Automotive repair and maintenance facilities are provided by complex diagnostics from tire and wheel alignments to oil adjustments to keep passenger cars as well as commercial vehicles in operating condition. Many parts of the vehicles such as brakes, engines, filters, and batteries are not visually checked, while routine maintenance and repair services are essential to them to increase the vehicle’s performance. In addition, daily oil change, brake repair, air conditioning operation, and wheel alignment all lead to improving vehicle life.
The global market for automotive repair and maintenance services market is anticipated to surpass USD 937.7 million by 2030 from USD 535.3 million in 2020 at a CAGR of 5.8% during the forecast period i.e. 2020-2030. As per their research, the market is likely to grow on the back of increasing awareness about vehicle maintenance and vehicle safety across the globe.
Global Automotive Repair and Maintenance Services Market: Segments
Passenger Cars segment to grow with the fastest CAGR during 2020-2030
Around the globe, the market for automotive repair and maintenance services is segmented by vehicle type into bikes & scooters, passenger cars, and commercial vehicles. Among these, the passenger cars segment held the largest market share in the year 2019. As per the CMI analysis, passenger cars are the most selling segment. According to the same analysis, XXXX million units of passenger cars were sold in 2019 and the sale is expected to rise at a CAGR of xx% during the forecast period. Owing to all these reasons, the passenger car segment is anticipated to drive the growth of the market in the coming years.
Global Automotive Repair and Maintenance Services Market:
Increase in Average Age of Vehicles
Advances in technology have led to an improvement in the quality of the materials used in the manufacture of vehicles, which has consequently improved the average automotive life. The use of automotive turbochargers, start-stop systems, and pollution control catalysts has increased vehicle fuel economy and has had a positive impact on vehicle service life. In view of rising reliability, there has been a substantial increase in the number of vehicles over the past few decades across the globe. According to a survey, customers keep their old cars as second-hand vehicles instead of reselling or scrapping them, resulting in significant repair and maintenance services, thereby potentially fueling the market growth.
Online Retailing of Aftermarket Parts affecting Traditional Outlets
Recent surveys and reports on vehicle aftermarket sales have indicated that retailing automotive parts online would adversely impact the business of conventional retailers, such as service centers and dealerships. E-retailers such as Amazon sells goods at much cheaper prices, putting pressure on car dealerships to reduce their costs, which in turn will limit the growth of the demand for car repair and maintenance services during the forecast period. In addition, the integration of B2B and B2C business models, which specifically target DIY customers, further derail the business of specialty repair shops owned locally.
Increased Costs Associated with Repair and Maintenance Services
Rising technical complexity associated with vehicles and automotive parts has resulted in a high cost of maintenance and repair services. Moreover, increasing labor costs worldwide coupled with the reluctance of consumers to adapt to these high-cost services are expected to restrain the global automotive repair and maintenance services market in the near future. As per the primary interviews conducted with key opinion leaders, the annual passenger car maintenance cost per unit may rise by 2x over the forecast period.
Global Automotive Repair and Maintenance Services Market: Key Players
Jiffy Lube International
o Company Overview
o Business Strategy
o Key Product Offerings
o Financial Performance
o Key Performance Indicators
o Risk Analysis
o Recent Development
o Regional Presence
o SWOT Analysis
Arnold Clark Automobiles
Asbury Automotive Group
Goodyear Tire & Rubber Company
Firestone Complete Auto Care
Carmax Autocare Center
Global Automotive Repair and Maintenance Services Market: Region
Asia Pacific to grow with the fastest CAGR during 2020-2030
The global automotive repair and maintenance services market is segmented by region into North America, Latin America, Europe, Middle East & Africa, and the Asia Pacific. Among these, Asia Pacific is witnessed to hold the largest market share of xx% in the year 2019 owing to the growing automotive market in the region. As per CMI analysis, the Asia Pacific region constitutes the world’s 60% population and increased population demands for effective mobility. As the demand for automotive in the Asia Pacific is rising, the automotive repair and maintenance services market is also expected to rise in the region.
Global Automotive Repair and Maintenance Services Market: Impact of COVID-19
The rise of COVID-19 has brought the world to a halt. The health crisis has brought an unprecedented impact on organizations across industries. With an increasing number of active cases on a daily basis, the duration of the pandemic is still difficult to predict. Yet the adverse effect of COVID-19 can be felt upon the global automotive repair and maintenance services market owing to the fluctuation in demand for products associated with optical coatings, the effect on manufacturing organizations due to the implementation of lockdown norms in many nations worldwide and others.
Report on the global automotive repair and maintenance services market also contains analysis on:
Automotive Repair and Maintenance Services Market Segments:
By Vehicle Type
o Bikes & Scooters
o Passenger Cars
o Commercial Vehicles
By Service Providers
o Automobile Dealerships
o Franchise General Repairs
o Locally owned Repair Shops/ Body Shops
o Specialty Shops
o Tire Shops
o North America
o Latin America
o Middle East & Africa
o Asia Pacific
Automotive Repair and Maintenance Services Market Dynamics
Automotive Repair and Maintenance Services Market Size
Supply & Demand
Competition & Companies Involved in the Market
Value Chain of the Market
Market Drivers and Restraints