Connected vehicles are no longer the future. They have become the present. This year, our team is conducting connected products research in which we are collecting insights from consumers, commercial end users, and manufacturers. The reason? Almost every manufacturer is working on providing connected products and solutions for both their consumers and their businesses operations. With that initiative comes challenges with leveraging huge volumes of data and questions about how companies can create revenue opportunities that still generate significant value for the consumer.
Our research spans many industries, but I wanted to focus in on how connectivity is uniquely playing out in the automotive industry. This industry is on the brink of a technological revolution, and connected vehicles are at the forefront of this transformation. As the world becomes increasingly interconnected, the cars we drive are no exception. Today, cars are not only becoming sophisticated, but also becoming data centers on wheels. With advanced sensors and constant internet connectivity, connected cars can communicate with other vehicles, infrastructure, and even pedestrians. This interconnectivity promises to enhance safety, efficiency, and convenience.
Explore Our Connected Vehicles Strategy Position
Will Promises of Value Outweigh Privacy Concerns?
Proponents argue that connected vehicles will significantly reduce accidents through real-time data sharing and advanced driver assistance systems (ADAS). Imagine a world where traffic lights communicate with cars to optimize traffic flow, or where a vehicle can warn its driver of an impending collision long before it happens. The value of these interactions for drivers and their communities would be life-altering.
However, this connectivity raises serious privacy concerns. With cars collecting vast amounts of data on our driving habits, locations, and even conversations, consumers are wondering who has access to this information and what is being done with it. For manufacturers, the questions must be asked: are consumers being fully educated on their data and how it is used? Are they getting value from their data being collected? Are consumers going to resist the full adoption of connected vehicles if they do not feel entirely comfortable with this transaction of privacy for value?
Securing Consumer Data Is the Pathway to Adoption
The whole question of data privacy is critically important. There are regulatory and compliance issues with data, and the impact goes way beyond the consumer and their vehicles. For OEMs, the goal must be bigger than just monetizing the data. The data must be leveraged for the consumer and provide value to them as well. The consumers need to get value from their data in terms of benefit to them, their fellow consumers, and the larger community.
The promise of connected vehicles is undeniably exciting, offering unprecedented safety, convenience, and efficiency. However, we must tread carefully. As we move towards this connected future, it is crucial that we address these challenges head-on, ensuring that the benefits of connected vehicles do not come at too high a cost for consumers.
The future of the automotive industry is here, and it is connected. OEMs are busy getting ready for a connected future along with managing vast data opportunities and issues.
Ready to connect? Reach out to discuss how our expertise in the automotive industry can help your brand forge the future of connected vehicles.
