Automotive Repair and Maintenance Services Market - North America, Europe, EMEA, APAC : US, Canada, China, Germany, UK - Forecast 2023-2027

Automotive Repair And Maintenance Services Market Forecast 2023-2027

The automotive repair and maintenance services market is estimated to grow by USD 93.19 billion, at a CAGR of 3.84% between 2022 and 2027. The market is poised for substantial growth, driven by various factors. With a growing preference for road transportation worldwide, the demand for repair and maintenance services for vehicles continues to rise. Additionally, the availability of financing and insurance options facilitates vehicle ownership, leading to increased demand for maintenance services. Moreover, stringent government regulations aimed at curbing pollution necessitate regular maintenance to ensure compliance, further boosting the market for automotive repair and maintenance services. This market analysis and report includes key information on drivers, trends, and challenges of the market during the forecasted period.  

What will be the size of the Market During the Forecast Period?

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In the Automotive Repair and Maintenance industry, Digits and Technology play a significant role. With the advent of Apps and online booking systems, customers can now easily schedule Precise and Transparent repairs and services. Augustive is a key player in this market, offering a wide range of services including Diagnostics, Plaftorms for online booking, and Maintenance services. The Digital shift has enabled real-time communication between customers and service providers, ensuring a seamless experience. Online platforms like Onlines and Prices enable customers to compare prices and make informed decisions. The Delivery of services through Digital means has become a necessity, as customers value convenience and time-saving solutions. Furthermore, the Franchise model of business has gained popularity, with brands like Precise and Transparent offering franchise opportunities to entrepreneurs. The Market is expected to grow, as the need for regular vehicle maintenance and the increasing adoption of digital solutions continue to shape the industry.

Market Dynamics and Customer Landscape

In the industry, Vehicle fleets and maintenance are key components. Companies depend on reliable vehicles to provide services and keep their business running smoothly. Vehicle maintenance involves regular checks and servicing to ensure optimal performance and longevity. Components such as engines, brakes, and transmissions require periodic attention. Safety is a top priority, and regulatory compliance is essential. Providers offer a range of services, from oil changes and tire rotations to more complex repairs and diagnostic work. Proactive maintenance can help prevent costly breakdowns and extend the life of vehicles. Depending on the size and complexity of the fleet, some companies may opt for in-house maintenance, while others prefer outsourcing to professional service providers. The market for automotive repair and maintenance services is significant, with a growing demand for efficient, cost-effective solutions. Our researchers analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

The growing preference for road transportation is notably driving the market growth. The growing preference for road transportation for last-mile delivery and the subsequent increase in the use of heavy-, medium-, and light-duty vehicles in emerging countries will lead to an increase in vehicles, especially HCVs, on roads. One of the main reasons for enterprises to opt for road transport to transport cargo is the limited rail freight services within a country.  

Furthermore, the lack of sufficient freight services is making companies choose roadways as a reliable mode of transportation for their products. Roadways are highly preferred for freight transport as these are more convenient than rail transport, cheaper than air transportation, and faster than waterways. Since in road transportation, vehicles travel long distances every day to deliver packages, it leads to an increase in the wear and tear of vehicles. This encourages Companies to offer maintenance and repair services dedicated to fleet operators. These services include oil and fluid top-ups, puncture repairs and number plate replacement, washing and vac after every workshop visit, and fitting of wiper blades, bulbs, and batteries for all the vehicles in a fleet. Therefore, these factors will boost the global market during the forecast period. 

Significant Market Trend

The use of 3D printing for repair is an emerging trend in the market. 3D printing is a process in which three-dimensional solid objects are made from a digital file. 3D printing recreates existing objects with the use of computers and other computerized components, and it can also create customized objects as per the user's design. Though 3D printing has been in the market for a long time, its potential is still untapped.

In the automotive industry, this technology can be used to repair cars whose parts are non-existent or hard to find. It will scan the broken part and give out a new one. Hence, due to the benefits of 3D printing in repairing a vehicle, Companies in this market are adopting this technology to save time. For instance, Service King, a prominent US-based auto repair company, has implemented 3D printing in order to improve its operations. By using the 3D printer, it innovated its bumper repair process with parts produced in-house. The purpose of Service King to use of this technology was to replace the crucial plastic tabs that attach a bumper to the front of the automobile, and with a 3D printer, it was able to increase the quality of the repair. Therefore, such advancements will fuel the market growth and trends during the forecast period. 

Major Market Challenge

The rise in demand for electric vehicles is a major challenge impeding market growth. EVs are vehicles that can be recharged from an external source of electricity, such as the electricity stored in rechargeable battery packs, drives, or wall sockets. Since these vehicles work on electricity, they help reduce harmful air pollution, leading to a better quality of air and reducing health problems caused due to air pollution. Additionally, if renewable energy is used to recharge the EV, it will lead to a reduction of greenhouse gases. Thus, EVs help in reducing the harmful impact on the environment. Hence, they are finding increased adoption among customers. 

However, as EVs work on electric engines, they do not require oil changes. They also have fewer moving parts, which rarely break down, thus, removing the need for repair and maintenance services providers. In addition, EVs can be serviced by customers by using parts that can be purchased online or fixed remotely through over-the-air updates. These providers will be restricted to vehicles that meet with an accident and sustain damage. Thus, the rise in demand for EVs can negatively affect the growth rate of the global market during the forecast period.

Customer Landscape

The market research and growth report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market forecasting report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

 Customer Landscape

Market Segmentation

The market in the automobile industry is experiencing significant growth, driven by the increasing demand for passenger and commercial vehicles in developed and developing countries. This trend is influenced by the lack of electric vehicle charging infrastructure and the popularity of petrol vehicles, as well as the increasing production of oil and shale gas. Online sales platforms and software expertise are transforming the market, enabling aftermarket solutions and specialist repair services for price-sensitive customers. Connected car technologies, self-driving capabilities, and subscription-based maintenance programs are shaping the future of the industry. The Mechanical, Exterior & Structural, and Electrical segments cater to various vehicle types, including two wheelers, hybrid vehicles, commercial vehicles, and luxury vehicles. High-quality replacement parts and efficient repair time are essential for profitability, while data analytics and sensors provide valuable insights for improving maintenance services. The market's growth is further fueled by the increasing adoption of automotive technology and the expanding role of data-driven services in the automotive sector. The focus on aftermarket solutions and specialist repair services is expected to remain a key trend, as the industry adapts to the evolving needs of the automotive technology landscape.

By Type

The market share growth by the internal combustion engine segment will be significant during the forecast period. The internal combustion engine segment has grown tremendously and is expected to grow during the forecast period due to increasing demand for passenger and commercial vehicles in developed and developing countries.

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The internal combustion engine segment was valued at USD 369.86 billion in 2017 and continued to grow until 2021. The increasing popularity of petrol vehicles and the increasing production of oil and shale gas are the major factors contributing to the growth of the segment. Vehicle ageing also has a positive impact on industry growth as ageing vehicles need to be repaired and replaced more frequently. Moreover, the growing demand for shared mobility is one of the main factors driving up the annual maintenance costs of taxis or shared vehicles due to the increase in annual mileage. Therefore, all these factors are expected to boost the growth of the global market in focus during the forecast period.

Regional Analysis

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APAC is estimated to contribute 33% to the growth of the global market during the forecast period. Another region offering significant growth opportunities to Companies is North America. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

The Automotive production in North America, driven by new car registrations and the presence of major vehicle manufacturers, will fuel the growth of the market. The increasing size of the vehicle fleet necessitates regular Vehicle Maintenance, with a focus on safety and dependable services. Independent auto services and service providers offer Service Flexibility and Cost Competitiveness, appealing to various vehicle owners, including those of Passenger Cars, Electric Vehicles, and commercial fleets like Taxis and Shared Mobility. Automotive sales and post-sale services continue to expand, with dealerships and franchise stores enhancing their Online Presence and Digital Platforms for Price Transparency. Government Regulations and advanced technologies like Automotive Diagnostics Tools, Augmented Reality Apps, Big Data, and Predictive Maintenance shape the industry landscape. Aftermarket Maintenance, Vehicle Customization, and Replacement Parts contribute to Annual Maintenance Costs. CXOs and Elitek Vehicle Services prioritize Road Safety Awareness and the latest technologies to ensure optimal vehicle performance.

Who are the Major Market Players?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

Arnold Clark Automobiles Ltd. - The company focuses on offering cars, trucks, garage equipment, automotive parts, and accessories. The key offerings of the company include automotive and repair services. 

The market research report also includes detailed analyses of the competitive landscape of the market and information about 15 market Companies, including:

• ALL-TECH Transmission Inc.
• Apex Tool Group LLC
• Asbury Automotive Group Inc.
• Ashland Auto Repair
• Belron International Ltd.
• Bridgestone Corp.
• CarMax Inc.
• Driven Brands Holdings Inc.
• Firestone Complete Auto Care
• Halfords Group Plc
• Jiffy Lube International Inc.
• Monro Inc.
• myTVS Accessories
• Pendragon Vehicle Management Ltd.
• Rust Oleum Corp.

Qualitative and quantitative analysis of Companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize Companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize Companies as dominant, leading, robust, tentative, and weak.

Market Analyst Overview

In this industry, Vehicle maintenance is a crucial aspect to ensure the longevity and optimal performance of Automobiles. Proactive maintenance, such as oil changes, tire rotations, and brake inspections, are essential for preventing major issues. Vehicle maintenance services can be categorized into two main areas: preventive and corrective. Preventive maintenance includes routine checks and services to keep the vehicle in good condition. This can include tasks like oil changes, tire rotations, and brake inspections. On the other hand, corrective maintenance involves repairing damages or addressing issues that arise. This can include services like engine repair, transmission repair, and body work.

The market is driven by factors such as increasing vehicle ownership, growing demand for electric vehicles, and the need for regular maintenance to ensure vehicle safety and efficiency. Safety is a key concern for consumers, and regular maintenance is essential for maintaining vehicle safety. Additionally, the rise of electric vehicles is expected to create new opportunities for the automotive repair and maintenance industry, as these vehicles require specialized maintenance and repair services. In conclusion, this industry plays a vital role in ensuring the safety, efficiency, and longevity of vehicles. With a significant market size and growing demand, this industry is poised for continued growth in the coming years.

The market is driven by factors such as the growing vehicle fleet size and the increasing demand for dependable maintenance services. Automotive post-sale services, including vehicle components replacement and repair, play a vital role in ensuring the extended longevity of vehicles. Continuous research and development (R&D) activities drive innovation in the sector, leading to advancements in repair techniques and technologies. The rise of online retailing of auto parts has transformed the aftermarket landscape, providing consumers with convenient access to replacement components. Skilled auto repair technicians are essential for maintaining passenger cars, including Special Utility Vehicles (SUVs), contributing to higher passenger car registrations worldwide.

Segment Overview

The market growth and forecasting report covers market growth by revenue at global, regional & country levels and analyzes the latest trends and growth opportunities from 2017 to 2027. 

• Type Outlook 
  • Internal combustion engine
  • Electric

• Service Outlook 
  • Tires
  • Wear and tear parts
  • Collision body
  • Batteries
  • Others

• Region Outlook 
  • North America
    • The U.S.
    • Canada
  • Europe
    • The U.K.
    • Germany
    • France
    • Rest of Europe
  • APAC
    • China
    • India
  • Middle East & Africa
    • Saudi Arabia
    • South Africa
    • Rest of the Middle East & Africa
  • South America
    • Chile
    • Brazil
    • Argentina

Market Scope
Report Coverage	Details
Page number	172
Base year	2022
Historic period	2017-2021
Forecast period	2023-2027
Growth momentum & CAGR	Accelerate at a CAGR of 3.84%
Market growth 2023-2027	USD 93.19 billion
Market structure	Fragmented
YoY growth 2022-2023(%)	3.6
Regional analysis	North America, APAC, Europe, South America, and Middle East and Africa
Performing market contribution	APAC at 33%
Key countries	US, China, Japan, Germany, and France
Competitive landscape	Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks
Key companies profiled	Arnold Clark Automobiles Ltd., ALL-TECH Transmission Inc., Apex Tool Group LLC, Asbury Automotive Group Inc., Ashland Auto Repair, Belron International Ltd., Bridgestone Corp., CarMax Inc., Driven Brands Holdings Inc., Firestone Complete Auto Care, Halfords Group Plc, Jiffy Lube International Inc., Monro Inc., myTVS Accessories, Pendragon Vehicle Management Ltd., Rust Oleum Corp., Sumitomo Corp., The Goodyear Tire and Rubber Co., LeasePlan Corp. NV, and Robert Bosch GmbH
Market dynamics	Parent market trends and analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period.
Customization purview	If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized.

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What are the Key Data Covered in this Market Research Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the growth of the market between 2023 and 2027
• Precise estimation of the market size and its contribution to the parent market
• Accurate predictions about upcoming trends and changes in consumer behavior
• Growth of the industry across North America, APAC, Europe, South America, and Middle East and Africa
• Our market growth analysis report includes a thorough analysis of the market’s competitive landscape and detailed information about Companies
• Comprehensive analysis of factors that will challenge the growth of market Companies

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