Best Practices Nov 7th, 2024

A Marketing Guide to Attract Female Car Buyers

Women car buying

Women buy 54% of the cars in the United States, and influence 84% of all vehicle purchase decisions. Yet most women dread the car buying experience, with good reason. Study after study shows that women are often ignored, patronized and/or charged more than men when buying a car.

What would happen if we turned the tables on this situation? How much more profit could a dealership create by embracing female car buyers through a consistent, personalized marketing strategy and an updated showroom experience?

A long history that reinforces the negative car dealership stereotype.

In a study conducted by two economists in Chicago, car dealers quoted higher prices to a test group of women than to a similar group of men, even when those women came to the dealership armed with the same information as the men, and followed the same "script" as the men.

The study, published in the peer-reviewed INFORMS journal Marketing Science, found that women are more likely to pay more for the same interest rates than men.

A recent study from the consumer group Growth for Knowledge suggests that excessive price gouging sours consumers on not just a particular dealership, but the car brand as a whole.

Additionally, a study found that female buyers paid a "pink tax" markup for auto loans, with women paying an average of 1% more and up to 39.4% in some cases compared to men.

Why does this happen?

Many car salespeople believe that women don't know much about cars or the car buying process, and then try to take advantage of that. But the majority of women are informed and savvy, and they often encounter altogether different treatment from men and have a harder time getting what they want.

While it's clear that the industry has work to do to improve a female car buyer's experience, there are some positive steps to take through culture, awareness, training and incorporating a thoughtful marketing strategy.

Contributing factor: The lack of female dealership employees.

The Bureau of Labor Statistics has shown that women only make up about 21.4% of all employees at auto dealers.

When women are present in the dealership, they often create an environment that allows customers to feel less pressure and more at ease. They encourage buyers to take their time, understand their needs, and make the best decision for them without feeling rushed or pressured.

Female salespeople can often have a unique understanding of the features that appeal to women. From safety features to in-car technology, seating configuration to storage capacity, they have a unique understanding of these needs, leading to a better overall buying experience.

Understanding and catering to the diverse needs of your customer base is crucial.

Over my 25+ year career managing dealerships, I've observed a significant shift in the market demographics, with female car buyers becoming increasingly influential.

The female demographic is discerning, well-informed, and looks for a buying experience that is not just transactional but also relational and respectful. To tap into this powerful segment, dealerships can adopt a multifaceted marketing approach, leveraging social media, email marketing, digital ads, events, and loyalty programs. Here's how:

1. Social Media: Building a Community

Social media is not just a platform for marketing; it's a community space where potential female buyers look for relatable content, reviews, and recommendations. To attract this demographic:

  • Create relatable content. Share stories of female employees, customers, or influencers who use your vehicles in their daily lives. Highlight features that matter most to your female audience, such as safety, technology, and comfort.
    Pro tip: There’s a goldmine in the Service Dept. There’s a story in every car that comes into the service drive. It takes practice at listening and learning, and service advisors can be your best friends.
  • Engage actively. Respond to comments, messages, and reviews promptly. Engagement shows that you value their opinions and are ready to offer support.
  • Use visuals and videos. Video enables an effective way for dealers to engage with female buyers in a transparent and personal way. High-quality images, 360-degree videos, and virtual tours of cars significantly enhance their shopping experience.

2. Email Marketing: Personalized Communication

Email marketing is a direct line to your female customers' inboxes (no social media algorithms to get through). It's pretty powerful when you do it right! The key is making each person feel like you're talking just to them, not blasting out generic messages to everyone.

  • Write like a real person, not a robot. Say "you" and keep things friendly.
    • Break up the big stuff/long paragraphs into bite-sized messages that are easy to digest.
    • Grab attention with subject lines that make people curious to open them.
    • Give them helpful tips - be someone they look forward to hearing from.
    • Make it super clear what you want them to do next (like "check out our sale" or "read the full story", with a link to a VDP, video or special financing page)
  • Segment your audience: Every woman's car-buying journey is unique. Some might be first-time buyers looking for a reliable commuter car, while others might be experienced owners upgrading to a luxury vehicle. Others might be focused on family-friendly features or performance specs. To connect meaningfully:
    • Understand what your customers are actually interested in by analyzing the data from your email campaigns and listening to them wherever you can.
    • Group similar interests together (like model-based preferences, safety-focused buyers, performance enthusiasts, or tech-savvy shoppers)
    • Craft messages that speak to their specific priorities
    • Provide content that matters to them (like safety ratings for the safety-conscious or performance specs for enthusiasts)
  • Provide unique value: Educational content positions your dealership as a trusted advisor. Go beyond promotions and include tips on:
    • How to get the most for your trade-in
    • What to bring with you when you come to the dealership
    • Financing tips like, “It’s important to know your credit score.”
    • Vehicle maintenance
    • Safety features and options (make a demo video!)
    • Latest automotive technology
    • Other female buyers’ recommendations and reviews.
  • Celebrate milestones: Building lasting relationships is about remembering the moments that matter. Acknowledge special occasions like birthdays or purchase anniversaries with personalized offers or messages. This personal touch fosters loyalty and repeat business. Think about how you can celebrate alongside your customers:
    • Send a thoughtful birthday note with a special offer just for them.
    • Remember their car's "birthday" (purchase anniversary) with a personalized offer.
    • Celebrate their first year of ownership with a complimentary detail.
    • Mark major milestones like paying off their car loan with a congratulatory message.

3. Digital Ads: Targeted and Inclusive

Digital advertising offers precision targeting capabilities that traditional media cannot match. To attract female buyers:

  • Use inclusive messaging: Ensure your ads feature diverse groups of women in various roles, avoiding stereotypes. Highlight features and benefits that resonate with their needs and lifestyles.
  • Leverage retargeting: Use retargeting ads to stay top of mind with women who have visited your website but haven't made a purchase. Show them relevant content based on their interests and browsing behavior.
  • Optimize for mobile: Women are more likely to use mobile devices for research and shopping. Ensure your ads and landing pages are mobile-friendly for a seamless experience.
    Pro-tip: provide texting to salespeople on your website. I recently came across a General Manager who was vehemently opposed to this tactic. He said, "We sell cars, not people." Hmmmm, I beg to differ.

4. Events: Creating Experiential Opportunities

Events provide a unique opportunity to engage with potential female buyers in a relaxed and informative setting. To leverage events:

  • Host female-focused workshops: Offer workshops on car buying, car maintenance, safety features, or new car technology. These events can empower women with knowledge and demonstrate your dealership's commitment to their needs.
  • Partner with local businesses: Collaborate with women-led or women-focused local businesses for cross-promotional events. This can broaden your reach and build community goodwill. I know a dealer who partners with a local female-run dog and cat rescue and they host an adoption event every month. It has been VERY successful - for the animals and the dealer.
  • Create a comfortable environment: Ensure your events are welcoming and inclusive, with a focus on creating a comfortable and pressure-free experience for women.

Pro Tip: Never underestimate the power of delicious food at your events - it's a universal way to make people feel welcomed and valued, and when they rave about food, they rarely forget their experience.

5. Loyalty Program: Rewarding Repeat Business

A loyalty program can turn a one-time buyer into a lifelong customer. To design a loyalty program that appeals to female buyers:

  • Offer meaningful rewards: Beyond discounts, consider rewards like free maintenance services, car washes, or exclusive access to new models and events.
  • Personalize the experience: Use data (and AI if it's available) to understand each customer's preferences and tailor your loyalty program communications and offers accordingly.
  • Promote community involvement: Offer points or rewards for participation in community service or environmental initiatives. This aligns with values important to many women and enhances your dealership's reputation.

I’ll leave you with this.

Attracting female car buyers requires a thoughtful, respectful, and multifaceted marketing strategy. By leveraging social media, email marketing, digital ads, events, and a loyalty program, dealerships can create a buying experience that resonates with women.

The goal is not just to sell cars but to build relationships and trust with female buyers, transforming them into loyal customers and brand advocates. With these strategies, your dealership can tap into the vast potential of the female market, drive sales and foster a positive community around your organization.

Kathi Kruse is an automotive retail advisor, dealership profitability specialist, digital strategist, trainer/coach, podcaster, author, creator: Kruse Control Newsletter, and Founder/CEO of Kruse Control Inc.

Born in the heart of Los Angeles to a family of “car people”, Kathi’s passion for the car business spans a 25-year automotive retail career, managing wildly successful $100M+ stores in Southern California. Her exceptional experience, combined with her innovative methods, has led to transformational outcomes and increased profits for over 1,000 clients to date.

A lifelong animal advocate, Kathi is a board member of Hanaeleh Horse Rescue. 10% of Kruse Control profits go to animal rescue.

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