Market Trends of Automotive Dashboard Industry
This section covers the major market trends shaping the Automotive Dashboard Market according to our research experts:
Technological Developments Creating Demand for LCD Dashboards
Digital dashboards demand may be largely dependent on sales of premium and luxury vehicles, as these new products are expected to be inflated, and hence, the inclusion of these systems in vehicles of other premium and luxury variants is not financially feasible.
With the advancements in technology, newly introduced dashboards have also been integrating the display of gauges, and controls, as well as information, climate control, and entertainment systems. Few vehicles include tachometer, speedometer, fuel gauge, odometer, gearshift position indicator, turn indicators, seat belt warning light, engine-malfunction lights, parking-brake warning light, indicators for low fuel, low tire pressure and faults in the airbag, low oil pressure, entertainment equipment, and information systems, among others.
The demand for passenger vehicles is typically high, attributed to an increase in the per capita income. Also, customization of the dashboard in their personal vehicles has been driving the market studied.
Also, the aftermarket has been driving in recent years. One significant example of this is Chevrolet offering both exterior and interior upgrades.
A major factor related to the automotive dashboard camera market is the thermal noise of these devices. Noise reduction is essential in automotive systems, as the image quality is directly impacted by these parameters. Component manufacturers have been working on developing Ethernet cameras, which have been capable of reducing the thermal noise to a huge extent. These cameras need a memory card for storage space, which may lead to recurring costs for buying memory cards.
Asia-Pacific to Dominate the Market
These days, cars are all about comfort, luxury, and technologies. One of the most expensive and a selling point for any luxury car is technology, and OEMs have been incorporating all of the vehicle's technology in dashboards.
The Chinese economy has been growing, and the disposable income of middle-class consumers has also been increasing. This, in turn, reflects positively on the growing demand for vehicles. Over the past five years, owing to the low production costs in the country, the demand for vehicle production has gone up drastically. In 2017, 24,961,948 units of passenger vehicles were sold in China, compared to 24,376,902 units in 2016. However, in 2018, the country witnessed a decline in vehicle sales by 3%, owing to trade tensions and shaky consumer confidence.
Presently, people are not only being concerned about the technologies in dashboards but also about the touch, look, and overall feel of the dashboard. In order to make the interior more attractive, luxurious carmakers have been offering dashboards with high-end upholstery.
Alcantara is one of the most luxurious fabrics, which is being offered by Luxury OEMs in dashboard. Luxury brands, such as Ferrari, Alfa Romeo, Bugatti, McLaren, Lamborghini, Porsche, Audi, Lexus, BMW, Maserati, and Jaguar, all make use of Alcantara, but the material has also been featured in more mainstream models from the likes of Dodge, Nissan, and Subaru.
Majority of the cars, which are being sold in United states, are featured with Alcantara fabric on dashboard. The United States currently accounts for 10% of Alcantara's global sales. Europe's share stands at more than 60%, while the Asia-Pacific region, along with other emerging markets accounts for nearly 30%.
Alcantara's use within the auto industry has grown by 15% or more in each of the past seven years, compared to a growth rate of just 2% for leather.
Moreover, irrespective of the decline in IC engine vehicle sales and slow growth, the auto component and vehicle manufacturers have been continually working toward improving the driving experience. These factors may increase the dasboard market in the region.
