2018/10 seen displays x automotive · 2018/10 seen displays x automotive 5 as an agency we...

2018/10 Seen Displays x Automotive

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AUTOMOTIVEOCTOBER 2018


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AutomotiveContents

INSIGHT Introduction

PILLARS User Analysis Market Context Culture Technology SUMMARY Overview Contact us


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THE LOGOINSIGHT


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As an agency we collectively source, experience and share insight on a local and global scale. This strategic approach gives us a detailed understanding of your core consumer’s behaviour

& lifestyle.

Our insight pillars serve as a 360 lens to enlighten and inspire our collaborative process.

Insight PillarsSharing


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Insight PillarsSharing

MARKET CONTEXT TECHNOLOGY

What, How and Where are influential parallel brands

performing?

What are the relevant macro trends in styling, materials and services that we can apply to

future proof your retail activations?

Where is technology being used to empower

brands in creating human centric conversations with

consumers?

CULTURE

What are the relevant cultural and social

influences in the daily lives of the consumers?

USER

How is the consumer behaving today?


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Automotive Introduction

Wide speculation, regardless of sales that have remained somewhat positive and unchanged for decades, have led the international media to believe that “the wheels might be falling off” the automotive industry due to a new era of young consumers crippling the

industry, with their quirky interests, outlooks and expectations, interfering with traditional means of car investment.

Millennial and Gen-Z consumers in particular have driven a new trend which focuses on technology and connectivity — autonomous, shared and electric vehicles are becoming more

popular than ever. With this ever-growing interest in a future focused automotive industry come exciting opportunities for brands to embrace the wants and needs of the consumer,

allowing them to provide unique and innovative experiences.

These consumers are redefining the automotive industry, presenting brands with a stepping stone which enables car companies to reinvent themselves. This report looks at

how brands are effectively executing future focused and customer centric executions within the automotive industry.


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THE LOGOUSER


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User Analysis

GEN-Z

As avid social media users, content sharing has made Gen Z extremely

aware and conscious of environmental sustainability. They are looking to

brands that are aiming to reduce their environmental footprint.

Regardless of their online connectivity, they’re equally comfortable shopping offline as online, with 67% reporting

that they would rather view a car and shop in store.

A challenge that the sector faces however, is the little need for cars

throughout the younger generation due to online delivery services and ride sharing such as uber and lyft.

With most young workers either living in or moving to big cities, having a car

is often deemed unnecessary.

Millennials represent the most rapidly growing consumer segment

in the car market. 29% of new vehicles are bought by Millennials, by 2020, Millennials are expected to make up 40% of the vehicle market.

An MTV study found that Millennials drive 72% more than Baby Boomers and 18% more than Gen X, however, due to economic uncertainty, 86%

of all cars today are bought on credit and total car loans now

amount to nearly £60bn.

Emphasis is again placed on connectivity and frictionless

purchases, as CDK Global found that 85% of Millennials use the

Internet via mobile devices, including car shopping.

Gen X and older represent the generations with the highest car ownership rate, steady at 70% of

adults. For the older consumer cohorts, main dealers remain the

most important sales channel.

In 2016, the 16–44 age group was more comfortable with full

automation while the 45-75+ age group was more interested in systems

that provided active assistance without giving up control.

Car retailers need to recognise the attention needed on brick and mortar store experiences without dedicating all their efforts towards

online technology. Connectivity should be seamless, online

and in store.

MILLENNIALS/ YOUNG FAMILIES

GEN X


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it’s the age of the consumer

User

THE DRUM (2017)

Car brands right now are lacking in the emotional hook, the really deep-seated input for consumers — that is what brands need to transition towards, not just autonomy. This emotional connection is where the real value lies.


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User AnalysisConsumer Profile

MICROLINO ELECTRIC CAR UBER RIDE AND DINE

RIVER ISLAND: 30TH ANNIVERSARY CAMPAIGN MITSUBISHI SHOWROOM - LAKESIDE RENAULT 90’S POP UP RENAULT 90’S POP UP

The Seamless ShopperNew consumers expect seamless shopping and owned experiences from all companies, from groceries and travel, to banking and utilities. What sets the automotive consumer apart from this however, is the 72% of consumers that have said they would visit dealerships more often if the buying process was improved, as seen in Lakeside’s new Mitsubishi showroom. They’ve successfully shifted their strategy towards customer experience and connectivity. Interactive digital displays and inviting analogue content encourage customers to discover more about the manufacturer and the advanced features of its vehicles.

Conscious ConsumerAmidst the ‘age of anxiety’, consumers are becoming increasingly more conscious of their purchases in relation to cost and the environment. Healthier lifestyle choices have led to a high interest in automotive industries addressing their environmental impact. The Microlino is one of the newest electric vehicles to offer green commuting in a small yet still fully enclosed package. Inspired by the bubble cars from the 50’s, but with modern design and technology, the eco-friendly Microlino can be parked in compact spaces and can be recharged at any conventional domestic power socket in four hours

Convenience/ ExperienceFollowing the surge in ride sharing apps, retailers are directing their efforts to creating effective activations, campaigns and initiatives to capture the attention of the consumers who crave unique and share worthy experiences. Convenience is a key factor in attracting the attention of the consumer who’s busy lifestyles balance work, play, connectivity etc. Renault’s 90’s pop up hits home by evoking nostalgia while Uber’s Ride and Dine offers a fun and exclusive dining experience.

Key take aways:• Digital connectivity• Environmental sustainability• Managing experiences and customer centricity


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User

WGSN (2018)

reflecting not just a struggle to make major life-stage purchases but also car ownership shifting on the priority list

Total spending on cars is down for under-30s,


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THE LOGOMARKET


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Feel The View smart windowa “new haptic visual language” developed by Ford allows blind people to experience the view through a car window

Market

DEZEEN (2018)


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Market InsightParallel market activity

AMAZON KEY APP

MELBOURNE STATION AIRBNB X AUDI

MERCEDES-BENZ F015HYUNDAI “MOBILITY VISION”

Convenience & Connection: Feel the ViewAmazon have tapped into the convenience market with their Amazon Key App - a service which delivers straight to the boot of your car, allowing you to not be present. Hyundai extends on this with their new concept of “Mobility Vision”, which sees self driving cars integrated into living rooms. The Mercedes-Benz F 015 also offers flexibility, with a steering wheel that slides into the dashboard, acting as a driverless mobile office. Emphasis is continuously being placed on multifunctional, sociable spaces which enhance customer productivity and service.

Urban CitiesAs Millennials turn their attention to sustainability and wellness, cities and architecture follow suit. Melbourne are to construct five new stations that maximise on public space and natural light, taking inspiration from bophilic design. The development will also create new communal areas, green spaces, and the overall improvement to the city’s walkability. The attention on environments creating positive experiences is becoming progressively popular, as seen with Sidewalk Toronto — a new kind of neighbourhood designed with livability, connectivity, prosperity, and resilience in mind.

Unexpected PartnershipsBrands are beginning to notice the benefits of smart collaborations that provide core fans amazing brand experiences. Audi and Airbnb partnered up for the campaign #LiveToDrive. They released “Desolation,” a video set at an Airbnb accommodation in Death Valley where guests could stay at “The home of the Audi R8” and drive the car. The campaign highlighted Audi’s focus on advanced and connected automotives and Airbnb as a provider of adventure at anomalous destinations.

Key take aways:• Education• Sensorial design• Out with tradition


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Market

BMW BLOG (2018)

MINI and London-based art practice United Visual Artists unveiled a site-specific installation in Brooklyn, dubbed ‘Spirit of the City’. The installation probed the physical and emotional response individuals experience when navigating urban environments according to its creators.

Physical and emotional response


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THE LOGOCULTURE


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The use of local, traditional materials combined with the use of new composite materials, made by recycled sea waste, and renewable energy completes the proposal for a vehicle ‘born from that place, destined for that place.’

Zephyr turns the user into a...

Culture

Modern explorer

DESIGNBOOM (2018)


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Culture

‘Global Nomadism’ and the Travel ban 2018 has seen a shift towards ‘Global Nomadism’ as people strive to lighten their footprint by working remotely and defying boundaries by integrating rich cultural experiences into their daily lives. Challenging this outlook, in June the US Supreme Court ruled to uphold the travel ban, restricting people’s ability to travel to the US from a number of Muslim majority countries. Airbnb publically announced their disappointment believing that “travel is a transformative and powerful experience which builds bridges between cultures around the world.” In a show of support Airbnb declared they would match donations to International Refugee Assistance Project of up to $150,000.

A future focus As we enter an “Age Of Anxiety” we have seen a push in innovative design towards ‘Urban Living’ and inhabitable solutions. Community initiative, The Extrapolation Factory, won the Lexus Design Award 2018, which explored how citizens interact with products and processes in an increasingly future-oriented and technologically evolving world. These included growing food produce in subway cars and underground pipe networks that could distribute recyclable materials directly to different businesses. MINI have continued to explore and develop architectural solutions for future urban living spaces, having recently completed a micro home built on a Los Angeles rooftop that responds to the cities climate.

The Sharing EconomyCommitment phobe Millennials are prone to renting and borrowing from Airbnb, Spotify and Uber daily, than making longer term purchases. Projections estimate the sector will reach $285bn by 2030. With consumers opting for transport as a service, an opportunity arises for big auto dealers to own industry “assets” — cars and the like — and manage these fleets, which in turn would then be deployed by mobility service providers.

Key take aways:• Cultural experiences• Future-proofing the future• Emphasis on the sharing economy

AIRBNB: THE TRAVEL BAN

THE EXTRAPOLATION FACTORY

UBER JUMP E-BIKE

MINI LIVING URBAN CABIN

OPOD TUBE HOUSING


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Culture

DEZEEN (2018)

‘Spaces on Wheels’ imagines that autonomous vehicles could support everyday activities. Each of the seven driverless spaces could be explored each via augmented reality on their phone via an app.

mobile clinic


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THE LOGOCONTEXT


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“living” car tyreContext

A new ‘living car tyre’ converts carbon dioxide into oxygen. The 3D-printed concept wheel by tyre manufacturer ‘Goodyear’, uses living moss to absorb moisture from the road, before converting it into oxygen through photosynthesis.

DEZEEN (2018)


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ContextTrend Analysis

SION

HYUNDAI’S ‘GENESIS’ SHOWROOM

MIT 3D PRINTED INFLATABLES

‘DRIVE TO GO’ BY TOYOTA

New MaterialsFuture focused — the automotive industry is progressively experimenting with innovative materials that will revolutionise car production. A key example of modern, dynamic design is the 3D-printed inflatable structures developed by researchers at Massachusetts Institute of Technology, which can allow car interiors to change into different configurations quickly and easily. This opens up endless possibilities for future design executions and opportunity for unique innovations.

Tangible SustainabilityGrasping the attention of the conscious consumer is the development of sustainability within the automotive industry. The Sion is the first electric car capable of recharging its batteries from the sun, whilst also having a unique air filtration system which uses a type of Icelandic moss embedded into the dashboard: the plant draws in and binds with dust particles in the air, naturally cleaning it from urban pollution. Brands are increasingly seeking new ways to use innovative and cruelty-free materials, appealing directly to the consumers wanting to buy into brands that are making a positive change.

Curated ShowroomsIn an effort to appeal to consumers shifting values, showrooms are being designed to create authentic user experiences. Hyundai’s ‘genesis’ car showroom treats car display as curation, with neutral backdrops of grey concrete and independent rooms of colour, demonstrating a space of ‘gradual discovery’. Brands are straying away from traditional showrooms in favour of more concept based environments. ‘Drive To Go’ by Toyota goes beyond a car dealership or showroom with the design of the space intended to feel like an outdoor cafe, allowing people to dwell and enjoy leisurely time.

Key take aways: • Innovative material production • Sustainable design • Unique and experiential hybrid spaces

SION


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Context

Improved passenger experience“Airbus and Zodiac Aerospace have partnered to develop and market lower-deck modules with passenger sleeping berths. The modules, which would fit inside the aircraft’s cargo compartments, offer new opportunities for additional services to passengers, improving their experience while enabling airlines to differentiate and add value for theircommercial operations.”

THE GUARDIAN (2018)


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THE LOGOTECHNOLOGY


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will come a need for new clothing and interiors, not to mention other consumer

products and services”

EDELKOORT, DEZEEN (2018)

“softening of lines between work and leisure

Technology


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TechnologyTrend analysis

Multi-function driverless Driverless cars have the potential to become multi-functional, providing services that appeal to consumers looking for convenience. Mobile retail stores could travel to shoppers so they could try on items selected online before buying, or as moving hotel rooms that would allow guests to go to sleep in one location and wake up in another. Toyota announced a business alliance with Amazon, DiDi, Mazda, Pizza Hut and Uber to develop the e-Palette networks, acting as ride-sharing vehicles during rush hour, work as delivery vehicles, offer a hospital shuttle service then return to taxi duties as people leave work.

Putting a face to technology — Building trust Digital assistants will become part of the furniture, such as Kuri. With facial recognition Kuri can identify family and pets, and follow to provide assistance. They will be able to show emotions through lighting and “facial expressions” on displays. The Honda NeuV’s AI system Hana picks up on the habits and emotions of the driver, making music suggestions, and even suggesting ordering a coffee from your favourite shop when the heart rate monitor recognises stress and an upset face detected by the facial recognition.

Smart CitiesConnected technologies will continue to influence urban environments around mobility, transportation, and energy consumption. Linking and sharing data between various city grids and infrastructures, combined with information from smartphone users who will become “integral nodes on smart city networks”. Carlo Ratti has created a modular paving system — an alternative to the curbs and painted lines, creating safer cities where all the public realm is a park. There will be interaction between the car and the people in a very intuitive way, with the car able “talk” to the infrastructure and buildings.

Key take aways:• multi-functional• digital assistants

KURI

NURO & KROGER SELF-DRIVING CARS FOR DELIVERIES

HONDA NEUV

CARLO RATTI PAVING SYSTEMJAGUAR LAND ROVER


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Technology

Renault rethinks how goods and services are delivered in cities with its Ez-Pro concept, which imagines autonomous, electric vehicles that connect up with a fleet of shared, customisable...

DEZEEN (2018)

“robo-pods”


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Insight PillarsSummary

MARKET CULTURE CONTEXT TECHNOLOGY

Education

Sensorial design

Out with tradition

Cultural experiences

Future-proofing the future

Sharing economy

Innovative material production

Sustainable design

Unique and experiential hybrid spaces

Multi-functional

Digital assistants

Smart cities

USER

Digital connectivity

Environmental sustainability

Managing experiences

Customer centricity


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Automotive Overview

A number of challenges have arisen for the automotive industry in response to the introduction of the ‘conscious consumer’. However, this sector has the potential to grasp their

attention and become a more integrated part of customers’ lives.

A dialogue can begin to form by embracing consumers’ morals and direct their efforts to creating positive change. By exploring innovative and sustainable design, brands can

future-proof their ownership in the marketplace. Transport has developed into a service that can be a multi-functional experience. Todays consumers are seeking convenient methods to

enhance their productivity — driverless vehicles are making this possible by merely acting as the vessel for a unique and experiential hybrid space.

The sharing economy has made it easier for people to temporarily own things, especially transport. The automotive industry needs to step aside from the traditional norm of selling

cars as a product and rather provide relevant services that are truly useful and a tailored part of people’s lives.


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THANK YOU

2018/10 seen displays x automotive · 2018/10 seen displays x automotive 5 as an agency we...

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