2023 Connected Car consumer analysis - Connected services that consumers are willing to pay for

To understand consumer sentiment toward S&P Global Mobility forecast technologies, the Connected Car and Consumer Insights research teams conduct an annual consumer survey that serves as a quantitative input to the forecast. By asking vehicle owners of certain model years a series of questions to gauge activation decisions, subscription lengths and costs, feature desirability and willingness to pay, S&P Global Mobility analysts are able to develop Feature Desirability and Willingness to Pay indices along with activation rates that are then factored into the Connected Car Forecasts. Through statistical analysis and machine learning, S&P Global Mobility analysts are able to extract key factors and weights (coefficients) that explain an application’s feature desirability score and how much consumers are willing to pay for it.

The 2023 Connected Car Consumer Survey asked almost 8,000 participants around the world questions regarding vehicle connected services to understand consumer sentiment toward connected features and paid functional updates, feature preferences, as well as their willingness to pay. Results showed respondents were most satisfied with connected services related to navigation, infotainment and personalization while safety and security had the lowest. Consumers were least willing to pay for infotainment service features and most were willing to pay for enhanced navigation paid updates. Most of the global respondents were willing to pay for paid functional updates as an annual subscription.