Common sense suggests that gaining a first time buyer provides the opportunity to create a customer for life. Yet analyzing repurchase behavior among the younger demographic set suggests that manufacturers and dealers alike are not doing enough to retain younger buyers when they return to market.
Admittedly, younger buyers represent a small percentage of total repurchase activity, less than 1% for buyers 18-24 and 7.5% for buyers 25-34, but its not necessarily about the value these customers represent today, its about customer lifetime value.
Brad Smith, Director, Loyalty Management Practice, Polk, has advice for dealers on bringing in young buyers and making them loyal customers for the future or, as Brad says, an investment in the future.