Automotive

Global Automotive After Market

January 12, 2022
ID: SR/AU-44
Format:Pdf
Pages:220

Global Automotive After Market, By Replacements Parts Type (Battery, Brake Pads, Filters, Gaskets & Seal, Lighting Components, Body Parts Wheels, Tires and Others), By Vehicle Type (Passenger Cars, and Commercial Vehicles), By Region (North America, Europe, Asia-Pacific, South America, and The Middle East & Africa)-Global Forecast to 2027.

Description

The global automotive aftermarket was valued at USD 392.35 billion in 2020 and is expected to reach USD 529.88 billion in 2027 with a CAGR of 3.8% during the forecast period 2021-2027. The purpose of automobile drivers majorly drives the global automotive aftermarket to improve their vehicle performance in terms of exhaust sound, speed, appearance parameters, and many different aspects. The Regional regulatory authorities, such as the Japanese Automobile Sports Muffler Association and the US Environmental Protection Agency, observe the built-up standards and environmental impacts associated with automotive component functioning, for example, the noise emission levels linked with the modern-day automotive resonators and dampers in automotive exhaust systems.

What is Automotive Aftermarket?

The automotive parts aftermarket describes auto components and parts installed after the automobile has departed the factory. Vehicle parts, alternate tires, equipment, service repair, crash repair, and accessories, traded after the vehicle’s original sale, are a part of this Industry. It contains companies implicated in the manufacturing, allocation, retailing, installation, and remanufacturing of all vehicle parts and accessories. The digitalization of auto repair & components deals has occurred due to technological advancements, which, in turn, have increased the automotive aftermarket industry advancement.

Growth Drivers

Forceful Growth of OEMs into Aftermarket Activities to Drive the Market Growth

Original tools manufacturers have steadily enhanced their level of movement and concentrate within the automotive parts aftermarket value chain by, for example, making their networks of non-car brand-specific repair shops. Prominent market players seeking to keep up with the vehicle-age-driven market have presented second service formats and second brands (e.g., VW Direkt Express) or remanufactured parts to work with independent aftermarket players and sustain customers in their networks longer. OEMs are also pervade in customer experience optimization measures and introducing differentiated aftermarket service offerings by, for example, leveraging vehicle connectivity to retain customers and automating decision-making connected to service and restoration.

Developing Automotive Industry and Increasing Manufacturing of Auto Components to Drive the Market Growth

Growing consumer attention regarding the repair and appropriate maintenance of vehicles to maintain their performance are several factors anticipated to support the market growth from 2021 to 2027. Moreover, the increasing demand for crossover and long-distance travel vehicles further helps the necessity for periodic repairs and vehicle parts replacement. Extending flexibility in vehicle design and production allows greater customer customization, which will drive market growth over the forecast period.

Opportunities

Increase in Digitalization of Automotive Component Delivery Services, Higher Price transparency and Greater Diversity of Supply for Customers to Fuel Growth

Digital media such as social media raise customer review and purchase methods in advanced and occurring markets. Online sales media give customers comfortable access to knowledge on the price of parts, and end-users use these media to decide which car parts to buy. Online forums give buyers an equivalent view of the quality/value of workshops. Suppliers, OEMs, distributors, and workshop chains are expanding their online participation, and some essential players control already placed their online channels, e.g., Hella GmbH & Co. KGaA. Similarly, a digital sales model allows a leaner and faster value chain that helps suppliers—facilitating the distributor layer and eliminating mediator’s privileges more significant margins and savings for the suppliers to give to the end-users.

Restraints

Adoption of Vehicle Safety Technologies and Growing Electric Vehicle Deals to Restrain Market Growth

The service of sensors in vehicles, which directs to optimum driving behavior, allows lesser wear and tear of cars, especially brakes and tires, which are subjected to severe driving conditions daily. This factor decreases the alternate requirements that may control the Industry’s progress. Furthermore, ongoing research and growth for new raw materials to reduce the breakdown of vehicle parts also limit product penetration. For example, UBC Okanagan, the Sharif University of Technology in Iran, and the University of Toronto developed self-lubricant brakes. The carbon fiber-infused polymer-based brakes are predicted to conduct to smaller brake pads that are better cost-effective and efficient as the small pads can resist higher friction and temperatures.

Pre-Covid-19 impact on the global Automotive Aftermarket

Before the covid-19 outbreak, the digitization of part delivery sales and services, along with the beginning of an online portal spreading aftermarket components in synchrony with the global auto-part supplier groups, are predicted to attract massive investments from the key players. For example, the highest market component suppliers, such as US Auto Parts Network, Inc. and CarParts.com, would cause the global market need in the years to come. The online aftermarket businesses arcade parades have increased potential in developing countries. Also, increasing online sales of automotive parts are calculated to produce considerable demand for the market.

Covid-19 impact on the global Automotive Aftermarket

The COVID-19 outbreak had a strict and swift influence on the worldwide integrated automotive sector. The closure of auto assembly plants, large-scale manufacturing interruptions, and disturbance in aftermarket products exports worldwide torment unnecessary pressure on the Automotive Industry, which is already proceeding with a downshift in global demand. Due to COVID-19, people have stayed home, and the economy has dropped into a recession, placing less wear and tear on their cars. The COVID-19 explosion affected the sales of aftermarket automotive parts in 2020. However, the vehicle aging fleet is predicted to boost demand for these automotive parts in the coming years.

Post Covid-19 impact on the global Automotive Aftermarket

In the aftermath of the covid-19, consumers are anticipated to select private transportation. However, will anticipate the financial differences to hinder the purchase of new vehicles; due to funding restrictions, commuters are predicted to opt for used cars. Increasing deals of used cars are foreseen to surge the demand for aftermarket automobile components for vehicle keep. On a larger scale, the pandemic is predicted to cause the recovery of some entry-level aftermarket players in growing countries. The market will again be predicted to change with the demand from distinct segments of customers as every type of segment has its importance concerning car repair and maintenance.

By Replacements Parts Type Segmental Analysis

Based on replacement parts type, the global automotive aftermarket is segmented into battery, brake pads, filters, gaskets & seals, lighting components, body parts, wheels and tires. The wheels and tires segment is valued for the highest revenue share in the global market in 2020. The body parts component is cast to maintain one of the largest market shares due to a boosted focus on the safety of vehicle occupants associated with research and development by major aftermarket participants to decrease the general weight of a vehicle by introducing lightweight and cost-effective solutions.

Moreover, the filters segment will likely catch over 3% CAGR from 2021-2027 due to increasing market penetration and customer awareness concerning the substitute and presence of cabin air filters and acquiring higher value filter products in well-developed regions. Further, the lighting components segment is predicted to develop due to high demand in regions with poor road infrastructure to prevent accidents and the adoption of creative lighting solutions, particularly in highway vehicles.

By Vehicle Type Segmental Analysis

Based on vehicle type, the global automotive aftermarket is segmented passenger cars and commercial vehicles. The passenger car segment is predicted to display better growth in this market over the forecast period. More significant consumer attention concerning alternative fuel mobility and the development of conventional vehicles on global warming has shown to the expanding popularity of electric vehicles, thereby impacting growth in the passenger car segment.

Moreover, the commercial vehicle segment is predicted to show steady growth in this market due to open emission standards for commercial vehicles that will probably impact the repair side through increased adoption of engine electronics.

By Regional Segmental analysis

By geography, the global automotive aftermarket is classified into North America, Europe, Asia Pacific, South America and Middle East & Africa. The Asia Pacific is projected to dominate the global automotive aftermarket by 2027. Due to the automotive aftermarket in the Asia Pacific is segmented by growing vehicular sales in terms of both passenger cars and commercial vehicles in occurring economies such as China and India. Also, there have been increasing mergers among components distributors and the significance of new tax reforms responsible for substituting the current disorganized sector. These factors are anticipated to lead to a dominant share of APAC in the global market.

Europe is predicted to hold the second-largest market share. Developed technology usage in the imagination of auto parts and the digitization of automotive component delivery sales fuel the market evolution in this region.

Moreover, North America is also foreseen to deliver constant growth in this market, with the United States calculated for the highest share. The existence of key manufacturers has placed this region as a powerful automotive parts and accessories aftermarket manufacturing hub.

Competitors Analysis

Companies included are Robert Bosch GmbH, Denso Corporation, Magna International Inc., Continental AG, ZF Friedrichshafen AG, Aisin Seiki Co., Lear Corp., Valeo SA, Bridgestone Corporation, and Faurecia are key prominent players in global automotive aftermarket.

Key Stakeholders

Recent Development

In April 2021 – Lippert Components Inc. declared the purchase of Kaspar Ranch Hand Equipment, LLC. With this investment, Lippert Components Inc.’s strived to extend its existence in the automotive parts aftermarket.
In February 2020 – MotoRad LTD. collaborated with the Automotive Aftermarket Suppliers Association (AASA) and Auto Care Association to endorse the “Your Car. Your Data. You’re Choice.” Campaign. This movement announced vehicle owners’ data with vital maintenance and repair information.

Scope of the Report

Report Attribute	Details
Market Size Value in 2021	USD 392.35 Billion
The revenue forecast in 2028	USD 529.88 Billion
Growth Rate	CAGR of 3.8 % from 2021 to 2027.
Historical data	2017-2019
Forecast period	2021 – 2028
Region covered	North America, Europe, Asia-Pacific, South America, and Middle East & Africa
Key companies Profiled	Companies included are Robert Bosch GmbH, Denso Corporation, Magna International Inc., Continental AG, ZF Friedrichshafen AG, Aisin Seiki Co., Lear Corp., Valeo SA, Bridgestone Corporation, Faurecia.

Market Modelling

By Replacement Parts Type

By Vehicle Type

Passenger Cars
Commercial Vehicles

By Region

North America
Europe
Asia-Pacific
South America
The Middle East & Africa

Table Of Contents

Methodology

Request Sample

Frequently Asked Questions (FAQ):

What is Automotive after Market?

What is the growth rate of the global automotive aftermarket?

The global automotive aftermarket was valued at USD 392.35 billion in 2020 and is expected to reach USD 529.88 billion in 2027 with a CAGR of 3.8% during the forecast period2021-2027.

What are the driving factors for the global automotive aftermarket?

The major driving factors for the global automotive aftermarket are an increase in digitalization of automotive component delivery services, higher price transparency and greater diversity of supply for customers, fuel growth and developing automotive industry, and increasing manufacturing of auto components to Drive Market Growth.

Which region is expected to have the largest share in the global automotive aftermarket?

Asia-Pacific is expected to have the largest share in the global automotive aftermarket.

Who are the major players in the global automotive aftermarket?

Companies include Robert Bosch GmbH, Denso Corporation, Magna International Inc., Continental AG, ZF Friedrichshafen AG, Aisin Seiki Co., Lear Corp., Valeo SA, Bridgestone Corporation, and Faurecia are the major players in the global automotive aftermarket.

Select License

We Accept

Analyst support

After evaluating your requirements and addressing your technical problems, the expert analyst will resolve your query directly.

Customer satisfaction

According to your needs, our expert team will assist you with the capabilities, services, and proper research needs to be required and customize the report accordingly.

Inimitable expertise

Our expert team will create unrivaled reviews to provide you with a deep understanding of the reports.

Assured quality

We have created a systematic way to determine standards and satisfy your expectations.

Instant delivery

Unlike others, we provide you a great deal of instant delivery in the form of PDF/PPT/Word Doc directly to your email address within 24 hours after receiving full payment.

Privacy policy

We understand the inkling of your privacy, we will never misuse your email address.

Custom research service

We are giving you an opportunity through which you can directly ask our expert analyst to customize an exclusive study of the report to serve your research needs.

Quality & accuracy

We provide you with the accurate quality of the customized study of an exclusive report according to your research need.

Data visualization

As the business world’s growing faster every day, we understand the value of data management. We will create the reports by keeping all the visual data sets and metrics in the charts.

Information security

We truly respect your privacy and promise to keep your personal and confidential information safe and secure.