Only 10-15% of auto owners are connected today—but auto app users can bridge the gap
Boston, MA — May 11, 2021— TrueMotion, the leading smartphone-only driving data platform, today announced a new report on how automotive connectivity affects brand loyalty and engagement. The report reveals that 87% of connected vehicle owners plan to purchase the same brand again, compared to 23% of unconnected customers. This gap in brand loyalty shows how critical it is for automakers to connect their unconnected customers today—before they go to the competition.
The challenge for automakers is that connected car adoption isn’t fast enough. Today, 85-90% of automakers’ customers are unconnected. The average turnover for a vehicle is 10-12 years. Analysts project that connected cars will make up just 48% of the U.S. fleet by 2030.
The new TrueMotion report finds that smartphone apps can bridge the gap as automakers wait for more connected cars to come online. The report shows that customers who have their vehicle’s app behave like connected customers. For example, app customers are over 80% more loyal to their brand than non-app customers. They’re also more likely to service their vehicle at a certified service center and buy auto insurance from their automaker.
94% of people in the U.S. have a smartphone versus 10-15% who have connected cars.
“The findings in this report are extremely encouraging for automakers. It shows that automakers don’t need to wait years for their connected vehicles to come online to build stronger brand loyalty and engagement,” said Russell Mandelik, Automotive Lead for TrueMotion. “They can connect unconnected customers today by driving smartphone app adoption.”
Finding the “must-have” feature to drive app adoption among unconnected customers will be key for automakers. Today, 88% of connected customers have their vehicle’s app. They use it to access connected vehicle features, get maintenance reminders, and track fuel and oil levels. Just 3% of unconnected customers have their vehicle’s app.
The TrueMotion report shows that peace of mind could be that “must-have” feature: 56% of unconnected customers would download their vehicle’s app to get car crash detection and emergency response.
TrueMotion surveyed 900 auto owners in the U.S. from March to April 2021 for this report.
“The hidden urgency of connecting the unconnected auto owner” report includes:
Anyone interested in the TrueMotion the full report can download it at: https://l.gotruemotion.com/automotive-report-may-2021
TrueMotion provides the world’s leading smartphone driving data platform. Powered by machine learning, the platform determines when a person is driving, reveals their behaviors behind the wheel, and detects crashes. Insurers, automakers, app developers, telcos, and fleets use TrueMotion data to fuel their pricing, claims, safety, acquisition, and retention programs. Nine of the top 20 US insurers and leading insurers in Canada and Europe rely on TrueMotion technology. TrueMotion is based in Boston with offices in Budapest. For more information, please visit TrueMotion at gotruemotion.com.
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