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Silver car driving at speed through a futuristic urban area, symbolizing mobility innovation, smart cities, and automotive technology trends.

How AI drives experience innovation in the automotive industry

Silver car driving at speed through a futuristic urban area, symbolizing mobility innovation, smart cities, and automotive technology trends. Silver car driving at speed through a futuristic urban area, symbolizing mobility innovation, smart cities, and automotive technology trends.

09. Mai 2025

The automotive industry is experiencing significant transformation, fueled by technological advancements and evolving customer expectations. AI is central to this change, a pivotal force enabling brands to create smarter, more personalized, and seamless customer experiences.

Our upcoming Voice of Experience Innovators in Mobility report reveals that industry leaders recognize AI as the leading innovation disruptor in the coming years — even more so than connected, autonomous, shared and electric (CASE) vehicle technologies.

But despite AI's promise, many automotive brands are struggling with digital transformation.

What’s holding them back and how can brands use AI to bridge the gap and improve the customer experience?

The digital transformation challenge

Research by BCG finds automotive companies lag other industries in adopting new technologies like AI and machine learning to improve the customer experience.

A digital transformation gap is hampering OEMs’ readiness to innovate, with factors like legacy systems, organizational inertia, and resource constraints playing a part.

For example, many enterprise automotive organizations continue to operate in silos. Product teams, IT, sales and marketing sit separately, impeding their ability to align new technology and slowing the creation of customer-centric vehicles.

The short-term, sales-driven strategy of automotive organizations also dampens their ability to adopt customer-centric approaches and long-term service strategies. Prioritizing sales volume over customer lifetime value often leads to a poor experience, low customer satisfaction and less loyalty.

Ultimately, many automotive OEMs lack a single, clear and compelling customer experience vision that guides decision-making at every level. Customer experience efforts are fragmented and organizations fail to invest appropriately in CX efforts.

Bridging the gap with AI

AI is vital to the future of automotive companies. By addressing the above challenges, breaking down silos and adopting a holistic approach to customer experience, OEMs can bridge the gap and drive future growth.

Applied strategically, AI can serve as a catalyst to overcome these challenges in the following ways:

Better customer experiences

Customers expect personalized experiences everywhere they go. According to Salesforce, 84% of customers say being treated like a person, not a number, is crucial to winning their business. The automotive industry is no different.

AI analyzes vast amounts of customer data, identifying patterns that help automotive OEMs anticipate customer needs and deliver highly personalized experiences — like vehicle and financing recommendations — across every touchpoint.

AI can also improve vehicle performance and lifespan by optimizing service schedules and proactively addressing maintenance needs. OEMs can even use AI to personalize the in-car experience by offering personalized content and virtual assistants.

Operational efficiency

AI-driven analytics can optimize supply chains, manufacturing processes, and after-sales services, reducing costs and improving efficiency.

For example, OEMs can leverage generative AI to reduce onboarding time for new employees and provide quick and easy information access to support their roles.

Innovative business models

AI facilitates the development of new services, such as mobility-as-a-service and autonomous driving capabilities, opening new revenue streams. In China, OEMs already use AI to deliver subscriptions, car-sharing and other membership services.

AI will help the automotive industry to adopt customer-centric business models that prioritize long-term customer value over short-term sales.

It’s not an endpoint. It’s a catalyst for future innovation that will pave the way for hyper-personalized and immersive experiences in and around the vehicle.

It may even empower OEMs to extend their business into new domains by leveraging the connected car — intersecting with other industries and bringing relevant customer experiences into the vehicle.

Taking the next step

To fully harness the power of AI for experience innovation, automotive OEMs must upgrade their digital infrastructure, foster a culture of innovation and partner with industry experts to accelerate their transformation:

  • Invest in digital infrastructure. Data is the foundation of great AI experiences. Automotive OEMs must upgrade legacy systems to support AI integration and implement data governance frameworks.
  • Foster a culture of innovation. AI is most effective when implemented across the enterprise. OEMs must encourage cross-functional collaboration and continuous learning to drive customer experience innovation.
  • Engage with experts. In-house AI experience can be challenging to come by. Accelerate your transformation by collaborating with partners experienced in AI implementation.

Engage with Valtech

At Valtech, we specialize in guiding automotive brands through their digital transformation journeys. Our expertise in AI accelerators can help bridge gaps and drive innovation.

Here are three ways you can leverage our expertise today:

  • Get early report access. Sign up to receive the Voice of Experience Innovators in Mobility report ahead of its official release.
  • Watch our on-demand webinar. Gain deeper insights by watching our panel discussion on this subject.
  • Consult with our experts. Reach out to explore how our AI accelerators can kickstart your innovation journey.

Embracing AI is no longer optional. It's imperative for automotive brands aiming to lead in experience innovation.

By addressing digital transformation challenges head-on, companies can unlock AI's transformative power and meet the evolving demands of today's consumers. 

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