Automobile manufacturers have been working hard to integrate and use new digital advancements for decades. This is the outcome of customers’ evolving needs, who are continually looking for vehicles that are faster, more effective, and safer. A major change in consumer behavior on online platforms has lately been brought about by the rapid digitalization. Consumers now anticipate a smooth experience throughout their shopping process.
Leading automakers have been experimenting and integrating cutting-edge technologies in various processes in an effort to satisfy changing consumer demands. Extended Reality (XR), one of these technologies, is leading the charge in transforming the automotive sector. Automobile industry heavyweights are improving both their production processes and the consumer experience (CX) with XR technology, which includes both virtual reality (VR) and augmented reality (AR). Because of this, the auto industry has been able to efficiently optimize processes and keep on top of trends.
XR as a catalyst for redefining the automobile industry:
Applications of XR, VR, and AR have totally altered the product itself as well as the entire value chain, which includes R&D, manufacturing, marketing, and aftersales, in a number of industries.According to Statista, XR’s global market value, which was $29,26 billion in 2022, is expected to rise to $100 billion by 2026 as more and more industries adopt it and its applications. This information essentially shows that XR is becoming more and more common, and the auto industry is not an exception. The auto industry can use these technologies to improve vehicle maintenance, virtual prototypes, and virtual showrooms.
Easy vehicle prototyping:
XR has altered how the real and digital worlds interact, and as a result, it is starting to make sense as a substitute for physical prototypes. With this technology at their disposal, automakers are changing how they see design data. Now, automotive engineers may learn more about the elements that influence a design’s effectiveness. Using 1:1 size and photorealistic representations, designers may also quickly assess ergonomics and aesthetics. Engineers may design items with fewer iterations thanks to XR because they can engage directly with their virtual models.
Using virtual showrooms to enhance CX:
Automakers must concentrate on customer experience (CX) because consumers today have higher expectations when it comes to buying and using vehicles. If an automotive brand fails to provide a relevant customer experience, 47% of customers contemplate switching brands, according to a report published by Accenture. In this situation, XR, VR, and AR enable automakers and their dealerships to offer an immersive experience to their customers.
Improved employee training:
Maintaining a vehicle’s effective operation necessitates a high level of expertise due to the growing complexity and sophistication of its components and the regular addition of new features. Here, XR technology can be used to enhance the process of car maintenance. By encouraging efficient training with the aid of an immersive three-dimensional setting, VR improves the skills of Servicing crews. By putting digital information on top of actual components, for example, the students may visualize complex assemblies.
In light of everything:
The ways in which manufacturers design, produce, and market their automobiles in the automotive industry are expected to be significantly impacted by XR, AR, and VR technology. Customers can use augmented reality (AR) in the comfort of their homes to visualize how different paint or wheel options would appear on their preferred car. As a result, consumers will eventually have better shopping experiences since they will be better informed.
The use of these technologies in the automotive industry is expected to increase as they develop. According to a survey by Allied Market Research, the market for VR and AR in the automotive sector is anticipated to expand at a phenomenal growth rate of 175.7% to reach more than $ 670,000 million by 2025. This astounding development highlights the potential for XR, VR, and AR to fundamentally alter the automotive industry. The future is highlighted by the endless potential of extended reality (XR) technology as we enter a thrilling period of invention.
