PUBLISHER: The Business Research Company | PRODUCT CODE: 1435677
PUBLISHER: The Business Research Company | PRODUCT CODE: 1435677
The automotive aftermarket represents the secondary sector within the automotive industry, focusing on the production, distribution, retail, and fitting of diverse vehicle components, tools, machinery, and enhancements intended for both light and heavy vehicles, following the initial sale of the automobile by the original equipment manufacturer (OEM). Referred to as aftermarket parts, they are alternatively termed generic or non-OEM parts, manufactured by entities distinct from the vehicle's original maker. These components serve identical functions as the original parts and are viable replacements during repair and maintenance operations.
The automotive aftermarket market primarily comprises product categories such as tires, batteries, brake components, filters, body parts, lighting and electronic elements, wheels, exhaust parts, and turbochargers. These diverse products play essential roles in the maintenance and repair of automobiles. In terms of certification, they fall into three main categories such as genuine parts, certified parts, and uncertified parts. Their application extends predominantly to passenger cars and commercial vehicles. Distribution of these products primarily occurs through offline retail outlets and online distribution channels.
The automotive aftermarket research report is one of a series of new reports from The Business Research Company that provides automotive aftermarket statistics, including automotive aftermarket industry global market size, regional shares, competitors with automotive aftermarket share, detailed automotive aftermarket segments, market trends and opportunities, and any further data you may need to thrive in the automotive aftermarket industry. This automotive aftermarket research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The automotive aftermarket market size has grown rapidly in recent years. It will grow from $406.6 billion in 2023 to $470.24 billion in 2024 at a compound annual growth rate (CAGR) of 15.6%. The growth observed in the historical period can be attributed to the increase in global vehicle ownership, cultural shifts towards DIY maintenance, a rise in independent repair shops, regulatory changes impacting repairs, and trends in vehicle customization.
The automotive aftermarket market size is expected to see rapid growth in the next few years. It will grow to $758.97 billion in 2028 at a compound annual growth rate (CAGR) of 12.7%. Projected growth is driven by service-oriented offerings, advanced materials adoption, digital transformation, vehicle electrification, and a focus on sustainability. Key trends include a rise in vehicle age, shifting consumer preferences, increased environmental awareness, growing demand for sustainable products, and innovation in replacement parts.
The automotive aftermarket market is experiencing growth, propelled by the increasing sales of both pre-owned and new vehicles. Notably, consumer preferences for car purchases have nearly returned to pre-COVID-19 levels, with strong demand observed in key markets such as the United States and China. As of 2021, new car sales have reached 94%, while used car sales have surpassed pre-COVID-19 levels at 97%. This resurgence in vehicle sales is indicative of a robust market. Furthermore, there is a notable surge in the purchase intent for electric vehicles, contributing to the overall momentum. The rising preference for both new and pre-owned vehicles is a key driver fueling the demand within the automotive aftermarket sector.
The anticipated increase in demand for spare parts is poised to drive the automotive aftermarket market in the future. Spare parts play a crucial role as components or items used to replace or repair damaged, worn-out, or malfunctioning parts of vehicles. Within the automotive aftermarket, these spare parts are essential for supporting maintenance, repair, and customization activities. As of July 2023, data from The Bureau of Labor Statistics, a US-based federal agency, indicates a notable 11.0% increase in motor vehicle parts manufacturing export prices from December 2019 to December 2022. This trend reflects a 1.7% price increase in 2020, followed by a 1.6% rise in 2021. The escalating demand for spare parts is expected to be a key driver propelling the growth of the automotive aftermarket market.
Prominent companies within the automotive aftermarket are strategically focusing on the development of innovative solutions, exemplified by the introduction of the latest aftermarket brake pads. Aftermarket brake pads refer to replacement brake pads manufactured by third-party entities, distinct from the original equipment manufacturer (OEM) parts provided by the vehicle's maker. As of October 2023, Brembo S.p.A., an Italy-based automotive braking systems manufacturer, has announced the launch of the 'Copper Free XTRA' brake pad line. This innovative line is equipped with Low Met and Ceramic NAO formulations, effectively bridging the gap between Brembo's aftermarket and performance lines. The 'Copper Free XTRA' brake pad line offers two distinct variations. The XTRA Low Met line is designed to deliver top-tier performance, enhanced braking capabilities, and an exceptional driving experience tailored for car enthusiasts. On the other hand, the XTRA Ceramic line prioritizes outstanding performance and comfort while minimizing dust generation, ensuring cleaner wheels. This strategic emphasis on innovative brake pad solutions exemplifies major companies' commitment to advancing and diversifying their offerings in the automotive aftermarket sector.
Key players in the automotive aftermarket sector are strategically directing their efforts towards the development of innovative solutions, with a notable focus on eCommerce platforms. An eCommerce platform serves as a digital framework or software solution, empowering businesses to conduct online transactions, sell products or services, and effectively manage their online presence. A case in point is AutoNation, a US-based automotive retailer company, which, in October 2023, unveiled 'AutoNationParts.com'-an eCommerce platform dedicated to auto parts and accessories. This newly launched platform provides customers with a convenient avenue to purchase products at competitive prices and have them delivered directly to their doorstep. 'AutoNationParts.com' offers an extensive selection of authentic manufacturer parts spanning over 25 brands. Customers can easily search for specific parts using criteria such as the vehicle identification number (VIN), year, make, model, trim, and engine, as well as through keywords and part numbers. This strategic move highlights major players' commitment to leveraging eCommerce platforms as part of their innovative solutions in the automotive aftermarket.
In November 2021, Spiffy, a dynamic mobile car care, technology, and services company, unveiled a strategic partnership with RepairPal, an established auto repair network. Through this collaboration, Spiffy's fleet customers gained access to independent auto repair shops within RepairPal's extensive network. RepairPal, headquartered in the United States, is recognized for providing car owners with free car repair estimates and connecting them with trustworthy shops that offer fair and accurate prices along with quality parts.
Major companies operating in the automotive aftermarket market report are Royal Dutch Shell PLC, Robert Bosch GmbH, ZF Friedrichshafen AG, Denso Corporation, Continental AG, Magna International Inc., AISIN SEIKI CO. LTD., Minnesota Mining and Manufacturing Company, Faurecia SE, Valeo SA, Lear Corporation, Goodyear Tire & Rubber Company, Cooper Tire & Rubber Company, Schaeffler AG, BorgWarner Inc., Adient PLC, Adient PLC, Dana Incorporated, Autoliv Inc., Magneti Marelli S.p.A., Mahle GmbH, DRiV Incorporated, Hella GmbH & Co. KGaA, Delphi Technologies PLC, Visteon Corporation, Garrett Motion Inc., Meritor Inc., Gentex Corporation, Exide Technologies Inc., Federal-Mogul LLC, Knorr-Bremse AG, Osram Licht AG, Veoneer Inc., WABCO Holdings Inc.
Asia-Pacific was the largest region in the automotive aftermarket market in 2023. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the automotive aftermarket market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the automotive aftermarket market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The automotive aftermarket includes revenue earned by entities by vehicle parts, equipment, replacement tires, service repair, collision repair and accessories. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Automotive Aftermarket Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on automotive aftermarket market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for automotive aftermarket ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The automotive aftermarket market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.