Business model innovation towards safe and effective virtual or non-contact automotive trading

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The automotive industry is a key pillar of the UK economy, representing £18.6Bn GDP and employing \>800K people. Cars are also central to society, ensuring mobility of key workers, collection/delivery of goods/services and access to health-/social-care. Since COVID-19, showrooms have closed leading to a \>44% reduction in car sales (with \>85% reduction forecast during April) and the closure of manufacturing globally, with most staff furloughed.Car sales have traditionally relied upon showroom browsing and test drives. This enables customers to visually inspect and experience the car prior to making a purchasing decision. These activities are also important in building rapport and trust with the dealership. Continued social distancing measures require the motor trade industry to transition from the showroom to the internet enabling safe, non-contact trading. Whilst most dealerships have an online presence, these platforms fall far short of the hands-on experience customers gain from visiting a showroom.Through the application of commercially available technologies, YBCL seeks to innovate the motor trading business model towards online sales, whilst ensuring safety across key traditional showroom activities. The new business model combines:* car sanitising/disinfection methodologies for safe trading* a virtual showroom, addressing customer needs/expectations in-terms of visual inspection, test drive experience and sales agent engagement* portable set-up and methodology for safe, insured solo test drives* business best-practices/offerings that facilitate customer buying decisions, including remote financing and money back guaranteesThe new business model will not only enable the continuation of motor trade during future periods of social distancing/trade restrictions, but will also open national markets/customers to small traditionally regional-based dealerships (such as YBCL).The project builds upon activities already undertaken by YBCL during the initial period of social distancing/restrictions to validate customer drivers/needs and receptiveness to virtual/online trading.The project will deliver a technology prototype platform/tools suitable for immediate commercial deployment by YBCL to refine and validate use. YBCL will then further develop the platform technologies to bespoke market ready systems suitable for licencing/use across the motor trade industry.In the short term the project will unlock ~£10M of trade via YBCL, with the potential for up to ~£30M of licence fees across UK dealerships (medium-term).