About a decade ago, I wrote a blog with the same headline. At the time, we at Radius had tested about 73 technological advances emerging in the auto industry, primarily biometric security features. We found that many of the proposed innovations were “ahead of the curve” for the general population respondents we surveyed. They were just not ready to embrace options that felt invasive or “too personal” to them.
To tech leaders, the innovations were cutting edge, creative, and possible, yet they would not all have been successful a decade ago among general consumers. Research identified which innovations could launch near-term, and which needed time to marinate.
Fast-forward 10 years and many of the innovations we tested are now available. Customer savviness has matured, creating a market ready for more personalized security options.
Now is an incredible time of change for the auto industry. With great engineering ideas, careful planning, and strategy based on reliable market research, auto brands can embrace innovations that appeal to customers to ensure revenue growth and solidify market leadership.”
Finding the balance between possible and plausible innovations.
At the crossroads of auto and technology there are very enticing innovations being engineered and tested. Self-driving/autonomous vehicles (with their opportunities as well as current cautions), are perhaps getting the most buzz, but there is a long list of equally intriguing innovations for planned integration. For example, auto makers are considering:
- Personalization features such as smart virtual assistants that help drivers and passengers interact with their vehicles and service providers.
- Augmented reality platforms that combine AR, smart cameras, and surround-view monitoring to call attention to turns, curves and slopes, enhancing safety and preventing collisions.
- Advances in 3D printing techniques that allow manufacturers to print spare parts that match their requirements, a potential disruption to the auto parts industry.
Once again, there are many engineering innovations that are possible to offer, but will they succeed with consumers?
Given the rapidly evolving auto industry, it is essential that brands have a clear understanding of where to invest innovation resources now and what to hold back until the market matures. Too much cost and time are at stake to guess. Primary market research remains the best way to build out innovation strategy.”
Research helps brands identify innovations customers will embrace.
New products or features that seem enticing on the drawing board often fall short in the marketplace, at least initially. This is not because the offerings themselves are faulty, but because their key selling points aren’t resonating with the customer. Either the benefit is not perceived as needed or valued by consumers or the innovation was simply ahead of customer experience, understanding, or demand.
Given the rapidly evolving auto industry, it is essential that brands have a clear understanding of where to invest innovation resources now and what to hold back until the market matures. Too much cost and time are at stake to guess. Primary market research remains the best way to build out innovation strategy.
Understanding customers’ current pain points guides product innovations that solve near-term problems and meet future needs. Quantitative research approaches such as Opportunity Scoring or Kano Analysis will differentiate between innovations that might not resonate with the marketplace now and those that present real opportunities. Importantly, research can identify needs that competitors aren’t yet addressing, a key to achieving brand differentiation in a shifting market.
Qualitative research helps brands dig more deeply into the “why” behind consumer sentiment to understand what’s beneath stated needs. Insights from customers help brands explore what moves a particular innovation up the continuum from “not necessary” to “wow, it would be nice to have” and on to “I must have that.” The research also provides Voice of the Customer language that informs messaging that resonates with consumers to help brands capture market share.
Now is an incredible time of change for the auto industry. With great engineering ideas, careful planning, and strategy based on reliable market research, auto brands can embrace innovations that appeal to customers to ensure revenue growth and solidify market leadership.
Want to explore how research can prioritize your innovation efforts?
