Many mature industries are experiencing significant technological disruption. The automotive industry is being disrupted by electric vehicles and self-driving cars, just as home appliances is being disrupted by the Internet of Things and smart appliances, home entertainment by on-demand content providers, and apparel by online personal stylists such as Stitch Fix and Trunk Club.
Technology Is Changing What a Premium Automotive Brand Looks Like
The automotive industry is being disrupted by electric vehicles and self-driving cars, and a reshuffle of premium brands is near. How can established premium automakers best react? Realistically assess the staying power of the qualities that made your brand premium in the past, in light of the new variables now reshaping brand premium in the automotive industry. Will what you offer today still be perceived as premium in five or ten years? For example, superior driving experience is currently a hallmark of most premium automotive brands. However, as autonomous driving advances, the experience of being in a car will be much like being in a mobile lounge, where the occupants will expect to do almost everything they can do in the office or at home. To maintain premium brand status, OEMs need to make great leaps in providing seamless digital integration in automobiles. Premium automotive brands also need to transform marketing and sales from today’s push system to a pull system that engages customers via digital interactions that are transparent, time efficient, and pleasingly experiential.