ID: MRFR/AM/4790-CR | October 2020 | Region: Global | 100 pages
Automotive aftermarket industry is expected to reach USD USD~500 Billion by 2027, registering a 4% CAGR during the assessment period (2020-2027).
If you're wondering what automotive aftermarket is all about it's just a project to record momentous games witnessing rising sales of automobiles and how the demand for OME technologies has increased. The major factor that has contributed to automotive aftermarket industry growth is worldwide economic growth. Also automotive is one of the few businesses that allow it to perform even during the time of recession. The demand for spare parts is always high during the spring season. Not just in the spring season but throughout the year because Western weather is usually cold.
As for the current time of COVID 19 the automotive aftermarket industry has severely been affected by the overall situation. This pandemic has deceived the force of the automotive sector to reduce the output and their production plants. The lockdown period proved to be very severe prompting various automotive aftermarket suppliers to stay back in the production especially in some areas.
Covid-19 has led to a long-term disruption. But it is expected that the boost will take place in 2021 by increasing personal vehicle sales and when life goes back to normal there will be an increase for vehicles needing frequent repairs. It is expected to be normal with traffic returning to the roads post lockdown.
The global market is growing tremendously. Various factors influence the growth of the automotive aftermarket industry. These factors include reasons such as rapid growing automobile sales and escalating demands from all over the world such as international brands. Increase in the global industry by rising technological advances along with this there is a growing internet and the browsing world. In addition to all this rapid digitalization has increased the automotive aftermarket size. Continuous economic growth worldwide is considered as the major factor contributing to the growth of the automotive aftermarket.
The global market is growing tremendously. Various factors act as opportunities for further growth. These opportunities include lowering fuel prices and personal vehicles replaced by public transport due to the environmental threat which is outdoing cost and convenience considerations.
The global market is growing tremendously. There are hindrances in the part of growth such as reduction in the sales due to increased government incentives. An increase in government incentives better imposed for new vehicle purchases has only resulted in a steep decline in the number of older workers who were required by the aftermarket services.
Automotive aftermarket industries are growing up early in the global world. Some benefits include repairing older vehicles, developing a bigger network, and adding up to the luxury expenditure.
The global market has been segmented into various types based on type, vehicle age, vehicle type, and region.
The global market has been divided based on type into offering and channel. According to the estimated data the offering is further classified into parts and services. The channel segment is further classified as authorized repair and independent repair.
The global market has been divided based on vehicle age into 0-4 years, 4 - 8 years, and above 8 years.
The global market has been divided based on vehicle type into passenger vehicles and commercial vehicles.
The global market has been divided based on region into North America Europe Asia Pacific and the rest of the world.
The automatic aftermarket industry in the global market has been divided based on region into North America, Europe, Asia Pacific, and the rest of the world. North America. According to the automotive aftermarket industry analysis proves to remain a dominant market. Factors include the strong presence of all the major market players. The presence of components in auto solution providers also drives the market size even bigger.
Followed by the country of Europe it is the second biggest market in the automotive aftermarket industry. The factors that drive the increase of market value are the presence of well-established automotive sectors and automotive industry players. Other factors include the increase in spending on luxury cars along with the demand for lightweight and fuel-efficient vehicles in the regions of Europe.
The Asia-Pacific region stands third in the emerging market of the automotive aftermarket industry. Heading to the automotive sector is in this region. It is believed that advances in technology are an important factor. China has the lead in the APAC automotive aftermarket which is followed by the countries of India and South Korea.
The most prominent key players in the automotive aftermarket industry are as follows-
These most prominent major key players in the global market use various strategies to cater to the increasing need of the customer. They use various policies and strategies like innovation in the existing product, expansion of business, collaborations, mergers, and acquisitions, and partnerships to increase their customer base in the global potential market.
The automotive distribution network partnered with RepairPal which is an auto repair network of certified mechanics and shops. This partnership helped the automotive distribution network to expand even further. This expansion led to a broader customer base and increased repair revenue.
Other advancements were made in Best Buy which has added Novalex and Candid Auto Parts as full members shareholders. These companies are Novalex INC. Is known as the most established department store owner which serves the automotive aftermarket with various locations in Burlington and Milton Ontario. This for the experience of the customer base in different locations.
Also, Chevrolet in India announced its plan that it was going to continue to provide after-sales support to customers throughout the year 2021. Also beyond this network of others is the service operations and parts distributors that have been accessed in India in around 142 cities.
Other companies that partnered with each other are BOLT On technology which is one of the most leading automotive aftermarket technology solutions suppliers. Dan owns their apartment or the top e electronic payment processing company worldwide. This partnership profited in a way that enabled BOLT On to give access to all the global payments.
The global automotive aftermarket industry research report consists of the following elements:
This global automotive aftermarket industry research report consists of the factors that drive the global market along with the factors that restrict the global market. This report also contains various growth opportunities in the global market during the forecasted period. The impact of COVID 19 on the market is also estimated. The future growth rate of the global market is mentioned.
|CAGR||4.% CAGR (2022-2030)|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Billion)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Offering, Channel, Vehicle Age, Vehicle Type|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Continental AG (Germany), Aisin Seiki Co. Ltd. (Japan), Robert Bosch GmbH (Germany), 3M (U.S.), Valeo (France), Denso Corporation (Japan), Magneti Marelli S.p.A. (Italy), Cooper Tire & Rubber Company (U.S.), Sumitomo Electric Industries Ltd. (Japan), Federal-Mogul Corporation (U.S.), Aptiv PLC (U.K.)|
|Key Market Opportunities||Average vehicle age is likely to increase as economic pressures force consumers to postpone new-car purchases|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The Estimated CAGR of the automotive aftermarket industry mentioned in the research report is estimated to be approximately 4.40 percent. The cagr is expected in the estimated forecasted period of 2017 to 2023. Also, there is an estimated or expected reach of USD 1000 billion by the year 2027.
The automotive aftermarket is a simple project to record moments of games witnessing rising sales of automobiles and the demands of OEM technologies. Many factors impact automotive aftermarket trends but to mention one, it is the significant impact of economic growth.
The one major factor to be mentioned that drives the automotive aftermarket industry is the increasing automobile sales that are vacuolating demand for all the international brands which directly impacts the market. This impact increases the automotive aftermarket industry revenue.
The prominent players in the automotive aftermarket industry are as follows- Continental AG (Germany),Aisin Seiki Co. Ltd. (Japan),Robert Bosch GmbH (Germany),3M (U.S.),Valeo (France),Denso Corporation (Japan),Magneti Marelli S.p.A. (Italy),Cooper Tire & Rubber Company (U.S.),Sumitomo Electric Industries Ltd. (Japan),Federal-Mogul Corporation (U.S.),Aptiv PLC (U.K.)
It is expected that the value of the market by the end of the review timeframe will be more than $1000bn.
Aisin Seiki Co., Ltd., Valeo, Continental AG, 3M, and Denso Corporation are the major five players operating in the global automotive aftermarket in 2017. High-quality and competing on a on a low-cost strategy are the two driving factors of the market. These companies continue to retain their strong global presence through expansion, merger & acquisition, partnership & collaboration, and extensive product portfolio.
Aisin Seiki Co. Ltd. is a leading company in this market. They offer a wide range of products that increases the value and performance of the company. The company offers transmissions, clutches, disc brakes, ABS, suspensions, oil pumps, power windows, and power door locks. Aisin Seiki Co., Ltd. is headquartered in Japan. The firm had an employee strength of approximately 100000 individuals as of 2016. Aisin's main automotive business offers automotive-related products such as transmissions, brakes, and engine and car navigation systems. The company has around 180 consolidated subsidiaries and companies, worldwide. The company has adopted diversification as a strategy to cater to a wide range of customers. In 2014 it established new subsidiaries in Indonesia and began constructing a new facility in Brazil. The company focuses to combine and link its individual businesses, strengthening and maximizing the potential of the products and technologies that are cultivated by each company.
Valeo is engaged in designing, manufacture, and marketing of comfort & driving assistance systems, powertrain systems, thermal systems and visibility systems and automotive products. The company is an automotive supplier and partner to various automakers with more than 155 production sites in 32 countries such as China, India, Japan, Russia, U.S., Brazil, France, Spain, and other countries of Europe, and Africa. Peiker Acustic GmbH & Co. KG, Valeo Thermal Systems Japan Corporation, and Valeo Pyeong Hwa Co., Ltd are some of the subsidiaries of the company. The company has used its expertise in innovative products, systems, and solutions that reduce automobile CO₂ emissions, improve vehicle performance, and develop intuitive driving. The company has adopted expansion as their strategy to cater to a wide range of customers. The key focus remains on applying these technologies and technical know-how to the automotive segment, which exhibits growth potential, in an effort to expand its business.
Continental AG is engaged in the manufacture and supply of the tires, brake systems, interior electronics, automotive safety, powertrain and chassis components, and other parts for the automotive and transportation industries. The company operates in 427 locations across 56 countries such as China, India, France, Germany, Canada and U.S. ContiTech, Vergolst, and Continental Emitec GmbH are some of the subsidiaries of the company. The company offers safe, efficient, intelligent and affordable solutions for vehicles, machines, traffic, and transport. Continental AG is headquartered in Germany. The firm had an employee strength of approximately 235,000 individuals as of 2016. The company intends to continue to increase its market share in the current business lines and related business lines through product development and internal growth.
3M operates in electronics, telecommunications, industrial, consumer and office, healthcare, safety, and other markets. The company operates under five business segments, namely, Industrial; Safety and Graphics; Electronics and Energy; and Health Care. 3M has more than 80 manufacturing plants in about 30 US states and operates +120 manufacturing and converting facilities in about 35 other countries across Asia-Pacific; Europe, Middle East, and Africa (EMEA); Latin America; and elsewhere in North America. 3M is geographically located in US. The firm had an employee strength of approximately 91,500 individuals as of 2016. The company has adopted acquisitions as their strategy to cater to a wide range of customers. To focus on its core high-growth operations and reduction of its exposure to the consumer and electronics markets over the last several years, 3M has sold off 14 businesses while making a number of expensive acquisitions.
Denso Corporation is engaged in the manufacture and supply of advanced automotive technologies, systems, and components for major automobile manufacturers. Denso Corporation has 191 sites all over the world, as of 2016. The company operates through major business segments such as powertrain control, thermal, information & safety, electronics, small motors and new business. Denso Corporation is headquartered in Japan. The firm has an employee strength of approximately 151,000 individuals as of 2016. Denso Corporation has presence in countries such as China, Japan, U.S., Canada, U.K., Germany, Italy, and South Africa. The company has adopted new product development as their strategy to cater to a wide range of customers. The company is working to reduce heat loss caused by air ventilation and to minimize air-conditioning capacity by directing, both the heating and cooling functions solely to passengers, and by promoting increased power-saving capabilities. In 2018, the company announced two new thermal product groups for DENSO EUROPE — resistors and HVAC actuators.
The growth of the market vendors is dependent on market conditions, government support, and industry development. Players focus on strengthening their presence worldwide through partnership & collaboration followed by mergers & acquisitions during the forecast period. These strategies are widely adopted to increase their presence and the customer base. The competitive environment in the market is likely to intensify further due to new product development and business expansion.