A wave of innovation has hit the automotive industry. And it’s not just about micro-mobility, shared mobility, or electric vehicle (EV) batteries. One of the most difficult parts of dealing with innovation is digitization and aligning business goals, operations, and consumer needs. In today’s competitive market, a new way to leverage innovation to build solid revenue streams is to have a holistic approach to creating and delivering enhanced benefits in your offering. We can talk about value innovation – tech tools that are easy to implement at scale and to adopt. This helps you shape new compelling value propositions. In this article, we will explore how you can leverage Traent Digital Product Passport to start your journey in value innovation and get you ahead of the competition.
A market snapshot
Global car sale is expected to grow by 4% in 2023. It stabilized by a slow yet consistent recovery of supply chain and the growth curve predicted for China (ING Direct). Alongside new car sales and traditional car trading business models, there are two other strong channels of revenue: resale and e-commerce. Used car sales volume and online car sales are strictly related and go hand in hand. As stated in the Market Analysis Report from Grand View Research – the lack of new car buyers and marketplaces becoming critically important have been generating an upturn in demand.
Online car sales and resale are opening a new attractive scenario for brands. For this reason, companies are investing in digital, one-stop sales platforms to provide omnichannel experiences to their buyers. Indeed, hybrid revenue models are on the rise, with new marketplaces and B2B2C, C2C, and C2B2C platforms taking shape. The main challenges for a car dealership are to digitalize information, reduce risk, manage demanding consumers, and build trust. What is the actual condition of the car’s battery? How many owners has the car had in the past? Are there unreported issues?
How Traent builds groundbreaking products for the automotive industry
Blockchain technology may sound extremely complex to implement, difficult to use, and costly. At Traent, we created a hybrid blockchain, breaking down all these limitations and presenting itself as the perfect solution to build easy-to-get and adopt products.
The solution we bring to the automotive industry is the Digital Product Passport. Indeed, The urgency of the automotive sector to have a digital vehicle passport is particularly felt. As a result, the Digital Product Passport responds to specific needs, including tracking car components and their life cycle. Besides, companies can also establish a direct relationship between the manufacturer and the owner/car user.
Why blockchain as added value? Data stored on blockchain are secure, certified, and immutable. This allows us to address the industry’s biggest challenges and the key success factors. Trust, transparency, and information symmetry between sellers and buyers can be used to sharpen your offering.
Why are we different? Our hybrid blockchain technology enables you to choose what information to disclose and what to keep confidential. Furthermore, data can be displayed through stunning data visualizations. Traent’s portable and hybrid blockchain allows you to view data wherever you are. Can you imagine your customers having all their car info in their pockets on a smartphone?
Organizations like yours are already adopting the Digital Product Passport to take a competitive edge. Discover how Koelliker used Traent Digital Product Passport in their omnichannel sales strategy.
Traent X Koelliker: building Cars’ Digital Product Passports
The Koelliker Group, a leader in the import and sale of cars, has been adopting Traent Digital Product Passport. Indeed, they use it within Redrive, their brand-new marketplace that enables dealers and private customers to sell and buy used cars. The Digital Product Passport of a car contains all relevant vehicle information, made immutable by the underlying blockchain technology. Besides, consumers can easily consult the data thanks to a hyper user-friendly interface, accessible even on a smartphone.
Designed to meet the sector’s needs, the car digital passport appears as an app customized according to the company’s brand identity. Alongside providing vehicle data, it is also possible to interact with the system and use it to perform actions. Traent Digital Product Passport is a cutting-edge solution: straightforward, personalized, simple to use, and with trustworthy information. It is a unique technology solution in the automotive market.
The Digital Product Passport represents a single source of truth. In fact, it enhances a brand’s reputation, building trust and strengthening the relationship between seller and buyer. This represents a fresh, innovative tool for the resale and e-commerce space. Furthermore, it helps maintain an item’s value over time, reducing risk for those who buy and expanding revenue streams for dealerships.
Conclusions
To stay ahead of the competition in this very crowded and fast-moving landscape, car traders need to boost their tech stack, starting their journey towards value innovation. Trust, transparency, symmetry of certified information between sellers and buyers, and seamless buying experiences are all key factors for future success.
Cars’ digital product passports are a new fresh way to address these industry challenges. Traent has been developing a cutting-edge solution, easy to adopt and use in minutes, powered by hybrid blockchain technology. This allows for cost reduction, unprecedented flexibility, and the ability to select the degree of information that can be made available for publishing. Additionally, customers can access all relevant information from their smartphones. A new era to build meaningful connections between Brands, sellers, and consumers, driven by blockchain technology.
Learn more and book your discovery call with one of our innovation managers.
