OEMs and Tier-I technology suppliers to focus on digitisation while electronics-enabled business models boost growth opportunities, finds Frost & Sullivan's Mobility team
LONDON, April 11, 2017 /PRNewswire/ -- The global commercial vehicle (CV) market is set for rapid transformation as truck original equipment manufacturers (OEMs) and Tier-I technology suppliers recalibrate business strategies. A slowdown in developed markets such as North America and Europe, coupled with strong demand from the booming Brazil, Russia, India and China (BRIC) economies, is driving new alliances as well as focus on digital freight brokering and in-cabin technologies. The main change in the global trucks market is the shift from truck-as-a-product to truck-as-a-service business models to create sustainable revenue streams. This trend will be bolstered by platform-based production, connected truck-enabled services, and the rise of value trucks.
2017 Outlook of Global MD and HD Trucks Market, recent research from Frost & Sullivan's Automotive & Transportation Growth Partnership Service program, finds that despite continued economic uncertainty and fuel price volatility, market digitisation and electronics-enabled business models will guide global CV executives' mindshare and strategic focal points.
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"Ageing driver population, asset management and the demand for greater visibility in freight movement create a market pull for digitisation of services," said Mobility Program Manager Bharani Lakshminarasimhan. "Connected truck technologies, digital freight brokering, Big Data/Internet of Things, and health, wellness, and wellbeing (HWW) technologies will emerge as key digitisation imperatives."
Upcoming market developments include:
"Given the speed and rate of market transformation, most growth opportunities in 2017 will be enabled through ecosystem partnerships and acquisition/development of disruptive technologies," confirmed Lakshminarasimhan. "Leading OEMs, such as Daimler, Volvo, Ford, Hino and Ashok Leyland, will proactively invest in or partner with start-ups in the digital freight brokering, Big Data, and cyber security markets."
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2017 Outlook of Global MD and HD Trucks Market
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