In-Vehicle Connectivity An Opportunity For Mobile Audio

Monday, February 13th, 2012
By Ben Arnold, Director of Industry Analysis

The auto market?s resurgence over the last year has coincided with an equally interesting period in consumer electronics as sales of mobile and portable devices continue to reach new heights. New features and services are allowing these devices to be used in a variety of places, and the vehicle is one environment where usage is sure to increase. In fact, The NPD Group?s recent study, Mobile CE: A Look Inside the Vehicle, finds nearly eight-in-ten (79 percent) car owners are using some type of portable digital device in the vehicle.

Consumer usage of the devices in the vehicle is interesting for a couple reasons. First, they?re largely used in addition to traditional audio devices, not in replacement. Seventy three percent of drivers report still using their FM radio ?always? or ?most of the time? during car trips while more than half (57 percent) of vehicle owners say a CD player is vital in their decision to buy a car stereo or entertainment system.

Second, the vehicle is likely the next place we will see consumption habits evolve. Nearly four-in-ten (38 percent) smartphone owners have accessed Pandora or some other music streaming service on their phone while in a vehicle, an indication that connected content is gaining traction in the car. As consumers move from physical media towards digital and streamed content in environments like the home, increased access to mobile broadband is likely to fuel a similar transition in the vehicle. With most portable media devices having 3G, 4G, or Wi-Fi connectivity, many consumers use their devices as a gateway to streaming audio and video services and other apps.

We?re likely to see more consumers integrating their devices in the car, especially through the in-dash stereo system. Despite just 13 percent of vehicle owners having Bluetooth or wireless phone connectivity currently built in to their cars, 42 percent of all in-dash players sold in 2011 were Bluetooth equipped, according to NPD?s Retail Tracking Service. Auto manufacturers too have introduced a variety of connected car products, from Chevy?s MyLink to the Ford Sync which make content and services stored on portable digital devices more accessible at the dash. Adoption of these whole car solutions, however, will take some time as they become more available and affordable.

In the meantime, as devices and ways to connect them proliferate in the car, the focus will understandably turn to ways to safely control them with minimal driver distraction. Alternative interfaces like Apple?s Siri (found in many of the whole connected car solutions) or the motion control technology used in the Microsoft Kinect could become a necessity for consumers who desire full access to the media and apps on their portable devices. This is likely the next frontier for connected devices in the car?weighing the unprecedented access to content they allow against their potential to divert driver attention.

Source: http://www.npdgroupblog.com/2012/02/in-vehicle-connectivity-an-opportunity-for-mobile-audio/

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