If you would talk to any car dealer in today’s world, they would tell you the top thing that most people look for when purchasing a car is connectivity. The world we live in today is all about how we can stay connected to our phones or our social media accounts. Now the need for manufacturers to step up and create vehicles to meet those needs is stronger than ever.
According to KPMG’s Global Executive Survey, executives ranked connectivity as the #1 key disrupter for the industry until 2025. Well why?
Connected cars are appealing to the younger generations and when they are buying cars that is what they look for. Outside of style and features, millennials want cars that have:
- Navigation Systems
- Satellite Radio
- MP3 Player
- Mobile Integration (Apple Carplay, Google Carplay)
As the millennial generation is a more digitally oriented consumer a study by Autotrader.com states that 72% of younger millennials say that their car is just as important as their social life. With the boost of drive share companies like Uber and Lyft that have so many millennials working for them, the need and want for more connectivity is only going to increase. People are spending more time in their cars nowadays and manufacturers are going to have to start matching the trends for what the consumers want.
So, would you switch from your current car and manufacturer that you have purchased for years to a different manufacturer just because they have better connectivity? A study by McKinsey shows that 37 percent across all geographics would switch from their current manufacturer to another. That is up from 20 percent in one year. All because people want a car with full access to apps, data and media. This connectivity feature is evolving from a should-have to a must-have for every manufacturer.
When your buying a car are you focusing on the connectivity features? Are you wanting to look at so many different brands to see who ultimately has the best system and features? 43% of premium brand drivers and 28% of non-premium brand drivers say their vehicle’s technology was the main reason for their car purchase. Technology has become part of our lifestyle our cars included.
Question: On a scale of 1 to 10 (10 meaning that in-car technology has the greatest influence over the car purchase decision and 1 meaning that the car’s driving performance has the greatest impact on the car purchase decision), what score would you assign for your view?
Trends, Automotive Industry. “How Marketers Are Responding to Connectivity and Transformation in the Automotive Industry.” V12, 2019,v12data.com/blog/how-marketers-are-responding-to-connectivity-and-transformation-in-the-automotive-industry/.