IBM survey on Consumer needs
Mobility and transportation require 20% of global energy, the majority of which is derived from fossil fuels. Increased congestion is a result of the growing trend of large urbanisation, especially when more cities emerge from lockdown, which can quickly accelerate the energy consumption and emissions generated by transportation. Cutting emissions is a requirement for all of us, thus mobility's future must be ethical.
Many localities and manufacturers are already working on cleaner transportation and mobility solutions to reduce pollution. For example, GM declared at the beginning of this year that it would stop selling internal combustion engine vehicles by 2035; Daimler has already begun its 'Countdown to Zero' (emissions) strategy; and Copenhagen intends to be the first carbon-neutral capital by 2025. However, cities, citizens, and automakers can still do a lot more to reduce emissions generated by daily transportation.
IBM commissioned Morning Consult to conduct the 'IBM Sustainable Mobility Customer Survey' in order to better understand consumer sentiments and identify potential hurdles to sustainable mobility. 5,000 persons in five cities participated in the online survey: Chicago, London, Munich, Rome, and San Francisco.
The important findings are listed below:
Convenience and speed Daily Transit Options with the Best Sustainability
While the majority of people polled (77 percent) think that lowering one's own carbon footprint is vital, just around half of those polled consider sustainability while choosing local transportation. Instead, the majority of consumers, particularly Americans, prefer convenience and quickness.
Public transportation, for example, is one of the most environmentally beneficial modes of transportation, yet only around half of people use it to lessen their carbon footprint. Getting to a place promptly and conveniently is a higher priority for nearly half (48%) of Europeans and more than two-thirds (65.5%) of Americans polled.
Unlike other consumer surveys, such as the IBM and NRF 2020 consumer retail study, which revealed that customers are prepared to spend more for more sustainable goods or services, when it comes to mobility, those polled choose speed and convenience.Because of this predisposition for ease and speed, it is up to the businesses to remove the barriers that prevent consumers from changing their habits.
Overcoming Barriers to Electric Vehicle Adoption
Electric vehicles hold promise for the automotive industry as a more environmentally friendly mode of transportation. According to our poll, the majority of people (71%) believe that electric vehicles are a truly environmentally sustainable mode of transportation. In fact, more than half of all respondents (57%) said they had or plan to acquire or lease an electric vehicle in the next several years.
The biggest factor preventing wider adoption, according to participants, is cost. Then there were questions about battery life and charging. People in Munich showed substantially higher degrees of scepticism about the efficacy of sustainable claims and the morality of mining for battery materials than residents in other cities.
The car sector may overcome these obstacles in three ways:
1 ) By monetizing connected car services, you can lower the initial cost of ownership:
Our Automotive Vision for 2030: According to the analysis, buyers now value the connected, personalised, and seamless experience inside the car just as much as traditional features like handling, horsepower, or appearance. Carmakers are looking for innovative ways to monetise in-car amenities and subscriptions such as gps services, traffic, road conditions, and weather notifications that can improve the driving experience. Over the last few years,IBM has been collaborating with PSA, the parent company of Peugeot and Citroen, on the development and monetization of connected car services as the cornerstone for the future driving experience. While the majority of this research is still in the early stages of testing. The strategy, on the other hand, can help automakers generate new revenue streams and give them more flexibility when it comes to pricing new vehicles.
2 ) Establish cross-industry ecosystems to remove the friction in the EV charging experience:
To eliminate the friction in the EV charging experience, create cross-industry ecosystems: 'Refueling' an electric vehicle takes time, just like charging any other electronic gadget. Depending on the voltage and available power, charging might take anywhere from 15 minutes to 12 hours. When a rapid rush in EV charging puts a pressure on the grid, this procedure might get difficult. Automakers alone will not be able to tackle the problem of EV adoption. Instead, automakers must work with utilities to create energy marketplaces where EV owners may sign up to sell excess energy when demand is high. IBM collaborated with TenneT, a European utility, to develop a blockchain platform to better manage and improve sustainable energy management. Using an integrated mixture of electric vehicles, recharging points, and home storage solutions, TenneT can store excess supply and meet peak demand.
3 ) Overcome lurking skepticism with greater transparency through open platforms :
Electric vehicle batteries are made from lightweight, powerful, and compact lithium-ion batteries, which are made from raw elements including cobalt, nickel, lithium, and copper. Many of these resources come from artisanal and small-scale mining, which is notorious for its poor and dangerous working conditions. RCS Global, a leader in data collection and verification to ensure ethical supply chain processes, teamed up with IBM to create the Responsible Sourcing Blockchain Network, a commodity tracking system. This ensures that the materials used by RCS Global's many automotive partners are ethically sourced. It is impossible to meet emission reduction targets and accelerate EV adoption in isolation. Automakers, on the other hand, can overcome the barriers to EV adoption by collaborating with the technologies and moving forward on a route to sustainable transportation.
Full survey details :
