In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
The automotive wheel alignment services market is estimated to garner a hefty amount of revenue by recording a CAGR of ~4% over the forecast period, i.e., 2022 – 2030. The growth of the market can be attributed to the rising number of automobile users, increasing technological developments in the automobile sector and growing disposable income of people across the world. It is estimated that more than 68 million automobiles will be sold by 2021. Out of these, 55 million units were of passenger vehicles. In addition, high investment by car manufacturers to improve performance and fuel efficiency in vehicles is also assessed to drive market growth in the future. Furthermore, as a result of stringent government regulations regarding reduction of fuel emissions of automotive, manufacturers are now emphasizing on cutting down their carbon footprint to a large extent. This is a crucial factor expected to offer lucrative opportunities to the market in the upcoming years.
The market is segmented by service provider into OEM, franchise, dealership authorized, and others, out of which, the OEM segment is anticipated to hold the largest share in the automotive wheel alignment services market on account of growth in the number of in-house testing facilities where all the vehicle tests are carried out. Along with this, rising demand for premium quality vehicle service is also projected to boost growth of this market segment during the forecast period. Additionally, on the basis of vehicle type, the segment for passenger vehicles is estimated to gather the largest revenue in the near future, which can be ascribed to the high production of these automobiles globally and increasing demand for luxury vehicles in developing nations. CLICK TO DOWNLOAD SAMPLE REPORT
On the basis of geographical analysis, the automotive wheel alignment services market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and the Middle East & Africa. The market in the North America is estimated to occupy the largest market share over the forecast period on the back of escalating number of commercial vehicles in the region that require regular maintenance. For instance, the sales of commercial vehicles in the United States have only observed a hike since 2009. More than 125 million units of the automobile were sold in 2020. Similarly, Europe is also anticipated to occupy a significant share in the market in the coming years owing to the presence of major automobile manufacturers and wide usage of advanced testing facilities to check wheel alignment of vehicles in the region. Moreover, the market in Asia Pacific is evaluated to witness the highest growth during the forecast period. This can be accounted to rapid urbanization across nations namely, India and China and intensifying fleet size of passenger cars in Japan.
The automotive wheel alignment services market is further classified on the basis of region as follows:
Our in-depth analysis of the automotive wheel alignment services market includes the following segments:
Ans: The major growth drivers for the market are increasing use of automobiles worldwide and growing technological advancements in the automotive sector.
Ans: The market is anticipated to attain a CAGR of ~4% over the forecast period, i.e., 2022 – 2030.
Ans: Lack of Skilled Labor is estimated to hamper the market growth.
Ans: Asia Pacific is expected to offer more business opportunities to the market on the back of rapid urbanization across India and China.
Ans: The major players in the market are BMW AG, 3M Company, Bridgestone Corporation, Continental AG, Ford Motor Company, and others.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by vehicle type, product type, service provider, and by region.
Ans: The passenger segment is anticipated to hold largest market size and is estimated to grow at a notable CAGR over the forecast period and display significant growth opportunities.