Before the market price was revealed, navigation systems were the most desired automotive technology in a survey of European consumers, according to the JD Power and Associates 2006 European automotive emerging technologies study released on Thursday (21 September).
The study, which examined consumer awareness and future demand for 14 automotive technologies in Germany and the United Kingdom, found that 75% of European consumers expressed high interest in navigation systems.
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However, as one of the most expensive technologies included in the study [UK prices for a factory-fit colour screen system with traffic conditions monitoring are around GBP1,500-GBP2,000], navigation systems were among the least favoured technologies after the mid-point price was revealed, illustrating the effect price has on a consumer’s intent to actually purchase a technology, JD Power noted.
Backup assist (or reverse assist [costing GBP250-300 in the UK]) was the second-most-desired technology in the study before the mid-point price was revealed, and attracted the highest percentage of consumers who were “definitely/probably” interested in the feature after the mid-point price was revealed. Consumers also expressed considerable interest in other vehicle-sensing features, such as active cornering headlight systems and blind spot detection.
“Although high interest in navigation systems is pretty solid among consumers in both the UK and Germany, familiarity and interest with other technologies can vary greatly among the two countries,” said JD Power director of automotive product and quality research, Mike Marshall.
“Rear-seat entertainment systems, for example, are the third-most-recognised technology in the UK, whereas in Germany the technology ranks eighth on the awareness chart.”
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By GlobalDataThe study also found that consumers in Germany were more likely to be interested in the emerging technologies than their counterparts in the UK, with the exception of HD radio [known as digital audio broadcasting (DAB) in the UK and continental Europe], rear-seat entertainment systems and satellite radio, in which more UK consumers express interest [though so far it’s not available for in-car use in the UK, unlike in the US].
In a mock shopping exercise where respondents were given a fixed sum of money to spend, more than one-half of German consumers selected emerging technologies such as backup assist and active cornering headlight systems, while consumers in the UK preferred to add more established features to their future vehicle, such as a multiple CD changer. UK consumers were also considerably less likely to spend additional money on optional features for their vehicles compared to German consumers.
Technologies for which consumer awareness is low in both Germany and the UK include satellite radio [probably because it’s not yet available over here], blind spot detection and personal assistance services, such as air bag deployment notification and remote door unlock.
“Satellite radio and personal assistance safety services have not yet penetrated the European market to the extent they have in the United States,” added Marshall. “As awareness of the features increases, consumer interest should increase as well, particularly with satellite radio, which rank[ed] slightly higher in terms of interest among European consumers after the market price [was] revealed.”
The emerging technologies study was based on responses from more than 4,000 new-vehicle owners in Germany and the UK.
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