Customer Logins
Obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. Sign in to the product or service center of your choice.
Customer LoginsGrowth of crossovers drives demographic shift
Crossovers continue to be the hottest sector in the US auto market, and they have gotten a corresponding amount of publicity from the media and the automakers themselves. What has not been mentioned as frequently is the fact that, simultaneously with the rise of crossovers, we are witnessing a shift in the demographics of the new vehicle buyer. Specifically, as shown below, at the same time that crossovers' share has climbed almost 15 share points to approach 40%, females' share of the same market has also climbed dramatically. Through the first ten months of 2015, females have purchased more than four of every ten new light vehicles, up almost six percentage points from ten years ago and more than a point in the past year alone. Bear in mind that in a 14+ million unit retail industry, one percentage point represents 140,000 transactions, not an insignificant sum. (While we do not have ready access to gender data prior to 2005, all indications point to the 41% female share so far this year as an all-time high.)
There seems little doubt that the rise of crossovers and the increased female participation in the industry are related. The dominant crossover segment, compact non-luxury, has seen retail market share almost triple over the past decade to 19% this year (October CYTD) and historically has led the industry in female participation, and continues to do so. So far in 2015, women have purchased 53% of all small mainstream crossovers, and this figure is even higher for select popular models including the Toyota RAV4 (57%), Nissan Rogue (56%), and Honda CR-V (54%).
The new category of sub-compact crossovers also resonates with women: the all-new Honda HR-V, Buick Encore, Fiat 500X and Jeep Renegade have female shares of 60%, 58%, 53%, and 51%, respectively, so far this year. This sub-compact category will grow as more mainstream and luxury brands enter, suggesting that the female share industry-wide in the near term will most likely continue to move up.
Tom Libby is Manager, Loyalty Solutions and Industry Analysis, IHS Automotive
Posted December 23, 2015