CASE in point: Connected mobilityCorporate News -
By Jack van Reisen, Executive Director Mobility Sector at NIBC
To live is to move. But the concept of mobility has evolved enormously over the years and continues to change rapidly. Mobility is increasing across the world, both in developed and emerging countries, as people live longer and data plays an ever more integral part in our lives.
This is the first in a new series of blogs about four key trends in mobility: Connected, Autonomous, Shared and Electric (CASE). Drawing on NIBC’s expertise and experience in these areas, we’ll look at themes and innovations in mobility, and the opportunities and challenges they present for businesses.
Today’s mobility is multi-modal: getting from A to B often involves combining multiple forms of transport. To reach our destination, we can blend a ride by Uber or shared bicycles, e-scooters or pooled cars with the good old-fashioned bus, tram or city taxi. Successful integration of the multiple forms of transport, including their platforms (digital of physical) and direct payment will become more and more relevant.
Traditional mobility companies, including many in the Netherlands, are therefore contemplating or already moving towards becoming ‘total mobility’ providers that can enable people to combine and connect diverse kinds of mobility.
Key to this model of connected mobility is data. Whether we’re finding the quickest or easiest route by public transport, checking the traffic situation, searching for an available e-bike or using our smartphone to connect with a shared car, data is of vast importance and value.
The value of data
Why is this data so valuable for companies in the mobility space? Possessing information on customers’ needs and preferences means you can offer additional services such as – in the case of a car retailer, for example – maintenance, repair and accessories. Aftersales offerings such as these offer much higher profit margins than those on new car sales.
The challenge for companies is that customers have a raft of options when they’re seeking to buy a product. The internet has made shopping around easier than ever – if a little confusing at times. This means companies are keen to get as close as possible to end-consumers, allowing them to sell the product to them directly and collect that all-important customer data.
All of which raises the key question of who owns the data. Do retailers ‘own’ the end-consumer and hence their data? Or do producers own the data, because they made the product that the consumer bought? With innovation moving so fast and so much value at stake, it’s no wonder there’s often a tussle over who is the data’s rightful owner.
Financing to grow
As new players and new business models adapt to these new realities, financing needs are also evolving. How can you finance your company to grow in connected mobility?
Scale-ups with successful business models and products may need investment to grow to the next level. Larger companies looking to enhance their data generation capabilities can use financing to invest in their IT backbone – both the technology and the personnel – or to acquire smaller smart software companies that can help boost their data collection and analysis abilities.
The connected mobility market is moving quickly. NIBC has in-depth knowledge of the mobility industry and experience in funding automotive businesses with tailor-made solutions to accommodate clients’ future growth. To discuss how NIBC can help you get ahead in this fast-forward sector, contact us.
- Read the second blog: "CASE in point: Autonomous mobility"
- Read the third blog: "CASE in point: Shared mobility"
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