The automotive market

The automotive industry is undergoing massive changes. From producing mechanically complex, privately owned, personal means of transportation to sophisticated, electric, connected, autonomous vehicles that are part of a multi-modal mobility ecosystem.

The change is taking place against the background of several concurrent societal trends:

• ownership to usage 
• multi-modal mobility
• customer centricity
• self-service options
• always-on
• hyperconnected

Plenty of people still buy a car from a car dealership but consumer behavior is changing and customer's expectations have shifted.

More customers build and compare vehicles online and some prefer to buy online.

People are starting to shift from car ownership to usage, just like they did for media. To provide flexible on demand access to vehicles, car subscriptions are introduced: a monthly fee for the use of a car + a number of services with the option of changing vehicles, services or cancelling at any time. 

The auto finance, leasing and mobility industry

Sofico's customers have always fallen into 1 of 2 categories.

1. Automotive finance providers, linked to the car makers, who provide service products such as loans, insurance or maintenance contracts to retail (B2C) customers
2. Leasing companies who provide a combination of financing and services to corporate fleet (B2B) customers.

The boundaries between both markets has blurred in recent years and mobility is becoming more important. Business strategies are being adapted and new innovative product offerings launched to assure future success.