New report "Connected Cars: Revenue Opportunities" shows demand for connected car features is growing as Google and Apple expand vehicle solutions
Tuesday, July 29, 2014 - Parks Associates announced a new industry report today showing connected car features are rapidly gaining consumer acceptance. Over 75% of U.S. vehicle owners with at least one connected car feature indicate these services will influence their next vehicle purchase, and over 50% rated connected services as "very important" in guiding their new vehicle purchase, according to Connected Cars: Revenue Opportunities.
"Over 80% of U.S. broadband households with a mobile phone service have a smartphone, which is a gateway device for connected cars," said Jennifer Kent, Senior Analyst, Parks Associates. "Smartphones have raised expectations of what connected devices can do, and Google and Apple are among the companies trying to build on those expectations in the connected car space."
The report shows the most common connected car feature is the ability to make phone calls using the car's built-in Bluetooth connectivity. The most desired feature is the ability to view maps or receive directions.
Google recently announced the company's Android Auto will be available at the end of 2014. Apple currently has over 25 models committed to offering its CarPlay connected car solution, which extends the user's iPhone functions into the vehicle.
"Apple and Google are vying to be the consumer touch point for connected applications and services, and that competition has naturally extended to the automotive space," Kent said. "Both of their solutions bring their mobile operating systems to the car through a 'mirroring' approach that lets the user control certain smartphone functions and apps through the car's display, physical buttons, or voice control."
For all connected car features, smartphone users are much more likely than non-smartphone owners to find connected car services appealing. For example, 37% of current vehicle owners in U.S. broadband households are very interested in the ability to view maps or receive directions. Among smartphone owners, the percentage of those interested increases to 48%.
The report also sees rapid growth of usage-based insurance (UBI) programs over the next five years. These programs currently represent less than 5% of all private passenger auto policies in the United States, but analysts say the auto and insurance industries will move quickly to leverage the vehicle performance and driver behavior data generated by connected car solutions.
Connected Cars: Revenue Opportunities features research and analysis on market trends, big data analytics, UBI, emergency assistance, stolen vehicle recovery, location-based services, infotainment, Wi-Fi hot spots, and safe-driving technologies. The report is available for sale at www.parksassociates.com. Jennifer Kent is available for comment and media interviews. To request a meeting or specific research data, contact Holly Sprague at email@example.com or 720-987-6614.
About Parks Associates
Parks Associates is an internationally recognized market research and consulting company specializing in emerging consumer technology products and services. Founded in 1986, Parks Associates creates research capital for companies ranging from Fortune 500 to small start-ups through market reports, primary studies, consumer research, custom research, workshops, executive conferences, and annual service subscriptions.
The company's expertise includes digital media and platforms, entertainment and gaming, home networks, Internet and television services, digital health, mobile applications and services, support services, consumer apps, advanced advertising, consumer electronics, energy management, and home control systems and security.
Each year, Parks Associates hosts industry webcasts, the CONNECTIONS™ Conference Series, and Smart Energy Summit: Engaging the Consumer. http://www.parksassociates.com