J.D. Power, a marketing information services company, has unveiled a technology infrastructure that connects a wide range of data assets and runs AI models to create unique insights for the auto industry. J.D. Power say its AI Cloud leverages powerful cognitive computing and algorithmic modelling capabilities to merge data from the company’s proprietary ‘voice of the customer’ studies, macroeconomic trends, pricing data and more into new forecasting models.
The company announces the first commercial roll-out of the new technology will be the J.D. Power Auto Analytics Platform, a web- based resource for calculating automobile residual values. The platform has been designed to draw on a wide range of proprietary J.D. Power insights, macroeconomic data and vehicle-generated data, including the following:
• Transaction data gathered by the J.D. Power Power Information Network (PIN), which represents more than 40% of franchised dealer retail sales transactions in America.
• The J.D. Power/National Auto Auction Association AuctionNet service, which accounts for more than 80% of automotive auction transactions.
• Proprietary J.D. Power studies, such as the Initial Quality Study(IQS); Vehicle Dependability Study(VDS); Automotive Performance, Execution and Layout (APEAL) Study; and Auto Avoider Study.
• Data that can help identify what vehicle owners want from their increasingly automated vehicles by integrating customer insights with connected car data to provide manufacturers with more accurate feedback from owners.
“J.D. Power has been collecting data on consumer interactions with brands and products for 50 years,” says Bernardo Rodriguez, chief digital officer at J.D. Power.
“With our new AI Cloud technology, we are able to generate more granular and valuable insights, by leveraging data streams that go from gasoline prices and retail sales to customer’s perception of the quality or appeal of a specific car model. While automobile residual pricing is a natural starting point to launch the technology commercially, we see enormous potential for these deep data-enabled insights across other aspects of the automotive vertical and across the dozen or so other industries J.D. Power services.”
The company say its Auto Analytics Platform allows auto manufacturers to not only forecast residual value pricing, but it provides a detailed breakdown of the various vehicle features, equipment, design and performance factors and their corresponding influence on residual pricing. This level of detail gives manufacturers valuable strategic insight into their current line-ups and future product decisions.