Asset Allocation Approach – Redefining diversification in your portfolio
Saxo Bank A Case Study
Digita’l’ize and capture new demand
Saudi Arabia is rapidly evolving into a digitally connected society. With smartphone users projected to reach nearly 20 million, and mobile internet penetration expected to grow from 60% in 2018 to 62% in 2023, the market is primed for a digital automotive revolution.
According to the Statista Digital Market Outlook (Connected Car Segment, 2019), the connected car market in Saudi Arabia is showing impressive year-on-year growth across multiple segments:
Statista Digital Market Outlook Connected Car Market Segment 2019
| Segment | Growth | ARPU (USD) |
| Connected Hardware | +22.8% YoY | $128.60 |
| Vehicle Services | +30% YoY | $29.65 |
| Infotainment Services | +50% YoY | $74.91 |
What it means?
- Opportunity to create uncontested market space
- Make the competition irrelevant
- Create and capture new demand
- Break the value-cost trade-off
- Align the whole system of a firm’s activities
- in pursuit of differentiation, low cost and digital
Key Segments of the Digital Car Ecosystem
- Connected Hardware
Telematics, remote diagnostics, geo-localization, eSIM, eCall integration - Fleet Management & Monitoring
Vehicle tracking, behavior analytics, predictive maintenance - Infotainment & In-Car Services
Navigation updates, real-time traffic, streaming media, over-the-air info - Mobility & Ownership Services
Car sales, insurance, rentals, servicing, roadside assistance - POS Integration
Offline sales tracking, connected purchase journeys
A Market-Defining Shift: Women Drivers
The integration of Saudi women into the driving population—a change championed by Vision 2030—adds a significant new customer base.
Estimated Market Entry (in thousands):
| Region | Women Drivers |
|---|---|
| Makkah | 800 |
| Riyadh | 730 |
| Eastern Province | 430 |
| Madinah | 200 |
How Will Transformation Happen?
To stay ahead in this rapidly shifting market, existing automotive players must:
Leverage the API economy to integrate and scale effortlessly
Horizontalize services (expand across value chains)
Pulverize product offerings into modular, API-accessible components
Focus relentlessly on customer experience
How can we help?At bCubex, we specialize in powering digital transformation for automotive and mobility businesses. Our services include:
- CTO-as-a-Service
- Custom Engineering & Development Teams
- Process Digitalization & Automation
- API Strategy and Integration
- Data-driven CX Innovation
Whether you’re a legacy auto business or a mobility startup, we provide the technical depth and strategic guidance needed to accelerate your journey into the connected car economy.
