Digital Transformation: The 'New Retail' Future of the Aftermarket (And How to Win)

Date: May 10, 2019
Topic: Aftermarket Outlook, Business Insights

The aftermarket is in the midst of change as digital disruption enables an increasingly online-to-offline (o2o) model. The pace of digital disruption in the automotive aftermarket is accelerating, mainly driven by end customer trust in online services and new strategies from digital giants. This new report from AASA and Roland Berger focuses on the emerging “new retail” aftermarket, characterized by a strong integration between the online and the offline worlds, differentiated customer experience, and lower cost-to-serve and working capital requirements. The disruption will create both winners and losers in the supply chain – To win in the “new retail,” players will need to develop a new set of capabilities: developing an omnichannel strategy is the first step. Players that are able to take the lead in this transition and differentiate themselves are much more likely to be the winners in the o2o world.

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