If you’ve been watching the auto repair industry trends, you’ve probably noticed that the average car is now 11.5 years old. While the number of new vehicles is increasing, more people are choosing to maintain and repair their vehicles themselves. Over the past decade, the average age of the vehicle fleet in the U.S. has increased by about one-sixth. By 2022, it’s expected that 18% of American households will use an automotive repair service.
The life expectancy of an automobile is increasing, thanks to newer manufacturing technologies, fuel efficiency, and modern designs. This is a big boost for the automotive repair industry, as more people are opting to get their cars fixed at a dealership rather than DIY at home. However, it also creates a demand for specialized service and parts. Unless a car is completely beyond repair, a car owner will most likely have to take it to a repair shop to have it repaired, and this can be a burden.
Another change in the industry involves the age of cars. As vehicles get older, they need more maintenance, which increases the chances of a breakdown. Additionally, COVID-19 will increase the average age of cars, and this will require more frequent service visits to keep them operating safely. The trend will also cause more people to seek out auto repair services that specialize in certain services, such as computer repair and internet connectivity. In addition to this, the changing engine design will also bring new customers to the industry. It may even prevent many DIY repair enthusiasts from continuing to fix their vehicles.
Another change in the industry involves the age of vehicles. The cost of new cars is skyrocketing, making it more desirable to lease a car. Moreover, manufacturers have begun offering subscription plans for car maintenance. As a result, these customers are less likely to go to an independent auto repair shop for service. They prefer to work with a reputable manufacturer that will guarantee quality service for the life of the vehicle. This will mean higher demand for auto repair services.
The auto repair industry will also see changes in consumer behavior. The global economy will make consumers more cautious about their purchases. As a result, more people will postpone the purchase of a new car. They will look at factors like fuel consumption and efficiency. The age of baby boomers will increase the number of people who will seek out an automotive repair service. But these changes will also affect the auto repair industry’s future growth.
The high cost of new vehicles is one of the biggest factors in the auto repair industry. Due to high vehicle prices, more people are opting to lease their vehicles instead of buying them outright. OEMs and dealerships have also started offering subscription plans to attract these customers. In fact, customers leasing a car will go to an OEM for service, rather than an independent auto repair shop. In this way, the auto repair industry is on an upward trajectory and should be considered when looking to sell a business.