The automotive industry is one of the most important sectors in Asia. However, this industry also poses some challenges for automotive business players, such as manufacturers, suppliers, and vehicle financiers. To overcome the challenges, businesses need to have automotive consulting in Asia.
Challenges in the Asian Automotive Industry
These days, the automotive industry is facing various challenges. Some of these challenges are caused by the pandemic of Covid-19, while others are not.
- Sales Decrease
The economic slowdown caused by the pandemic had affected the vehicle sales in Asia. As a result, the vehicle sales decreased in 2020. Now, this industry is struggling hard to recover from this condition.
This situation is worsened by the restrictions of holding events and public gatherings. In consequence, automotive businesses must find some innovations in promoting and launching their products.
- New Environmental Regulations
The pollution level in certain Asian countries is very high so that they are pressured to create new regulation to lower the pollution. China, for example, will ban the sales of non-electric vehicles in 2040.
This new regulation, of course, will force the automotive manufacturers to produce electric vehicles to meet the new demand. Moreover, the transition from non-electric vehicles to electric vehicles is not an easy process.
Meanwhile, some Asian countries are not ready to provide enough electric vehicle charging stations. The number of electric vehicle charging stations in those countries is only a few.
- Public Mobility Issues
In some Asian countries, the automotive industry needs to face some public mobility issues, such as low quality public transportation, lack of infrastructure, and low numbers of customers. On the other hand, it is essential for those countries to have high quality service of public transportation.
As a result, businesses are forced to work hard and spend more money to improve the public transportation service. They also need to find the right strategy to attract more customers.
How Automotive Consulting in Asia Help Businesses Face the Challenges
To face these challenges, it is recommended for businesses to have automotive consulting in Asia. An automotive consulting firm will help businesses in the industry in various ways.
- The consulting firm suggests some advice related to the transformation of non-electric vehicles to electric vehicles. Therefore, automotive business players will be able to get through the transition process smoothly.
- This firm will help automotive brands to identify the right and the best strategy in order to increase their sales.
- The automotive consulting firm will help automotive players to have the right balance between a local marketing strategy and a pan-Asia marketing strategy so that they will be able to seize the opportunity presented in the market of each Asian country.
- The firm helps smart vehicle manufacturers to enhance channels, boost margins, and identify risks in Asia.
- The automotive consulting firm suggests public transportation businesses to apply customized strategies to optimize its service and have higher return on investment.
The automotive industry in Asia is quite challenging. However, it also offers a promising opportunity in the future because vehicles are highly needed by the society. If automotive players have the right strategy to overcome the challenges, they will be able to seize this opportunity.