Servitization impacts on the Asset Finance Industry
Author Agneta Venckute
On-demand services versus the owners seem to dominate among the millennials and Generation Z consumers. However, even though servitization (conscious strategy to merge manufacturing and integrated services offerings to provide value-driven outcomes that are scalable and resilient) is not well recognized in the automotive and equipment finance industry yet. Still, companies are beginning to respond by shifting to the services, offering pay-per-use and pay-by-outcome models to their clientele. The shift to servitization affects all industry players: captives, manufacturers, banks, independent financiers, and software solution providers.
The key report findings indicate that:
1. The demand for services versus ownership has increased.
2. The first to adopt the new strategies gain market advantage.
3. Servitization provides opportunities for businesses to position as Environmentally friendly.
Check this infographic to discover how servitization is developing across automotive and equipment finance sectors.