The price increases of EVs, the lack of incentives for their purchase, and the uncertainty among users when deciding whether to buy an electric or combustion car are significant challenges faced by the eMobility sector.
“At DDX, we believe that electric mobility is the future and that governments have a role to play in ensuring a smooth transition from internal combustion vehicles to electric ones,” comments Pieter Demaeght, Director of Mobility at DDX, at Mobility Portal Europe.
However, despite these difficulties, Demaeght acknowledges that “Europe will continue to play a key role in the global transition to EVs.”
Currently, there are various tools available to overcome these obstacles, such as those offered by DDX.
“Our team of automotive experts thoroughly understands the challenges and opportunities facing the industry, and we are dedicated to helping our clients succeed,” explains the Director.
Based in Bangkok, Thailand, the company offers strategic planning, project management and delivery, systems integration, and data analysis to companies in the mobility industry of all sizes to compete energetically in today’s business environment.
The firm’s goal is to enhance the customer experience when buying, leasing, renting, or subscribing to the sale of automobiles, with special attention to electric mobility.
One of the services they provide is Mobility Consulting, as DDX is a leading provider of digital transformation services for the global automotive industry.
“Our team covers everything from financial services and products to sales gamification, and we are always exploring new ways to help our clients stay ahead of the competition,” clarifies Demaeght.
“Whether you are a car manufacturer, dealer, or finance company, our team can help you achieve your goals,” he adds.
DDX utilizes the latest technologies and innovative approaches to design and implement effective and efficient solutions.
In addition to Consulting, the company also offers Mobility Solutions, covering online and digital sales, customer loyalty and retention, sales gamification, and process improvement and efficiency with artificial intelligence (AI).
“We receive many requests to improve the online purchasing experience, from getting an initial offer to a test drive and closing the sale. DDX helps organizations improve every aspect of this process,” indicates the Director.
“As for electric vehicles, we assist our clients in creating a seamless user experience, online, in the app, and at physical touchpoints,” he adds.
In many cases, potential buyers do not find the right information about the zero-emission car they want to acquire.
In this regard, DDX also helps organizations improve the online customer sales experience, making it easy for potential customers to discover their brand and learn about their product, leading to a sale and a long-term relationship.
What challenges does the eMobility sector face?
Europe is taking a leading role globally in the adoption of zero-emission vehicles.
“Markets like Norway and the Netherlands are global role models on how to increase the pace of EV adoption,” acknowledges Demaeght.
“Like in other parts of the world, infrastructure and user adoption can be challenging. But with the high population density, Europe is well positioned to ensure adequate charging infrastructure,” he adds.
However, despite notable growth, the electromobility sector faces various obstacles on the continent.
One of the most controversial issues revolves around the potential imposition of a 10% tariff on EV exports between the EU and the UK if less than 45% of their value comes from the region.
This could mean an average price increase of £3,400 for EU-manufactured BEVs purchased by British consumers and an increase of £3,600 for UK-manufactured BEVs sold in Europe.
The truth is that, according to the EU’s “rules of origin” that were supposed to come into effect from January 1, 2024, cars produced in both regions would have to be largely made with locally sourced parts to qualify as tariff-free.
The aim of these measures was to protect the European industry from imports from countries like China, which is taking a dominant position in the global electromobility market.
However, now the European Commission has proposed delaying these rules by three years.
It is expected that EU member states will approve the plan in the coming days.
Another difficulty facing the sector is the reduction of benefits for the purchase of electric vehicles, as seen in Germany.
In early 2023, the German Ministry of Economy decided to reduce incentives for the purchase of EVs and completely eliminate subsidies for plug-in hybrids.
According to Minister Robert Habeck, low-emission cars are already marketable on their own.
This led to a decrease in registrations in 2023 compared to the previous year.
Marc Voß, director of the German Association of Trade and Automobile Repair (ZDK), told Mobility Portal Europe: “We definitely need to continue with incentives.”
More about DDX
While DDX is headquartered in Bangkok, it is currently most active in both Asia Pacific and Europe, where it is currently focused on the growth of the mobility segment.
Among its main clients are Original Equipment Manufacturers (OEMs), importers, dealer groups, captive finance companies, and leasing companies.
