A recent study by MTX (MiTek) confirmed the gradual shift over the past decade: that the 25 to 40-year old is now the main demographic for the car electronics specialist in terms of revenue.
Four years ago, at an industry-meeting of the 12 Volt Summit in Dallas, when dealers were asked to name their key demographic, the industry appeared split between those catering to the 16 to 24-year old and those serving an older clientele.
But, this month nearly 80 percent of specialty retailers said that the 25 to 40-year old was the most profitable group, in an MTX study of about 100 specialists. The 25 to 40 year-old age group also spent the most dollars, according to 80 percent of the respondents.
The findings should highlight a current disconnect in car audio marketing. Many retailers and suppliers still market primarily to the younger demographic.
“The retailers are seeing [the shift] and yet we’re doing very little to actually capitalize on it,” said Barry Vogel, new Consumer Brands Manager for MTX and a long-time retailer. “We’re still concentrating so heavily on the 16 to 24-year old that we just seem to want to hold on to for dear life.”
He continued, “But I was surprised that almost every retailer that took that survey acknowledged that it’s no longer their profitable customers. So it’s time for car audio to grow up.”
The study also asked retailers what was most important when deciding which lines to carry. 66% said quality was most important and 20 percent said price was most important. Only 4 percent said brand recognition was most important. See results below.
Source: MiTek Corp.