Indian Mobility Revolution: A Journey Towards USD 600 Billion by 2030

The Indian mobility industry is set to surpass USD 600 billion by 2030, driven by a shift towards electric vehicles and new consumer behaviors. The Google-BCG report outlines significant trends including increased influence of women in decision-making and the growing demand for digital purchase experiences.

The Indian mobility industry is on track to exceed USD 600 billion by the end of the decade, according to a joint report from Google and the Boston Consulting Group (BCG). Released at the Bharat Mobility Auto Expo, the 'Think Mobility Report' suggests this growth will be fueled by both traditional and new revenue channels, setting a path divergent from global trends.

With electric vehicles (EVs) gaining traction, one-third of potential car buyers are now considering EVs, showing varied preferences for electric four-wheelers and two-wheelers. Buyers of electric cars are drawn to high-tech features and exclusivity, while those considering electric two-wheelers prioritize practicality and affordability.

Notably, the report highlights a shift in decision-making power, with women influencing 52% of EV purchases, surpassing their 38% influence on traditional fuels. The report estimates emerging trends, such as electric, shared, and connected mobility, will contribute USD 100 billion to the industry's revenue.

The significance of understanding India's diverse consumer base was emphasized by Natarajan Sankar from BCG and Bhaskar Ramesh from Google India, who stressed the importance of aligning automotive innovations with local consumer preferences to ensure success in this rapidly evolving market.

The emergence of digital purchase journeys is notable, with Gen Z and women leading the way. Driven by personalization demands, these journeys are outpacing traditional methods. In response, AI is positioned to enrich experiences from purchase to after-sales services, noted Bhaskar Ramesh.

BCG's Vikram Janakiraman underlined the critical role of adapting products and solutions in line with changing consumer needs, emphasizing the integration of digital technologies and AI.

Self-drive rentals and subscription models are highlighted as new growth channels. The report revealed that 85% of renters express willingness to buy the car they tried. Additionally, a shift in perception is noted as one in four first-time buyers now considers used vehicles, marking them as lifestyle enhancements rather than mere cost-cutting choices.

Compiled from research involving over 4,500 Indian consumers alongside auto industry insights, the Think Mobility report provides a comprehensive outlook of the transformative trends shaping India's mobility landscape.

(With inputs from agencies.)