It is no news any longer that the COVID-19 pandemic is maiming the economies of every county and the finances of every industry. Both directly and indirectly, the automotive industry has had and is still having its fair share of economic snarl-ups. However, while some of the industry’s support companies are shutting down, most are capitalizing on the moment to flex into more sustainable business models.
Braving the headwinds
Yes, the pressing question could be whether electric vehicles will survive this pandemic and if vehicle sales will take a sharp dive. But, when it narrows down to customer experience, the quality of service and model for customer engagement will determine whose business model will be radical enough to keep the company afloat. Without a doubt, it is now time for disruptive innovation. And, that is irrespective of whether you are looking for a repair shop for your Volvo car or an automobile dealership in your city, or even looking for a new market. This blow is, however, hitting hardest at electric vehicle manufacturers.
Compromise or strategy
Oil prices are on the decline. Therefore, while consumers may want to change to EVs, it is now that they have all the reasons to use gasoline over switching to even a hybrid. Compromising on quality is not an option for EV manufacturers to consider, especially now that the EV and hybrid automobile industry is grappling for relevance.
Pushing for administrative support
States such as California have been aggressive in tackling climate change. As of June 2020, California issued a directive to automakers to sell more EV trucks starting 2024. That follows an earlier resolution by the state’s Air Resources Board, committing to 100% EV trucks by the year 2045. Salt Lake City is also joining this bandwagon.
Such administrative support, and tax benefits, and incentives will help cushion EV manufacturers from plunging stocks and unforeseen market downturns. It will also help companies remain afloat to supply all the necessary resources to automobile manufacturers as they push for more efficient and safe EV and hybridized vehicles.
Optimized performance and efficiency
Automobile manufacturers have suffered production disruptions from the pandemic. However, that should even provide the impetus to improve the range of their products and the reliability of services. For EV makers, that will mean optimizing the reliability of battery systems. Investing in research and development will be critical here. Researching to determine whether and how to integrate off-the-shelf components and developing advanced software for improved driving modes are vital here.
That shows how much it will require EV manufacturers more than scrabbling for relevance in the auto industry to safeguarding their long-term future. Instead, the primary focus inclines toward and should be consistently committing to safety and environmental consciousness.
Roadworthy, relevant, eco-conscious
Compromising on electrification strategy will mean more and costlier recalls for EVs that are not either roadworthy or eco-conscious. It is good news that automobile manufacturers are committing to a complete electrification plan, even amidst suffering economic dips from the COVI-19 pandemic. While some of these car manufacturers and their respective repair shops are relatively small and still new entrants in the market, their contribution is significant. However, it is strategy that breeds significance, and it is the only one that is significant enough that will only assure a zero-emissions future.