Skip to main content Skip to footer

Vehicle pricing in the new automotive reality

September 11, 2020

RESEARCH REPORT

In brief

Three megatrends are disrupting conventional pricing

e-Commerce

OEMs face full price transparency and increasing competition from third parties.

Direct sales

Unlike before, OEMs need capabilities to set, steer and harmonize transaction prices across all sales channels.

Electric vehicles

EV-specific vehicle economics imply new pricing challenges, but also significant opportunities.

Core premises for future car pricing

1. Pricing will be channel-agnostic

69% of consumers expect the same online and offline prices.

2. Price negotiations will become a thing of the past

More than 2/3 of potential buyers find it cumbersome to research and bargain for discounts.

3. Leasing will fully outpace car ownership

For almost half of potential buyers, leasing is the most or second most preferred option for acquiring a car.

4. Subscription models will continue to grow

27% of potential buyers rate “low capital requirements” as the main advantage of subscription.

5. Data availability and quantity will increase

Millions of data points processed each day will help OEMs develop advanced analytics in pricing.

6. OEMs will establish end-to-end revenue management

OEMs can start managing vehicle transaction prices centrally based on price elasticities.

A pricing transformation roadmap

Pricing strategy

Achieve full control over prices across all sales channels with centrally steered campaigns.

Data & Analytics

Adopt AI-based pricing based on parametrized price rules and fully automated data harvesting.

IT & Technology

Embed a cloud-based IT environment with a central data lake as input for machine learning algorithms.

OEMs need to act now

Johannes Trenka

Managing Director – Accenture Strategy, CEO & Enterprise Strategy

Johannes is an expert in functional growth and automotive sales and digitization strategies.


Dr. Marcus F. Demmelmair

MANAGER – ACCENTURE STRATEGY, CEO & ENTERPRISE STRATEGY

Marcus is an expert in price strategy and analytics-driven pricing.


Axel Schmidt

Senior Managing Director – Global Industry Sector Lead Automotive

Axel is the global automotive industry lead and helps clients with all aspects of strategic business transformation and management.

Related capabilities

Automotive

Discover how we're helping the automotive industry transform to win tomorrow’s customer.

Mobility X.0

Shaping the future of how everyone and everything moves.
Visit our Subscription and Preference Center
Follow us: