Disruptive Technology Trends That Will Transform India’s Automotive Industry
Over the past decade, automotive technology adopters have already attracted over $400 billion in investment, with 25% post-2020. This firmly establishes that technology is here to disrupt and how! This is the reality of life today. As the pandemic winds down, the automotive sector has become more responsive to technological disruption than ever, with a focus on business continuity despite potential challenges.
Couple this with the need to be ready for 2055, countries around the world are beginning to take notice of the benefits of electrification and technology that will reinforce the “Fit for 55” mandate with clear alignment on climate, energy, land use, transport and taxation policies aimed at reducing net greenhouse gas emissions by at least 55% by 2030.
Many of these technologies can be easily categorized into a few sharp categories to understand the main areas of impact (Table 1).
The greatest world story
The European Union has presented its “Fit for 55” program, which aims to reduce net greenhouse gas emissions by at least 55% by 2030, and the Biden administration has introduced a target of 50% of electric vehicles (EVs) by 2030. Beyond these mandates, most governments also offer subsidies for electric vehicles.
The Indian government has also made serious inroads by planning to mandate taxi companies like Ola and Uber to “convert 40% of their fleet” of vehicles to electric by April 2026. government efforts to skip introducing a comprehensive electric vehicle policy, but focus on an action plan.
While the majority of the industry views mobility from the perspective of the consumer versus the vehicle, there is a need to assess the whole concept of mobility from the perspective of the end consumer journey and value added benefits. .
In all industries, the consumption cycle remains the same – deciding to make a purchase, exploring options, buying the product, using the product, and maintaining the product. The automotive industry is no different. However, it is very important to be able to segment the technology in order to map the direct impact on consumers.
The consumer journey – awareness/purchase decision stage
When the consumer makes the decision to invest funds or time in a new product, his first task is to research details. Most current options include 2D ads on social media or Google, as well as research material and reviews. With the advent of AR/VR and the Metaverse, that has started to change. The end consumer can preview the product, look and feel from all directions and even explore integration into their local environment. While cost may seem like a barrier to mass adoption, many experts are working to make it a viable option to fit the top 1% target across industries.
Once a consumer has made the decision to purchase a product, they typically begin to evaluate many different criteria that seal the deal. The main objective of an end consumer is to evaluate any product on the following parameters:
- Cost of repeated use
- Maintenance cost
Disruptive technologies that will continue to support end-consumer decision making will include:
- Metaverse Showrooms
- Delivery and distribution of last mile electronic communications
- Ecosystem enabled
As the automotive industry will help the end consumer visualize or experience a ride, along with the benefits of an enabled and holistic ecosystem, funnel challenges will decrease, supporting marketing and sales mechanisms. sale.
Use stage and maintenance stage
It is and will remain the most important in the consumption cycle of consumer products. While the initial phase of this stage is dedicated to the ability to enjoy a new acquisition, this euphoric feeling can be stretched longer by car manufacturers and sellers if they consider the key criteria for the feeling to endure. . Some of these criteria include, especially for mass products, cost effectiveness, ease of use, and freedom from repeated maintenance efforts.
The main disruptive technology that will enable the end consumer at this stage will be:
- Battery exchange – for electric vehicles
- Inductive charging – for electric vehicles
- Fuel technology – for electric and non-electric vehicles
- Collision detection for all types of vehicles
- Connected IoT service partners – for all vehicles
- Eco-system enabled
- Data aggregated in the device
The question is: what are the key features that end consumers are looking for? And what do these technologies offer that are not available on the market at the moment! When a consumer buys a product, he is looking for profitability, ease of maintenance, consolidated information, preventive maintenance and, above all, preventive damage control.
A day in the life of a tech-savvy consumer
To the end consumer, most of this will sound like jargon. The transformative impact will continue to be high. For example, a connected and activated ecosystem will be able to trigger notifications, for example if brake oil or engine oil levels have dropped and need to be topped up in a day or two. Depending on the driving mode and road conditions, these devices will be able to issue preventive notifications that will significantly reduce maintenance costs. What the majority of consumers are also looking for is the possibility of increasing the longevity of the vehicle itself. This can be affected to some extent by some of the disruptive technologies. On average, India reports 17 accidents per hour. That doesn’t even include cars that have bumped into each other, dents made – all of which mean additional maintenance expense. Collision detection technology will directly impact these numbers and bring them down. A powerfully enabled ecosystem will enable service providers like us to reduce the time it takes to reach a downed customer, even in the most remote corners of the country. Pooling data in the backend will allow service providers access on-premises equipped with the right solutions, improving convenience and success rate per customer.
Overall, automotive disruptive technology is here to stay; From consumer empowerment and empowerment to global security motives, we are in the midst of a revolution within the automotive sector. This revolution is driven by technology.
The opinions expressed above are those of the author.
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