Never has digital marketing been so topical in the automotive industry. The health crisis has been a real accelerator, even an awareness for some. To the point of becoming an object of strong tension between manufacturers and their distributors. Stakes ? Control of the value chain, which tomorrow will be more service-oriented.
This acceleration is the delight of MotorK, an Italian company specializing in digital technological solutions dedicated to the automotive industry. Founded in 2010 in Milan by Marco Marlia, the company puts the turbo. ” We have gone from 250 employees to 600 in just two years, and we believe we will be able to reach 1,000 employees in the near future. “, explains to La Tribune, Jean-Pierre Diernaz, director of strategy.
Tools to increase turnover
MotorK has developed around twenty tools that should revolutionize customer relations: data management, inventory, after-sales, new uses, financing, e-reputation, residual value… Everything went through the mill. in-house algorithms to substantially increase the added value of each post affected. ” Thanks to the predictive calculation of maintenance and workshop returns, we increase turnover by 25% in this activity “, emphasizes Jean-Pierre Diernaz.
MotorK wants to go further and provide the tools to control the cycle of a vehicle between sales, trade-ins and resales. ” Our goal is that a dealer can sell the same car 3 or 4 times, compared to 1.5 times on average today “Explains the former Nissan poached in 2019 by MotorK.
In the battle being played out between car manufacturers and large dealer groups to control this value chain, one of the atomic weapons is the sovereignty of a digital infrastructure. On the one hand, automotive groups want to regain control over sales and relegate the network to the form of agents; on the other, the networks want to transform their business by offering new services such as mobility services. In this context, MotorK does not lack activities. It has recorded a growth of 43% per year for five years. And in the first half, MotorK frankly accelerated with a 95% increase in recurring revenue. To finance its growth, the Italian went public last November. He then multiplied the acquisitions: five companies in five months, including two in France (France Pronet and Fidcar).
A platform to better manage tools
The star product is LeadSpark, now available in version 2, a Lead management tool, (prospect management method, Ed.), which allows you to manage the customer relationship. But MotorK has just launched a new product, Sparc Platform. It is a browser that allows you to aggregate up to 17 different tools. A kind of interface with applications.
” Automotive distribution must digitize at full speed, it is a question of integrating several tools, it takes time and impacts organizations », indicates Jean-Pierre Diernaz. In other words, it takes time for customers to fully adopt these new tools, impossible to deliver them all at once. He adds that the needs are very different. ” 100% digital sales are still rare, less than 4% of sales. But now three quarters of operations go through a digital process, it was half less five years ago “, adds the boss of the strategy of MotorK.
The group’s solutions do not only concern car salespeople and manufacturers, fleet managers are also interested in these tools. MotorK thus works with big names like Arval or LeasePlan (in the process of being absorbed by ALD, a subsidiary of Société Générale), ie world leaders who manage fleets of several million cars.
A stock market that breaks the mouth
Mastery of data remains the sinews of war for MotorK. The company is looking for engineers, data scientists and artificial intelligence professionals. Various studies have given amazing projections of this long-term market. The software as a whole would represent 60% of the value of an automobile in 2030 according to PwC. For its part, McKinsey estimated the automotive data market at between 450 and 750 billion dollars on the same date.
The success of MotorK is therefore correlated with that of the automotive industry. While the long-term market outlook is enticing, in the short term, however, the company is subject to the throes of a sector battered by investors. Since the start of the year, MotorK shares have fallen by 64%. This is much more than the main values of the sector. At MotorK, we defend ourselves by explaining that the title is very illiquid and vulnerable to the slightest movement of sale of shares.