Who’s Disrupting the Auto Industry?
Who’s Disrupting the Auto Industry?
The auto industry is ever evolving. But what does it mean for you, as a consumer? We’ve got answers inside.
SUV Overtaking Sedan as Drivers’ Favorite
There was a time when the sedan was the go-to choice for drivers…
but that preference has been rapidly giving way to three (big) words: SUV.
Drivers now prefer to lease or own SUVs over sedans for many reasons, including the following:
✔️ SUVs are perceived to be more rugged
✔️ SUVs boast greater overall interior space, in most cases
✔️ SUVs are more likely to have all-wheel-drive (AWD) and higher ground clearance;
these features are particularly important to drivers who live or travel to cities with frequent inclement weather.
✔️ Many automakers have pivoted away from sedan production, opting for light truck and SUV production instead.
Jeep offers you an SUV lineup that includes stand-out vehicles like Compass, Cherokee,
and Grand Cherokee—the most awarded SUV ever.*
It’s no secret that technology is transforming our lives.
What’s less known, however, is how this reality applies to the auto industry.
For instance, have you heard of vehicle-to-everything technology?
Vehicle-to-everything (V2X) technology refers to a plethora of state-of-the-art safety features.
- intelligent traffic systems
- collision avoidance
- parking management systems
- emergency vehicle notifications
- remote monitoring and diagnostics
When it comes to disrupting the auto industry via V2X technology, Honda—
as well as other key automakers—
are leading the charge.
Disrupting the Car-Buying Experience
The auto industry is disrupting the car-buying experience for shoppers.
And, as you might expect, technology is facilitating many of these (significant) changes.
Here are some examples of how:
- Online/ mobile auto research hubs. Thanks to the proliferation of online auto research hubs like Edmunds.com, the internet in general—and mobile phones in particular—now assist car buyers throughout their entire car buying journey. From awareness to consideration, intent to purchases and loyalty, your mobile phone now connects you to all the info you need to be able to make an informed decision.
- Visual insights through video. Virtual test drives and 360-degree walk-arounds as well as user-generated content posted to social media is giving car buyers the info they need to make informed decisions. Virtual test drive series like 2 Guys Test Drive are particularly valuable given how they give viewers in-depth model reviews on award-winning vehicles.
- Home delivery. Car dealerships are keeping pace with consumers’ demand for convenience by offering some convenience-based perks of their own. These include the option of arranging for a home delivery of a new vehicle.
Corporate Social Responsibility, Anything but “Business as Usual”
Did you know?
78% of Americans believe companies must do more than just make money,
they should positively impact society.
What’s more, 77% of people feel a stronger emotional connection to companies that give back.**
This approach is often referred to as corporate social responsibility (or CSR)
More broadly, corporate social responsibility can consist of positive
company-wide directives like Rairdon’s Culture of Care.
Rairdon’s Culture of Care:
- Makes customer experience the #1 priority
- Includes many customer-oriented pluses like limited lifetime warranty on most all vehicles.
- Also includes 7-day trial exchange
- Has resulted in over 17,000 four and five-star online customer reviews
The Future of Car Insurance
The disruption of the auto industry also extends to the way that insurance premiums are calculated.
The broad term for this is automotive usage based insurance (or UBI).
UBI takes into consideration the following factors:
- type of vehicle used
- distance traveled
- behavior of the driver
Types of UBI:
- Pay-as-you-drive (PAYD)
- Pay-how-you-drive (PHYD)
- Manage-how-you-drive (MHYD)
- Distance-based insurance
In the future, UBI may extend to semi-autonomous/ autonomous vehicles
and HMI in transportation.
Carriers like Nationwide, Allstate, and Progressive (their UBI option is called Snapshot) are currently disrupting the auto industry with this type of insurance model.
Staying Ahead of the Curve
Staying ahead of the curve as regards the ever-changing auto industry is a fun challenge.
Luckily, it’s one that the team at Rairdon’s of Kirkland accepts each day.
Visit us today at 12828 NE 124th Street in Kirkland or give us a call at 844-812-2392 to see how we measure up.
*Jeep Grand Cherokee has received more awards over its lifetime than any other SUV.
**2018 Cone Communications Study