Blog of RENAULT NISSAN Alliance

The auto industry can no longer afford to neglect the needs of women, who today influence 80 percent of new car purchases globally, said Takao Asami, Alliance Global Vice President for Research and Advanced Engineering.

In a recent panel discussion at the World Economic Forum’s “Summer Davos” in Tianjin, China, Asami-san said the rise of the female consumer is one of three major trends that are changing the industry landscape. The others are “autonomous drive” vehicles and the increasing popularity of electric vehicles.

Today, women control more than $20 trillion in annual consumer spending globally and with women entering the workforce at a faster rate in emerging markets such as, Brazil, Russia and China, that number is expected to grow to $28 trillion over next five years—that’s more than the markets of China and India combined.

And the rise of the female consumer has major implications for the auto industry. According to Frost & Sullivan’s “Women in Cars” report, women influence 80% of all car purchases globally. And for the first time, women in the U.S. possess more drivers’ licenses than men and buy 52% of all new cars. But despite the rise of the female consumer, according to the American Marketing Association, 74% of women feel “misunderstood” by automakers.

Asami-san conceded, “The auto industry has not always been sensitive to the needs of women, but as the fastest growing buying segment, we have to engineer and design more products that appeal to women.”

In June, Nissan launched its first “Ladies First” dealership in Fuchu, Japan, a suburb of Tokyo. This pilot dealership is dedicated to serving the needs of women buyers and enhancing their total buying experience. With a new and unique design, these dealerships are fully mainly staffed by women for women. Nissan will open 300 new “Ladies First” dealerships throughout Japan over the next few years.

The World Economic Forum’s Annual Meeting of the New Champions is the foremost global business gathering in Asia. Also known as the “Summer Davos”, the Meeting creates a unique opportunity for exchange between leaders from top-ranked multinationals and chief executive officers of dynamic and fast-growing companies, including key decision-makers from government, media, academia and civil society.