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Data as a potential path for the automotive aftersales business to remain active through and after the decarbonisation

Eslava-Bautista, Jorge; Beecroft, Mark

Authors

Jorge Eslava-Bautista

Mark Beecroft



Abstract

Decarbonisation of transport implies transition and shift for many traditional businesses, one of which is the automotive aftersales. One of the strategies identified to address decarbonisation and meet GHG emissions targets is the adoption of Electric Vehicles (EVs) and other green power train technologies. Nonetheless, decarbonisation and EVs are not the only drivers that menace the automotive aftersales. Data also appears as an emerging actor in the industry that could prompt influential transformations in conjunction with EVs and decarbonisation strategies.

In this paper we aim to identify and understand the aftersales stakeholders’ perspectives related to the current challenges posed by decarbonisation strategies and examine potential responses that the automotive aftersales business could undertake. Semi-structured interviews with a variety of automotive industry experts were used. The interview topics were based on results from an online survey and extensive document analysis. The interview sample involved expert stakeholders from original equipment manufacturers (OEMS) and the independent aftermarket (IAM) with experience in Latin American and European markets. The interviews addressed three main topics: (1) Trends and future expectations; (2) Impacts on aftersales; and (3) Public policy. This paper focuses primarily on impacts of decarbonisation on automotive aftersales and the potential role of data in that business.

Results show that investment in technology will be a condition for businesses that want to remain active in the industry which could affect small players. Furthermore, experts agree that incumbent manufacturers are not filling the technology gap that the energy transition is creating in the automotive sector, a consequence of which will be the entrance of new players from other sectors. The aftersales business will be transformed to B2B which potentially means loss of bargaining control of current players. Moreover, policy makers are seen as unreliable to lead the transition agenda.

These results will be used to inform further scenario-based research to develop future scenarios for aftersales business under different strategies and suggest recommendations for new business models considering decarbonisation strategies.

Journal Article Type Article
Acceptance Date Jan 31, 2023
Online Publication Date Apr 30, 2024
Publication Date 2024
Deposit Date Jun 10, 2024
Publicly Available Date May 1, 2025
Print ISSN 1460-6720
Electronic ISSN 1741-525X
Publisher Inderscience
Peer Reviewed Peer Reviewed
Volume 29
Issue 1
Pages 39-58
ISBN 1460-6720
DOI https://doi.org/10.1504/ijstm.2024.138262
Keywords aftersales; automotive sector; decarbonisation; customer service; electrification of vehicles; data; remote diagnosis; new business models

Files

This file is under embargo until May 1, 2025 due to copyright reasons.

Contact repository@napier.ac.uk to request a copy for personal use.




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