This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Covisint Study: Auto Industry Reaching "Tipping Point Of Demand" For Connected Vehicle Technology

DETROIT, June 6, 2013 (GLOBE NEWSWIRE) -- Covisint, a Compuware (Nasdaq:CPWR) company, today announced the availability of a whitepaper it commissioned outlining keys to automakers' future success. This success, the whitepaper notes, is predicated upon how successfully automakers (often called original equipment manufacturers, or OEMs), incorporate technology not only into "smart vehicles," but also into the "digital lifestyles" of their customers.

Covisint Logo

This research, titled " Your Customer is Connected -- Are You? ," highlighted the following core points:

  • It's becoming an owner-centric world. Consumers, although optimistic about future technology, nonetheless demand value and results that likely will shift industry attitudes in a way that places the owner, not the vehicle, at the center of the digital equation.
  • Relationships are transforming. In the past, manufacturers only had direct engagement with car owners for about 10 hours of the typical 1,460-day ownership period--less than 3/100 of one percent of the time. Now, through owner-centric technology, OEMs can have a lucrative and ongoing stream of engagement and revenue opportunities benefiting both during the entire ownership period.
  • Data continues to explode, multiply. As the sheer amount of data continues to expand, an independent interoperability platform like Covisint's will increasingly become critical to successfully integrating and delivering value-added services from multiple sources.

"The automotive industry is reaching a 'tipping point of demand' for user-centric connected vehicle services delivered via the cloud," said study co-author and CEO/Founder of CGS Advisors, Gregg Garrett. "Expectations are increasingly being shaped by the connected environment outside of the vehicle, and this fundamental shift is making it 'change or die' time for some OEMs. One facet of success likely will hinge upon how well automakers integrate their services into vehicles, across their brand and ultimately into their consumers' connected lives."

Traditionally, OEMs placed the end-product of the car at the center, focusing primarily on styling, powertrains, performance and value. Although those things will still be important, that traditional mindset is undergoing a rapid transformation and disruption. In the future, the whitepaper noted, OEMs who succeed will need to deliver a comprehensive, connected ownership experience for consumers across web properties, mobile devices and within the vehicle. Connectivity, it was noted, can no longer be viewed as "just another feature of the vehicle;" rather, connectivity will be seen as a key purchase differentiator with the car itself being perceived as just another node in the owner's digital life.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG

Markets

DOW 17,712.66 +34.43 0.19%
S&P 500 2,061.02 +4.87 0.24%
NASDAQ 4,891.2190 +27.8570 0.57%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs