2023 Automotive Technology Trends

2023 Automotive Technology Trends

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Despite ongoing labor, chip shortages, and supply chain challenges, dealerships are investing in new technologies to evolve with these changes in the industry. To keep up with continuous progress, audio-visual integrators are bridging the digital and physical worlds creating a seamless car buying experience.

As we approach the end of 2022, here are some Automotive trends OnSite Media has uncovered:

SHIFT TO GEN-Z DEMOGRAPHICS

More and more car buyers are coming from the millennial and Gen-Z demographics.  According to Deloitte, even older generations are adopting the "Millennial mindset"  to embrace digital. Automotive retailing today serves audiences immersed in technology and smart devices, and they expect a connected and seamless experience.

A recent survey claims that 34% of Gen-Z customers are ready to buy a vehicle from a dealership with the highest price as long as it offers the best customer experience.

Car dealerships and showrooms no longer focus on price competition alone as it has become increasingly important to compete at the customer experience level as well.  

 Simplified processes and improved experience are projected to increase car sales by a whopping 25%

DIGITALIZATION OF A CAR BUYING JOURNEY

Today, auto retail tries to bridge the digital and physical worlds and create a buying experience that’s flexible enough to personalize each and every car-buying customer journey.

Almost every car purchase starts by using online searches to find the brands or cars that interest a customer. Narrowing down the selection based on reviews and opinions – is the second step. Once a customer is done researching, he/she ends up at a car dealership. And here is where all the magic happens! Technology can help clients better compare alternatives and seamlessly arrive at the final destination – the purchase moment.

Car Buying Journey
The customer journey is a long, complicated process that can involve several channels. However, using technology can help keep a customer on the right channel and ready at the right time and in the right place.  

Bringing together online and offline isn’t just about winning at mobile search, then pointing customers to the dealership. It’s about offering the most seamless, frictionless shopping experience—from initial search to test drive to purchase

 INCORPORATING A CUTTING-EDGE TECHNOLOGY

A car purchase is quite a complex process and therefore, the integration of technology can help with informing clients and assisting them with crucial purchasing decisions.

When people are investing in a new car, they always need two things in order to make an informed purchase: the right information, and an emotional connection to the vehicle. Audio-video technology solutions such as LED walls, interactive tables, self-service kiosks, and 3D holograms can perfectly meet this challenge by allowing automotive dealers to provide immersive buying experiences.

Another thing, salespeople have always been a subject of discomfort for some. As new technologies develop, people realize they can get all the information they need through well-designated digital signage.

LEVERAGING DATA ANALYTICS

Data analytics presents the perfect opportunity for car dealerships that are ambitious and ready to take advantage of technology, in order to stand out from their competition. With auto retail analytics dealerships are able to monitor the movements of customers from one area of the showroom to another. Besides that, analytics and behavior-sensing technology allow dealerships to develop heat maps and place digital signage or cameras in an area with the most traffic. In conjunction with an interactive display, for instance, you can target the millennial audience with product and messaging that aligns with their needs.

Leveraging behavior prediction technology can empower auto retail sales teams to work smarter and put the right resources and messaging to help dealers be ahead of the industry curve.

The Automotive industry has the ability to leverage the customer experience with AV technology, strategic planning, and proper investment within these trends as described above.

 If you need any help with your technology needs in 2023, contact us!