Monetizing Car Data

McKinsey & Company, September 2016

screen-shot-2016-10-05-at-8-56-18-amCars generate data about how they are used, where they are, and who is behind the wheel. With greater proliferation of shared mobility, progress in powertrain electrification, car autonomy, and vehicle connectivity, the amount of data from vehicles will grow exponentially, raising a key question: How might industry players in the evolving automotive ecosystem turn car-generated data into valuable products and services? Through a comprehensive course of research – comprised of surveys, interviews, and observations – McKinsey analyzed consumer perspectives on the prospect of accessing car-generated data, identifying and assessing the value and requirements of possible car data-enabled use cases. The overall revenue pool from car data monetization at a global scale might add up to USD 450 – 750 billion by 2030. The opportunity for industry players hinges on their ability to 1) quickly build and test car data-driven products and services focused on appealing customer propositions and 2) develop new business models built on technological innovation, advanced capabilities, and partnerships that push the current boundaries of the automotive industry.

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