News is going viral that within the next month General Motors will release an online platform to market and sell their used-car inventory. You may not think this is the first of it’s kind, but they have further released news about the additional features that will be offered to customers. AutoRemarketing states that some of those features include bumper-to-bumper warranties, flexible exchange programs, and bonus features added to the car itself such as an OnStar Guidance Plan, roadside assistance and satellite radio packages. General Motors also issued car history reports readily available to customers and a vast amount of information varying from numerous pictures of the car to how quickly the car can be available for delivery. This program has acquired highly acclaimed reviews by associates at Kelley Blue Book and is gaining interest by the day.
In addition, General Motors is releasing a car-sharing service to different demographics throughout the nation. This will enable a customer to acquire personal mobility at their convenience on their smart phone, just like Uber or Lyft, but without the additional service of a driver. The service will not be recognized as General Motors. Rather, it will be defined under a new identity brand named Maven. As mentioned by AutoRemarketing, this is a new start up in the industry and there are countless competing ideas and services being brought to the public each and every day. With this being said, take into consideration how millennials are approaching the automotive industry as it comes time for them to get behind the wheel.
It is becoming more prevalent that there are major differences among baby boomers and millennials on their views about common life occurrences. Take Harley Davidson, for example. Harley Davidson Motorcycles are struggling to remarket to millennials because their current target, which is baby boomers, has defined their brand as a desired, edgy lifestyle. This fad did not catch on as easily as it once did and is drastically declining revenue. Another lifestyle difference between baby boomers and millennials is the first car buying experience. Millennials are not seeing this occurrence of buying your first car as something to symbolize their freedom or holding enough importance to strike-up a conversation about. Rather, this experience is becoming passing small talk as told by AutoRemarketing.With this being said, millennials will steer more towards General Motors’ upcoming programs because they coincide with millennials’ needs of postponing the initial “first car experience” with car-sharing and dimming the excitement with used-car buying online. With millennials being targeted by mass media now more than ever before, should more companies start looking with the same social approach as General Motors? Have you ever considered the online aspect of your company? MyDealerOnline may have you covered.
The future might be just around the corner, as reported by AutoRemarketing. Research shows that autonomous cars, or cars that are able to drive on their own, may be readily available to the public in the millennials’ lifetime. Some experts further say that they could be presented to the public in as little as 10 years.
Sounds impossible, but take into consideration the autonomous features that already are in existence. We have sensors that detect and signal warnings when our cars cross over into another lane. Autonomous braking has become a mandatory feature to some car owners, especially those with families and small children. Technology has gone as far as to create guided cruise control and parking assistance. As pointed out by Stratechery, electric cars, the most recent advance in technology for the auto industry, have skyrocketed in the market. Every country that has started producing electric cars faced their most profitable year in 2015. Autonomous features and electric cars are nothing new in the industry, but are today’s car drivers really ready for completely autonomous vehicles?
It should not come to any surprise that nearly 70% out of 1,000 consumers who were surveyed last year stated that they would consider a vehicle with autonomous features. One surprise, however, may be that these autonomous cars are considered to be “luxury” cars, even if non-luxury brands are the ones being equipped with them. Consumers are becoming more and more accustomed to the idea of not having to manually drive their cars due to services such as Lyft and Uber, taxi providers that are controlled by an application on your smartphone.
In reference to used car dealerships, this new found technology will alter the various aspects of certification qualifications that enable vehicles to be considered a “used car”. There are going to be more regulations in regards to how different technologies in cars should work. This not only includes these autonomous cars, but also the existing cars with autonomous features. Would this increase or decrease the value of “used cars” if that term meant they would be automatically driven? Think about how manual cars currently come into play with this analogy and also how they play into the role of “classic” cars.
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