Car-as-a-service market is transformed
Frost & Sullivan's research, “Strategic Transition from Products to Services in the Automotive Industry, Forecast to 2030,” analyzes the evolution of automotive business models, sustainable strategies adopted by key players, market opportunities, challenges and strategies for future growth, key selling points, and how automotive mobility and share mobility will impact traditional car sales.
"To sustain growth in a dynamic ecosystem, original equipment manufacturers (OEMs) must form partnerships beyond industry, differentiate their products and services, and evolve from 'hardware providers' to integrated mobility service providers," said Frost & Sullivan Future of Mobility Program Manager Krishan Jayaraman.
Further developments and trends aiding the transition from products to services in the automotive industry include:
- Apple, Google, and Uber disrupting the autonomous mobility ecosystem
- General Motors, Ford, BMW, and Mercedes-Benz offering smart mobility initiatives
- Tesla developing over-the-air functional upgrades that can be sold per hour or mile
- Development of data monetization models
- Focus on fractional ownerships
"North America is the clear leader in terms of connectivity. The United States will continue to witness OEMs throwing in multi-year free connected services with a focus on using them to improve customer loyalty and aftersales relationships, and decrease recalls," noted Jayaraman.
“Strategic Transition from Products to Services in the Automotive Industry, Forecast to 2030” is part of Frost & Sullivan's Future of Mobility Growth Partnership Service program.
For more information on this analysis, visit https://goo.gl/jgWEFE.