The Future of the Industry: Relationships
Anyone who has started a business knows relationships are at the root of their success. No individual nor business succeeds without the support of those around them. With the goal of understanding the future of the automotive industry, we can identify some timeless truths of business to create a plan to not only survive but thrive in the changes ahead.
There is a general consensus among market analysts that self-driving cars will make a huge impact in the automotive manufacturing industry in the next 10-15 years, possibly rendering some manufacturers obsolete. Obviously, it’s too early to make any substantial claims about when self-driving will be the main mode of transportation, but we can make some fair assumptions about the nature of the transition.
As the leaders in self-driving technology like Google and Tesla are projected to make direct buys from manufacturers, it is a likely scenario that many smaller manufacturers will dissolve into larger, industry leading manufacturers like Toyota (Lexus), Mercedes-Benz, and Audi, just to name a few. We can assume that there will always be a luxury automotive market, be it luxury self-driving or traditional collector vehicles, but the main takeaway is those who are dominating self-driving manufacturing are likely to be the ones who absorb the smaller companies.
As a dealership, focusing on relationships with those leading the industry will greatly improve your chances of longevity. Who is progressing and how can you build a relationship with them NOW, before these major transitions take place? There are the obvious leaders, and then there are the lesser known manufacturers like Baidu and Bosch. As this shift takes place, it’s important to keep a big picture perspective on the greater trends of transportation to better understand how your business can thrive in the future.
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