In a car crash and need help? In the U.S. and other western countries, drivers reflexively dial 9-1-1 or other emergency numbers. But in China, it's more common to call a friend or lawyer first. Kevin Link, senior vice president and General Manager China at Verizon Telematics noted this difference during a discussion at Telematics Detroit. "It's a very different mindset and an important reminder that one cannot assume that the model you've used in one market is going to work in every market."
The U.S. Energy Initiative estimates that the number of cars sold in China has increased from 2 million per year to 20 million in the past decade. Although a latecomer to private car ownership, the Chinese automotive market is now the world's largest and fastest growing. When it comes to the connected car, how do driver experiences compare in China from the U.S. and Europe?
Link, whose team has launched telematics services for two global automakers in the Chinese market said, "Overall, there are far more similarities than differences. The world is dominated by 14 automakers who control 80 percent of the market, likewise in China." He noted that while there are hundreds of other automakers in China, the roll out of new car models, and the features they're equipped with, would be familiar to Americans.
Still key differences remain - in part, due to the newer models on Chinese roadways.
"The biggest difference is the usage patterns. In China, connected devices and connected cars are used 8 times more than they are used in the U.S.," Link says. And he points to the class system in China as a major difference in how cars are used.
"When you look at the economics in China, the middle and upper class are getting bigger. The car owner often sits in the back seat while a [hired] driver drives the car- so Wi-Fi in the car is used more in China as opposed to U.S. where the owner and driver are typically one and the same."
In terms of ridership, Link says that the trend in China is for fewer people in the vehicle per trip.
"When the car started to become mainstream in China, you did have an average of 3.4 people in the car, today it's closer to 2.2 in China and in the U.S. it's approximately 1.2."
For more insights about the China and U.S. telematics markets, watch the short discussion here.
