Fueling Up For the Future: 6 Auto Industry Trends Picking Up Speed

In 2021, the automobile industray is picking up impressive speed when it comes to digital transformation. If you’re looking to buy a new or used vehicle or simply interested in GPS tracking the auto sector’s process, take an inside look at the six auto industry trends revolutionizing car design and travel.

Lingering effects from COVID-19

The COVID-19 pandemic has negatively impacted auto transport providers throughout 2020 and early 2021. The number of public transportation services and rideshares has fallen significantly with social distancing measures and widespread closures in mind.

At the same time, online car sales have grown throughout the pandemic. Nonetheless, supply chain disruptions during the coronavirus pandemic have also negatively impacted the auto transport industry and its providers.

Despite these issues, car shipping companies like Guardian Auto Transport have been resilient in the face of this severe global pandemic and have even reaped the benefits of COVID-19 era culture shifts. Since the pandemic’s onset, the Great COVID-19 Migration movement has kicked in full force, explaining why car transportation providers across the nation have seen a substantial rise in business.

Cars are seeing much larger sales online

Mandatory quarantine measures instilled a widespread sense of discomfort regarding in-person sales—germ-ridden handshakes, test-drive induced cross-contamination—even after governors lifted the quarantines. As a result, more consumers than ever before have transitioned to online or digital purchasing of vehicles. In 2020, auto purchasers conducted nearly 30 percent of all car sales online.

Because a mere two percent of all auto sales took place digitally before the pandemic began, this 28% percent jump left many auto dealerships on the edge of their seats, chomping at the bit to rework their business model and reallocate funds towards eCommerce initiatives.

New vehicles are becoming more connected

With excess traffic and especially rush hour traffic impacting drivers nationwide, the need for increased connectivity in the mobility ecosystem is growing in importance.

In response, software platforms are being developed to manage and reduce network-level inefficiencies by connecting cars. For instance, navigation apps with traffic data have received special attention. Additionally, cities have embraced smart traffic lights with open arms.

Greater connectivity to digital features and vehicle identification

The most high-end luxury cars today are digitally complex and contain at least 100 million lines of code. For instance, Tesla car owners receive updates when system upgrades occur, and new features become part of the platform, such as autonomous driving.

Automotive authorities have also begun implementing a digital identification feature for vehicles.

Artificial intelligence is impacting the future of vehicle design but not replacing driver control

While Tesla has designed an impressive line of self-driving cars, consumers still wrestle with trust issues and struggle to quell anxieties of autonomous vehicle accidents. Despite drivers ‘ hesitations, artificial intelligence (AI) has had an overwhelmingly positive impact, as seen in the latest partnership between Toyota and Nvidia to combine hardware and software features.

BMW is also using AI to design vehicles of the future. Artificial intelligence is expected to have a heavy hand in smart travel and even catalyze a movement of sensors for navigation and driver control.

Battery-run electric cars growing in popularity

With cars contributing to 15 percent of carbon dioxide emissions, battery-run electric vehicles are essential for preserving the planet and fighting climate change.

However, subsidies and governmental regulation will be necessary to bring forth a mass adoption of electric vehicles. For instance, tax breaks and subsidies in Norway have made electric automobiles cost about the same as non-electric cars, which spiked the popularity of electric cars.

Before you go

The future of the automotive industry is one sure to drop jaws and impress even the skeptics of autonomous vehicles. While the road ahead might be dotted with mile markers of uncertainty, artificial intelligence, online marketplaces, and battery-run electric cars are certainly behind the wheel of 2022 innovations.

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