Why Virtual Reality is Auto Marketing's 'Sleeping Giant'


How big could virtual reality become for auto marketing? Here are some clues: Toyota agency Saatchi & Saatchi Los Angeles has a 35-person VR team that is developing virtual showrooms. Infiniti — which began testing virtual reality last year — is getting more aggressive, including striking a new ad deal with The New York Times that includes VR. And this week, Mitsubishi is debuting a program allowing potential buyers to test features on its new Mirage G4 using their smartphone, a laptop and an interactive video.

The initiatives come as automakers seek to lure tech-savvy millennials whose car-shopping habits are digitally-driven. Real-world test drives remain highly relevant — Autotrader found that 88% of shoppers would not buy a car unless they took it for a test drive, according to its latest “Car Buyer of the Future” study, which surveyed 4,002 consumers. But auto marketers are using VR as a way to lure younger buyers into dealerships to take those test drives with online marketing that goes beyond static words and images and staid promotional videos.

“Virtual reality is the sleeping giant that could be another disrupter to significantly improve car shopping, the test drive and brand as well as dealer experiences,” Joe Richards, director of research and market intelligence for Cox Automotive, said in an email. Cox, which owns car-shopping websites Kelley Blue Book and Autotrader, recently began studying how automakers can effectively use VR for a forthcoming report.

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