Tag Archives: automobiles

Does Your Car Track Your Personal Information?

Privacy is a top concern of consumers. While on the one hand, we love it when companies can anticipate our needs and solve problems. However, on the other hand, we value our privacy and do not want to have our lives tracked by corporations. We realize that our online social media, shopping, and email communication can be tracked and we can act according to that knowledge. We still don’t want our privacy violated, but we understand the risk involved.

But… what about our cars? Huh, cars? Cars track our personal data? Yes. And not only do car manufacturers track a LOT of our personal data, they can also sell it – without our knowledge or permission.

As consumers, we expect companies to act in our interests when solving problems, but that is a common mistake. Corporations act in their best interest in the long run. Car buyers and drivers are given little or no control over all the personal data that cars track and collect. In addition, automotive security systems are also a concern when it comes to hacking.

Non-profit Mozilla Foundation researched 25 car brands to assess their security and data collection actions. None of the 25 car brands whose privacy notices were reviewed met even the minimum privacy standards. Furthermore, some automakers gather personal data not related to driving – including sexual activity, immigration status, race, facial expressions, weight, health, and genetic information. Additional data is gathered by sensors, microphones, cameras, and phones connected to cars.

What Mozilla found shouldn’t really surprise us. As car buyers, we don’t have many (if any) options as to the data the manufacturer can track about us when we’re in the car. Of the 25 brands, 19 of the companies’ privacy notices reviewed said they can sell our personal data. Half will share information in response to a “informal request” from government or law enforcement. Automakers were very vague about disclosing to whom they sell what data.

The worst three privacy violators cited by Mozilla were Tesla, Nissan, and Hyundai.

Who’s tracking you?

 Group Activities and Discussion Questions:

  1. Poll students: Do they know what data cars are gathering about them? And what the companies do with this data?
  2. Show video: https://youtu.be/KJ2NmIhYIlA?si=tf993ioIl8xDyPHu
  3. Show the Mozilla report: https://foundation.mozilla.org/en/privacynotincluded/articles/its-official-cars-are-the-worst-product-category-we-have-ever-reviewed-for-privacy/
  4. Divide students into teams. Have each team select an auto manufacturer and research the privacy statements made by the company.
  5. How does this present an opportunity for marketers?
  6. What could the company do to help protect the consumers’ privacy?

Source: Bajak, F. (11 September 2023). Analyst: Cars now ‘wiretaps on wheels.’ Associated Press.; Caltrider, J., Rykov, M., MacDonald, Z. (6 September 2023). It’s official: Cars are the worst product category we have ever reviewed for privacy. Mozilla Foundation.

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We are finally getting flying cars!

The future has finally arrived and science fiction has come true. After years and decades, we’ve been teased about the possibility of flying cars. Is it finally time? Has the car in “Back to the Future” finally been built?  

Kinda. Under experimental status, Alef Aeronautics’ flying car (Model A) now has permission from the Federal Aviation Administration to test its car/plane in the sky/on the road. But, the vehicle also needs to meet National Highway and Traffic Safety Administration standards.  

Model A has been designed to drive on streets and take off vertically to fly above traffic. While not yet available, Interested customers can pre-order their flying cars and be placed in a priority queue for the low fee of $1,500 (the final estimated price is $300,000).  

Model A can be driven on regular roads; it fits into normal driving lanes and even fits into a regular parking space or garage. On the ground, the car has a 200-mile range. When ready to fly, the car takes off vertically, allowing drivers to fly above obstacles yet still remain stable due to a unique gimbaled design. It has no exposed propellers, 110-mile range in the sky, and works similar to a drone (no wings!).  

Alef is not the only company exploring flying cars. Another company, ASKA, also has been cleared by the FAA and has started flight testing. ASKA’s A5 is hybrid with batteries and can use premium gasoline. This vehicle does have wings, six independent rotors, and a parachute. It also have vertical takeoff and landing, and can enter an airfield by driving through the gate. It already has reached $50 million in pre-orders.   Let’s fly away…      

Group Activities and Discussion Questions:

  1. Poll students: What are their thoughts about flying cars? Any interest in owning one?
  2. View Alef Aeronautics site: https://alef.aero/
  3. Play Model A video: https://youtu.be/E5YRh8vLjLU
  4. View ASKA’s site: https://www.askafly.com/
  5. Play ASKA A5 video: https://youtu.be/d7lA3Ibv1MA 
  6. Discuss the components of a situation analysis: company, general industry, trends, key competitors, technology, legal, etc.
  7. Ask students what data they would want in order to make marketing decisions for Model A and ASKA A5.
  8. Divide students into teams. Have each team use laptops to do general research to answer the questions above. (ex: overview of industry, size, growth, new technologies, environmental impact, etc.)
  9. Debrief the exercise by compiling information on the white board. Does this give a good picture of the situation?

Source: The first flying car, ‘Model A,’ approved by the FAA and it’s 100% electric. (3 July 2023) CNN; FAA clears ASKA’s flying car. IEN Staff (June 30,2023).  

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More Electric Vehicles Make it to Market

There is no doubt that electric vehicles (EV) are seeing an increase in inventory and sales. Globally, electric vehicle sales doubled in 2021 and sales are still strong in 2022. In the second quarter of 2022, EV sales were 5.6% of the total auto market, up 2.7% from the same time a year ago. Consumers are embracing the EV market for its clean energy and solid performing vehicles.

Pricing remains a sticking point with consumers though as many EVs are priced in the range of $50,000 – $100,000 and up. Sure, consumers want to help the environment, but they also face a very real limitation on spending for EVs.

To help position it as a more general option, General Motors plans to release an EV Chevy Equinox in fall 2023 at the lower price point of $30,000. Today, there are few models of any type of EV below $35,000. Complicating the pricing, the costs of battery materials (such as lithium and nickel) have risen significantly. On average, U.S. buyers paid $66,000 for an EV, an increase of 28% from a year ago according to J.D. Power research.

The Inflation Reduction Act is one option to help consumers lower the costs. It offers up to $7,500 in federal EV tax credits, but only for models that meet certain domestic-production requirements. While both new and used cars qualify, there are other restrictions that can limit how much tax credit a consumer receives including income limits and vehicle list prices.

Are you ready to make the leap to an EV vehicle?

Group Activities and Discussion Questions:

  1. Poll students: What is their perception of pricing for EVs in today’s market?
  2. Have students research prices for EV automobiles and SUVs. Build a spreadsheet with information about select vehicles such as Volkswagen, Tesla, Kia, and Toyota.
  3. Have students research the Inflation Reduction Act for federal EV tax credits. What are the caveats?
  4. Show video from WSJ about the EV discounts: https://www.wsj.com/video/series/george-downs/the-climate-bill-unlocks-new-ev-discounts-but-not-everyones-a-winner/26F2FC57-3150-4311-AE3E-705E554AB4D6
  5. Another classroom discussion can focus on how the Inflation Reduction Act fits into an environmental scan for the EV market.

Sources:  Colias, M. (8 September 2022). GM courts mainstream buyers with $30,000 electric Chevy Equinox. Wall Street Journal.; Forbes growth sector: Electric vehicle sales and the new electric economy have arrived (24 September 2022). Forbes.

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