For most individuals, vehicles of varying sizes and passenger capacity are considered necessities in this modern day and age. All kinds of cars are used for aesthetics, transportation, business, and many more. It is no wonder the auto repair industry is a booming trade since it accounts for all maintenance repairs of the vehicles we use today.
In fact, according to research, there are 16,000 car repair establishments currently in business in the United States, with the estimated value of the industry calculated to be at $880 billion per year. A 2.5% increase in annual growth is also expected in the auto repair industry with almost half a million people being employed in this kind of craft
More private consumers seek auto repairs
The article also reported that those who avail of the services of auto repair shops are dominated by the household and private customer demographic by at least 75%. Consumers aged 45 years old and above contribute 35%, while those aged between 35 to 44 account for 14% of the industry revenue. Business customers make up 22%, while those belonging to the government sector account for 3% of the overall industry.
In the US, the average national repair costs for car is approximately $356.04. The state of Arizona has the highest car repair fee of around $421.49, with the lowest being the state of D.C. with $265.29. The most commonly reported repairs were the replacement of the oxygen sensor of the cars as well as inspection for loose fuel caps.
Independent auto repair shops dominate aftermarket repair
General automotive repair makes up the majority of the trade, with transmission, exhaust, and other kinds of repairs in smaller percentages. It is reported by another article that 75% of aftermarket auto repair is done by independent auto repair shops, while 25% are done mainly through dealerships.
It can be reiterated that repair shops dominate most major repair-oriented services with 4/5 of the most common automotive repairs being related to issues of durability. The selling of parts, refinishing, repair, and mechanical parts, tools, and even paint, is just one of the many services the auto repair industry provides.
Franchising large auto repair businesses is also becoming a trend in the business sector, with many of those interested starting their own branches. This has actually turned into quite a profitable trade.
Repair needs rise as technology advances
Finally, it can definitely be said that the auto repair industry has significantly grown, especially with the onset of more technologically-advanced vehicles. As cars have become more accessible and affordable, consequently, the automotive repair business has become a very successful trade as well. It has attracted a lot of potential investors and business owners. This increasing trend is not expected to stop any time soon.
Written by the staff at KB Tire & Auto. KB Tire & Auto is the leading expert in auto repair Moberly MO has to offer.