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Automotive eCommerce Trends

Ever since the internet first came into existence, it has been a game changer for many industries. The automotive industry is no exception. With the advent of ecommerce, this industry has seen an exponential growth in its customer base and revenues. Some companies are using innovative solutions to sell their products and services online. Automotive ecommerce solutions help them in managing their inventory, streamlining their processes and providing a seamless experience to buyers.

Assembly line production of new car. Automated welding of car body on production line. robotic arm on car production line is workingAutomotive eCommerce sector growth post-COVID is now driven by increasing demand for (and openness to) online retail solutions. In fact, almost 2/3 of people are now open to the prospect of buying a car online; that is almost double the pre-pandemic numbers. 6 MILLION new vehicles are expected to be sold globally via eCommerce channels by 2025.

With manufacturers including Tesla and Volvo, car and parts dealers, and retailers like Carvana and even Walmart, steering eCommerce growth, 2022 is likely to see the continued developments towards a fuller online shopping experience. We can expect omnichannel outreach, increased online presence, and innovative options. In particular, we can expect increased adoption of Virtual Showrooms and Augmented Reality buyer experience models. With many buyers still preferring the in-store experience, it will be interesting to see how virtual solutions evolve in response. Undeniably, however, automotive e-commerce is here to stay.

Here are some recent automotive trends

Electric Vehicles (EVs)        The popularity of electric vehicles continues to rise as people become more conscious of environmental issues and seek sustainable transportation options. EV technology has improved, offering longer driving ranges and faster charging times.

Autonomous Driving        The development of autonomous vehicles is advancing rapidly. Companies are investing heavily in self-driving technology, aiming to improve safety and efficiency on the roads. Features like adaptive cruise control and lane-keeping assist are becoming more common.

Connected Cars        Connectivity is transforming the automotive industry. Cars are equipped with advanced infotainment systems, allowing drivers to access navigation, entertainment, and real-time data. Additionally, connected cars enable vehicle-to-vehicle and vehicle-to-infrastructure communication, enhancing safety and efficiency.

Shared Mobility        The concept of car ownership is shifting as shared mobility services gain popularity. Ride-hailing platforms and car-sharing programs provide convenient alternatives to owning a vehicle. This trend is expected to continue growing, particularly in urban areas.

Electric Charging Infrastructure        The expansion of electric charging infrastructure is essential to support the growing number of EVs on the road. Gov

selective focus photography of assorted-color vehicles

ernments and private companies are investing in the development of charging stations, including fast-charging options, to alleviate range anxiety and encourage EV adoption.

Lightweight Materials        Automakers are incorporating lightweight materials, such as aluminum, carbon fiber, and high-strength steel, to improve fuel efficiency without compromising safety. Lightweighting techniques help reduce vehicle weight and enhance overall performance.

Advanced Safety Features        Vehicles are being equipped with advanced safety features like collision warning systems, automatic emergency braking, blind-spot monitoring, and lane departure warning. These technologies aim to reduce accidents and enhance driver and pedestrian safety.

Green Initiatives        Car manufacturers are implementing sustainability initiatives to reduce their environmental impact. This includes using recycled materials, developing eco-friendly manufacturing processes, and investing in renewable energy sources for production facilities.

Augmented Reality (AR) and Virtual Reality (VR)        AR and VR technologies are being integrated into the

automotive industry. They enhance the driving experience by providing immersive navigation systems, virtual vehicle showcases, and virtual test drives.

Mobility as a Service (MaaS)        MaaS platforms aim to integrate various transportation options, including public transit, ride-sharing, and bike-sharing, into a single app or service. This allows users to plan and pay for their entire journey seamlessly.

 

These are just a few of the current trends in the automotive industry. The sector is continuously evolving, driven by technological advancements, sustainability concerns, and changing consumer preferences.

In UAE the eCommerce aftermarket is expanding accordingly. It is mainly driven by the B2C category via specialty shops, thanks to growing interest in DIY vehicle customization and upgrades. UAE citizens may not be ready to transition fully online, but they do expect traditional channels to present digital options and enable

black Mercedes-Benz car

online transactions.

With global trends and big auto names driving online and digital disruption, it is only a matter of time before awareness levels facilitate a more definitive adoption of emerging online technologies and omnichannel business models in the UAE.

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