Automotive and Car Franchise Opportunities
Trends and Facts About Automotive Franchises
Related Automotive Franchises Articles
- Auto Franchise Industry Report 2016
- Auto Franchise Industry Infographic 2016
- Starting an Automotive Franchise
- Automotive Timeline
- Interview with Snap-on Tools’ Director of Franchise Systems Tom Kasbohm
- Automotive Franchise Industry Report 2013 (Part 3)
- Automotive Franchise Industry Report 2013 (Part 2)
- Automotive Franchise Industry Report 2013 (Part 1)
- Seven Surprising Facts Driving The Success Of Auto Franchises (Infographic)
- Automotive Franchise Information (4)
- Automotive Franchise Report 2012 - Industry Trends (3)
- Automotive Report 2012 - Overview & Environmental Concerns (2)
- Automotive Franchise Industry Report 2012 (1)
- Video Helps Explain How Automotive Franchises Work
- Outlook For The Automotive Franchise Industry - Business Report IV
- Auto Franchise Fees and Costs - Business Report III
- Automotive Industry Trends - Business Report II
- Automotive Franchise Industry Research - Business Report I
Like pets, there is a segment of the population that considers their vehicle their “baby.” To the right, you will find a link to our detailed report on automotive franchises, which explains in detail why it is a good time to invest in an aftermarket franchise opportunity. In the meantime, here are some fast facts on the industry:
1. The average car on the road is about 10 years old. Consumers are keeping and driving their cars longer, which means they must use more maintenance and repair services.
2. Due to technological advancements and other factors, consumers are trusting professionals to handle vehicle maintenance than ever before.
3. Most franchises within the auto industry are part of the automotive (or motor vehicle) aftermarket segment. It's forecasted that total aftermarket sales will reach $273 billion by 2017.
4. Major services within the industry include mechanical repair (about 50 percent of industry revenue), collision repair (30 percent) car washes (10 percent), and oil change and lube (10 percent).
5. The automotive service industry is very fragmented. In the U.S. the 50 largest companies generate less than 10 percent of total revenue.
6. Even though the industry is fragmented, two big factors in profitability for automotive franchises are location and good marketing – and marketing and brand recognition is where franchise businesses have an advantage over privately owned, small business operators.