Automotive Subscription Services Market by Distribution Channel and Geography - Forecast and Analysis 2019-2023
automotive subscription services market analysis considers sales from both OEMs and dealerships/third party distribution channels. Our analysis also considers the sales of automotive subscription services in APAC, Europe, North America, South America, and MEA. In 2018, the OEMs segment had a significant market share, and this trend is expected to continue over the forecast period. Factors such as adopting new technologies will play a significant role in the OEMs segment to maintain its market position. Also, our global automotive subscription services market report looks at factors such as increasing smartphone and internet penetration, option to select from a wide range of vehicles under, option to select from a wide range of vehicles under single subscription and rise in technological advances in automobiles. However, high maintenance costs for service providers, growing use of public transport, easy availability of automotive financing, and expensive compared to leasing and rental services may hamper the growth of the automotive subscription services industry over the forecast period.
Global Automotive Subscription Services Market: Overview
Penetration of the Internet and smartphones
There is an increase in the demand for on-demand automotive subscription services due to changing the purchasing behavior of customers and the rising penetration of smartphones and the Internet. Market players are adopting machine learning and artificial intelligence to develop advanced automotive electronic components. These advancements are encouraging automotive manufacturers to equip their vehicles with advanced automatic high-beam control and driver-assistance systems. The availability of subscription services will facilitate affordability for customers. As a result, third-party service providers and software aggregators together with automotive manufacturers are introducing subscription services. This penetration of the Internet and smartphones will lead to the expansion of the global automotive subscription services market at a CAGR of almost 63% during the forecast period.
Development of new mobility concepts
Leasing companies are offering mobility systems to maximize environmental compatibility, meet the growing demand for flexible and sustainable transport systems, and offer smart traffic management solutions. This is encouraging enterprises such as Volkswagen to incorporate new mobility concepts with their automotive subscription services. In addition, subscription services have also been driving innovations in many other ways. All these factors will boost the demand for automotive subscription services.
For the detailed list of factors that will drive the global automotive subscription services market during the forecast period 2019-2023, click here.
With the presence of several major players, the global automotive subscription services market is moderately fragmented. robust vendor analysis is designed to help clients improve their market position, and in line with this, this report provides a detailed analysis of several leading automotive subscription services manufacturers, that include AB Volvo, BMW AG, Cox Automotive Inc., Daimler AG, Fair Financial Corp., Flexdrive Services LLC, General Motors Co., Hyundai Motor Co., Tesla Inc., and Volkswagen AG.
Also, the automotive subscription services market analysis report includes information on upcoming trends and challenges that will influence market growth. This is to help companies strategize and leverage on all forthcoming growth opportunities.
Frequently Asked Questions
This market study covers the global and regional market with an in-depth analysis of the overall growth prospects in the market. Furthermore, it sheds light on the comprehensive competitive landscape of the global market. The report further offers a dashboard overview of leading companies encompassing their successful marketing strategies, market contribution, recent developments in both historic and present contexts.
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