80% of premium vehicles to be sold by 2020 will have in-vehicle marketplace, according to Frost & Sullivan’s latest global connected car market outlook.
The connected car industry has witnessed an increase in interests by players from other industries as automakers seek to employ advanced technologies such as AI and native intelligent assistant to transform user experience.
The rising focus on personalisation is also driving companies to apply multi-sided platforms like marketplace with contextual services.
To generate extra revenue, Frost & Sullivan recommends connected cars industry players to:
- Either acquire or invest heavily in technology companies that have aligned their vision with the CASE strategy.
- Reduce development cycles for faster introductions of new and improved features.
- Focus on growth regions such as China and Europe where demonstration and testing of C-V2X technologies and EV connectivity solutions are carried out.
- Implement firmware over-the-air (FOTA) updates to promote new features and on-demand feature updates.
- Acquire third-party service providers or build capability in-house to develop new telematics services.
- Utilise cloud platform capabilities such as AI and machine learning (ML) to evolve services.
- Enable seamless connectivity of all devices and deliver connected services such as car-to-home automation.
Suhas Gurumurthy, mobility senior research analyst at Frost & Sullivan, said: “With commutes becoming longer, the number of purchases made on the move has increased. The likelihood of in-car ads converting to purchases of products and services is especially high in automated vehicles, which makes marketplace a scalable model.
“With more than 60% of consumers willing to share data, OEMs and data consumers will have significant opportunities to generate recurring revenues. They will be looking to invest in advanced data analytics companies, apply AI algorithms, identify new use cases, and build applications on top of platforms to enhance services.“Connected car makers will be eager to build strategic partnerships with telecom providers and communication module makers to augment on-road safety and offer in-vehicle, data-rich services.
“Flexible business models such as choice of network for consumers will further improve customer retention and revenue generation.” For further information on this analysis, please visit: http://frost.ly/3fj