|
| |
|
Senior Couples Leading the Way with In-Car Navigation |
|
By
Dan Ness, Principal Analyst, MetaFacts, May 27, 2005 |
|
|
|
|
Maybe they tried
to ask for directions, or maybe they didn’t, but married active seniors
appear to have been lost often enough and badly enough that they’re
willing to pay money to avoid repeating the experience—because on
average they are more than twice as likely to own or be planning to buy
an in-car navigation system than other Americans. Younger folks,
however, are not totally lost (ahem) to the technology.
|
|
Current in-car navigation systems marry GPS receivers with online map
displays to show where the car is at a given moment. Then, anyone with
basic map-reading skills can more easily find their way to their
destination, whether it is day or night. MetaFacts, Inc., was able to
identify this surprise market segment and gauge the market potential of
this latest automotive accessory by analyzing responses to
questionnaires from its large-scale Technology User Profile survey.
|
|
Married active
seniors are 213 percent of the national average in their usage or
near-term purchase intent for an in-car GPS. Older empty-nesters (or the
single-income-no-kids crowd) are the next most likely, being won over to
the technology at a rate that’s 153 percent higher than average. |
|
|
Why is this important?
|
|
The early adopters for new technology aren’t always young, urban
hipsters. Any technology marketers that put all their energies in the
wrong direction will simply miss the mark. The other side of an old
marketing adage goes: when someone finds a need, they’ll fill it. With
newly-emerging portable navigation devices (PNDs), consumers that don’t
want to wait for Detroit will simply bypass the automakers and get an
aftermarket product from their computer store, cellular carrier, or
other wireless supplier.
|
|
It’s not as if the
typically-targeted youthful early adopters are out of the picture for
in-car GPS. Adoption and interest among younger, affluent singles were
127 percent of the national average. Affluent traditional families were
neck and neck with affluent, older singles, rating, respectively, 119
percent and 118 percent. Single parents were not far behind at 112
percent.
|
But keep in mind
that while we are talking about a tidy business—3.3 million households
that own or plan to soon buy a system—demand for in-car systems remains
well short of a tidal wave. Those “you can’t get there from here” jokes
are not about to become obsolete. The technology’s comparative
popularity among married active seniors still means that only about one
in nine are interested. But that’s wildly better than the national
average of 5.2 percent—or slightly better than one in 20—who are
interested in the technology.
|
|
The other 95 percent of the market are finding other solutions. They
either only drive in familiar territory so know their way, download maps
in advance from sites like RandMcNally, Mapquest, or maps.google, or
have a notebook or handheld with either a GPS receiver or in-car
Internet connection. Alternatively, they simply have a traditional paper
map, or when that fails, stop and ask for directions. With the exception
of using the last approach or having an in-car Internet connection, the
other approaches don’t help much when you change your destination
somewhere along the way, or somehow get off course. |
|
|
In-Car GPS: Lifecycle Demographic Segments
With Above-Average
Usage or Purchase Plans
|
|
|
Households Within Segment That Use or Plan
to Acquire In-Car GPS |
Index:
Percent of National Average |
|
Married Active Seniors |
11.1% |
213 |
|
Affluent Empty Nesters/Sinks, Older |
7.9% |
153 |
|
Affluent Singles/Unmarried, Younger |
6.6% |
127 |
|
Affluent Traditional Families |
6.2% |
119 |
|
Affluent Singles/Unmarried, Older |
6.1% |
118 |
|
Single Parents |
5.8% |
112 |
|
National average |
5.2% |
|
|
Source:
MetaFacts/TRG Telematics Profile Report -
April 2005,
and MetaFacts Lifecycle Profile Report –
May 2005 |
Meanwhile, while married active seniors lead the way,
being old in and of itself does not appear sufficient to
trigger interest for in-car GPS—the demographic
classification that displayed the least interest in the
technology were the single heads of households who were
at least 75 years old. With an interest rate of 2.4
percent, they were less than half the average. Nor does
having a spouse along to nag you cause the interest to
skyrocket—married heads of households who were at least
75 years old had nearly the same score, at 2.5 percent.
Single active seniors were also comparative holdouts, at
3.3 percent. Evidently, the “married active” in “married
active seniors” is the key—both husband and wife like to
get out and travel, and have mutually decided that an
in-car GPS is a worthwhile investment to enhance their
travel experience.
|
|
Other notable holdouts were low to middle income older singles, and both
young and older low-to-middle income empty nesters. Presumably, they
travel only for business. Both working parents and low-to-middle income
traditional families also fell below average in their interest in in-car
GPS—presumably, they have family members to assume the chore of reading
a paper map, or leaving the car to enter a diner and ask for directions.
DINKs (double income no kids) were slightly below average. Perhaps, with
no children to pack along, they can afford to fly to their destinations.
|
|
Looking ahead, as cell phones and other technologies emerge to challenge
satellite-based GPS as the locational technology, consumers will have a
wider range of options. This will put pressure on automakers to move
more quickly, lest aftermarket wireless solutions pass them by. Senior
couple pioneers that navigated the way will in turn be followed by
younger early adopters, just as early cell phone adopters enjoyed not
needing to find a pay telephone and bypassed the laggards. |
|
|
|
|
|
|
For a PDF copy of this web page including the Table
of Contents
for the complete TUPdate, please follow this link. |
| |
|
|
|
TUPdate Special
Analysis: |
|
|
Clients of the
MetaFacts/TRG Telematics Profile Report or the
MetaFacts Lifecycle Profile Report can obtain the following Special Analysis
information at no additional charge by contacting MetaFacts. If you are not a
current subscriber to these profile reports, and wish to obtain the TUPdate
Special Analysis, please follow this links to the right.
|

TUPdate
Package |

TUPdate
Individual Tables |
|
Lifecycle Segments Using or
Planning to Buy In-Car GPS
Lifecycle Segments Using
In-Car GPS
Lifecycle Segments Planning to Buy In-Car GPS
|
|
|
|
Profile Reports: |
|
|
Telematics Profile
Report
Clients of the MetaFacts/TRG Telematics Profile Report can refer to the
following sections of the report for more information. To order the Telematics
Profile Report select one of the links to the right.
1.2 Telematics
Survey Summary
6.0 Navigation System Survey Results
6.1 Navigation System Usage
Table 6.1 In-Vehicle Navigation System Summary
Table 6.2 Navigation System Use Trends
Table 6.3 Navigation System Use Versus Household IncomeTable 6.4 Navigation
System Buying Intentions Versus Household Income
Table 6.5 Navigation System Demographics: 2004
Table 6.6 Other Navigation System Demographics: 2004
Table 6.7 Navigation System Buying Intentions
Table 6.8 Navigation System Versus Handheld GPS Devices
Table 6.9 Navigation System Relationships
Table
9.11 USA Infotainment System Estimates
Lifecycles Profile Report
Clients of the
MetaFacts Lifecycles Profile Report can refer to the following sections of the
report for more information. To order the Lifecycles Profile Report select one
of the links to the right.
Consumer Electronics
Used
Consumer Electronics Plan to Buy
|

Telematics
Profile
Report
(single copy) |

Telematics
Profile
Report
(enterprise) |
Lifecycles
Profile
Report
(single copy) |
Lifecycles
Profile
Report
(enterprise) |
|
Technology User Profile
Annual Editions: |
|
|
|
Current Technology User
Profile subscribers may be interested in the following links with related, more
detailed or updated information.
Consumer Electronics Used (Home/Family)
TUP 2004 Annual Edition (Excel)
TUP 2004 Annual Edition (pdf)
Consumer Electronics Plan to Buy (Home/Family)
TUP 2004 Annual Edition (Excel)
TUP 2004 Annual Edition (pdf) |
|
|
|
|
|
|
Press
Releases: |
|
|
|
A
recent related press release from MetaFacts and TRG:
New Jersey Passes New York and
Massachusetts in Car Technology -- According to Research from MetaFacts and TRG
-- Telematics Profile Report |
|
|
|
|
|
Other Related Information
|
|
More
information about subscribing to related research results can be obtained by
contacting
MetaFacts,
TRG-Telematics Research Group, or by following these links:
Technology User Profile Full Edition –
Brochure –
Contact MetaFacts Sales
Technology User Profile –
Profile Reports –
Brochure –
Currently Available Profile Reports |
|
Background & Methodology |
|
Factual, decision-making information like this is
only found in one place, the Technology User Profile from MetaFacts. The
Technology User Profile market research information service is based on
extensive primary research selected and balanced to represent the American
population - including technology users and non-technology users. Drawn from
more than 30,000 surveys per year reporting on over 250 questions, it is the
longest-running, most comprehensive total market technology study available. TUPdates are brief
summaries of information contained in the Technology User Profile.
|
|
Usage Guidelines
This TUPdate is provided as a service to
subscribers of the MetaFacts Technology User Profile® service, technology
marketers, the investment community and other interested parties. Current
Technology User Profile subscribers may freely distribute this information
within their firms. Further information about Technology User Profile can
be obtained at the website
www.metafacts.com
or by contacting us at:


If you would
like to unsubscribe, please complete the
unsubscribe
form. If you were forwarded this TUPdate and wish to get on the list
for future articles, please
complete a subscription request form. |
| |
|