Spare parts, diagnostics, workshop equipment, workshop concepts

Using the Opportunities Presented by the Digital Age to the Benefit of Customers A Giant Leap into the Future – the New Drivelog Online Portal for Drivers and Workshops A presentation by Robert Hanser,
Chairman of the Divisional Board
Automotive Aftermarket Division, Robert Bosch GmbH

at the Drivelog press conference, 09/04/2012

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  • September 04, 2012
  • Spare parts, diagnostics, workshop equipment, workshop concepts
  • Presentations

press release

Ladies and Gentlemen,

Welcome to our Berlin Bosch representative office, which is also home to the new Mobility Media GmbH – a joint venture providing innovative Internet services.

Today, we are going to present to you a new and unique online portal. The portal is a central Internet platform, aimed at drivers and workshops alike, and offering both target groups a multitude of uses and extensive added value. And the name of this new platform? Drivelog, the online portal for all aspects of mobility.

Before delving into the finer details of what Drivelog can do and the new opportunities it offers drivers and workshops, I would first like to explain the reasons behind the increasing involvement of Bosch – and the Automotive Aftermarket business sector, in particular – in the Internet and in social media projects.

Bosch Automotive Aftermarket: Parts, Workshop Equipment and Services
Ladies and Gentlemen, Bosch Automotive Aftermarket has so far been known in the market as a sales organization for spare parts, a supplier of workshop equipment, particularly diagnostic equipment, and also as a system center for the Bosch Service and AutoCrew workshop concepts. That is our traditional business. We produce high-quality technical products and offer classic services. At Automotive Aftermarket, this focus is two-fold: On the one hand, we focus on the independent, free workshop market, the Independent Aftermarket (IAM), but on the other, the make-related "OES market" (the Original Equipment Services sector) is also important to us. And this won't change in the future.

However, we are also facing up to the new challenges and, above all, taking advantage of the opportunities provided by the digital age. Many people are already referring to the current changes as the fourth industrial revolution. In the same way that the steam engine, and then the production line, and most recently the computer, revolutionized business in their day, today the Internet is changing operational processes, services and the relationship between companies and their customers to an equally enduring degree. As a result of the Internet of things and services in particular, we are seeing a real paradigm shift, which will alter business life in a fundamental manner.

Times of Change
Within the context of the Internet of things and services, we see huge potential in the future Web 3.0, both for the Bosch Group as a whole and for the Automotive Aftermarket sector. In the same way that people connected by the Internet today are able to communicate directly with one another, in the future, "things" will also communicate and interact with each other via the World Wide Web, paving the way for new technical developments and innovative services, the like of which the world has not yet seen.

Ladies and Gentlemen, networking via the Internet is a global trend, which we not only have to adapt to, but which we are actively shaping. In the future, hardware components will be designed to be network-compatible in all instances where this may prove useful. The components will communicate with one another in exactly the same way as they do with their users. An example here is a networked vehicle that collects data and makes contact with its environment. Innovative portals, apps and services link information in real time, and make it available to users in the right context.

As a next step, the participants and users of this kind of system connect with one another via platform software within the scope of a "digital eco system". For some years now, we have all been familiar with networks and social networks referred to under the term Web 2.0 – Facebook and Twitter being the most prominent examples. Eco-system users are now putting information on the platform themselves, making it possible to generate additional data and offer new services. "Data mining", i.e. the selection and collation of information that is really relevant and useful, is important in this regard.

One of the opportunities provided by this development, which can be seen in the example of the Bosch Automotive Aftermarket division, is the expansion of our traditional clientele. New Internet technologies allow us to establish direct contact with drivers and fleet operators, and offer them useful and valuable services. In this way, we are able to develop our market position and ultimately increase demand for our products and services by generating these additional benefits for each individual customer.

First Online Services
Our current online stores, which are still using Web 1.0, constitute a step in this direction. An example here is "Partbob" – a spare parts store that we offer for the clients of our classic Automotive Tradition division. We are also establishing new innovative services for our workshop partners using the opportunities provided by the Internet. "ESI live" is one such project. The project centers on continuing the development of our Esitronic workshop software online. ESI live connects diagnostic systems in the workshop with our data servers, thereby enabling us to determine which errors and malfunctions occur in which circumstances and on which vehicle models, as well as how often they occur. The system continually learns from the experiences of all Esitronic users and thereby improves and speeds up the diagnostic process on an ongoing basis. Guided trouble-shooting based on the probability of a malfunction is becoming possible.

Another similar example is our "Open Innovation Platform" – an online Bosch workshop community. Using this platform, workshop professionals in Germany, Austria and Switzerland are able to discuss current technical issues in topic forums, exchange experiences, propose ideas and discuss issues with our workshop experts.

Drivelog – the New Online Portal
Ladies and Gentlemen, thanks to the introduction of the new "Drivelog" online portal, we are now able to take a significant step forward with regard to our use of Web 2.0. Using the portal, we are linking the wishes and requirements of drivers with services from workshops and other service providers.
As you would expect, we analyzed which services were already available online in this sector first of all, and our analysis revealed that there are three groups of suppliers online. There are driver portals, service portals and workshop portals. What is surprising is that the three areas exist alongside each other with very few links to one another. We saw this division as an opportunity to create a new comprehensive portal to serve the requirements of drivers and workshops in equal measure, and to link the two distinct areas. In Drivelog, we have created a one-stop-shop that offers users the opportunity to manage all aspects of their vehicle in a simple and personalized manner.

We were also conscious that we wanted to create our very own brand image and implemented this idea in the form of a characteristic "Drivelog" look. Only the statement "powered by Bosch" at the side links the portal to the Bosch brand, its partner and facilitator. And Drivelog is thereby, of course, linked to Bosch expertise and our image as a large technology company covering all aspects of mobility.

Drivelog for Drivers
Let’s take a closer look at what Drivelog means for drivers. Vehicle owners can use the new online platform free of charge at home or while out and about using the Drivelog app on mobile devices to manage all data relating to their vehicle. All important data relating to their vehicle is just a mouse click away, and they can easily find the right workshop or service and book an appointment right away.

Furthermore, discussion groups for individual vehicle types or for specific questions and problems also promote the exchange of information between users. In addition, anonymous comparisons of user data enable benchmarks to be created, for example, for the average cost of community members' insurance premiums. Workshop rankings and reports on the experiences of members create added value for the user.

Drivelog accompanies drivers in very stage of the vehicle life cycle. Before a user purchases a vehicle, he can consult Drivelog to establish the expected costs. With partners such as used car market places, we are able to support the user when looking for and buying a car. During use, a regularly updated vehicle service history establishes complete cost transparency. Benchmarks highlight potential savings compared with the values of the driver's own vehicle. In addition, the driver will receive servicing and repair tips, and will be reminded about important dates relating to all aspects of his vehicle. If the vehicle is sold, the full service history in Drivelog serves as a valuable document that can help to push up the sale price.

"My car. My website." That is how we market Drivelog to drivers – and it does not create false expectations – my personalized Drivelog website does in fact offer, link and open up for discussion all information and experiences for all aspects of my vehicle.

Drivelog for Workshops
The most conceptually important and also the largest partner group for us are the workshops. Alongside drivers, they are the second Drivelog target group. The opportunities presented for workshops are equally appealing; they can use Drivelog to contact and communicate with existing and potential new customers.

With just a few clicks of the mouse, a workshop can create an appealing company profile on Drivelog. Specific offers and services can also be advertised on the profile. Customer data can also be maintained via Drivelog and used for marketing campaigns. Furthermore, the online platform is a powerful tool for acquiring new customers – the workshop can assemble target group-specific offers while Drivelog contacts the corresponding customers.

What's more, workshops can use Drivelog's own ticket system to manage their orders. Using this system, customers agree on a preferred date for a service or repair directly with the workshop online, and the contact and vehicle data is then transferred to the workshop automatically.

It was important to us to offer workshops the simplest, most uncomplicated introduction to the portal and one that posed no commercial risk. The basic services including registration and the workshop profile are free of charge. Premium partnership is available for EUR 24.95 net a month; this service includes premium positioning in the Drivelog search engine and the option of intelligent planning for advertising campaigns. Order partners can also make use of the order manager via the online appointment management system. Five percent of the net sales, with a maximum of EUR 20 per order, are calculated for this service.

Drivelog Partnerships
Drivelog is available to all market players: With regard to workshops, the portal is available to all workshops, whether they are contracted or free workshops.
And this also includes partners that we integrate along with their offers. Vehicle insurers are an example here, as are tire dealers. The user profiles allow Drivelog to display relevant insurance offers or offer tire sizes that match the user's vehicle exactly. With just two or three clicks, the driver has the correct information to hand.

Founding Mobility Media GmbH
Ladies and Gentlemen, the introduction of our online strategy and the Drivelog portal sees Bosch operating in a field, and potentially even a world, that is new to us. For this reason, we have teamed up with specialists and, in trommsdorff+drüner, have found a partner that has extensive experience in the field of social media and possesses the skills required for such a complex project as Drivelog. In September 2011, the Automotive Aftermarket division of Robert Bosch GmbH founded the start-up company, Mobility Media GmbH, in conjunction with trommsdorff + drüner GmbH, Berlin. Our joint venture company, based in Berlin, will develop and operate innovative services in the new media sector. Bosch has an 80% stake in the joint venture, while trommsdorff + drüner's share amounts to 20%. Drivelog is the first project to be developed by Mobility Media. Marc Drüner, Managing Director at trommsdorff + drüner, will now present to you details of the work carried out by Mobility Media and the achievements of the team ahead of the Drivelog launch.

Florian Bankoley will then set out in detail the advantages that Drivelog offers customers and the associated workshops.

RF00169 - September 04, 2012

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