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Reading: Two-Thirds Of Vehicle Owners Fear They Won’t Have Transportation Flexibility In The Future
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B&T > Marketing > Two-Thirds Of Vehicle Owners Fear They Won’t Have Transportation Flexibility In The Future
Marketing

Two-Thirds Of Vehicle Owners Fear They Won’t Have Transportation Flexibility In The Future

Staff Writers
Published on: 16th June 2021 at 12:04 PM
Edited by Staff Writers
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The R/GA Future of Mobility Report shows that two-thirds of vehicle owners globally (67 per cent) feel they will not have flexible transportation options in the future, even with the rise of new forms of mobility.

This poses new opportunities in addition to new risks for automotive incumbents, who face a threat of losing direct access to customer relationships with the decline of car ownership.

According to the report, two-thirds (66 per cent) of personal vehicle owners and eight in ten (82 per cent) of leases are willing to give up their vehicles in favor of Mobility-as-a-Service (MaaS) over the next 10 years.

Australian Consumers are 36 per cent more likely to replace their vehicle for a mobility service in the next 10 years when compared to global data.

For this reason, the automotive industry and service providers can play an even more prominent role by reshaping their mobility services and products to avoid being commoditized to earn a valuable role in people’s lives.

The key findings of the report are:

  • While 91 per cent of personal vehicle owners said their vehicles give them a sense of freedom, 75 per cent wish they could drive their personal vehicle less.
  • 66 per cent of personal vehicle owners and 82 per cent of leases are willing to give up their vehicles in favor of MaaS over the next 10 years.
  • Car sharing is estimated to reach 36 million users by 2025, and the usership from ride-hailing and taxi services alone has grown to 1.4 billion customers.
  • Global mobility service revenue is expected to grow to $1298B by 2024 from $616.1B in 2020.

Michael Titshall, VP & Managing Director of R/GA said “the way people access places they need to get to and how they purchase goods continues to evolve at a rapid rate, challenging old perceptions of ‘ownership’. Mobility-as-a-Service (Maas) is about having transportation options that suit individual lifestyles.”

Titshall added, “opportunities for brands will vary greatly in nature, highly dependent on capitalising on new consumer behaviours at a time when infrastructure can support it. The key for brands will be to have people-first experiences that allow for a differentiated brand offering.”

Consumers’ emerging needs and mobility behavior

The shift toward accessing mobility services is projected to accelerate as consumers’ lifestyles adapt, creating a need for more flexible mobility options. The emergence of Mobility-as-a-Service (MaaS) has been accelerated by congestion in cities, high traffic, ease of parking, and the personalization of mobility services.

It has also become an efficient and reliable means of transport due to flexible mobility options to suit consumer’s needs and living conditions.

MaaS provides freedom, but there are two primary barriers to adoption

Mobility-as-a-Service (MaaS) provides consumers with the inefficient costs of personal vehicle ownership, door-to-door transport, and dynamic, personalized options to suit consumers’ evolving travel needs.

Consumers who use MaaS services more frequently become more likely to see MaaS options as a viable replacement for their vehicles. The desire to switch to its services is not unique to urban consumers.

86 per cent of all vehicle owners globally, including those in suburban and rural environments, want to try new transportation options. The two remaining barriers to consumers’ using MaaS more frequently indicated are “lack of availability in my area” (35 per cent) and “safety concerns” (35 per cent).

Brand As An Operating System: mobility players who own the consumer relationship will play an outsized role as the MaaS ecosystem mature

Brands must facilitate seamless integration and access to other brand services within their own consumer experience to drive recurring value. 83 per cent of vehicle owners globally consider access to multiple services on an easy-to-use app experience to be a factor when deciding to use a MaaS service more than once.

Although an easy-to-navigate app experience that provides access to multiple services drives the continued use of a MaaS brand’s service, it is important that all the connections feel relevant to the brand curating the experience.

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Staff Writers
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Staff Writers represent B&T's team of award-winning reporters. Here, you'll find articles crafted with industry experience spanning over 50 years. Our team of specialists brings together a wealth of knowledge and a commitment to delivering insightful, topical, and breaking news. With a deep understanding of advertising and media, our Staff Writers are dedicated to providing industry-leading analysis and reporting, both shaping the conversation and setting the benchmark for excellence.

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