Car buyers perceive styled steel wheels as stronger and safer than styled aluminum wheels, concluded a study sponsored by the American Iron and Steel Institute (AISI).
The study, conducted during November/December 2000 by market researcher Burke, suggests that vehicle makers who replace aluminum wheels with styled steel wheels in upgrade packages would maintain option package demand and revenue.
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Burke conducted the study among 300 consumers visiting retail shopping malls in 17 cities across the United States.
Using photographs of a Chevrolet Malibu sedan, a Dodge Ram 1500 Regular Cab pickup, and a Ford Windstar van to display styled steel and aluminum wheels, researchers measured consumers’ price perceptions, preferences, and willingness to purchase.
Researchers also asked for consumers’ opinions on other wheel aspects, such as safety, strength, and weight.
Price perception data from the study showed that demand and revenue were for all practical purposes equivalent for vehicle upgrade packages with styled steel wheels versus those with styled aluminum wheels.
When respondents ranked their wheel preference among four designs, steel wheels were consistently ranked either equal with or higher than aluminum wheels.
While many respondents would not pay more to have one wheel material versus the other, a higher percentage of respondents said they would pay more to have styled steel wheels than would pay more to have styled aluminum wheels.
Respondents also associated lower cost with aluminum wheels, perhaps in contrast to the perceived strength and safety of steel.
Questions regarding price perceptions and purchase intentions were used to calculate demand and revenue projections.
A presentation of the, “Steel vs. Aluminum Wheels Consumer Research Study is available at http://www.autosteel.org.
AISI believes that by using styled steel wheels, vehicle makers can increase profits because today’s steel wheels have finished styling/trim packages not previously available.
