Safety and Security Features Top Wish Lists For In-Vehicle Technologies
NEW YORK; April 10, 2006 – More than eight out of 10 U.S. car owners want some form of in-vehicle technologies, including telematics, in their cars, with safety and security features being the most desired, according to a survey released today by Accenture.
The survey of 500 consumers who own or lease cars in the United States found that 84 percent want their cars outfitted with in-vehicle technologies, including telematics — a variety of two-way wireless communication technologies, such as stolen vehicle tracking and vehicle diagnostics, among others.
In addition, more than two-thirds (69 percent) of respondents rank safety and security technologies as the most important technologies to have in their automobiles. The most desired among these include stolen-vehicle tracking, remote door unlock and vehicle diagnostics, cited by 57 percent, 55 percent and 55 percent of respondents, respectively.
In fact, seven out of 10 respondents (71 percent) said that they would pay a factory installation fee for safety and security features, and 41 percent said they are willing to pay more than $50 for factory installation of these features. Almost half (47 percent) said they are willing to pay a monthly fee for these same in-vehicle technologies.
“Growing consumer demand for in-vehicle technologies promises significant market potential for manufacturers, particularly in the area of onboard vs. hand-held technologies,” said Richard Spitzer, global managing partner of Accenture’s Automotive practice. “But the industry is currently fragmented, with products and services delivered by a variety of providers. Leaders that create new ways of providing those products and services, such as by bundling them in one monthly bill at a price commensurate with their value, will be able to capitalize on a burgeoning market.”
Overall, there is a sizeable gap between the technologies that respondents want in their cars and those that they have. For example, while 57 percent of respondents said they want stolen vehicle tracking, only 9 percent currently have it. Similarly, while 55 percent said they want remote door unlock and the same number said they want vehicle diagnostics, only 31 percent and 23 percent of respondents, respectively, currently have these technologies. Half (50 percent) of respondents said they do not have the in-vehicle technologies they want due to high cost, and 47 percent said the technology was not available when they purchased their cars.
After safety and security, respondents selected information services, communications and entertainment as the most important features (cited by 15 percent, six percent and five percent, respectively).
“New car buyers are ready for telematics services. As the technologies underpinning these services continue to grow in popularity in the general marketplace, auto manufacturers will have to begin providing them in their cars,” said Joel Osman, a partner in Accenture Technology Labs, Accenture’s research and development organization. “As consumers replace their existing vehicles and the technology price tag continues to decline, these telematics services will become a deciding factor in the car purchase decision.”
Accenture conducted an online and telephone survey in February 2006 of 500 U.S. consumers between 21 and 70 years of age, all of whom own or lease a car.
Accenture is a global management consulting, technology services and outsourcing company. Committed to delivering innovation, Accenture collaborates with its clients to help them become high-performance businesses and governments. With deep industry and business process expertise, broad global resources and a proven track record, Accenture can mobilize the right people, skills and technologies to help clients improve their performance. With more than 129,000 people in 48 countries, the company generated net revenues of US$15.55 billion for the fiscal year ended Aug. 31, 2005. Its home page is www.accenture.com.