5 product trends for the connected car market
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droidcon Berlin 20156 / 46
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Transcript: English(auto-generated)
00:05
Hello everyone, my name is Vuk and I lead the product company called VMCAR and I would like to talk to you about five product trends in the connected car market and I wanted to make more kind of product focus contribution to this great session on connected car and I'm assuming that in front of me I have a
00:22
room full of developers, designers and engineers really keen to engage with this potentially great opportunity of the connected car industry and I'd like to talk to you about five important trends that that I have kind of identified by working in this area and help you understand what is potentially
00:41
the best opportunity for you in this particular market and how should you how should you basically build a product that is going to capitalize on that opportunity as well and this experience is based on our work at company called VMCAR. We are a connected car company based here in Berlin. Our mission is to build intelligent products based on car data.
01:05
Our first product that we have launched in the market since November is called Spots and it's an OBD2 based solution that helps helps basically consumers keep more efficient tax compliant logbooks and I'm
01:23
not sure if this plays but yeah and you basically a system is based as I said on a little piece of hardware that collects some of the information from the car it relates it to our servers and eventually we have built a streamlined native experience for Android we are currently building it
01:40
for for a web platform as well so that eventually we can create really simply easily efficiently tax basically tax acceptable tax acceptable trip logbooks that allow people to save money and to save time when dealing with certain taxation regimes were regarding with cars in Germany at least
02:02
and this is something this is just the first of many products that we hope to build and we have launched this product last November as I said on the first day when we launched we all delighted to see that there are some orders coming in but we are of course a little bit anxious to see how is this is going to develop and how is market going to react and how are we going to
02:22
get adopted in there but soon it proved out that we seem to have actually the right product for the right market and as the day went on the pile of boxes to be dropped off for shipping kept growing due to our ongoing success in this market we have started developing some interesting partnerships as well so O2 has recently launched a joint product
02:42
with us called O2 Farthenbook Pro that will basically allow our product to run on O2's enabled hardware as well and this is really great validation of the problem that we're trying to solve and obviously the team at O2 has recognized that this is actually a genuine issue especially for the audience that they're trying to address small and medium
03:03
enterprises in home office segment as well and they have decided to partner with us as a specialist this area to sell this tax efficient logbooks to their use base as well and based on these
03:20
experiences with Winkr I've kind of thought about it a little bit and isolated five key things that I could say to anybody else who is trying to understand the space of connected car industry and who is trying to identify opportunities and a way to capture on them as well and the first trend that I want to stress here is that whoever you are and whatever you're building I can almost
03:41
guarantee you that you're probably not a target demographic so unless you're developing something incredibly niche the chances are that you need to consider who exactly are you building this for what are those preferences and what are the needs and this is a little bit of an example to bring the point to home how did it work with us at at wimcar in our kind of
04:01
branding communication this is kind of how we imagine our customers to be a professional but fairly young and and young professionals however it we have very quickly validated and proven that most of our customers are actually men predominantly men slightly older in their 40s and 50s potentially 60s as well
04:20
simply because this is the point or in professional career in a life cycle where most of the users are getting company cars and they're getting company cars of a certain threshold of value so actually taxation issue becomes a real genuine problem for this particular constituency and having identified this fact it becomes much easier for us especially in a product and development team
04:43
to know what we ought to be building and exactly how will our users have preferences second thing i want to stress and i think in the previous panel there was some kind of indication in this direction i want to kind of focus your attention away from car
05:00
connected car just sounds really good it's it's a good buzzy term but really car for me it's it's a little bit too constrained and basically perhaps focuses you too much in kind of consumer experience or perhaps of a personal car experience of of one person driving one car for their own specific purposes and i want to basically to to stress the point that the market of connected
05:22
vehicles is way way bigger and i just want to basically bring your attention that there are all of these mobility services that need kind of new and innovative approaches and we are hearing about a lot of interesting work being done in certain municipalities with municipal wi-fi and enabling better services on buses for instance
05:41
there are all these issues with delivery vehicles delivery is now especially a critical point now that we're basically having mass adoption of e-commerce now that we're having mass adoption of on-demand delivery services as well and this is a huge opportunity to basically cater for these kinds of these kinds of uh these kinds of
06:01
problems that are not necessarily car related but are much more in a vehicle vehicle space or indeed whatever your vertical is i'm pretty sure that there is some strange but very specific vehicle that probably needs specific treatment and and and brings unique challenges with it as well now having talked about vehicles
06:21
i also want to talk about third thing and i also want to bring to your attention that very clearly cars and vehicles are changing so i think we can all kind of look at the 1950s and 60s potentially 70s is this high water mark of our own collective you know love affair with the car where car was very specific object of desire a very specific object to high-end
06:43
design and you can almost kind of think that today a cutting-edge philosopher like Roland Barthes was in 60s and 70s wouldn't necessarily be writing about the latest model of the cars and stop you know putting it so prominently in their in their work yet you know it doesn't mean that cars are cars are going away and it
07:02
doesn't mean the vehicles going away are going away it doesn't mean that there are some fascinating new problems to be solving for instance we have electric vehicles which bring with sell with themselves some specific challenges especially around charging especially about issues of reach figuring out where you can go how you can do it there is a whole new world of access
07:23
to the car we can basically lump it on the car sharing in a very different models and we can think about how does the whole how does the whole landscape change when as we heard previously on a panel we're talking about selling mobility rather than selling vehicles and we can even think about i actually hesitate to call them car sharing services because i do believe
07:41
they're much more of a independent transportation network companies the likes of lyft uber and and the others who are actually building the entire vehicle based uh currently mobility solutions for for people but i firmly believe soon for for goods as well so there is a lot of interesting thing going on around changing nature of ownership changing nature of access and with it
08:03
coming the changing nature of personal attachment and products necessary to support these these these new issues and things and of course this is just first level of disruption as it were because many of these new models are then going to be disrupted again with robots basically with autonomous vehicles and self-driving
08:21
cars things are going to be shifting once more and this is a this is an image from one of the first kind of hobbyist gatherings when when enthusiasts are kind of experimenting with self-driving cars but uh you know whatever something looks niche or whatever something looks like a toy many times it's a good signal that it's actually new trend coming
08:42
coming along and this doesn't mean that you should be kind of despairing that cars are changing and going away all this means is there is an entirely new set of behaviors needs resources and products that needs to be built around this brave new world and if you're thinking about developing something in this area in connected
09:01
car area i would really stress that it's important to think what are the problems that you can solve for the problems of the future rather than keep basically stuck in the past and solving the problems from the last decade now my fourth trend is going to contradict my third trend but only a little bit because i still want to be fairly realistic and i want to talk about car and car
09:21
capabilities and about basically implementing them because let's face it cars are very complex things to build and even if they kind of get easier to build the replacement cycles are simply quite long and this means that the whole industry moves quite slowly partly because we have a lot of interest in and these giants trying to move and shift with the landscape
09:40
partly simply because people want to basically keep using the cars that are good and they basically fulfill the need for which people have got them in for however it is a little bit strange that in many regards we are getting these really sophisticated cars now but at least when it comes to actually sharing data they're still kind of at the level of this old 1930 car as well
10:01
and Bill Buxton the UX guru has put it very well in his cutting remark that you know we all now realize that car is the biggest personal computer that you have and the one that you actually have least kind of input and influence and uh and uh insight in terms of data as well and there are two basically things that you can do at this
10:21
at this point you can kind of you know shrug your shoulders and wait until situation gets better perhaps wait for outcome of great you know standardization committees or consortia or you can think of a way to augment the vehicle you can think what is the prosthetic way what is the perhaps aftermarket device that you can bring to bear to the problem that you're having
10:42
that it's going to basically shortcut the pro the shortcut the issue and it's going to allow you to start developing certain issues and certain basically products to solve those issues in our particular case with vimcar this kind of prosthetic opportunity this augmentation opportunity is obd portal it's fairly ubiquitous it works fairly
11:02
well at least in in the markets that we are kind of operating and it allows us just enough insight into the information that we actually need to deliver the to deliver solutions to the issues that our customers that we have identified and approached have of course we want to be very smart about this and i have had different talks in the past previously about
11:23
you know not getting killed by this additional complexity and making sure that you're wise about which kind of tool do you use to augment the car how do you perhaps give it just enough attention so it works but perhaps don't focus on it too much because we firmly believe that as as useful as an interesting obd two ports are they're essentially a bridge
11:43
technology to the position to the situation where we can harvest much more data out of the car out of the car itself and to this end we are we are working with car manufacturers directly however we are now negotiating with them from a slightly different position having actually validated the need for the solution that we have
12:00
and from much more clear point of of what is it that we need and how can we potentially work together and at this moment we don't have anything to announce but we can say that at least at four premium car manufacturers in germany that we are in discussion with all of them to some extent and all of them have engaged with our device to some extent as well and we're looking forward to
12:21
seeing how can we interact with with the data more directly and really see the car as a data platform rather than have to do this potentially cumbersome work around via obd but the fifth and potentially the most important trend that i'd like to talk about and please if you're going to take one away with you
12:40
take this one and that's basically find the problem and fix it and here we're really guided by by uh by dictum by x vp of internet of things from ibm who talked about internet of things but i think it applies to to connected car which you could say it's a subset of it anyway and basically it's a statement of a
13:00
firm belief that internet of things will grow one very compelling use case at a time at certainly at wimcar we have decided that we will grow our business one very compelling use case at the time and about six months or you know a little bit longer after the launch we can definitely see that this has actually paid off for us at this moment so we have identified very clearly the problem these scribbles
13:23
on a piece of paper that are really cumbersome to to actually collect and that are really not working neither for the people who are actually forced to compile them nor for the people that actually demand to have them in tax authorities we have we have dove deeply into the actual domain and we have studied the rules and regulations of this good country to
13:42
understand what are the actual rules that we can play with and what is it that we need to provide we have worked very closely with stake right stakeholders in this market we have identified potential users we have identified other stakeholders like in this case my colleague is speaking with some store baratas we have identified right channels to approach people that we potentially want
14:01
to serve here you're seeing ceos of imcar and ceos of deutsche store for atterferband announcing our our joint initiatives around around electronic logbooks and essentially we are getting very quickly to a very sustainable and clear business model at least for this first
14:21
product that we are building and it allows us to charge very specific rates for very specific service that we're delivering and to a very specific or target of the market who is uh who is needing this kind of solution as i say for vimcar we believe that this is just the first product of many that we want to build and i believe that this kind of approach is how we're going to build connected
14:41
car for the future so basically my question for you is what you're going to build and if you're going to build something please let us know we're very keen to hear what you are what you are up to as well so that's the talk that i wanted to to give to you now but if there are any questions i'd like to i'd love to to hear from you as well