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China’s auto mobility revolution: Going from ‘ownership’ to ‘usership’

Gao Feng, a business consultancy headquartered in China, has released a new paper about the revolution in auto mobility in China

China’s unique set of urban transportation challenges, very high rate of adoption of mobile internet services, and rapid and aggressive introduction of alternative mobility solutions have combined to make China a global breeding ground for mobility innovation.

The deeply-rooted automotive industry business model is experiencing disruption.

Mobility needs previously satisfied through product “ownership” are increasingly being served through mobility services “usership”, with profound implications not only for traditional players within the value chain, but also for non-traditional players – as they enter and compete to deliver services. 

Mobility needs are increasingly being met through shared mobility services versus individual car ownership.

Disruptive new mobility services entrants are often linked to digital ecosystems which utilize big data analytics to draw insights about users based on their mobility patterns, diagnose their “pain points” and offer mobility and other digitally enabled solutions to address their daily needs.

In the past 5 years, mobility services have exploded in China, providing affordable and convenient transportation solutions to address the needs of an increasingly urbanized society.

However, these solutions come with their own pain points, leading to further innovation and disruption by attracting capable entrepreneurs to provide better solutions and user experiences in the next era of China’s auto mobility revolution.