NORTH AMERICA AUTOMOTIVE DATA MONETIZATION MARKET FORECAST 2023-2030

The North America automotive data monetization market covers an in-depth study of the United States and Canada. The United States holds the largest market share globally in the automotive data monetization market. As one of the world’s largest automotive sectors, the country holds significant importance for businesses engaged in data monetization. Major automotive players in the United States, such as General Motors, Ford Motor Company, and Tesla, are actively exploring avenues for revenue generation through automotive data. Companies in the market also employ diverse monetization models, including selling data to third parties, offering data-driven services to consumers, and utilizing data to enhance product development and marketing strategies.

On the other hand, the automotive data monetization market in Canada is poised for substantial growth in the coming years, propelled by key drivers. Automotive enterprises can utilize data analytics to forecast the optimal timing for vehicle maintenance, leading to a reduction in downtime and operational expenses. The market in Canada is rapidly expanding, presenting numerous opportunities for businesses. Additionally, the ongoing surge in the adoption of connected vehicles and increasing consumer demand for personalized services positions the market for continued growth during the forecast period.

The North America automotive data monetization market is segmented into model, deployment, and application. The model segment includes direct and indirect. Direct data monetization entails offering direct access to third parties or downstream vendors, allowing them to further enhance and refine the data for their specific purposes. Direct data monetization includes treating data as a commodity and utilizing it to develop new revenue streams. This might involve implementing an API for data access, granting access to data analysis tools, or licensing data to wholesalers, manufacturers, or brokers for access to the raw data. 

Insurance companies are the predominant purchasers of data because they can utilize it to develop products featuring adaptable pricing structures determined by intricate vehicle telemetry metrics. These metrics may encompass factors such as a driver’s speed, driving environment (urban or rural), driving intensity, and adherence to traffic regulations.

Indirect monetization is the procedure of deriving profits through market optimization, which involves using data to strengthen and cultivate relationships, mitigate risks, and enhance financial efficiency. Through indirect data monetization, insights can be applied to bolster business operations and services. This will enable the assessment of the exact impact that data can exert on business operations. 

Predictive failure analysis, for instance, leads to cost savings by facilitating the simultaneous execution of multiple maintenance tasks and ordering parts on a just-in-time basis. Various issues can be addressed remotely through over-the-air (OTA) updates and analysis. This not only reduces the need for manual labor in garages and dealerships but also lowers the costs associated with providing new automobiles, among other expenditures.

Leading players operating in the North America automotive data monetization market include Harman International, International Business Machines Corporation etc.

International Business Machines Corporation (IBM), headquartered in the United States, provides various services, software, systems and fundamental research services. The company’s operations span across segments, such as technology services and cloud platforms, cognitive solutions, global business services, systems and global financing. The company also offers related financing services for its clients.