The webinar, powered by Carmudi Philippines and Zigwheels Philippines, attempts to divine the future of the Philippine automotive scene by looking at the effects of the pandemic, considered by many to be a "black swan" event.
"Preparing for a Post-COVID Future" asks the most obvious questions that many have but are grasping for answers to: What is the impact on the auto sector? How long will it take for the auto sector to recover? How will customer behavior change due to COVID-19 pandemic? What should be the priorities for OEMS and dealerships?
Here are seven key takeaways from the online forum:
1. Economic slowdown will have severe ripple effects on the economy. Philippines’ real GDP growth might go down to around -0.4% in 2020 after many decades though the country will stay strong fiscally.
2. The impact of the current slowdown is expected to be protracted. Brace yourselves for at least 1 quarter of poor demand and ~2 quarters of moderate recovery before market picks pace.
3. Most of the respondents intend to reduce reliance on non-personal modes of transport, and increase personal 4W usage by .40%. Thus, sales should see a rebound after June 2020.
4. There is a strong preference among consumers for at-home services like test drives and delivery of car. While test drive is still being offered, dealers and OEMS need to figure out ways to deliver at preferred location.
5. Customers also would expect dealers to provide online price catalogue of vehicles (>80%), online after sales support (.80%), and pre-approved loans (>75%). Dealers should start sorting out technicalities related to these.
6. While dealers (along with OEMS) are supporting customers through warranty and service timeline extensions, they would also need to offer a safe ambience and additional safety-related services to assure customers of their wellbeing as well as hygiene of car.
7. Ad agencies should re-prioritize their spend and effort on online channel where customers are preferring to spend more of their time.
You may also download this pdf to access the full report.