Vehicle data monetisation from connected cars has, for a while now, been seen as a key new revenue driver for automotive OEMs. This interesting read from Capgemini gives an excellent overview of the data monetisation market, as well as providing some interesting insights on the changes that need to take place in order for automotive OEMs to maximise on the opportunities that data monetisation presents.
Some of the headlines include:
- Whilst the global market is estimated to be worth $80-800bn by 2030 and despite the heavy investment in on-board tech, Capgemini concludes that achievements in vehicle data are falling short of expectations. So far, less than 20% of data monetisation projects have actually gone live across the automotive sector and significant revenue streams are yet to be realised.
- The profitability of the market relies on wide-ranging data being accessible. As it currently stands, the variety and volume of data obtainable is notably less than predicted back in 2017. Regardless, transmission techniques used to share what data is available are unable to transmit this data in real time. Even with this lag in development, Capgemini remains optimistic predicting the next generation of vehicles will be able to provide up to 10,000 data points.
- One of the issues inhibiting data sharing is consumer participation. In its report, Capgemini reveals that two thirds of consumers would only share data anonymously and 82% of consumers did not know what data their vehicle was able to transmit. In order to reach data targets, Capgemini recommends transparency in data use to encourage more personalised data sharing. Showing customers what data is collected, how it can be used, and the discounts customers could gain from sharing data are small stepping stones towards realising data sharing potential.
In summary, in a world where global car sales are declining OEMs will be working hard to generate revenue from sources other than vehicle sales and the aftermarket and doing more from a data monetisation perspective will continue to be a priority in the short to medium term.