Global Automotive Premium Audio System Market 2017-2021
Overview of the global automotive premium audio system market
Technavio’s market research analyst predicts the global automotive premium audio system market to grow at a CAGR of almost 15% during the forecast period. The growing popularity and demand for in-vehicle entertainment systems will drive the market for premium audio systems. The rapid shift of the automotive industry toward systems offering more comfort and luxury is one of the key factors propelling the market’s growth, specifically in mid-segment vehicles. The manufacturers in the market are increasingly integrating advanced digital processors and microchips within the head units of modern audio systems. These microprocessors and chips improve the sound quality of the system, making them more premium in operation. Consumers are also adopting in-dash entertainment systems and video devices in their vehicles, which has increased the demand for applications such as rear-seat entertainment and displays. Moreover, the incorporation of Bluetooth technology, installed into a vehicle’s audio device allows easy connectivity between the driver's phone and the vehicle's audio system. With the growing requirement for advanced audio system technologies such as energy-efficient systems, reverse guidance systems, Bluetooth-enabled hands-free communication systems, vehicle noise compensation, and touchscreen navigation systems, the market will witness massive growth over the predicted period.
Several manufacturers for automotive entertainment are developing systems that have the potential to deliver wired and wireless connectivity with the integration of hotspot in the main unit. Such integration has enabled portable Wi-Fi for enhanced and uninterrupted connectivity. Several premium audio systems in the upper mid-segment and luxury vehicles also include message access profile (MAP), which offers the driver access to e-mail and SMS with the integration of advanced human-machine interface with high-resolution graphics. Also, with the help of onboard Wi-Fi, the user can have access to the Internet and other social applications.
Competitive landscape and key vendors
The global automotive premium audio system market comprises a few established players, who primarily manufacture and supply advanced audio systems and components. The competitive scenario in this market is anticipated to intensify in the coming years with the industry’s shift toward performance audio systems, improving lifestyles, and incorporation of numerous in-vehicle entertainment technologies. Moreover, the increasing customer preference for better quality car audio-visual and navigation systems will further fuel competition in the market.
Leading vendors in the market are -
- Alpine Electronics
- Bang & Olufsen
- Burmester Audiosysteme
Other prominent vendors in the automotive premium audio system market include Blaupunkt, Boston Acoustics, Bowers & Wilkins, Clarion, Dynaudio, McIntosh Laboratory, Meridian Audio, and Pioneer.
Segmentation by vehicle type and analysis of the automotive premium audio system market
- Premium SUVs
- Luxury sedans
The global market for audio systems for premium SUVs is expected to grow at a steady rate during the forecast period primarily due to the high demand for SUVs, performance pickup trucks, and MPVs worldwide. The major automotive markets such as the US and China are leading the global SUVs market, with the constant increase in their annual sales. Some of the premium SUVs from leading brands such as Mercedes-Benz, BMW, and Audi also come factory equipped with premium sound systems, subsequently increasing the demand for high-end SUVs.
Geographical segmentation and analysis of the automotive premium audio system market
The Americas dominated the global market and accounted for the largest market share during 2016. The US is the major revenue generating country in the region owing to its high production of luxury vehicles. The vehicle manufacturers in North America are equipping their vehicles with advanced sound systems including high-quality speakers and sound amplifiers. With the growing demand for SUVs and luxury vans and sedans, the penetration rate of OEM fitted premium audio systems is also high, subsequently contributing to the growth of the overall market in the region. Moreover, the presence of a large number of audio equipment manufacturers and suppliers will also enhance the growth prospects of the market in the coming years.
Key questions answered in the report include
- What will the market size and the growth rate be in 2021?
- What are the key factors driving the global automotive premium audio system market?
- What are the key market trends impacting the growth of the global automotive premium audio system market?
- What are the challenges to market growth?
- Who are the key vendors in the global automotive premium audio system market?
- What are the market opportunities and threats faced by the vendors in the global automotive premium audio system market?
- Trending factors influencing the market shares of the Americas, APAC, and EMEA.
- What are the key outcomes of the five forces analysis of the global automotive premium audio system market?
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