UK Automotive Aftermarket has been experiencing notable trends driven by a combination of consumer preferences and technological advancements. One significant trend is the shift towards online shopping for automotive parts and services. With the increasing reliance on e-commerce, many consumers now prefer to purchase vehicle components online, a trend that has been accelerated by the COVID-19 pandemic as more people are looking for convenience. Additionally, UK government’s push towards electric vehicles is reshaping the aftermarket landscape. More electric and hybrid vehicles on the roads require specialized parts and services, creating an extensive market for service providers and suppliers.
Key market drivers illustrate the growing age of cars in UK which is often associated with increased maintenance. Aftermarket’s service expansion is greater for older vehicles resulting in more repairs and services. The complexity of modern cars is also another driver. More advanced technology in vehicles drives up the need for specialized repair services. As a result, there is a high demand for skill and training development in the aftermarket sector. Technicians must shift with the technology changes in the automotive industry. Moreover, there are possibilities in sustainable ways.
As the general population shifts to more green policies, it is easier to see the increase in demand for environmentally friendly aftermarket components. Going green can be a great advantage for aftermarket sellers. Recently, the circular economy has been promoted that allow parts not only to be reused, but also recycled which fits well with UK ’s strategy to cuts down waste. Lastly, the emphasis on customer experience and high-quality service is becoming increasingly important, as consumers seek reliable and trustworthy service providers in the automotive landscape.
Overall, UK Automotive Aftermarket is adapting and evolving, reflecting broader changes in technology, consumer behavior, and environmental concerns.
UK Automotive Aftermarket Drivers
Increasing Vehicle Age and Maintenance Requirements
The average age of vehicles on UK roads has been steadily increasing, with recent data indicating that the average vehicle age is now over 8 years. This trend is leading to higher demand for automotive parts and maintenance services, as older vehicles typically require more frequent repairs and replacements. According to the Society of Motor Manufacturers and Traders (SMMT), there were over 32 million vehicles registered in UK in 2021, and as these vehicles age, UK Automotive Aftermarket Industry is expected to grow substantially.
Older cars are also costlier to maintain, driving consumers toward comprehensive aftermarket services to ensure vehicle longevity. With a larger share of vehicles surpassing the 10-year mark, this trend directly influences the expansion of the aftermarket, creating a robust market for parts suppliers and service providers in UK .
Shift Towards Electric and Hybrid Vehicles
UK government has set ambitious targets for electrifying the vehicular landscape, aiming to ban the sale of new petrol and diesel vehicles by 2030. This policy shift is spurring growth in the aftermarket for electric and hybrid vehicle components. According to the Department for Transport, the share of electric vehicles in new car registrations has soared to over 13% in 2021, up from just 1.6% in 2019.
This shift is not just a passing trend; it signals a significant transformation in UK Automotive Aftermarket Industry, as specialized technicians and parts are required for the maintenance and repair of electric vehicles.The emergence of companies focusing on electric vehicle systems also indicates the market's potential to grow, driven by this green revolution in the automotive sector.
Rising Online Retail for Automotive Parts
The surge in e-commerce has dramatically affected UK Automotive Aftermarket Industry, with online retail for automotive parts witnessing an exponential growth rate. In 2020, the online market for automotive parts and accessories grew by over 30%, largely fueled by consumer preferences shifting towards online shopping, especially during the COVID-19 pandemic. The head of the Retail Motor Industry Federation reported that such changes have led to an increased focus on digital solutions among aftermarket businesses.As more consumers become accustomed to purchasing vehicle parts online, platforms and retailers that embrace this digital transition are likely to see improved sales and market share.
This trend reflects a broader shift in consumer behavior, showcasing the potential for sustained growth in the online segment of the automotive aftermarket.
UK Automotive Aftermarket
