13 February 2020
Disruptive changes to the automotive industry are leading to scrutiny of the total cost of ownership (TCO) like never before. The move away from the internal combustion engine (ICE) as a result of environmental and sustainability concerns, the investment and increasing adoption of vehicles powered by alternative fuels and new concepts for future mobility mean that the TCO metric has the greatest significance for OEMs, dealers and owners alike.
Furthermore, TCO is now being impacted by industry regulation that will see fines in Europe for ICE engines that pollute over a certain threshold. From 2021, the average emissions target is set at 95g/km CO2. For every 1g/km of CO2 that a manufacturer exceeds its average emissions target by, it will be fined €95 multiplied by its volume of new-car registrations in the preceding year. All major carmakers are expected to miss their respective emissions targets under this new regime, noted Autovista Group’s Senior Data Analyst Neil King in a two-part insight on the impact the fines will have in the industry in the EU.
Autovista Group understands the contribution that TCO analysis and interpretation plays in the success of the industry. To recognise this, Autovista Group’s inaugural TCO Awards event is taking place in Berlin on 9 June 2020. There are many champions of TCO in the industry and this event is the opportunity to throw the spotlight on your champions and truly recognise their contribution.
15 categories to choose from
There are 15 categories including a range of options for Car of the Year, and two categories for OEMs. There are also categories for Alternative fuel and Mobility, Fleet or Leasing car of the Year and Distinguished TCO Manager of the Year, among others. All categories can be accessed here.
‘The TCO Awards are important because they actually look beyond just the lowest TCO. This metric should no longer be our sole focus; we should look to manufacturers to balance attractiveness to the consumer, competitiveness, a cost-cautious mindset and environmental responsibility. TCO Awards winners will have a well-balanced business strategy, aligning with a set of key success factors, not just TCO,’ said Alan Duez, Partner, International Senior Consultant, Fleetcompetence Group, who is one of the event judges.
In terms of the Award entries, Duez wants to see some ‘new innovative and sustainable ideas in the TCO area - leading to the next level of managing fleet and mobility - while succeeding in a space that is evolving at high speed’. He said: ‘thinking out of the box is especially important in today’s turbulent market and I hope to see such thinking reflected in the awards entries.’
Judges’ tips for entrants
The panel of judges want to see a variety of qualities and experience in the entries. Here are their top tips for putting together your entry:
- It's not just about the lowest TCO. We reward the most impressive actions that have lowered TCO or even actions that have delivered far greater customer value than the TCO increase would suggest.
- Give us examples. Case studies help us understand what you did and what the benefits were.
- Tell us about specific successes. Make sure you mention contracts won, positive customer feedback - anything that demonstrates your wins.
- Include evidence and data. Use facts and figures to back up your story.
- Be concise and focus on ‘why’. Longer entries aren't necessarily better. Simply tell us why you should win. Provide supporting material but don’t rely on it to make your case.
The TCO Awards are open for entries and you can check out the criteria here. The closing date for entries is 17 March, so complete your entry now. Good luck!