What will car ownership mean in the future?

In a world where vehicles are becoming more autonomous and mobility is becoming a service, the perfect storm could be brewing for dealers, according to James Carter, principal consultant, Vision Mobility.

“Will taxi-bots wipe out dealerships? They won’t,” Carter told delegates at Calgary’s DealerTalkx 2017. “People will still see the status and luxury in vehicle ownership,” he says.   

That said, an era of New Mobility will likely disrupt the landscape. New Mobility refers to the rapid change driven by connected cars, autonomous vehicles and electric vehicles paired with mobility as a service, new retail and the sharing economy.  

“The reasons for purchase of a vehicle will change,” he said, noting if the buyer isn’t actually driving, they are looking for different things, such as increased entertainment. “It’s not just technology that is changing, but social attitudes as well.”

He said many people are not getting their driver’s licences as early in life and are relying on other forms of transportation into their 30s.   

In addition, there has been a shift in perception towards private car ownership, according to Carter.

“I think we’re on the edge of a tipping point right here,” said Carter. “If you’re a manager, start positioning your business for rapid change.”
Organized by Kijiji, Canada’s largest online classifieds site, the theme of DealerTalkx 2017 is “Dealership of the future.” The Calgary, Alta. event is held Oct. 17, followed by an event in Toronto, Ont. Nov. 16.