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Covid-19: the importance of automotive aftermarket digitalization

Trends

April 7, 2020

7 MIN of Reading

It is vital, especially in this pandemic, that we embrace the digital transformation of our businesses, to benefit people and optimise processes.

The automotive aftermarket business has been constantly adapting and there are few industries that have seen as many changes as this sector. Connectivity, electrification, new forms of mobility and autonomous driving have been some of the concepts introduced in this journey.

We are currently witnessing new and deep challenges caused by the Covid-19 pandemic. Faced with this, only those companies that manage to adjust and prepare best for this stage will be able to succeed in the future. Digitalising the automotive aftermarket is the ideal solution to differentiate from competition and to overcome new adversities.

The challenges faced by automotive aftermarket companies

The lockdown measures implemented by the government and health authorities are changing the way people interact in society, due to the recommendations to stay at home and to keep social distance. As a result, automotive aftermarket customers have also changed the way they connect with brands and with all market players, including workshops, parts retailers and car dealers.

This context is forcing companies to rethink their current business models, bearing in mind that there is an increase in the use of online media, as proven by the operators. This data gives greater expression to the acceleration of technological innovation and the transformation of competitive power that has already been a reality, though on a smaller scale, in recent years.

In addition, one of the great challenges the automotive aftermarket currently faces, particularly repair workshops, is the access to end customers. In a time when the consumer's choice is highly influenced, the main threat facing these businesses is their inability to build relationships and customer loyalty.

For these reasons, it is crucial that automotive aftermarket companies embrace digitalization in order to respond to the current and future needs, implementing the digital transformation of business, involving people and making processes agile.

The opportunities generated by digitalization

Digitalization is indeed gaining dominance and generating countless opportunities for the automotive aftermarket. One of the biggest opportunities is simplifying processes and bringing businesses closer to end consumers.

For example, connectivity ensures that the aftermarket can be more proactive than reactive. The reason is that telematics enables vehicles to be constantly monitored, can detect incorrect use and anticipate repair needs. Therefore, it allows new services to be offered on the basis of the data and vehicle downtime can be minimised.

But this is only possible with intelligent platforms such as the customised systems developed by Tips4y. In this way, it's possible to ensure workflow optimisation and establish more transparent relationships with customers.

Through digitalization, workshops and parts retailers can face the challenges that are emerging in this sector and convert them into opportunities to differentiate themselves by adjusting to market circumstances.

Tips4y has a specialized team to help you through your digital transformation journey, preparing the future and overcoming the challenges brought on by Covid-19.

Contact us for more information.

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