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The automotive wheel alignment system market size is estimated to grow by USD 592.04 million at a CAGR of 7.4% between 2023 and 2027. The increasing number of vehicles globally, driven by factors such as population growth, urbanization, and rising disposable incomes, is driving market growth by increasing the demand for aftermarket parts and services. The improvement in automotive aftermarket distribution channels and supply chain networks, driven by advancements in logistics and technology, is also boosting market expansion by improving the availability and delivery of aftermarket products. Additionally, the stringent regulations to control emissions and maximize fuel efficiency, driven by environmental concerns and regulatory requirements, are driving market growth by creating a demand for aftermarket products that help vehicles meet these regulations.
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This market report extensively covers market segmentation by application (passenger car and commercial vehicle), type (CCD WAS, 3D WAS, DIY WAS), and geography (APAC, Europe, North America, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
The passenger car segment is estimated to witness significant growth during the forecast period. Due to the scalability and application of these for lighter vehicles, the passenger car segment is a crucial segment of the global market.
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The passenger car segment was the largest segment and was valued at USD 662.95 million in 2017. The passenger car market is growing strongly around the globe. Demand for sedans, coupes, hatchbacks, crossovers, and SUVs is growing in China, the US, Canada, India, Germany, France, the UK, and Spain. The increasing disposable income and many convenient and attractive auto loan programs offered by financial institutions and auto manufacturers are increasing the demand for cars. These will accelerate the growth of professional repair shops during the forecast period.
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APAC is estimated to contribute 36% 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. APAC is one of the fastest-growing regions in the global market. China, India, South Korea, and Japan are the prominent revenue-contributing countries in the market in APAC.
Moreover, emerging countries such as India, China, and Indonesia are major auto manufacturers in APAC, increasing demand through automotive OEMs in the region. Demand for these systems from automotive original equipment manufacturers, 4S workshops, and professional auto repair shops is expected to increase with the rise in automotive production and vehicle fleets during the forecast period.
The market is driven by the need to ensure the proper alignment of a vehicle's wheels. Misaligned wheels can lead to issues with vehicle assembly and affect wheel angles such as toe, camber, and caster, deviating from the manufacturer's suggested specifications. This can result in bad alignment, affecting passenger and vehicle safety. Regulatory agencies and standards play a crucial role in ensuring alignment meets safety requirements, reducing risks and accidents. Advanced wheel alignment equipment, incorporating new technology, offers characteristics like portability and wireless communication, reducing alignment time and improving tyre life. As disposable income rises, the market is expected to witness further expansion, especially in the maintenance, repair, and overhaul operations of the automobile sector. 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.
Improving automotive aftermarket distribution channels and supply chain networks is one of the key factors driving the growth of the market. The increased demand for repair and maintenance services is driving the broader adoption of various inspection systems, such as wheel alignment systems. The automotive aftermarket comprises two main segments: auto parts and automotive services. Players in the aftermarket are changing their operating methods significantly, focusing on enhancing the performance of each stakeholder in the value chain. This includes reducing alignment time through the use of new technology that improves the portability and wireless communication of these systems.
Additionally, market players are prioritizing the digitization of the aftermarket supply chain to facilitate better purchasing and planning strategies that optimize channel distribution. Improved relationships among suppliers, wholesalers, and retailers contribute to an efficient supply chain. This efficiency is crucial for ensuring vehicle safety and optimizing maintenance, repair, and overhaul operations in the aftermarket. Therefore, enhancing the aftermarket distribution channel and supply chain network is expected to significantly enhance the growth of the market in the forecast period.
The development of ADAS-ready wheel alignment systems is the primary trend in the market. ADAS calibration is heavily dependent on wheel alignment, as most ADAS subsystems receive input from automotive components that are adjusted during wheel alignment. In addition, these systems receive input from sensors, such as the steering angle sensor, which can be adjusted during wheel alignment. As a result, these repair shops and auto OEMs require ADAS to be calibrated after wheel alignment.
Furthermore, in recent years, as the penetration of ADAS subsystems has risen in all vehicle segments, the demand for test systems which meet the needs of wheel alignment and ADAS calibration has risen in the market. Operating ADAS-assisted wheel alignment systems is simple and requires less modification for automotive technicians to transition from wheel alignment to ADAS calibration. Hence, these factors will drive the growth of the market.
The growing shortage of skilled automotive technicians is the challenge that affects the growth of the market. Demand for auto repair and maintenance services is reaching new highs with an increase in vehicle population globally. However, professional auto repair shops face a shortage of qualified technicians. This is a challenge for the market under consideration, as these stores will tend to spend less on inspection systems, such as car wheel alignment systems and automotive wheel alignment services.
Moreover, lack of a solid career path, salary disparity, and long working hours are some of the key factors leading to the global shortage of automotive technicians. As professional auto repair shops are facing a shortage of skilled technicians, they should change their strategy to retain skilled auto technicians. The growing demand for repair and maintenance services in developed economies, such as the US, has led regulators to anticipate high demand for qualified automotive technicians. Thus, these factors can impede the growth of the market during the forecast period.
The market research 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 growth strategies.
Global Automotive Wheel Alignment System 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.
ATS ELGI: The company offers automotive wheel alignment systems such as elegant auto boom, elegant two post lift wheel aligner, and elegant mobi aligner.
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 report forecasts market growth by revenue at global, regional & country levels and provides an analysis of the latest trends and growth opportunities from 2017 to 2027.
The market is driven by factors such as rising disposable income and the demand for vehicle repair and maintenance services. Poor wheel alignment affects tyres and suspension, emphasizing the need for advanced systems. Technologies, like Charged Couple Devices (CCD) and 3D wheel alignment, ensure accurate readings. While Chinese low-cost automotive wheel alignment systems compete globally, international companies lead with cutting-edge technology. The market caters to various vehicles, including passenger cars, utility vehicles, and pickup trucks. As the automotive industry evolves, the market adapts to serve contemporary automobiles worldwide.
Market Scope |
|
Report Coverage |
Details |
Page number |
164 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 7.4% |
Market growth 2023-2027 |
USD 592.04 million |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
6.85 |
Regional analysis |
APAC, Europe, North America, South America, and Middle East and Africa |
Performing market contribution |
APAC at 36% |
Key countries |
US, China, Japan, Germany, and France |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
Alignment Simple Solutions LLC, ATS ELGI, CEMB Spa, Dover Corp., Fori Automation Inc., HAWEKA AG, Hunter Engineering Co., ISN Canada Group Holdings Inc., Manatec Electronics Pvt. Ltd., Naman Automotive Solutions, Nussbaum Automotive Solutions LP, Porsche Automobil Holding SE, Robert Bosch GmbH, Sunrise Instruments Pvt. Ltd., Tecalemit Garage Equipment Co. Ltd., Techfanatics Equipment Ltd., Technomatic Automotive Components Pvt. Ltd., TechnoVector Group, The Cartek Group, and Yantai Autenf Automobile Services Co. Ltd. |
Market dynamics |
Parent market analysis, Market Forecasting, 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 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 Application
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
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