall into various segments will enter the market, vastly expanding consumer range and interest. Currently, the EV product mix in the U.S. market is lopsided towards luxury-priced EVs, and that needs to change for widespread EV adoption to take place.

While affordable EVs are necessary for continued EV adoption growth, it’s just as important for these models to possess the size, format, and features that American consumers want. EVs taking the format of subcompact five-door hatchbacks have already been proven unpopular with American shoppers. Appealing crossover SUV designs with enough size and space will be key to mainstream EV adoption.

AutoPacific has been forecasting U.S. light vehicle sales for over thirty years and is relied upon by auto manufacturers and suppliers worldwide. Average forecast accuracy over the last five years, measured from Q1 TLV annual forecast to actual TLV annual sales for the same year, is 95%, including the unexpected pandemic years.

Consumer Demand for In-Vehicle Marketplace Capabilities is Growing

by Robby DeGraff, Manager of Product and Consumer Insights

With automakers prioritizing connectivity and exploring new ways to generate revenue after the point of sale, consumers are becoming more interested in the ability to purchase items or services directly from a vehicle’s center infotainment screen. This feature isn’t necessarily “new.” Over the past decade, automakers have tried testing the waters with in-vehicle marketplaces but to the reception of little actual interest among consumers. However, recent breakthroughs in screen sizes and intuitive software with over-the-air updates, and a booming e-commerce scene have prompted automakers to give this feature another go. AutoPacific research has seen demand for the ability to purchase products, technologies, and vehicle upgrades directly from a center infotainment screen grow by 8% pts YoY. We predict that figure to continue to rise.

18% of all new vehicle intenders, and 29% of EV intenders want to use their touchscreen for transactions

When surveying new vehicle intenders, 18% of those who plan to buy a new vehicle within the next three years want the ability to purchase products, technologies, and vehicle upgrades directly from a center infotainment screen. Past research has shown younger consumers are generally more comfortable and open to connected technology in their vehicles, as well as electrification. That’s expectedly the case here, with demand peaking among those ages 30-49 before dropping sharply.

Befitting, intenders of EVs who likely anticipate spending time waiting for their vehicle to charge, want this feature the most and considerably more so than ICE intenders (+16% pts). Automakers with EVs in their lineup could benefit by providing consumers in-vehicle marketplace capabilities, since these EV intenders frequently use a vehicle’s center infotainment screen for certain activities while parked, including streaming video content, playing games, partaking in video conferencing, and browsing the internet.

Regardless of powertrain or segment, this feature could become a must-have among families, as demand was more than twice that of households without any children. From placing food orders while waiting in the school pickup line to purchasing heated rear seats while on a winter road trip, obtaining products and services conveniently through the center infotainment screen can be a reprieve for busy parents. Relevant products, services, and upgrades catered specifically to families’ needs should be readily available via an in-vehicle marketplace.

Enhancing the vehicle and ownership experience over time

Beyond common goods and services, certain features and technologies that weren’t initially offered or added to a vehicle at time of purchase can be downloaded later through an in-vehicle marketplace. These can include ADAS features, comfort amenities, and even performance-focused treats like quicker acceleration and extra range for EVs. We believe this opens the door for manufacturers to let an owner easily enhance and better their vehicle over time. Maybe you didn’t think you’d need a hands-free highway driving assist when you first drove your vehicle off the lot…but now you suddenly do because you’re road-tripping a lot. A few minutes and taps on the center touchscreen, and you’ve just upgraded your vehicle without ever stepping foot in a dealership.

Concerns and considerations to ensure seamless transactions

Earlier attempts at in-vehicle marketplaces were flawed by complicated on-screen steps, lagging connections and syncing of an owner’s payment methods, as well as a relatively small number of participating vendors. In order to ensure best practice for a consumer to purchase products, technologies, and vehicle upgrades directly from a center infotainment screen, the process must be as quick, easy, and straightforward as it would be to do so using a mobile device. Any interruption, glitches, or difficulty during an on-screen transaction would likely see the consumer immediately resorting to completing the transaction on their smartphone.

Furthermore, privacy may be a real concern for some consumers, even those open to having connected technology in their vehicle. 66% of all respondents, and 70% of those who want the ability to securely purchase products, technologies and upgrades from their vehicle’s center infotainment screen say they are concerned about their privacy due to use of various technologies. Transparency, a way to opt out of a transaction if desired, and of course security for all stored payment methods need to be guaranteed by the automaker.

EV Shoppers Want a Public Charging Experience Similar to that of Traditional Gas Stations

by Deborah Grieb, Director of Marketing and Consumer Insights

Current public charging stations for electric vehicles are far from meeting consumer wants and expectations. According to data from AutoPacific’s recent EV Consumer Insights Study, future EV consumers have a long list of charging station attributes that are important to them. From easy-to-see and read charging speed and pricing signage to offering additional basic vehicle care services like windshield cleaner, air pumps for filling tires, and vacuums, future EV consumers would like a public charging experience that more closely mirrors traditional gasoline fueling stations.

The study, conducted as a part of AutoPacific’s annual Future Attribute Demand Study, surveyed over 7,200 future EV acceptors, those who either intend to purchase or will consider purchasing an EV in the near future, about their ideal public charging station attributes, reasons for wanting an EV, concerns about EV ownership and more. We’ve long been committed to studying the future of the automotive industry and having a full understanding of future EV consumers and rejectors is essential, as is understanding all of the non-traditional extras, like charging, that go with EV ownership/

EV acceptance is on the rise, according to data from the our study, with EV purchase intention up from 11% in 2022 to 17% in 2023, and another 58% of respondents saying they would consider purchasing an EV in the near future. Many non-vehicle attributes, like the charging infrastructure, play key roles in the future of EVs in the U.S. Whether a current EV owner, or a future acceptor without current ownership experience, future EV consumers have similar opinions on what attributes public charging stations should have. AutoPacific’s President and Chief Analyst, Ed Kim, stressed the importance of allowing EV owners to have a public charging experience similar to what they’re used to with traditional fueling is certainly beneficial to increasing EV acceptance.