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Jul 12, 2016

TRUCKS & TRUCKING SERVICES * UK - Study

* England - When is a truck not a truck? When it’s a service ?


--- According to an old adage in the automotive industry, passenger cars are bought with the heart, commercial vehicles are bought with the mind...  Since the first truck was built and sold, the OEM focus has always been on the product. Over the past decade in particular, truck manufacturers have competed on factors such as fuel economy, reliability, durability and safety, and more recently total cost of ownership. All along, the truck was the product at the centre of all truck manufacturer improvements and innovations, benefiting a range of customers that included fleet owners, owner operators, drivers and technicians.. However, as competition increased and the areas offering one truck manufacturer an advantage over another shrank, it became evident that this age-long focus on products was about to change... With major transitions taking place across the commercial vehicle sector, the business of trucking became focused on downtime reduction, higher degree of mobile resource effectiveness and efficiency – with both the truck and the driver being mobile resources – as well as better asset utilisation and ultimately greater value to shippers and consumers. This was further accelerated by the advent of digitisation in trucking, a trend that is omnipresent now in both developed and emerging markets... As the industry now finds itself on the cusp of transition from a product-based to a service-based business model, it is important to understand that this is just a transition and not the end-game... It is time to view the truck buyer as a client and not as a customer... 
London, EN, UK - Automotives World, by Sandeep Kar, Global Vice President at Frost & Sullivan - July 8, 2016

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