Consumer interest for in-vehicle telematics services rebounds


Consumer interest for in-vehicle telematics services has rebounded in 2015, a new report from In-Vehicle UX (IVX) group at Strategy Analytics showed.

Strategy Analytics surveyed consumers in the U.S., Western Europe, and China regarding their interest in telematics.

According to the report, interest remained robust for services which provide immediate help in time-sensitive emergency situations such as remotely unlocking a vehicle or stolen vehicle assistance.

Overall, strong interest in telematics was found across all regions and demographics. Respondents from the U.S. and China, premium vehicle owners, and younger age groups were found to show interest in slightly greater numbers.

“Interestingly, consumer willingness to pay a monthly fee for a package with all of the telematics services described in this survey was quite high, especially at price points below $20 in the US and €6 in Western Europe,” said Derek Viita Senior Analyst and report author.

“Strong value was placed on services which provide the perception of increased safety and security; the high percentage of consumers willing to pay for these remote vehicle management services reflects this tendency,” continued Viita.

However, Vitta said, with the proliferation of the smartphone, many consumers already have   access to many services similar to those included in this survey.

As such, OEMs often struggle to retain consumers in subscription-based telematics and remote vehicle management services.

IVX Director Chris Schreiner said, despite this issue, Strategic Analytics has proved that consumer interest in telematics services is present in a big way.

The value proposition for OEMs is especially strong for services which can only be provided via a vehicle connection – such as tracking a stolen vehicle, or remote diagnostic services.

Arya MM

[email protected]

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