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The automotive tires e-retailing market size is forecast to increase by USD 17.11 billion, at a CAGR of 19.49% between 2023 and 2028. Market expansion relies on various elements. Primarily, the upsurge in global sales of passenger vehicles significantly contributes to this growth trajectory. Concurrently, consumer preferences are shifting towards online tire purchases, reflecting a paradigmatic change in shopping habits. The convenience afforded by digital platforms enhances accessibility and expedites transactions. Furthermore, the ability to present an extensive portfolio of automotive products caters to diverse consumer needs and preferences, fostering customer loyalty and driving market expansion. These factors synergize to create a conducive environment for market growth, where technological advancements, changing consumer behavior, and strategic business approaches converge to propel the automotive industry forward. It also includes an in-depth analysis of market trends and analysis, market growth analysis and challenges. Furthermore, the report includes historic market data from 2018 - 2022.
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The automotive tires e-retailing market is experiencing a significant surge with the rise of automobile manufacturers and the proliferation of e-retailing channels. Leveraging digital platforms and smartphones, consumers now have access to a plethora of options for purchasing tires online. The integration of self-inflating technology and low rolling resistance features enhances fuel mileage, appealing to environmentally-conscious buyers. Automotive e-retailing platforms offer complete digital tire buying programs, providing a seamless shopping experience for automotive parts and accessories. With the convenience of online selling and home delivery, customers can browse through various websites to find the perfect fit for their vehicles. Original Equipment Manufacturers (OEMs) are also tapping into the potential of automotive e-retailing, expanding their reach and offering comprehensive solutions to meet consumer demands. Our researchers analyzed the market research and growth data with 2023 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.
The rise in sales of passenger vehicles globally is notably driving market growth. Increased sales of various passenger vehicles such as sedans, hatchbacks, mini vehicles, sport utility vehicles (SUVs), multi-purpose vehicles (MPVs), crossovers, and personnel carriers are driving the growth of the global e-retail market for automotive tires. Vehicles currently produced on the market have a longer service life. The average age of vehicles in use in the United States is increasing year by year. Canada has a larger car population because the average life expectancy of a car is longer than in the US. The average age of vehicles has been steadily increasing, increasing by almost two years from 2007 to 2017. Vehicles sold in America have better construction, with sturdier construction and more durable engines.
Consequently, this encourages consumers to keep their vehicles longer, increasing the average vehicle age. Therefore, the demand for auto spare parts such as tires is increasing all over the world. Since cars are used by users for a long time, they require regular maintenance in order to function properly. This increases demand for tires to replace old and worn tires through offline or online channels. Therefore, with the increase in passenger vehicle sales, the global e-retail market for automotive tires is expected to grow significantly during the forecast period.
Increasing adoption of RTB is identified as the key trend in the market. Real-time bidding (RTB) is an online bidding process that enables marketers, advertising agencies, and media buying agencies to trade display ad inventory in real-time. The provider will provide a suitable platform to carry out this auction process. When a visitor visits her website, she sends a request to the provider. The provider sets a minimum price for its visitors and various advertisers can see the visitor and the minimum price and bid accordingly. The provider then selects the highest bidder and the highest bidder's advertisement is shown to the visitor.
E-commerce is a market expected to make extensive use of RTB to target customers during the forecast period. A similar concept could be adopted for the online trading of car tires. As more vendors enter the market, RTB implementations may become a differentiator between vendors. Therefore, increasing adoption of RTB is a trend that is likely to drive the growth of the focused market during the forecast period.
Difficulty in retention of loyal customers online may impede the growth of the market growth. Retaining customer interest is one of the biggest challenges for online tire retailers. In offline retail stores, employees help shoppers make the right product choices and engage with customers to ultimately make the purchase. However, online retail gives customers complete control over their purchasing decisions. Therefore, online tire suppliers will find it difficult to attract customers. Additionally, creating a customer-facing website is expensive and requires a lot of research to understand customer behavior.
Purchasing tires significantly increases the customer's overall shopping cart. Due to the undifferentiated product, there is a risk of intense price competition in the market, and the multiple options available to customers present a significant challenge for online tire suppliers. Hence, the difficulty in keeping loyal customers online will pose a challenge to the growth of the global e-retail automotive tire market during the forecast period.
The market forecasting 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 report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth and forecasting strategies.
Market Customer Landscape
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.
1A Auto Inc.: The company offers automotive tire e-retailing solutions such as brakes and wheel bearings.
The research report also includes detailed analyses of the competitive landscape of the market and information about 20 market companies, including:
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, strong, tentative, and weak.
The market share growth by the radial tire segment will be significant during the forecast period. Radial tires are expected to account for the bulk of this expansion due to their high-performance characteristics such as improved fuel economy, improved handling, and increased durability.
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The radial tire segment was valued at USD 3.38 billion in 2018. Long-established tire manufacturers such as Michelin, Bridgestone, Goodyear, and Continental offer a wide range of radial tires for passenger cars, light trucks, and commercial vehicles through their respective e-commerce platforms. For example, Michelin offers a range of radial tires on their website, including the Michelin Defender, which is designed for durability and performance all year round. Similarly, Bridgestone makes the Turanza Serenity Plus, a premium touring tire that offers a smooth ride and excellent wet traction. Overall, as the demand for more durable and fuel-efficient tires increases, the demand for radial tires is also expected to increase during the forecast period.
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North America is estimated to contribute 40% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. In North America, the demand for motorcycles is increasing due to the increase in recreational motorcycles. Online commerce, electronic retail, and e-commerce are growing rapidly around the world and represent a significant portion of the overall retail market. The number of online shoppers is increasing as more people do most of their shopping in physical stores. There is a high awareness of auto parts in this region. Additionally, the region has a strong presence of organized online auto tires retailers such as Amazon.com, Goodyear Tire and Rubber Company, and TIRE RACK, serving a diverse online customer base. The US is one of the world's largest automotive markets and is at the forefront of technological advancements and the introduction of new vehicles. Various car dealers and car manufacturers in the country have entered the e-commerce arena. In addition, factors such as growing local consumers' preference for online shopping, well-developed infrastructure, and growing demand for hassle-free shopping are driving the growth of the e-retail market for automobile tires in the region.
The market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in "USD Billion" for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.
The market is undergoing a transformative shift, driven by the increasing preference for e-retailing channels among both passenger cars and heavy commercial vehicles segments. With a focus on reducing fuel consumption and ensuring optimal ground compaction, online platforms offer a wide array of tire options for replacement needs. The convenience of online retailing and digital commerce provides a seamless shopping experience, with payment convenience and secure transactions addressing concerns such as online payment frauds.
Further, original Equipment Manufacturers (OEMs) and third-party suppliers leverage e-commerce channels to reach vehicle owners, offering a variety of options ranging from tires and wheels to interior accessories and electrical products. With doorstep delivery and advanced technologies like Augmented Reality and Virtual Reality, the online shopping experience is enhanced, attracting both digital car sellers and traditional retailers alike. To mitigate risks associated with counterfeit auto parts, data encryption safeguards personal and financial information, ensuring a secure transaction environment for passenger cars, commercial vehicles, and two-wheelers.
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Market Scope |
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Report Coverage |
Details |
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Page number |
179 |
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Base year |
2023 |
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Historic period |
2018-2022 |
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Forecast period |
2024-2028 |
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Growth momentum & CAGR |
Accelerate at a CAGR of 19.49% |
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Market Growth 2024-2028 |
USD 17.11 billion |
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Market structure |
Fragmented |
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YoY growth 2023-2024(%) |
15.82 |
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Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
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Performing market contribution |
North America at 40% |
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Key countries |
US, China, Germany, Japan, and India |
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Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
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Key companies profiled |
1A Auto Inc., Advance Auto Parts Inc., Alibaba Group Holding Ltd., Amazon.com Inc., AutoZone Inc., CarParts.com Inc., Cummins Inc., Delticom AG, DENSO Corp., eBay Inc., HELLA GmbH and Co. KGaA, Icahn Automotive Group LLC, JD.com Inc., LKQ Corp., PARTS iD Inc., Rakuten Group Inc., Robert Bosch GmbH, RockAuto LLC, The Goodyear Tire and Rubber Co., and Walmart Inc. |
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Market dynamics |
Parent market analysis, Market forecast, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for the forecast period. |
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Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements.
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by Application
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Opportunity/Restraints
11 Competitive Landscape
12 Competitive Analysis
13 Appendix
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