Mobility of the Future: Opportunities for Automotive OEMs

McKinsey Advanced Industries (February 2012)

Opportunities for Automotive OEMsFor mobility – the market that includes public and private passenger transport as well as the transportation of goods – growth has been the name of the game for decades. Yet, over the first decade of the 21st century, automotive players have experience one of the largest strategic shifts in car history. Tightening CO2 regulations on a global basis have forced the industry to adopt novel technologies faster than anticipated. In addition, the emerging phenomenon of car sharing in large cities along with widespread media coverage about the negative environmental effects of car mobility fueled concerns that consumer were seeking a replacement to the tradition of individual, private car ownership.

In light of these recent paradigm shifts in auto-mobility and the challenging years ahead, this study aims at providing a fresh perspective on the trends in the sector beyond electrification of the powertrain. With empirical support from new market research out of Germany, McKinsey both identified consumer behavior patterns, and based on the results, highlights demands which will be key for the automotive industry in the next decades. Furthermore, designed as an overarching tool for the entire mobility market, McKinsey & Company’s Mobility Matrix can decompose revenues and growth rates over time for all means of transport and along different parts of the value chain. Thereby the matrix is able to provide an overview of relative changes in the global mobility market along temporal and geographical dimensions.

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