Frost Radar™: European New Car Online Marketplaces, 2022
Published on: 28-Sep-2022 | SKU: AU02407-EU-MR_26936

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New and used vehicles can be purchased in a variety of ways in Europe, whether through franchised car dealerships, OEM online channels, or third-party online marketplaces. Automakers are exploring ways to reach out directly to customers to reduce retail operating costs while new car dealers want more effective ways to market and sell their inventory in the competitive retail arena.

Automotive eCommerce had to transform during the COVID-19 pandemic because many companies selling cars did not offer fully digital services and automakers had to temporarily close physical dealerships to the public. Although marketplaces were already offering new car sales online, the pandemic accelerated the trend at the back of a confluence of factors including customer demand for more buying choices and intrabrand competition among dealerships.

Online new car marketplaces still have potential for evolution with the development of more value-added, customer-oriented digital services. Marketplace providers will have to focus on digitalizing their web portals for all aspects of the customer journey, including vehicle tour, configuration, financing, trade-in, warranty, digital signature, and the ability to facilitate transactions digitally. As millennials and Generation Z become the largest car-buying groups, they will expect a seamless and digital purchase journey.

The Frost Radar™ reveals the market positioning of companies in an industry using their Growth and Innovation scores as highlighted in the Frost Radar™ methodology. The document presents competitive profiles on each of the companies in the Frost Radar™ based on their strengths, opportunities, and a small discussion on their positioning. Frost & Sullivan analyzes hundreds of companies in an industry and benchmarks them across 10 criteria on the Frost Radar™, where the leading companies in the industry are then positioned.

Author: Jagadeesh Chandran

Strategic Imperative

Growth Environment

Frost Radar™: European New Car Online Marketplace

Frost Radar™: Competitive Environment

Frost Radar™: Competitive Environment (continued)

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Carwow

Carzone

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Heycar

Strategic Insights

Significance of Being on the Frost Radar™

Frost Radar™ Empowers the CEO’s Growth Team

Frost Radar™ Empowers Investors

Frost Radar™ Empowers Customers

Frost Radar™ Empowers the Board of Directors

Frost Radar™: Benchmarking Future Growth Potential

Frost Radar™: Benchmarking Future Growth Potential

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Frost Radar™: Benchmarking Future Growth Potential 2 Major Indices, 10 Analytical Ingredients, 1 Platform

Growth Index

Growth Index (GI) is a measure of a company’s growth performance and track record, along with its ability to develop and execute a fully aligned growth strategy and vision; a robust growth pipeline system; and effective market, competitor, and end-user focused sales and marketing strategies.

  • Market Share (previous 3 years)
    This is a comparison of a company’s market share relative to its competitors in a given market space for the previous 3 years.
  • Revenue Growth (previous 3 years)
    This is a look at a company’s revenue growth rate for the previous 3 years in the market/industry/category that forms the context for the given Frost Radar™.
  • Growth Pipeline
    This is an evaluation of the strength and leverage of a company’s growth pipeline system to continuously capture, analyze, and prioritize its universe of growth opportunities.
  • Vision and Strategy
    This is an assessment of how well a company’s growth strategy is aligned with its vision. Are the investments that a company is making in new products and markets consistent with the stated vision?
  • Sales and Marketing
    This is a measure of the effectiveness of a company’s sales and marketing efforts in helping it drive demand and achieve its growth objectives.

Innovation Index

Innovation Index (II) is a measure of a company’s ability to develop products/ services/ solutions (with a clear understanding of disruptive Mega Trends) that are globally applicable, are able to evolve and expand to serve multiple markets and are aligned to customers’ changing needs.

  • INNOVATION SCALABILITY
    This determines whether an organization’s innovations are globally scalable and applicable in both developing and mature markets, and also in adjacent and non-adjacent industry verticals.
  • RESEARCH AND DEVELOPMENT
    This is a measure of the efficacy of a company’s R&D strategy, as determined by the size of its R&D investment and how it feeds the innovation pipeline.
  • PRODUCT PORTFOLIO
    This is a measure of a company’s product portfolio, focusing on the relative contribution of new products to its annual revenue.
  • MEGATRENDS LEVERAGE
    This is an assessment of a company’s proactive leverage of evolving, long-term opportunities and new business models, as the foundation of its innovation pipeline.
  • CUSTOMER ALIGNMENT
    This evaluates the applicability of a company’s products/services/solutions to current and potential customers, as well as how its innovation strategy is influenced by evolving customer needs.

Significance of Being on the Frost Radar™

Companies plotted on the Frost RadarTM are the leaders in the industry for growth, innovation, or both. They are instrumental in advancing the industry into the future.

  • GROWTH POTENTIAL
    Your organization has significant future growth potential, which makes it a Company to Action.
  • BEST PRACTICES
    Your organization is well positioned to shape Growth Pipeline™ best practices in your industry.
  • COMPETITIVE INTENSITY
    Your organization is one of the key drivers of competitive intensity in the growth environment.
  • CUSTOMER VALUE
    Your organization has demonstrated the ability to significantly enhance its customer value proposition.
  • PARTNER POTENTIAL
    Your organization is top of mind for customers, investors, value chain partners, and future talent as a significant value provider.

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Impacting your company's future growth potential.

New and used vehicles can be purchased in a variety of ways in Europe, whether through franchised car dealerships, OEM online channels, or third-party online marketplaces. Automakers are exploring ways to reach out directly to customers to reduce retail operating costs while new car dealers want more effective ways to market and sell their inventory in the competitive retail arena. Automotive eCommerce had to transform during the COVID-19 pandemic because many companies selling cars did not offer fully digital services and automakers had to temporarily close physical dealerships to the public. Although marketplaces were already offering new car sales online, the pandemic accelerated the trend at the back of a confluence of factors including customer demand for more buying choices and intrabrand competition among dealerships. Online new car marketplaces still have potential for evolution with the development of more value-added, customer-oriented digital services. Marketplace providers will have to focus on digitalizing their web portals for all aspects of the customer journey, including vehicle tour, configuration, financing, trade-in, warranty, digital signature, and the ability to facilitate transactions digitally. As millennials and Generation Z become the largest car-buying groups, they will expect a seamless and digital purchase journey. The Frost Radar™ reveals the market positioning of companies in an industry using their Growth and Innovation scores as highlighted in the Frost Radar™ methodology. The document presents competitive profiles on each of the companies in the Frost Radar™ based on their strengths, opportunities, and a small discussion on their positioning. Frost & Sullivan analyzes hundreds of companies in an industry and benchmarks them across 10 criteria on the Frost Radar™, where the leading companies in the industry are then positioned. Author: Jagadeesh Chandran
More Information
Deliverable Type Frost Radar
Author Jagadeesh Chandran
Industries Automotive
No Index No
Is Prebook No
Keyword 1 Europe new car market
Keyword 2 Europe used car market
Keyword 3 market place cars
Podcast No
WIP Number MGBB-01-00-00-00

Frost Radar™: European New Car Online Marketplaces, 2022

AutomotiveFrost Radar™: European New Car Online Marketplaces, 2022

A Benchmarking System to Spark Companies to Action - Innovation that Fuels New Deal Flow and Growth Pipelines

RELEASE DATE
28-Sep-2022
REGION
Europe
Deliverable Type
Frost Radar
Research Code: MGBB-01-00-00-00
SKU: AU02407-EU-MR_26936
AvailableYesPDF Download
$4,950.00
Out of stock
SKU
AU02407-EU-MR_26936