Online video advertising in cars?
Posted on Jun 1, 2013 by YuMe
As mobile technology grows increasingly sophisticated, consumers are able watch both long- and short-form content from nearly any location. While this trend allows brands to connect with smartphone and tablet owners with video advertising on mobile, recent developments suggest streaming media on the go is reaching new capacities, with General Motors considering bringing infotainment into its cars.
Putting entertainment platforms in vehicles is not new, but many consumers are demanding systems that are more-user friendly and sleek. According to Reuters, GM's Chairman and CEO Dan Akerson is pushing the company to bring online video advertising and other marketing tactics into cars.
The auto giant stated it expects to incorporate more Internet capabilities into its vehicles starting in 2015. Such technology is expected to allow back-seat passengers to watch streaming content.
GM will reportedly charge $20 per car owner who signs up for online access in their vehicles. Company officials have likened the experience to the simplicity of using a smartphone to watch videos.
"People want to walk into their car and have it behave just the way the little piece of metal that fits in their pocket can do," Alexander Edwards, president of research firm Strategic Vision, told Reuters.
In-car tech capabilities already allow drivers to monitor traffic, look up directions and make calls and send text messages via voice activation. Providing passengers with the ability to watch news and other media builds off of these capabilities.
Analysts at Citi Research predict at least 40 percent of cars will be connected to the Internet by 2020, Reuters stated.
Akerson told the news source GM is going beyond just offering a medium of transportation.
"We do want to change this from primarily a safety and security business to one that is much more feature-rich," he said.