Connectivity Issues Still Challenge Automakers & Dealers


The Sit­u­a­tion:

There remain a num­ber of hur­dles to over­come before the con­nected car becomes the seam­less expe­ri­ence automak­ers, deal­ers and con­sumers seek.

Issues that Affect Automak­ers and Their Dealers:

Deal­er­ship cus­tomer data­bases takes on new impor­tance in the process of col­lected data that will influ­ence con­nec­tiv­ity and the value to consumers.

Agree­ment is yet to be reached on the dom­i­nant con­sumer charg­ing model. This reflects the con­cern that con­sumers have a level of accep­tance regard­ing pay­ment for mobile ser­vices that will be dif­fi­cult to change with­out a par­a­digm shift in the qual­ity of expe­ri­ence, as indi­cated by the following:

  • 19.7% of respon­dents felt that monthly con­tracts would be accepted by con­sumers in return for telem­at­ics ser­vices however…
  • 33.9% of respon­dents also felt that the cost of the con­nected car should be included in the over­all price of the vehi­cle as standard.
  • 22.6% of those sur­veyed believed that a pay-per-use model would become the norm.
  • 9.2% of indus­try experts feel that a sin­gle pay­ment would define the cus­tomer charg­ing model

BMW Offers a Telem­at­ics Suc­cess Story:

BMW has imple­mented in its telem­at­ics sys­tems since 2007. The telem­at­ics sys­tem is in con­stant co

How the con­sumer expe­ri­ences the end result of this com­mu­ni­ca­tion is up to the abil­ity of the deal­er­ship to react. How­ever the com­pany insists it is deliv­er­ing reduced main­te­nance costs for users as a result.

Despite offer­ing both reduced out­lay to the con­sumer and cost effi­cien­cies to the OEM, BMW intends to con­tinue charg­ing a one-off cost for telem­at­ics but insists that the cus­tomer will enjoy sav­ings dur­ing the life of their vehi­cle ownership.

Action­ables Dealer Man­agers Need to Address Today:

  • Telem­at­ics pro­vides a unique oppor­tu­nity to cre­ate com­pletely new touch­points between OEM, deal­er­ships and customers.
  • Appli­ca­tions that focus on the car’s per­for­mance and dri­ver expe­ri­ence can be col­lected and then fed back to the OEM or the dealer who can then proac­tively man­age ser­vic­ing and main­te­nance needs.
  • This means your Cus­tomer Rela­tion­ship Man­age­ment soft­ware must be highly sophis­ti­cated and state-of-the-art.

Deal­ers need to read the report in its entirety to under more about what is needed down the road – since using Telem­at­ics to inte­grate the OEM, the dealer net­work and the cus­tomer more closely will require a sig­nif­i­cant rein­vest­ment in bring­ing legacy sys­tems up to date with connectivity.