In developed countries, the growing segment of older consumers has become increasingly important economically. In France, people age 60 and older constitute 20 % of the current population, a percentage that is likely to increase to 27 % by 2010. In the United States, the number of people age 65 and older is 35 million and is projected to increase to 50 million by 2010. The purchasing power of the older segment is also increasing. Compared with the average household in the United States, households whose members are age 65 and older spend more not only on drugs, +180 %, and medical services, +67 %, but also on fresh fruit and vegetables, +50 %, and general household expenses, +39 %. For the new-car market, buyers age 60 and above represent 21 % of the U.S. market and 29 % of the French market. A crucial characteristic of the car market is its slow changes in brands and brand shares. The three leading national brands in France, that is Renault, Peugeot, and Citroen, have existed for a century and have been sold by dealers that have remained in the same locations for decades. This characteristic makes a long-term acquisition of brand knowledge and preferences possible, though biased toward long-established brands and selective expertise. In many other categories, long-established brands and relative newcomers coexist. In a large empirical study, it is found that older consumers, who constitute an important market segment, repurchase a brand more frequently when they buy a new car. Older consumers consider fewer brands, fewer dealers, and fewer models, and they choose long-established brands more often. To interpret the results, it is relied on four age-related theoretical perspectives. These are biological aging, cognitive decline, socioemotional selectivity, and change aversion. Cognitive decline is a tentative explanation for all the results. Cognitive decline and change aversion predict the consideration of fewer car models.


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    Title :

    Repeat purchasing of new automobiles by older consumers: empirical evidence and interpretations


    Contributors:

    Published in:

    Journal of Marketing ; 69 , 2 ; 97-113


    Publication date :

    2005


    Size :

    17 Seiten, 4 Bilder, 4 Tabellen, 68 Quellen




    Type of media :

    Article (Journal)


    Type of material :

    Print


    Language :

    English





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