The authorized car service center market size valued at USD 258.97 billion in 2022 and is expected to grow by USD 410.76 billion in 2032 with a CAGR of 5.26% in the forecast period.
Unlock Infinite Advantages: Subscribe to Annual Membership
According to a report published in November 2021 by the World Economic Forum (WEF), the total share of car trips taken by customers is predicted to reach 76.1% and 40.3% in North America and Asia respectively by 2050. These figures might prompt companies to open authorized car service centers to serve their growing customer base.
According to the European Environment Agency (EEA), the transportation sector is one of the biggest contributors to carbon dioxide emissions. Cars and vans account for close to two-thirds of the total carbon discharge, which will accelerate the establishment of authorized car service centers to ease access to high-quality vehicle servicing solutions.
The automotive industry has shown commendable growth in recent years, owing to the ever-increasing need for two- and four-wheelers. Organized multi-brand service providers are offering services at more economical rates to encourage more customers to get their cars serviced on a regular basis. In addition, the demand for pre-owned cars is also rising each year, thereby enhancing the need for authorized multi-brand service centers.
Authorized car service center industry from the engine service segment is likely to expand at around 8% growth up to 2032. Vehicle owners are growing increasingly aware of the importance of changing engine oil at regular intervals. This is due to several factors including the formation of sludge & wear particles within the components and the continuous operation of the engines. Regular servicing of engines can augment their operating efficiency, improve fuel economy, and provide proper lubrication to ensure a smooth driving experience for customers. These factors will further promote the development of authorized car service centers offering engine maintenance solutions.
Customers owing vehicles that are older than 3 years commonly prefer multi-brand service centers or local, independent garages as these establishments offer reliable and quick services at lower costs. Vehicle owners also tend to opt for servicing centers that are within the proximity of their homes, which will urge service center owners to support their operations to areas that have a vast percentage of vehicle owners with cars ages 3 years and over.
Europe region has a large population of high-income earning individuals, who are willing to purchase high-end cars. This has positively influenced the businesses of luxury as well as low-cost automobile manufacturers that provide a wide range of services at varied price ranges.
The COVID-19 outbreak in 2020 had a negative effect on the demand for car servicing solutions as the production and sales of automobiles slowed down during this period. Since movement restrictions, such as lockdowns were put in place to curb viral transmission, the number of customers visiting service centers for regular servicing declined considerably. This may have restricted the authorized car service center market development to some extent.
Some of the leading players in the global authorized car service center industry include:
Many of these companies are focusing on increasing the chain of service centers and equipping these establishments with skilled professionals and advanced technologies to enhance customer experience.
To cite an instance, in September 2022, MG Motor India launched the 'MG Service on Wheels' program to provide customers with at-home car repair and maintenance services. Similar initiatives by other participants may also contribute to industry progress.
This market research on authorized car service center report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD from 2018 to 2032 for the following segments:
By Auto Body Workshop
By Service
By Vehicle Age
By Geography
Dr. Arjun Patel is a distinguished expert in the automotive industry, holding advanced degrees in Automotive Engineering and Mechanical Engineering. His expertise spans automotive market dynamics, technological advancements, and sustainable practices. Dr. Patel excels in conducting in depth research and analysis on market trends, consumer preferences, and the economic implications within the automotive sector. He is renowned for his insightful publications on topics such as electric vehicles, autonomous driving technologies, and the evolution of sustainable transportation solutions. Dr. Patels research contributions have significantly advanced understanding in the field, earning him recognition as a leading authority in automotive research and analysis.
We offer automotive expertise for market projections and customizable research, adaptable to diverse strategic approaches.
Contact Us