The automobile industry is going through a change never seen before. You are no longer limited to a traditional four-wheeled vehicle with an internal combustion engine. People are expecting more from cars because they are getting smarter.
Mobility companies like Uber and Lyft, specialized Original Equipment Manufacturers (OEMs) like Tesla, tech giants, and even car financing firms like HP car finance make the car market more competitive and complicated.
Carmakers want to connect with customers in new and better ways, and they’re thinking about things that aren’t just cars. This begs to question, how is all this affecting the industry itself? Let’s take a look.
Environmental, social, and technological changes make it more important for manufacturers to give their customers more than just a simple metal box that runs on an engine.
Carmakers are also interested in making vehicles that are good on the road and are filled with the most up-to-date technology. For a long time, carmakers have focused on improving manufacturing to become more efficient at scale.
Join Our Small Business Community
Get the latest news, resources and tips to help you and your small business succeed.
However, the future is all about rethinking the purpose of the vehicle.
Improved and Increased Production Rate
The comfort zone isn’t the only place where new ideas are coming in. This is another way modern technology is changing the way cars are made in the automobile industry. 3D printing to make parts for cars is one example of a new way to make things.
Additive manufacturing, also known as 3D printing, is a great way to make new things. Metal 3D printing is becoming more and more popular.
People are becoming more interested in cars that are good for the environment. Green Earth is a new idea that is getting a lot of attention. Recent wildfires and melting glaciers have made people more aware of climate change.
People are now looking for electric cars (EVs) to reduce their carbon emissions. If you thought hybrid cars were pushing purely petrol or diesel cars out of the market; EV will prove to be the real revolution.
With most countries setting up charging stations, EVs are the obvious future of the automobile industry.
Demand for Luxury Trucks
Trucks are usually thought of as being used for off-roading and hard work. These vehicles have developed over time, with people preferring to buy luxury trucks as a way to show off their wealth.
Luxury trucks have more towing power, roomier seats, a panoramic sunroof, rear-seat entertainment, better safety features, and more. They also have motorized tailgates and running boards that make them easier to get in and out of.
Millennial Purchasing Habits
Many people think that young people don’t buy cars, but the statistics show that they do. There was an increase in the sales of new cars in the UK auto industry in the first three months of 2018.
Now more millennials buy cars when they move jobs, get married, or have kids, which brings big changes to their lives. You can always check to see if you’re eligible for car finance if you want to get one.
Online Research and Shopping
People have developed the habit of browsing for whatever they want online since mobile phones became commonplace. This transition did not stop them from calculating finance and buying cars online.
Most car buyers use online resources during the purchasing process. Online automotive markets are the most popular internet resource for a large chunk of consumers.
Growing Personal Mobility
Before the outbreak of Covid-19, people who worked in the same office and came from nearby places used to carpool. Most people who work in big cities use public transportation to get to work, so they don’t have to deal with traffic.
They’ve also stopped this because of the pandemic restrictions that are in place. This is how it is right now and for the foreseeable future. Many people choose to drive their own cars instead of using public or shared transportation. As a result, more people will want to buy cars.
As technology improves, people want a new way to connect their cars to the outside world. “Connected cars” refers to a “car connection” when cars connect with transportation infrastructure.
On the other hand, the phrase also refers to how car occupants connect with the outside world. They will talk and work while on the road as time goes on. They will also be able to go online and use multi-media services.
Carmakers will be the main users of next-generation telecoms networks, which will help make the investment worth it. The development of 5G technology means that everything from cars to household appliances will communicate.
However, it will require a lot of money, and the telecoms industry is trying to figure out if and how 5G can be profitable through new ideas.
Internet of Things (IoT)
In the automotive industry, the Internet of Things (IoT) allows safe communication between cars on the road and other parts of the infrastructure. With better fleet management, the technology is expected to make the roads safer, cut down on pollution and energy use, and reduce traffic jams.
Technology is a big part of each of the above innovation trends. When things change, automobile manufacturers need to adapt and build on their skills and experience to stay relevant and keep customers happy.
Traditional manufacturers are vying for the newest and best while this industry is going through a major shift. Either way, traditional manufacturers are competing for the best and the brightest.
Some other articles you might find of interest:
Would you like to better understand how to drive and increase traffic to your startup website?
How to Drive & Increase Traffic to Your Startup Website
Do you have what it takes to start and run an online business?
5 Key Skills You Must Have to Start & Run an Online Home Based Business