Telefónica has always been at the forefront of innovation, offering customers affordable services for their day-to-day.
When exploring the connected car space, smartphones and digital service platforms were changing personal communications, increasing demand for smart, reliable connectivity solutions and digital value-added services.
Buying and maintaining a car is among life’s most important investments for the average Spaniard, and maintenance center experiences are not always satisfactory. There is also strong general awareness about the economic and non-economic costs of car accidents. Cars are designed and manufactured with strict safety requirements, along with ADAS systems that rely more and more on client-server connections.
Telefónica has been providing solutions for automotive OEMs for years, but industry technology cycles and the average age of cars in Spain leaves more than 22 million cars unconnected, unable to easily access an emerging ecosystem of car services.
Net4things was the perfect fit for Telefónica. With a scalable platform and an OBDII device manufactured in-house, we enabled Telefónica to run Movistar Car on an initial value proposition of 5 key pillars:
The mass-market nature of the service required high availability from the service platform, open to third-party services. We also needed an affordable, yet telco-grade OBDII device and a user app fully aligned with Telefónica’s customer experience.
In December 2018, Telefónica pre-launched Movistar Car with a massive communication campaign that generated initial interest from around 15,000 potential customers, not all from Telefónica.
The commercial launch, in May 2019, received almost sevenfold the initial interest based on a compelling value proposition that combined a rich set of features with an attractive price (€20 for setup, and €3 monthly).
Thanks to Net4things’ comprehensive connected car solution, Telefónica became the indisputable market leader in Spain’s connected car market and is now actively expanding distribution channels from its own online channel to other third parties in the aftermarket automotive sector.