Electrification, Connectivity & Automated Driving
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IPSOS WEB-SESSION Electrification, Connectivity & Automated Driving October 13 th, 2020 © Ipsos Introductions Alexandra Stein Falk Friedrich Wijaya Ng Germany Service Line Leader, Chief Client Officer, Head of Consulting Ipsos Automotive & Mobility Ipsos in Germany Ipsos Strategy3, China Development 2 ‒ © Ipsos IPSOS AUTOMOTIVE 1 Agenda SESSIONS ▬▬▬ THE NEW MOBILITY ERA 2 CHINA’S TECH-DRIVEN 3 INTELLIGENT CONNECTED VEHICLES FOR THE NEXT DECADE QUESTIONS & 4 ANSWERS 3 // © 2020 Ipsos Our 4 Automotive Web-Sessions “Mobility behaviours and automotive purchase intentions in troubled times” Tue, October 6, 2020, 11:00 AM – 12:00 PM CEST “The future of mobility - electrification, connectivity, and automated driving” Tue, October 13, 2020, 11:00 AM – 12:00 PM CEST “Accelerating in digital – the new customer journey” Tue, October 27, 2020, 11:00 AM – 12:00 PM CEST “Looking beyond automotive – emotional branding in other sectors” Tue, November 10, 2020, 11:00 AM – 12:00 PM CEST 4 // © 2020 Ipsos IPSOS AUTOMOTIVE 1 Agenda SESSIONS ▬▬▬ THE NEW 2 MOBILITY ERA CHINA’S TECH-DRIVEN INTELLIGENT CONNECTED 3 VEHICLES FOR THE NEXT DECADE QUESTIONS & 4 ANSWERS 5 // © 2020 Ipsos IPSOS MOBILITY NAVIGATOR A SYNDICATED STUDY FOCUSED ON THE COVID-19 Deep Dive KEY TRENDS Module 0: IN MOBILITY April, 2020 ▬▬▬ 6 // © 2020 Ipsos WHAT DO CAR OWNERS THINK ABOUT ELECTRIFICATION? ▬▬▬▬▬▬▬▬▬ 7 // © 2020 Ipsos Globally only 27% know BEV quite well, but car owners in China and India are more familiar with BEV than in Europe, Brazil and Japan. ▬▬▬ Familiarity with Battery Electric Vehicle 82% 73% 70% 69% 68% 66% 63% 46% 25% 27% 28% 21% 39% 23% 47% 20% Total China India Euro5 Brazil Russia USA Japan Know a fair amount 8 // © 2020 Ipsos Sales of EV are obviously depending on subsidies: As a consequence sales in China dropped and in Europe increased even despite Covid19. Share of EV Sales % Growth % Penetration EVs Total Market B+P+H = 6.0% B+P+H = 17.4% Others BEV; PHEV; BEV; PHEV; +17% -33% 3,4% 0,8% 3,9% 2,9% 17% 14% 11% HEV; 1,7% HEV; 10,6% -38% -20% 20% 26% 42% -25% -24% ICE ICE 56% 53% +57% -37% 39% -42% -20% China’s NEV Penetration is only 1/3 of European countries, indicating a room for future growth. 2018 2019 2020 (Jan-Jun) Source: EV Volumes & CPCA 9 // © 2020 Ipsos 38% of car owners seriously consider a BEV for next purchase, 12% seriously ▬▬▬ I would consider a vehicle with… Vs 2019 -1pts -5pts -1pts +3pts 63% 55% 28% 16% 43% 38% 11% 12% 22% 7% Gas/Petrol or Hybrid Plug-in Pure Battery I do not intend to Diesel Engine Engine Hybrid Engine Electric buy/own another vehicle Somewhat agree Completely agree 10 // © 2020 Ipsos Currently BEV are far more considered in China, India and Brazil as in Western markets ▬▬▬ I would consider a pure battery electric vehicle Vs -1pts +6pts N/A -6pts -1pts +3pts -12pts -19pts 2019 65% 60% 23% 51% 25% 38% 19% 34% 12% 30% 10% 24% 11% 3% 20% 5% Total China India Brazil Euro 5 USA Japan Russia Somewhat agree Completely agree 11 © 2020 Ipsos Mobility Navigator Module 2 | September 2020 // 22,000 interviews Young urban male with children are more likely to consider E-cars. Attitudes of BEV Considerers (% Agree) BEV BEV Non- Considerers Considerers BEV Non-considerers BEV Considerers 38% 37% I would consider an electric vehicle ▐ 16% 87% Mean Age 42 49 I want a vehicle that allows me to avoid ▐ 29% 68% the gas station I am an early adopter of cutting-edge ▐ 29% 65% Gender 53% 46% technology MALE MALE I want to have a Digital Assistant (like ▐ 31% 66% Siri/Alexa/Google) in my vehicle Has Children in HH 64% 44% I want a vehicle that makes others ▐ 19% 53% notice me Commute to work in vehicle I like vehicles that are unique ▐ 35% 66% multiple times weekly 71% 56% I want a vehicle with good towing ▐ 27% 56% capacity Lives in Major Metropolitan Area 48% 32% Comfort and luxury are more important ▐ 20% 48% than performance and handling I am concerned about CO2 emissions ▐ 56% 82% and air pollution I trust advanced driver assist systems (e.g. adaptive cruise control, lane ▐ 48% 72% keeping assistance, etc.) Mobility Navigator Module 2 | September 2020 12 © 2020 Ipsos // 22,000 interviews Environmental factors, convenience and low cost of ownership are the main benefits. On the other hand Battery life, driving range and charging infrastructure are the main barriers. ▬▬▬ Benefits Impacting BEV Consideration Barriers Impacting BEV Consideration (Showing top 10 benefits) (Showing top 10 barriers) Less pollution▐ 42% Battery life ▐ 38% Recharging at home▐ 32% Driving range ▐ 35% Saves fuel resources▐ 32% Few public charging stations ▐ 35% Cost of electricity is lower than the cost of gas▐ 30% Recharging time ▐ 34% Less maintenance▐ 27% Affordability ▐ 28% Financial incentives for purchasing▐ 26% Battery pack replacement cost ▐ 27% Less engine/exhaust noise▐ 23% Higher overall cost of ownership ▐ 25% Can use renewable energy▐ 22% Unproven reliability (i.e. not 'tried & true') ▐ 14% Not needing to go to a {gas / petrol} station▐ 20% Few models available ▐ 14% Uses more advanced technology▐ 16% Figuring out how to charge at home ▐ 14% Mobility Navigator Module 2 | September 2020 13 © 2020 Ipsos // 22,000 interviews Apart from stated benefits there are underlying factors driving interest ▬▬▬ Benefits Impacting BEV Consideration Derived* by Stated 200 Less pollution 180 160 Saves fuel resources Recharging at home 140 Cost of electricity is lower than the Less maintenance cost of gas 120 Financial incentives (tax credits, rebates, etc.) Can use renewable energy Less engine/exhaust noise 100 Stated 80 Uses more advanced technology Not needing to go to Recharging at work a gas station Free/discounted/priority parking in 60 some parking lots Performance relative to gas-powered Access to public transport / express 40 vehicles lanes Attractive styling 20 0 - 50 100 150 200 250 300 Derived Mobility Navigator Module 2 | September 2020 14 © 2020 Ipsos *Derived regression analysis compared to BEV consideration. // 22,000 interviews Tesla, Toyota and BMW are perceived to be the primary providers of BEVs in the next 5 years, which is the same as 2019. ▬▬▬ Companies do you feel will be the primary provider of BEVs in the next 5 years? (Showing Top 5) Tesla 39% Toyota 27% BMW 22% Mobility Navigator Module 2 | September 2020 15 © 2020 Ipsos // 22,000 interviews Key Insights & Implications • Despite CoVid 19 the interest for and consideration of electric cars remain on same level in Europe and US. In China future consideration is growing although subsidies has been reduced. We should see increasing BEV acceptance going forward • Environmental factors, convenient home charging and low cost of ownership are the most mentioned benefits most likely to increase BEV consideration. • There are additional underlying key motivators for BEV buyers including access to express lanes, attractive styling and advanced technology. Marketing communications highlighting these features will be beneficial in expanding the adoption of BEVs. • The primary barriers limiting ownership of BEVs are battery life, range, lack of public charging stations, recharging time and affordability. • Assuming the industry will continue in improving all those factors, the share of BEV will grow! WHAT DO CAR OWNERS THINK ABOUT AUTONOMOUS & CONNECTED CAR FEATURES 17 // © 2020 Ipsos Interest in an Autonomous Driving Vehicle is coming back slowly after dropping a couple years ago. ▬▬▬ Interest in Autonomous Driving Vehicle TOTAL China Brazil Japan Euro 5 USA 76% 77% 77% 64% 61% 61% 57% 55% 52% 54% 42% 43% 40% 41% 40% 40% 38% 37% 32% 30% 28% 28% 26% 27% '17 '18 '19 '20 '17 '18 '19 '20 '17 '18 '19 '20 '17 '18 '19 '20 '17 '18 '19 '20 '17 '18 '19 '20 Top 2 Box % Mobility Navigator Module 1 | July 2020 18 © 2020 Ipsos // 22,000 interviews Globally, one-third would consider a fully autonomous vehicle. BRIC countries have higher consideration than the US, Japan, and EURO5. ▬▬▬ Likelihood to Consider a Vehicle with Autonomous Mode Vs -2pts -10pts N/A -11pts -6pts +1pts -8pts -3pts 2019 70% 62% 60% 60% 50% 27% 44% 32% 40% 34% 31% 24% 30% 26% 25% 24% 15% 14% 7% 20% 14% 10% 10% 0% Total China India Brazil Russia USA Japan Euro 5 4 Likely would consider 5 Definitely would consider Mobility Navigator Module 1 | July 2020 19 © 2020 Ipsos // 22,000 interviews Who is most likely to consider a vehicle with autonomous mode? ▬▬▬ Likely Moderate Unlikely 34% 30% 37% Considerer Considerer Considerer More likely 18-39 (Gen Y/Z) On average 40-54 (Gen X) Primarily 55 or older (Baby Boomers) Skews male Even gender split Skews female Parent to multiple children Parent to one child Empty nesters Longer commute, typically in Average commute, use public transit, walk, Shorter commute, work from home, or personal vehicle and bike more often retired Lives in a large Lives in a smaller More often live in a metro area metro area suburban or rural area Trust ADAS; value safety Pragmatic Early adopters; like digital assistants View cars as more than simple transportation Want a vehicle that has Enjoy driving; want a well-rounded, good gas mileage versatile vehicle Cares about styling Looking for a low total cost Less manufacturer loyalty Less price-sensitive of ownership Mobility Navigator Module 1 | July 2020 20 © 2020 Ipsos // 22,000 interviews Safety has become even more important as last year ▬▬▬ Agreement with Statements Related to Autonomous Vehicles Top 2 Box I would be Autonomous concerned about verhicles will be too the safety of others 70% +3pt expensive for me 66% +3pt I would be I would prefer to concerned