The e-commerce automotive aftermarket size is expected to increase from an estimated $78,631.4 million in 2021 to $191,545.7 million by 2030 at a robust 10.4% CAGR. According to the market research study published by P&S Intelligence. Both repair shops and vehicle owners are now procuring replacement vehicle parts online, of which garages, or B2B customers, have been more significant till now. They generally buy the components in bulk, to fit in the vehicles of owners.
In the coming years, B2C customers, which include the vehicle owners themselves, will become rapidly significant for companies offering automotive aftermarket parts on online channels. This will be because of the growth in the DIY culture and shopping convenience that e-commerce offers people, in terms of doorstep delivery, special discounts, and product comparisons.
Replacement engine parts are being bought the most widely off e-commerce platforms because of the rise in the number and average age of vehicles around the world. From 1.28 billion in 2015, the number of vehicles in operation had risen to 1.73 billion by 2020-end, thus driving the e-commerce automotive aftermarket by leading to the rising requirement for replacement parts.
Another key driver for the industry is the rising rate of digitization, which is offering an increasing number of people access to the internet. As per the World Bank, 56.7% of the global population had internet access in 2019, compared to 28.8% in 2010.
Moreover, the click-and-mortar concept is becoming popular as it allows customers to look the product up and pay for it online and pick it up at the physical store.In the industry, third-party retailers are the dominant channel because they offer parts by a large number of manufacturers at discounted prices, thereby making the experience better for buyers.
APAC has the largest regional e-commerce automotive aftermarket size as it is home to the largest number of vehicles. Moreover, almost all established automotive component manufacturers have factories and sales presence here.
The key reason for the rising automobile sales in APAC is the increase in the disposable income of people, which is accompanied by industrialization and urbanization. Additionally, with technological advancements and strong safety regulations, the average age of automobiles has risen here. Similarly, with the government efforts to enhance their communications infrastructure, more inhabitants here now have access to the internet.
This is why the key e-commerce automotive aftermarket players, including both component manufacturers and online shopping portals, are entering into partnerships or acquiring each other. Major companies in the industry are Robert Bosch GmbH, Amazon.com Inc., Meritor Inc., eBay Inc., Genuine Parts Co. Inc., AutoZone Inc., CarParts.com Inc., Advance Auto Parts Inc., BUYAUTOPARTS LLC, and Alibaba Group Holding Ltd.