It is a fact that one of the industries that has evolved the most over recent decades is the automotive industry, but… has this transformation included technology from an operational perspective focused on the needs of its customers? The answer is complex, but there are certainly enough arguments supporting the view that this has not been the case.
To begin with, let us remember that we are not considering the technological advances in vehicles themselves (design, safety, connectivity, GPS, entertainment, power sources), but rather the inclusion of technology in aspects related to purchasing and maintaining a vehicle.
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Let us start by analyzing the main changes over the last 20 to 30 years when purchasing a vehicle: the internet and the ability to view models, features, and promotions from a computer, as well as the ability to search for brand dealerships in a city and the branches closest to our location. The speed and ease with which auto loans are processed and approved. The channels available to connect with dealership sales teams (email, SMS, WhatsApp, chatbots). Digital marketing campaigns with monthly promotions, content available on Facebook, YouTube, Instagram, and other social networks. Finally, in rare cases, mobile apps that centralize vehicle data and the after-sales services provided by the automaker.
At first glance, this might appear to be a completely different landscape compared to three decades ago; however, let us break down each of these ideas and evaluate the fundamental changes that actually benefit customers, as well as the industry's real commitment to addressing their needs more effectively.
Internet, Webpages, and Online Information.- While it could be highlighted as the most significant change, it is merely a global consequence of worldwide modernization and digitalization—a revolution largely unrelated to the industry and its key players, who adopted this channel out of necessity driven by consumer habits, without contributing functional innovations or setup enhancements proportionate to the scale of their industry or revenue levels.
Financing and Payment Options.- Paradoxically, the most significant shift in vehicle buyers' perceptions stems from the efforts and investments of an entirely different industry—one consistently associated with technological leadership, self-service adoption, and process simplification, despite operating within a bureaucratic framework subject to strict security requirements: The Financial Industry.
Digital Marketing, Social Media, and Other Communication Channels.- Once again, we refer to broader societal advancements, with changes in how we perceive and manage communication—not only among family, friends, and colleagues, but with everyone we interact with regularly. The automotive industry has merely adopted these channels into its business operations, without actively enhancing, optimizing, or tailoring them to market demands.
So... is the automotive industry a “Lost World” frozen in time, having failed to embrace technology as a vehicle to reach the 21st century?
No. Numerous technologies are currently applied within the industry to support day-to-day internal operations, ranging from inventory management software, labor tracking in repair shops, and integration platforms with complementary industries (insurance, banking, financing), to ERP systems managing finances, call centers, predictive mileage models, and business intelligence reporting. However... how has this technology specifically advanced the industry, and more importantly, how has it adapted to the market to improve customer service?
It is safe to say that the top 3 needs of a car buyer 30 years ago remain virtually identical today:
- Access to relevant information for purchase decision-making (vehicle safety features and performance).
- Clear understanding of maintenance costs and vehicle ownership sustainability (permits, scheduled services, warranties, replacement parts, common issues).
- Accurate fault diagnostics, along with reliable, fast repair services.
Where, then, is the industry's investment to better address these clear and fundamental needs?
Dealership networks have invested substantial resources in marketing prices, promotions, features, and safety systems. However, there is little concrete evidence that the industry has developed, contributed, or deployed technologies specifically aimed at addressing and fully satisfying these core needs.
Today, we still purchase cars largely based on manufacturer brand reputation and price, without thoroughly evaluating the vehicle's suitability for our daily needs. We still do not know if our car has mechanical issues until it breaks down in traffic or on a remote highway. A simple repair can still leave us without transportation for weeks or months, all while forcing us to place blind trust in technician diagnostics without guarantees and with uncertain outcomes.
Speaking specifically about Latin America, we have yet to see dealerships implement sustainable digital solutions enabling end-to-end remote vehicle purchases, having specialists bring showcase vehicles directly to homes or offices for walkarounds and test drives, or offering satisfaction guarantees that allow customers to exchange a new vehicle if it fails to fully meet their expectations.
Imagine your dealership offering an online fault self-diagnostic tool, or reaching out via a mobile app alert when a critical component is approaching failure... It sounds remarkable, doesn't it?
Now consider the revenue and resources at the industry's disposal before dismissing the feasibility of these capabilities—or simply consider that commercial drone deliveries are already becoming a reality across several global markets.
Consultancies like Awtana aim to support companies across the sector in leveraging technology as a primary catalyst to navigate current industry challenges. Through deep technical expertise, they deliver proven digital solutions from North American and European markets that drive efficiency, security, and traceability throughout commercial operations. These technology initiatives can transform the buyer journey, customer service, and after-sales profitability across the automotive industry, supporting stability and paving the way for a steady, sustained return to market strength.
