Authorized Car Service Center Market size worth $350 Bn by 2032

Authorized Car Service Center Market size is set to surpass USD 350 billion by 2032, according to a new research report by Global Market Insights Inc.
 

Ownership of passenger cars is growing at a robust pace every year, given the sizeable increase in average disposable incomes. Several regions are also experiencing strong growth in their total GDP, which has led to a further improvement in the sales of passenger vehicles.
 

Carmakers are also establishing manufacturing facilities in developing economies owing to low production cost and the availability of affordable skilled & unskilled labor. This has created a conducive environment for the establishment and expansion of authorized car service centers to help customers get an easier access to timely car servicing.
 

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Availability of skilled technicians may foster expansion of OEM authorized workshops

The OEM authorized workshops segment held more than 9% share of global authorized car service center market in 2022 on account of the availability of highly skilled OEM-certified technicians and tools required for car servicing. The workshops also offer extended warranty schemes along with annual maintenance packages, which will support industry expansion.
 

Rising frequency of car accidents to boost need for timely brake replacements

The brakes service segment is projected to record over 5% CAGR through 2032. The incidence of car accidents and resultant fatalities is rising across the world. According to the U.S. National Highway Traffic Safety Administration (NHTSA), an estimated 42,915 people in the country died from road accidents in 2021, indicating a 10.5% rise from 2020.
 

Since such accidents can stem from inefficient braking systems, the demand for efficient braking solutions is likely to rise. Replacement of brake pads and fluids at regular intervals are essential to improve the vehicle’s overall efficiency and performance. Authorized car service centers can a vital role in the installation of high-quality braking systems, which will strengthen the industry outlook.
 

Authorized car service centers gain preference among owners of vehicles aged 3 years & under

In terms of vehicle age, less than 3 years vehicles segment accounted for around 16.5% share of authorized car service center market in 2022. Customers owning vehicles that are under three years old prefer to get their automobiles repaired, maintained, and serviced from OEM-certified car service centers, due to a wider range of benefits as compared with other multi-brand centers. Advantages such as the availability of highly skilled labor, replacements under warranty, and suitable tools for carrying out vehicle servicing are thus expected to accelerate business expansion.
 

Browse key industry insights spread across 200 pages with 190 market data tables & 36 figures & charts from the report, “Authorized Car Service Center Market Size By Auto Body Workshop (OEM Authorized Workshops, Organized Multi-brand Service Providers), By Service (Engine, Transmission, Brakes, Suspension, Electrical, Body, Tire, Belts & Accessories), By Vehicle Age (Less than 3 years, More than 3 years), COVID-19 Impact Analysis, Growth Potential, Regional Outlook, Competitive Market Share & Forecast, 2023 – 2032”, in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/authorized-car-service-center-market
 

Presence of local manufacturers boosts authorized car service center establishment in Latin America

Latin America authorized car service center market is poised to register nearly 3.5% gains through 2032. This growth is attributed to the expanding automotive industry and availability of domestically manufactured spare parts. Developing economies, including Brazil and Argentina, have witnessed a strong hike in vehicle sales, further augmenting the demand for repair & maintenance services in the region.
 

Introduction of innovative services by key players to define industry landscape

Top participants operating in authorized car service center market are Toyota, Volkswagen, Suzuki Motor Corporation, Robert Bosch GmbH, and many others. Many of these companies are focusing on the launch of novel services as a viable strategy to drive growth in the global market.
 

For instance, in April 2022, Renault Korea Motors announced the launch of its new service, called “Drop The Keys”, designed to enable drivers to bring in their vehicles for repairs or checkups at any time during the week. Similar initiatives from other notable players are also likely to propel industry growth during the estimated timeline.