Latest KPMG survey finds emphasis on downsizing, efficiency, car sharing and self-drive features

Fuel efficiency is still the number one priority for consumers according to the 2014 Global Auto Exec Survey from KPMG. The survey also finds that there is growing interest in car sharing - particularly in urban areas - and increased demand for self-drive functions such as parking assist, cruise control and traffic jam assist features.

 

The survey finds that technology leadership is viewed as critical to automakers remaining independent while plug-in vehicles are expected to attract the greatest demand of any e-vehicle, for North American, (western) European and Japanese and the BRIC markets.

 

KPMG finds that cost conscious consumers are driving car manufacturers to focus on smaller engines and also the use of technology to create cleaner, more efficient vehicles. Ninety-two percent of respondents said that fuel efficiency for cost reasons is the primary factor in vehicle purchasing decisions The downsizing of engines, driven by consumer cutbacks, has been one of several significant influences shaping the global car sector. 

 

John Leech, KPMG’s UK Head of Automotive said: “Continuing consumer concern with fuel efficiency and pollution is urging automakers to focus on plug-in hybrid engines for the near future. Since the development of e-vehicle technology takes time, in parallel, automakers are also maintaining a strong grasp on downsizing the internal combustion engine, which is expected to deliver substantial improvement in fuel efficiency during this decade.”

 

The survey finds that UK, North American, (western) European and Japanese OEM’s are twice as likely to invest in internal combustion engine downsizing, whereas BRIC countries are more focused on the various forms of e-mobility, like plug-in hybrids and pure battery electrified vehicles.

 

Mr. Leech said: “This a quite a turnaround in direction and a sign that some of the newer electric technologies are taking longer than expected to emerge. This will benefit the UK in the short-term (which is the second largest manufacturer of combustion engine cars in Europe) and, in particular, UK suppliers of turbochargers and direct injection petrol-engine components.”

 

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