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Industry Insights, Market Size, CAGR, High-Level Analysis: Germany Automotive Aftermarket MarketThe Germany automotive aftermarket size was valued at USD 21.5 billion in 2018 and is expected to register a CAGR of 1.1% from 2019 to 2025. The aftermarket has gained high traction with increasing service orientation and new product innovation. High capacity engines, turbochargers, and lighting and electronic components are some of the aftermarket products mainly considered for a companys product line innovation strategy. Moreover, automotive manufacturers and suppliers provide innovative and intelligent solutions to promote safe and sustainable mobility. The market is affected by several major disruptions, such as digitalization, changing consumer preferences, and shifting competitive dynamics. With rapid digitalization, the use of smartphones has increased. Rise in sales of smartphones will enable mobility services such as e-hailing with a substantial information purchase, which has moved online sales of auto parts. The root cause of increment in automotive parts sales in Germany is growing sales of hybrid and electric vehicles in the last few years. Owing to government regulations for environment prevention, consumers have moved from conventional vehicles to electric vehicles. This in turn is expected to create a significant shift in the sales of replacement parts such as batteries and turbochargers. Furthermore, rise in the number of aging vehicles, increasing accidental repairs, and growing wear and tear repairs are some of the major factors supporting the demand for advanced and cost-effective auto parts in the aftermarket. Automotive players in Germany are undergoing numerous consolidations to secure and expand their positions in the domestic market. Several distributors as well as large buying groups are pursuing mergers and acquisitions to increase their size and establish an international footprint. Rising sale of automobiles has compelled OEM businesses to engage in mergers and acquisitions as well. This can be attributed to a decrease in the aftermarket share with the entry of new players in the market.
Replacement Part InsightsBased on automotive replacement part, the market is segmented into tire, battery, brake parts, filters, body parts, lighting and electronic components, wheels, exhaust components, turbochargers, and others. In 2018, the tire segment accounted for the maximum share in the market. The turbocharger segment is expected to register a high CAGR over the forecast period. Turbochargers have shown high demand in the aftermarket as these are helpful in meeting standards regarding emission of harmful gases such as CO2 and nitrous oxide in vehicles. Recent developments in sales of automotive tires, body parts, and brake parts, with the introduction of variable nozzle technology turbocharger-an advanced variable geometry turbocharger, have created significant traction in the market. Turbochargers have gained a popularity shift in applicability in HCV, LCV, and passenger cars. The growth of the segment is mainly influenced by factors such as changing consumer preferences for greater power generating vehicles and stringent emission regulations in Europe.
Distribution Channel InsightsBased on distribution channel, the Germany automotive aftermarket is bifurcated into retailers as well as wholesalers and distributors. In 2018, the retailers segment accounted for the largest share in the market. The wholesalers and distributors segment is estimated to witness high growth over the forecast period. Adoption of e-commerce distribution channels impacts their strategy and accelerates demand for auto parts. Dealers mainly sell automotive parts at a retail level through dealership contracts with OEMs suppliers and provide spare parts and maintenance. Some distributors are keen on trading with suppliers from developing countries. Fleet management services and mobility services companies have contract services with OEMs to provide spare parts and maintenance services. Increasing initiatives for green energy products also increase the distribution and production of aftermarket products.
Sales Channel InsightsBased on service channel, the market has been segmented into do-it-yourself (DIY), do-it-for-me (DIFM), and original equipment (OE). In 2018, the OE segment accounted for the maximum share in the market, followed by the DIFM segment. The DIY segment is estimated to exhibit a high CAGR over the forecast period. While do-it-yourself components and accessories are increasingly popular online in the automotive industry, the market for DIFM replacement part categories is expected to grow as sellers adopt smarter fulfillment models for customers. With increasing sales of the DIY and DIFM segments, there are numerous growth opportunities for market competitors to invest in the same. Furthermore, in the last few years, growing investments by companies in the domestic market have led to high stock value of do-it-for-me, which has outperformed auto aftermarket do-it-yourself stocks. Demand for the DIFM segment is highly driven by the need to maintain and repair vehicles.
Certification InsightsThe market is categorized on the basis of certification into genuine parts, certified parts, and uncertified parts. The genuine parts segment is anticipated to dominate the aftermarket throughout the forecast period while certified parts will witness the highest CAGR from 2019 to 2025. Genuine automotive parts are manufactured either by car manufacturers or OEMs. These replacement parts promise quality, diversity, availability, and warranty. The flipside, however, is that these parts are costly and need to be purchased from authentic dealers. Over the past few years, the need to ensure new vehicle models adhere to given passenger safety standards has increased tremendously. Original and certified parts assure standard and quality and as a result these two segments will continue to dominate the aftermarket. Uncertified automotive parts are counterfeit parts that have not been approved by the car maker nor have been tested or certified by certified organizations. However, they are much cheaper, and as a result numerous auto collision repair shops offer these for consumers looking for less expensive replacement part alternatives.
Germany Automotive Aftermarket Share InsightsKey industry participants include 3M, Continental AG, Delphi Automotive PLC, Denso Corporation, and Federal-Mogul Corporation. The current aftermarket environment has been witnessing intense competition between key players to achieve market domination via enhancement of product and service quality. This has resulted in growing market consolidation through strategic initiatives such as alliances, mergers, and acquisitions. This is primarily due to the brand value and loyalty base accrued by prominent players, along with the establishment of a global presence. Furthermore, the companies offer a varied range of automotive parts at low cost with individual customer requirements.
Segmentations, Sub Segmentations, CAGR, & High-Level Analysis overview of Germany Automotive Aftermarket Market Research ReportThis report forecasts revenue growth at country level and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For this study, this market research report has segmented the Germany automotive aftermarket report based on replacement part, distribution channel, sales channel, and certification:
Replacement Part Outlook (Revenue, USD Billion, 2019 - 2030)
- Brake parts
- Body parts
- Lighting & Electronic components
- Exhaust components
Distribution Channel Type Outlook (Revenue, USD Billion, 2019 - 2030)
Sales Channel Outlook (Revenue, USD Billion, 2019 - 2030)
Certification Outlook (Revenue, USD Billion, 2019 - 2030)
- Genuine Parts
- Certified Parts
- Uncertified Parts
Table of Contents Chapter 1 Methodology and Scope 1.1 Research Methodology 1.2 Research Scope & Assumptions 1.3 List of Data SourcesChapter 2 Executive Summary 2.1 Germany Automotive Aftermarket - Market Snapshot & Key Buying Criteria, 2014 - 2025Chapter 3 Germany Automotive Aftermarket Variables, Trends & Scope 3.1 Market Segmentation & Scope 3.2 Germany Automotive Aftermarket Size and Growth Prospects 3.3 Germany Automotive Aftermarket - Value Chain Analysis | read more...