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Everything you need to make the right decisions

Providing the most comprehensive and up-to-date information and analysis of the US - Hispanics' Loyalty in Automotive: Incl Impact of COVID-19 market, and the behaviours, preferences and habits of the consumer.

Mintel has the answers you’re looking for

What are the key challenges facing the industry? Who is the consumer and what do they want? Where are the opportunities, where are the risks and what lies ahead?

Covered in this report

Under normal circumstances, Hispanics overindex for being in car-buying mode. Since cars are big-ticket items that demand significant investment, Hispanics research the options available from different brands to make the right decision. Loyalty to a specific brand – while desired – is not always possible. The COVID-19 outbreak is certainly disrupting Hispanics’ car buying process. While many Hispanics will likely push back their purchases until the crisis passes and they feel more secure in their finances, the current situation creates an opportunity for car dealerships to offer a more personal and intimate approach to the car buying experience and diminish some of the tension that is intrinsic to car buying

All reports purchased from the Mintel Store now come with free access to our COVID-19 Global Insights Hub, allowing you to understand how industries and consumer behaviour is changing worldwide.


What does the COVID-19 Global Insights Hub give you access to?

  • Over 450 pieces of research (with more published each week) addressing markets across the globe.
  • Discover how people in countries at different stages of the crisis are adjusting to the 'new normal'.
  • Trending industries which have seen growth due to the changes in circumstance.
  • Our latest consumer research surveys, allowing you to see customers views right now.

Expert analysis from a specialist in the field

Written by Juan Ruiz, a leading analyst in the Hispanic Insights sector, his extensive knowledge delivers in-depth commentary and analysis to highlight current trends and add expert context to the numbers.

Despite Hispanics being more likely than the average to be planning to buy a car within a year, the COVID-19 outbreak likely prompted them to put those plans on hold overnight. Sales will come nowhere close to original projections. As car brands and dealerships aim to bounce back, they have to become more flexible and client-oriented. The COVID-19 outbreak creates a unique opportunity for the automotive industry to instill a culture of service that keeps current owners in their cars, and that conveys value to bring prospects back. Juan Ruiz
Director of Hispanic Insights

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What's included

What's included

Table of contents

Table of contents

  1. Overview

    • What you need to know
      • Key issues covered in this Report
        • Scope
        • Executive Summary

            • Figure 1: Short, medium and longer term impact of COVID-19 on auto and Hispanics’ loyalty, April 2020
          • Market overview
            • Top takeaways
              • Issues and opportunities
                • Hispanics are particularly vulnerable to the economic effects of COVID-19
                  • Brands can offer support and develop a relationship during difficult times
                    • Figure 2: Hispanic vehicle owners who keep their cars until needed to replace, indexed to all, February 2020
                    • Figure 3: Hispanics who serviced/repaired vehicle at car dealerships, indexed to all, October 2018-December 2019
                  • Technology needs to be put in context of overall value
                    • Figure 4: Hispanics’ auto brand switching motivators, indexed to all, February 2020
                  • Communication is key to understanding Hispanics’ needs
                    • Figure 5: Hispanics’ attitudes toward automakers, indexed to all, February 2020
                  • What Hispanics want and why
                  • The Impact of COVID-19 on Hispanics’ Loyalty in Automotive

                    • What you need to know
                      • Figure 6: Short, medium and longer term impact of COVID-19 on auto and Hispanics’ loyalty, April 2020
                    • Opportunities and threats
                      • The market calls for a more personal approach
                        • Brands have more time to make their case
                          • Figure 7: Toyota Latino Facebook video post, March-April 2020
                          • Figure 8: Mid-South Ford Dealers Facebook video post, March 2020
                        • Impact on the market
                          • US auto sales drastically affected by shelter-in-place mandates
                            • COVID-19 can prompt Hispanics to review their transportation needs, opt for a car
                              • Longer term auto sales impact of COVID-19 will be bleak but not awful
                                • Post-pandemic auto repairs to be a boon to service and maintenance providers
                                  • Figure 9: Toyota USA Facebook video post, April 2020
                                • How the crisis will affect Hispanic consumers
                                  • Hispanics’ occupations make them more vulnerable to economic downturns
                                    • Figure 10: Employed persons by certain detailed healthcare, transportation and sales occupations, by race and Hispanic origin, 2019
                                  • Spanish-dominant Hispanics are more at risk
                                    • Circumstances require Hispanics to have a pragmatic approach toward car ownership
                                      • Potential shift toward sedans
                                        • How a COVID-19 recession will reshape the automotive industry
                                          • Auto industry impacted by global disruption to the supply chain
                                            • Dealerships will need to continue to digitize
                                              • COVID-19: US context
                                              • The Market – What You Need to Know

                                                • Hispanics are more likely to express intentions purchase a car within the next 12 months…
                                                  • …yet, they own fewer vehicles on average
                                                    • Four groups of Hispanics express loyalty in automotive differently
                                                      • Hispanics’ finances dictate some pragmatism
                                                      • The Hispanic Car Buyer Prospect

                                                        • Hispanics overindex for being in buying mode
                                                          • Figure 11: Hispanics’ next car purchase timeline, indexed to all, February 2020
                                                          • Figure 12: Hispanics’ next car purchase timeline, by language spoken at home and household income, February 2020
                                                          • Figure 13: Hispanics’ next car purchase timeline, by marital status, February 2020
                                                      • Number of Vehicles Owned

                                                        • Hispanics own fewer vehicles
                                                          • Figure 14: Number of vehicles in Hispanic households, indexed to all, February 2020
                                                          • Figure 15: Number of vehicles in Hispanic households, by area, indexed to all, February 2020
                                                          • Figure 16: Being in a car with more than one person, by Hispanic origin and household income, April 2018-June 2019, October 2018-December 2019
                                                      • The Market – Automotive Attitudinal Segments

                                                        • There are four ways Hispanics relate to automotive brands
                                                          • Figure 17: Hispanic automotive attitudinal segments, February 2020
                                                        • Worry-free Drivers (22%)
                                                          • Who are they?
                                                              • Figure 18: Profile of Worry-free Drivers, February 2020
                                                            • Brand Partners (24%)
                                                              • Who are they?
                                                                  • Figure 19: Profile of Brand Partners, February 2020
                                                                • Brand Embracers (29%)
                                                                  • Who are they?
                                                                      • Figure 20: Profile of Brand Loyalists, February 2020
                                                                    • Brand Learners (25%)
                                                                      • Who are they?
                                                                          • Figure 21: Profile of Brand Learners, February 2020
                                                                      • Market Factors

                                                                        • Lower median household income pushes Hispanics toward pragmatism
                                                                          • Figure 22: Median household income, by race and Hispanic origin of householder, 2018
                                                                          • Figure 23: Median income of all US households and Hispanic households, in inflation-adjusted dollars, 2007-18
                                                                          • Figure 24: Household income distribution, by race and Hispanic origin of householder, 2018
                                                                          • Figure 25: Household annual expenditures on vehicle purchases, by race and Hispanic origin, 2018
                                                                      • What’s Driving Behavior – What You Need to Know

                                                                          • Value: The internet will shape loyalty and how people buy cars
                                                                            • Experiences: Down-to-earth experiences is key to drive relevance
                                                                              • Technology: Technology generates attention
                                                                              • What’s Driving Behavior

                                                                                  • Figure 26: Mintel Trend Drivers
                                                                                • Trend Driver: Value
                                                                                  • Using the internet to reshape value and loyalty with it
                                                                                    • Figure 27: Cargurus.com Facebook post, March 2020
                                                                                    • Figure 28: TrueCar.com online ad, February-March 2020
                                                                                  • Trend Driver: Experiences
                                                                                    • Using down-to-earth experiences to drive engagement
                                                                                      • Figure 29: Attitudes toward experiences with car, Hispanics indexed to all, October 2018-December 2019
                                                                                    • Trend Driver: Technology
                                                                                      • Using technology to start the conversation
                                                                                        • Figure 30: Vehicle most recently acquired – features, by Hispanic origin and household income, October 2018-December 2019
                                                                                    • The Consumer – What You Need to Know

                                                                                      • Loyalty is fragile
                                                                                        • Hispanics lag for owning SUVs and pickup trucks
                                                                                          • Hispanics are not as attached to their cars
                                                                                            • There isn’t one single factor that would prompt Hispanics to look elsewhere
                                                                                            • Hispanics’ Loyalty in Context

                                                                                              • Are Hispanics brand loyal?
                                                                                                • Figure 31: Hispanics’ car brand purchases – second most recently acquired brand, by most recently acquired, October 2018-December 2019
                                                                                              • Loyalty helps create a positive narrative around the brand
                                                                                                • Figure 32: Hispanics’ attitudes toward car brand preferences and expectations, indexed to all, February 2020
                                                                                              • Brand reputation keeps brands in the consideration set
                                                                                                • Figure 33: Hispanics’ attitudes toward automotive brand perceptions, indexed to all, February 2020
                                                                                              • Price x brand = value
                                                                                                  • Figure 34: Hispanics’ attitudes toward price vs brand, indexed to all, February 2020
                                                                                                • Hispanics want to see more before pledging loyalty
                                                                                                  • Figure 35: Hispanics’ attitudes toward automakers, indexed to all, February 2020
                                                                                                  • Figure 36: Vehicle Hispanics most recently acquired – new vs used, indexed to all, October 2018-December 2019
                                                                                                  • Figure 37: Place where Hispanics serviced/repaired vehicle, indexed to all, October 2018-December 2019
                                                                                              • Types of Vehicles Owned

                                                                                                • Hispanics aren’t following general market car buying trends
                                                                                                  • Figure 38: Types of vehicles Hispanic households have, indexed to all, February 2020
                                                                                                • Can different car types drive loyalty?
                                                                                                  • The case of SUVs
                                                                                                    • Figure 39: Hyundai Facebook post inviting for a test drive, January-February 2020
                                                                                                  • The case of pickup trucks
                                                                                                    • Figure 40: Toyota Facebook post for Tundra 1794 Edition CrewMax, January-February 2020
                                                                                                  • The case of minivans
                                                                                                    • Figure 41: Chrysler Facebook post for Pacifica Hybrid, February-March 2020
                                                                                                    • Figure 42: Types of vehicles Hispanic households have, by automotive attitudinal segments, February 2020
                                                                                                    • Figure 43: Types of vehicles Hispanics households have, by language spoken at home and household income, February 2020
                                                                                                • Emotional Connection to their Cars

                                                                                                  • Hispanics lack an emotional connection with their cars
                                                                                                    • Figure 44: Hispanics’ emotional connection to cars, indexed to all, February 2020
                                                                                                    • Figure 45: Hispanics’ emotional connection to cars, by automotive attitudinal segments, February 2020
                                                                                                  • Older Hispanics are more appreciative of their current vehicles
                                                                                                    • Figure 46: Hispanics’ desire to keep their cars longer, by age, February 2020
                                                                                                  • Passion for driving makes loyalty difficult
                                                                                                    • Figure 47: Hispanics’ auto brand switching motivators, by driving enjoyment, February 2020
                                                                                                  • Spanish-dominant Hispanics embrace fluidity of US auto market
                                                                                                    • Figure 48: Hispanics’ closeness to their vehicles, by language spoken at home, February 2020
                                                                                                • Switching Motivators

                                                                                                  • It’s about creating curiosity
                                                                                                    • Hispanics are a forgiving bunch
                                                                                                      • Figure 49: Hispanics’ auto brand switching motivators, indexed to all, February 2020
                                                                                                      • Figure 50: Hispanics’ auto brand switching motivators, by automotive attitudinal segments, February 2020
                                                                                                    • The arrival of children prompts Hispanics to re-evaluate car brands
                                                                                                      • Figure 51: Lifestyle change as Hispanics’ brand switching motivator, by presence and age of children in the household, February 2020
                                                                                                  • Appendix – Data Sources and Abbreviations

                                                                                                    • Consumer survey data
                                                                                                      • Terms
                                                                                                        • A note about acculturation
                                                                                                        • Appendix – Demographics

                                                                                                          • There are 61 million Hispanics in the US
                                                                                                            • Figure 52: Population, by race and Hispanic origin, 2014-24
                                                                                                          • The Hispanic market is young
                                                                                                            • Figure 53: Hispanic share of total US population, by age, 2018
                                                                                                          • Hispanics live in larger households
                                                                                                            • Figure 54: Average number of people per household, by race and Hispanic origin, 2018
                                                                                                            • Figure 55: Households with related children, by race and Hispanic origin of householder, 2018
                                                                                                          • Hispanics overindex for living in urban areas
                                                                                                            • Figure 56: Hispanics’ share of total population in urban, suburban and rural areas, 2016
                                                                                                        • Appendix – Consumer Data

                                                                                                            • Figure 57: Vehicle most recently acquired – new vs used, Hispanics by household income, October 2018-December 2019

                                                                                                        About the report

                                                                                                        This report will give you a complete 360-degree view of your market. Not only is it rooted in robust proprietary and high-quality third-party data, but our industry experts put that data into context and you’ll quickly understand:

                                                                                                        • The Consumer

                                                                                                          What They Want. Why They Want It.

                                                                                                        • The Competitors

                                                                                                          Who’s Winning. How To Stay Ahead.

                                                                                                        • The Market

                                                                                                          Size, Segments, Shares And Forecasts: How It All Adds Up.

                                                                                                        • The Innovations

                                                                                                          New Ideas. New Products. New Potential.

                                                                                                        • The Opportunities

                                                                                                          Where The White Space Is. How To Make It Yours.

                                                                                                        • The Trends

                                                                                                          What’s Shaping Demand – Today And Tomorrow.

                                                                                                        Please Note: This is a sample report. All of the figures, graphs, and tables have been redacted.

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