The global automotive sector experienced a significant slowdown at the onset of the COVID-19 pandemic. This trend commenced in China, where February 2020 witnessed a staggering 71% drop in sales. Subsequently, the United States and Europe followed suit with sales plummeting by 47% and 80% respectively in April. However, the wheels of industrial machinery never ceased turning, and the automotive realm displayed remarkable resilience. The period from the third quarter of 2020 to the first quarter of 2021 bore witness to rapid, and in some instances, record-breaking production rates for automakers worldwide. Amidst this backdrop, the pandemic acted as a catalyst, propelling existing trends along the mobility value chain forward at an unprecedented pace.

The Act of Acquiring Vehicles

Even prior to the pandemic, consumers were granted the ability to explore vehicles online, comparing prices and indulging in virtual 360-degree views of the cars. Manufacturers' websites facilitated the novel concept of "building your own car". Notably, these features were available in various countries, including a majority of the US, where the final transaction still necessitated a physical visit to a dealership. However, as the pandemic imposed stringent in-person constraints, technology emerged as the ultimate savior. Dealerships, faced with this challenge, shifted their operations, some temporarily shuttering their physical showrooms and embracing remote interactions through phone calls, video conferences, and appointment-only setups. Prospective buyers capitalized on websites and apps that enabled them to explore ancillary services such as financing and insurance, seamlessly integrated into the car-buying journey.