While video and gaming are becoming more prevalent in the automobile dashboard as technology improves, audio – particularly radio – is still the dominant entertainment source during travel according to a new report from Xperi, by way of its DTS division.
“Connected Car Entertainment Trends,” premiered in a webinar for automakers, explores the evolving landscape of in-car entertainment among US consumers.
The report emphasizes the continued dominance of traditional radio, with nearly 70% of consumers tuning into AM/FM radio while in their cars. Radio maintains a stronghold due to its ease of use, accessibility, and broad range of content. Meanwhile, music streaming services and satellite radio also hold considerable sway but lag behind in preference, capturing 53% and 30% of the audience, respectively.
Video consumption in vehicles has seen a significant uptick, with the report noting a 25% increase in the past year alone. Now, 40% of consumers engage with video content, primarily streaming movies and TV shows. This trend is particularly prominent when children are passengers.
Gaming within vehicles is also on the rise, with a notable shift towards casual gaming platforms such as Candy Crush. The report finds that younger demographics, especially millennials and Gen Z, are increasingly engaging with in-car gaming.
DTS also delves into how these entertainment preferences impact vehicle purchase decisions. More than half of the respondents indicated a willingness to pay a premium for superior in-car entertainment systems. Consumers have expressed a desire for more seamless and integrated entertainment experiences. They prefer systems that minimize the need to switch between different sources to find desired content. Over 50% of respondents are interested in vehicles equipped with both front and rear cabin screens, enhancing the accessibility and enjoyment of in-car entertainment.
Xperi Senior Vice President and General Manager of Connected Car Jeff Jury concluded by saying, “Consumers continue to demand a better in-vehicle entertainment experience, including more media choices and formats. Offering more personalized discovery that sifts through content, from audio to video to gaming, to deliver robust entertainment relevant to consumers’ preferences, will be key to that improved experience – and a key differentiator for automakers.”
