An industry analyst said the car-service market has become too complex to compete with the Internet, which has been more focused on providing convenience and speed.
“The market is too complex,” said Andrew Dessler, an analyst with MoffettNathanson.
“It’s too complicated to compete.
We think we’ve made a lot of headway.”
While consumers have gotten used to the convenience of their smartphones and social media feeds, they’re still getting overwhelmed by the sheer number of vehicles that need to be purchased.
The number of cars in service has risen dramatically in recent years, from roughly 2 million in 2013 to nearly 10 million today, according to the Federal Trade Commission.
In the United States, car sales rose from 707,000 in 2013, according the NPD Group, to 826,000 last year.
The volume of vehicle sales has risen from 4.3 million in 2012 to 6.6 million in 2015, according NPD.
The industry also has struggled to stay competitive against other services, such as car rental services, auto insurance, and auto repair services.
Automakers have been increasingly focused on the Internet-based car-sales service Uber, which is owned by the ride-hailing company Lyft.
Uber is offering its own services, including car rentals, to drivers who use its app.
Uber CEO Travis Kalanick has said Uber would consider shutting down the service, but he has yet to say if he would consider doing so.
The auto industry is also trying to improve its service by creating new services.
The new services include car-sharing services such as Lyft, which allows people to rent a vehicle from a friend or family member and then share it with other people in the same car.
The services are being offered in more than 20 cities across the United Kingdom, Canada, Australia, New Zealand, and South Africa.
The company also has plans to launch a fleet of self-driving vehicles.
Automaker executives say they’re confident that they will eventually compete with other services.
“We’ve already built a strong brand with our technology and we’ve built a solid brand with customer service, and we are very confident that we will be able to build on that,” Kalanik said during a panel at the National Association of Car Rental Agencies’ annual meeting last week.
“This is an important market for us.
We have a great network of dealers and dealers and we’re excited to have dealers that are going to be driving us in that direction.”