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Latin American Passenger Vehicle Market Outlook, 2017

Latin American Passenger Vehicle Market Outlook, 2017

Senior management and CEO-level executives in the Latin American (LATAM) automotive value chain state “as-a-service” models focusing on the future of connected cars and harnessing Big Data to better serve consumers as the two biggest themes and top-of-mind-issues in the passenger vehicle market today. However, the LATAM automotive market declined by about 3.5% in 2016 to account for just below 5.0 million units. While Brazil witnessed a decline of almost 20%, dropping below the 2.0 million units mark, Mexico had a record year, reaching over 1.6 million vehicles. In addition, Argentina and Chile returned to the growth trajectory in 2016. Competition for the top spot intensified in 2016, and the year witnessed a number of market share changes. Also, a shift away from cars and towards SUVs was a key trend.

As a part of this outlook study, Frost & Sullivan identifies the key disruptive trends that will shape 2017 in the LATAM passenger vehicle market, including:
• Digital Transformation of the Industry
• Technology Innovation and Regulations
• Growing Vehicle Segments
• Start-up Boom in LATAM
• OEMs Enter Mobility Landscape
• Market Differentiators: Standard and Advanced Vehicle Features
• Used Cars
• eRetailing to Change Face of Aftermarket

The study analyses and presents forecasts for Argentina, Brazil, Chile, Colombia, Mexico, and Peru by original equipment manufacturer (OEM) and market. Over the last few years in LATAM, the automotive market has also witnessed immense disruption and changes to traditional structure. The study identifies some of these key companies to watch (C2W) in 2017 (e.g., Canal da Peça, Itaro, EasyCarros, InstaCarro, Sirena, Moovit, plus 10 others). These companies represent a defining business model that has a unique perspective, strength of vision, and that are extremely innovative, thus improving the entire automotive industry.

The angle of digital transformation impacting the automotive industry is also discussed through trends and case studies in LATAM. Furthermore, deep-dives provide outlook and disruptive trends for vehicle powertrain technologies, electric vehicles, connected cars, vehicle features, advanced driver assistance systems (ADAS), urban mobility, and the aftermarket in LATAM. The study then concludes with key predictions for 2017.

Key Questions This Study Answers:
• What is the 2017 market growth forecast, and in which countries is key movement expected?
• What are the major advancements emerging concerning powertrain, electric vehicles, connected cars, ADAS, and in-vehicle features in the LATAM region?
• What are the top disruptive trends, and how will digital transformation affect the market landscape in LATAM?
• What will the new business models and market strategies for sustainable growth look like?


  • Executive Summary
    • 2016 Key Highlights
    • Growth Opportunity Themes Cited by Global Survey of CEOs
    • Potentially Disruptive Business Models Cited by Global Survey of CEOs
    • 2016/2017 Senior Management Top-of-Mind Issues
    • 2016 São Paulo Auto Show—Key Highlights
    • Key LATAM Disruptive Trends and Transformative Shifts for 2017
    • Transformation in LATAM Automotive Industry Ecosystem—2017
    • Key Companies to Watch (C2W) in Brazil's Automotive Industry
    • 2017 Top Predictions
  • Research Scope and Segmentation
    • Research Scope
    • Vehicle Segmentation
  • Key Latin America Automotive Sales Trends
    • LATAM Economic Outlook vs. Automotive Sales Movement
      • Table Passenger Vehicle Market: Light Vehicle Sales by Country, LATAM, 2015, 2016, and 2017
    • Top Markets by Sales Volume in 2016
    • Winners of 2016
    • LATAM Light Vehicle Sales by OEM Brand in 2016—A Snapshot
    • LATAM Light Vehicle Sales by Vehicle Segment
      • Table Passenger Vehicle Market: Light Vehicle Sales by Region, LATAM, 2015 and 2016
    • LATAM Light Vehicle Sales by Region in 2017—A Snapshot
    • LATAM Light Vehicle Sales by Region in 2017—Conservative Scenario
    • LATAM Light Vehicle Sales by OEM Group in 2017—A Snapshot
    • Regional Spotlight—Argentina
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Argentina, 2016 and 2017
    • Regional Spotlight—Brazil
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Brazil, 2016 and 2017
    • Regional Spotlight—Chile
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Chile, 2016 and 2017
    • Regional Spotlight—Colombia
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Colombia, 2016 and 2017
    • Regional Spotlight—Mexico
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Mexico, 2016 and 2017
    • Trump Potential Trade Policies to Lead to Production Shifts
    • Regional Spotlight—Peru
      • Table Passenger Vehicle Market: Light Vehicle Sales by OEM Brand, Peru, 2016 and 2017
  • Digital Transformation Impacting the LATAM Automotive Landscape
    • The Five Pillars of Digitization in the Automotive Industry
    • Industrial Internet of Things (IIoT) and Impact on Automotive Manufacturing—Automotive 4.0
    • Automotive 4.0 in LATAM—Smart Manufacturing and Robotics
    • Big Data from Connected Cars Offering Cost Savings
    • Digitalization Reshaping Automotive Retail Process
    • Digitization Impacting Aftermarket Services—"Internet of Parts" and Virtual Garages
    • As-a-Service Model Evolution in Automotive
    • Mobility-as-a-Service (MaaS) in LATAM
  • Disruptive 2017 Market Trends and Beyond
    • Growing Vehicle Segments in LATAM
    • Accelerated Growth in B/C-SUVs and B/C-Pickups
    • More Luxury Vehicles across Segments in LATAM
    • Used Car Market in LATAM
    • OEMs in LATAM Shift from Product to Service
    • OEMs to Use Driver-centric Vehicle Innovations to Differentiate Product in LATAM from 2017 and Beyond
    • Features at the Forefront of New Vehicle Segments
    • Top-level Connected Car Solution Trends
    • eRetailing to Change the Face of the Aftermarket
  • 2017 LATAM Mobility Outlook
    • Key LATAM Mobility Observations for 2017
    • Overview of Mobility in LATAM
    • The Sharing Economy—Car Sharing and Bike Sharing
    • Flexible On-demand Mobility Solution—eHailing
    • Taxi and eHailing Market in LATAM
    • Corporate Mobility in LATAM
    • Flexible On-demand Mobility Solution—Ride Sharing
    • Integrated Mobility Solutions
    • Transit and City Infrastrucutre Encouraging New Forms of Mobility
  • 2017 LATAM Aftermarket Outlook
    • Top Transformative Trends Impacting the Aftermarket in LATAM
    • New Entrants and Disruptive Models in the Automotive Aftermarket
    • Quick Maintenance OEM Shops and Fixed Packaged
    • LATAM Aftermarket Revenue Forecast
      • Table Automotive Aftermarket: Revenue by Country, LATAM, 2016 and 2017
  • 2017 LATAM Powertrain and eMobility Outlook
    • Key LATAM Powertrain Observations for 2017
    • 2017 LATAM Powertrain Heat Maps and Technology Trends to Watch
    • LATAM—Emission, Fuel Economy Targets, and Laws
    • Unit Vehicle Sales Forecast by Powertrain Mix by Country
    • Unit Vehicle Sales Forecast by Transmission Mix by Country
    • Engine Downsizing in LATAM—Unit Vehicle Production Forecast
    • Gasoline and Flex Fuel Engine Boosting—Unit Vehicle Sales Forecast
  • 2017 LATAM Connected Car and ADAS Outlook
    • 2016 Key Observations
    • Top Transformative Trends Impacting Connected Cars in LATAM
    • Connected Car Forecast
    • Connected Services Snapshot in LATAM
    • Connected Infotainment Snapshot in LATAM
    • LATAM HMI Market Penetration Forecast
    • ADAS Features on the Rise in LATAM
    • Key LATAM Connected Car and ADAS Observations for 2017
  • 2017 LATAM Advanced Vehicle Features Outlook
    • Key LATAM Vehicle Features Observations for 2017
    • Top LATAM Transformational Shifts and Trends Impacting Car Features
    • Transitional Features Are Market Differentiators
    • Overall LATAM Feature Package Summary
    • Future Vehicle Feature Opportunities in LATAM
  • Growth Opportunities
    • Growth Opportunity in LATAM
    • Strategic Imperatives for Success and Growth
  • Key Conclusions
    • Key Conclusions and 2017 Outlook
  • Appendix
    • List of Acronyms
    • 2017 Proposed Research Plan
    • Selected Research Topics Covered in 2015–2016
    • Latin America Automotive & Transportation List of Published Titles, 2009–2014
      • Table Latin America Automotive & Transportation List of Published Titles, 2009–2014
    • Market Engineering Methodology

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