![]() Therefore, since the paradigm of the car is shifting away from driving and more towards the onboard experience, there are simply fewer and fewer reasons to buy sedans over SUVs. SUVs can make people feel more powerful, and while sedans are built with performance in mind, SUVs allow for more space and a greater onboard experience, rather than the drive itself. ![]() Why are SUVs becoming more popular? While there are many hypotheses, most of them point to a change in the general public’s perception. In a matter of a decade, SUVs have become the most popular car segment on every continent. Between 20, the global market share of SUVs in total car sales increased from 17% to 41%, with the figure reaching as high as 50% in the US. Statistically, the market share of SUVs has increased dramatically over the past decade. Even Rolls Royce, Bentley, and exotic makers like Lamborghini are adding SUVs into their flagship lineups. Porsche is a typical case where the brand repositioned itself from a sports car brand to a brand focused on luxury SUVs. Even OEMs that traditionally focus on the niche market are now abandoning sedans and moving to SUVs as an attempt to capture the mass market. Almost every automaker worldwide has reduced sedan lineups, favoring prioritization of the rollout of SUVs. This is by far the most visible change that can be easily observed by anyone attentive to the road – sedans are being taken over by SUVs. The increased demand for car tech signaled the beginning of the paradigm shift cars were no longer a simple means of transportation, but an experience to enjoy. But even the big names are facing difficulties today because consumers are so used to car tech and demand more and more of these tech features manifested in the most intuitive and useable manner. This was how big and prestigious automakers survived all these years of competition. Excelling any two of the three aspects would pretty much guarantee success. In the past, a car was judged only by quality, comfort, and performance. ![]() These changes made it more challenging than ever for automakers to build a satisfactory car. From GPS navigation to Bluetooth, hands-free calls to voice command, phone mirroring to video streaming, the car had become a sophisticated computer with countless features.Īs people interacted with these new features, their perceptions and expectations changed. Yet, starting in the 2000s, new technologies began to emerge, one after the other. 2000s: Car Techįor many decades, the only digital technology the average car had was the radio. This enormous paradigm shift can be characterized by several seemingly unrelated industry trends. With the fourth industrial revolution, we are finally starting to witness a change to the century-old definition of the car. For over a century, people have viewed the car as a mode of transportation for people and goods from point A to point B. Yes, the appearance of cars has evolved considerably, but their functionalities and benefits have remained unchanged. ![]() Indeed, since the world’s first engine-powered vehicle was invented by Carl Benz in 1885, essentially the same car concept has been with us for more than a century now. Perhaps it is because cars are relatively expensive items with longer lifecycles, or because cars directly determine our physical safety, or that cars have been around for much longer compared to other electronic devices and appliances. However, changes here are less visible as they occur at a slower pace. Since these reinvented products tend to serve a variety of purposes that overlap with one another, users have more options available at their hands to do the tasks needed, making daily lives more seamless. What’s more interesting is how people’s perceptions and attitudes towards these products change as they experience and interact with them. Instead of drawing new things out of scratch, the fourth industrial revolution seems more like an overhaul to our existing world, where we reinvent existing items and redefine their purposes, often by combining them with computing capabilities and connecting them to the cloud. The smart speaker was a combination of a conventional speaker and a computing device. The smartwatch was created by combining a conventional watch and a computing device. For instance, the smartphone was reinvented by combining a conventional cellphone and a computing device. A key characteristic of the fourth industrial revolution is that conventional machines and electronics are reinvented or combined into “smarter” all-in-one products, blurring their original definitions. ![]()
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