ATX CEO Says Telematics Must Accelerate Customer Segmentation
Remote Temperature Control First in a Series of Telematics Services Tailored for Specific Driver Lifestyles
DALLAS and FORT WORTH, Texas, April 28 -- If vehicle-based telematics is to succeed in the automotive marketplace, telematics providers must tailor services to address the specific needs of the customer segment each vehicle model targets versus offering a one-size-fits-all approach, according to Steve Millstein, president and CEO of ATX, the world's largest independent telematics service provider.
"The demographic profile of a Mercedes M-Class customer is different from that of an S-Class customer, and the demographic profile of a BMW 7-Series customer differs from that of a 3-Series customer. The telematics built into those models should reflect those differences," Millstein said. "It makes sense for some vehicle manufacturers to emphasize safety services while others should focus more on route guidance, vehicle maintenance applications or remote-controlled vehicle functions."
Customizing services for consumer segments represents a necessary shift in approach if telematics is to successfully integrate into a vehicle manufacturer's and automobile dealership's marketing plans.
As an example in designing services for specific vehicle segments, Millstein announced today the development of a new, optional telematics service that allows drivers to use their wireless telephone to remotely start their car and set the interior's climate control temperature. The system can also be used to unlock car doors when owners lock the keys in their vehicle. ATX's interactive voice recognition system will be used for the interface between owner and vehicle. The climate control and remote door unlock features are the first in a series of segmentation services the company plans to introduce.
The ATX president said as telematics services expands beyond the luxury and near luxury model lines -- into the super-luxury models, pickup trucks, mini-vans, mid-level, sports wagons, etc. -- differentiation in telematics services will be accomplished not only through customized services, but also through customized bundles and through the vehicle interface technology.
"Research has shown that pickup truck owners value specific telematics services much differently than mini-van owners," said Millstein.
Without specifically detailing what is in the product development pipeline, Millstein noted that the prospective services generally track the primary motivations specific consumers have toward purchasing vehicles -- some want enhanced safety, or want a vehicle for a teenager, or simply a commute vehicle, or a vehicle strictly for business or family purposes.
The Remote Climate Control service provides ATX with another example of telematics moving beyond just a suite of location-based safety and navigation services and becoming part of the daily interaction between driver and vehicle and the brand behind the vehicle, which includes both the manufacturer and dealership.
Activation of the Remote Climate Control service requires the vehicle owner to dial the voice account on his cellular phone, verbally enter a name and password for secure access, choose the remote climate control function on the voice menu, and simply instruct the system to either warm or cool the car. Customer research by ATX found that vehicle owners see value in the service not only upon leaving home or office, but also while running errands or at social functions.
About ATX: ATX provides leading-edge services based upon the integration of wireless connectivity, micro-processing, real-time data generation and interactive speech recognition technology within the vehicle. For vehicle owners, these services include automatic collision notification, location- based roadside assistance, stolen vehicle recovery, navigation and other location-based information services. The company also pioneered vRM (vehicle relationship management), which aggregates real-time data from telematics- equipped vehicles to help automakers and their affiliated dealerships reduce costs, increase customer retention and loyalty, and generate revenue. ATX customers include Mercedes-Benz, BMW, and Jaguar. For more information, visit www.atxna.com . ATX is headquartered in Dallas-Fort Worth and Dusseldorf, Germany .