LinkedIn Pulse The driver consumer holds the keys to $1.5T in future vehicle enabled digital services.
Working with a number of our large automotive customers, it becomes clear that what it means to become digital – and to run a digital business – can take on many forms and meanings to different companies based on their organization and their position in the automotive value chain. I have written about the advent of connected platforms, whereby suppliers are moving to land grab specific elements of the ecosystem and lay claim to their use. This includes a number of scenarios about the enhancement and transmission of information from the individual consumer as a driver whether it be to the car, the home, the household appliance and mobile device. McKinsey estimates the market for vehicle enabled digital services to grow to $1.5T by the year 2030.
Understanding how the consumer will function as a services buyer, however, is an entirely different matter whether that individual is a personal vehicle owner, rideshare passenger, renter or simply a passenger in a friend’s car out to the movies and dinner. And while automakers are determining how to enable that customer experience one thing is clear: the driver consumer wants the same, easy to use experience to carry with them from one vehicle to the next, regardless of role or method of use of a vehicle.
What do I mean by this? Digitally connected customers move seamlessly across vehicles with their secured personal identity and profile available for the use and purchase of services. Vehicles maintain the most driver desired customer experience based on real time feedback to engineering designers, significantly reducing warranty claims and updating software during non-use windows. It shouldn’t matter if I’m a passenger in a rideshare or renting a luxury vehicle for the weekend in the big city, my wallet and profile move with me based on personal credentials, personal preferences (pre-sent entertainment, services palate, etc.) and secure on-board data connectivity.
Vehicles are maintained based in similar consistency. Soft service events – uploading software versions or even tuning firmware – occur in off peak times or as needed based on severity. Hard service events occur at low-use hours to reduce labor and operating expense while maximizing availability of vehicles during peak times. Parts are available as needed, at the quickest route to service locations.
Automakers are learning more about the advanced options to support consumer connectivity as drivers, buyers and passengers and the ability that secure data environments supported by SAP HANA can deliver.
This article previously appeared in LinkedIn Pulse and D!gitalist Magazine. Learn more about trends in autonomous and connected vehicles at SAPPHIRENOW in Orlando, Florida (May 15-19) and secure your spot today!
Here at SAP TechEd I’ll be mixing up a few blog posts with the streams from the day’s events as they occur and as announcements made. Follow me here and on Twitter (@william_newman).
Yesterday’s flurry of announcements around the new and open capabilities started strong in the morning and continued into the evening with a 10-year birthday celebration of the SAP Community Network. Congratulations to Chip Rodgers and his team for a vibrant knowledge exchange!
A summary of key announcements, with links to be added as and when they become available:
- Integration of the Hana Enterprise Cloud Platform with Hadoop, SaaS, with scalable sizing with multiple on-ramps for companies of all sizes depending how they would like to amortize their IT assets (or not).
- SAP Mobile Platform 3.0 releases this week. Lots of clean up and deeper extensions for mobile processes. SMP 3.0 is the first release where mobile processes do not need to explicitly connect to back end business suite applications, since they are able to update the table directly. Don’t have that process in business suite? It’s okay as long as you have good mobile data governance. (Addresses the classic joke scenario: hey doctor, when my arm heals can I play the violin…. good because I wasn’t able to before … Now SAP customers can build apps to handle processes not found in their Business Suite environment, unencumbered by other enterprise architectural constraints I outlined in one of my earlier articles.) Also better control of renegade or so-called “zombie apps,” forgotten mobile apps from old BYOD and other development efforts still running and still consuming data.
- Netweaver Gateway’s new release leveraging Open Data (oData) protocols allows for a fresh look at Microsoft integration. With the new NWG Productivity Accelerator for Microsoft (called Gateway “PAM”) services can be delivered directly to Microsoft applications without the need of a server broker on the Microsoft side. Lower TCO with higher accessibility to SAP operational data through Microsoft product environments, including a near-term SP1 release to connect Excel. Plug-in friendly.
- Cloud convergence became clearer. Sven Denecken presented an update to the cloud roadmap and it is clear the SuccessFactors underlying architecture which is LOB-driven will be primary with modules reflecting Business Suite applications in ByDesign (ByD) will build on that architecture. SAP has determined that its cloud EA footprint doesn’t need to be an either/or proposition. This is good news for current and future SAP customers looking to migrate some business processes or entire operations to the cloud.
More information updated here as and when it becomes available.