Impact Analysis of Covid-19
The complete version of the Report will include the impact of the COVID-19, and anticipated change on the future outlook of the industry, by taking into the account the political, economic, social, and technological parameters.
Exterior car accessories are comprised of products related to automotive products that enhance and appearance of the automobile. There are different parts included in external car accessories such as stainless steel car bumper guard, plastic car door guard, rear mudguard, front mudguard, tire inflators, decals and stickers, wraps, etc. The global exterior car accessories market focuses on five regions namely North America, Latin America, Europe, Asia Pacific, and Middle East & Africa.
The global exterior car accessories market is estimated to account for US$ 314,392.8 Mn in terms of value by the end of 2027.
Market Dynamics- Drivers
- High growth in automotive industry is expected to drive growth of the global exterior car accessories market during the forecast period
The automotive industry has witnessed massive growth in the recent past despite the economic crisis. According to Coherent Market Insights’ analysis, the global automotive industry is expected to reach a value of US$ 87.6 billion in 2020. This is growth is attributed to increasing sales of passenger cars and pickup trucks. Thus, these factors are expected to drive the global exterior car accessories market growth in the near future.
- Rising expenditure on car accessories is expected to propel the global exterior car accessories market growth over the forecast period
With the stable growth of global economy, there has been increase in sales of vehicles across the globe. According to Coherent Market Insights’ analysis, around 90% of consumers add some type of accessories to their cars and are willing to spend an average of US$ 300–500 for accessories at the time of purchase. Moreover, consumers are willing to invest around US$ 5,000 for accessories in some regions. For instance, in North America, the average spending on car accessories for compact cars range between US$ 250–500. Thus, these factors are expected to propel the global exterior car accessories market growth over the forecast period.
Europe held dominant position in the global exterior car accessories market in 2019, accounting for 39.9% share in terms of value, followed by North America, APAC, Latin America, and MEA respectively.
Figure 1: Global Exterior Car Accessories Market Share (%), in terms of Value, By Region, 2019
Market Dynamics- Restraints
- Regulatory policies regarding exterior modification of vehicles are expected to hinder the global exterior car accessories market growth over the forecast period
Regardless of its rising popularity, various government authorities have enforced regulatory policies on the modification of exterior of car. For instance, dark window tinting and exhaust modification are illegal in the U.S. Furthermore, some regulations related to exterior vehicle modification include, “U.S. Government Regulation of Specialty Auto Parts”, which deals with vehicle customization in the U.S. Thus, these factors are expected to hinder the global exterior car accessories market growth in the near future.
- High cost associated with exterior car accessories is expected to restrain growth of the global exterior car accessories market during the forecast period
The cost of exterior car accessories is significantly high as compared to that for interior car accessories due to high cost of raw materials and production cost of exterior car accessories. Moreover, exterior car accessories such as spoilers, body kits, and deflectors are available at very high cost market only. This is due to the fact that consumers tend to purchase substandard and counterfeit car accessories at competitive prices from aftermarket. This, in turn, is expected to restrain growth of the global exterior car accessories market over the forecast period.
||Market Size in 2019:
||US$ 175236.9 Mn
|Historical Data for:
||2016 to 2019
||2020 to 2027
|Forecast Period 2020 to 2027 CAGR:
||2027 Value Projection:
||US$ 314,392.8 Mn
- North America: U.S.,Canada.
- Latin America: Brazil, Argentina, Mexico, Rest of Latin America
- Europe: Germany, U.K., Spain, France, Italy, Russia, Rest of Europe
- Asia Pacific: China, India, Japan, Australia, South Korea, ASEAN, Rest of Asia Pacific
- Middle East: GCC Countries, Israel, Rest of Middle East
- Africa: South Africa, North Africa, Central Africa
- By End-use Application: Wastewater Treatment, Water Treatment, Air Treatment, Surface Disinfectin, Food & Beverages Disinfection.
- By Lamp Type: UV Mercury Lamp, UV LEDs.
|Companies covered (15):
Thule Group, Truck Covers USA LLC, HELLA KGaA Hueck & Co., F.LLI MENABÒ SRL, Oakmore Pty Ltd., Mont Blanc Industri AB, Lund International, Inc., Momo Srl., Covercraft Industries, LLC, Star Automotive Accessories, Classic Soft Trim, H.I Motors CAR MATE MFG. CO., LTD, O'Reilly Auto Parts, Pep Boys, and U.S. Auto Parts Network, Inc.
- High growth in automotive industry
- Rising expenditure on car accessories
|Restraints & Challenges:
- Regulatory policies regarding exterior modification of vehicles
- High cost associated with exterior car accessories
- Growing consumer inclination towards active lifestyle can present lucrative growth opportunities
Consumers are increasingly focused on active lifestyle. This is owing to rising disposable income of consumers, which has led to increased expenditure on different sports and leisure activities. Moreover, rising number of consumers are traveling, skiing, kayaking, and cycling, and thus seeing suitable accessories to carry their sport and travel gear. As a result of this, car accessories such as roof racks, bike racks, and cargo boxes have witnessed massive demand. Thus, manufacturers in the market can capitalize on these opportunities and gain a competitive edge in the market.
- Growing sales of pickup trucks can offer major business opportunities
Lifestyle pickup trucks from major automobile companies such as GMC, Toyota, Ford, Chevrolet, and RAM have witnessed a significant demand across globe. According to Coherent Market Insights’ analysis, in April 2016, .5 million units of lifestyle pickup trucks were sold in North America, registering double-digit Y-o-Y growth. Thus, subsequent growth of pickup trucks is expected to increase along with increasing demand for chrome billet grills, deflectors, bull bars, etc.
Figure 2: Global Exterior Car Accessories Market Value (US$ Mn), 2017 - 2027
The global exterior car accessories market was valued at US$ 175236.9 Mn in 2019 and is forecast to reach a value of US$ 314,392.8 Mn by 2027 at a CAGR of 7.6% between 2020 and 2027.
- North America Trends
High sales of pickup trucks as compared to passenger cars in the U.S.
Currently, there is a high demand for lifestyle pickup trucks as compared to passenger cars. According to the Specialty Equipment Manufacturers Association (SEMA) around 2.5 million units of pickup trucks were sold in the first half of 2016. Furthermore, gasoline price has reduced in the U.S, reaching a mere US$ 2 per gallon, which in turn, is boosting the sales of pickup trucks. As a result of this, pickup truck accessories have witnessed significant demand and is expected to increase over the forecast period.
Launch of novel products to address the increasing demand for Tonneau covers
Tonneau covers are expected to be the most sought after exterior car accessory for pickup trucks in the U.S., owing to the rise in sales of pickup trucks. In contrast to the strong sales growth of pickup truck sales in the U.S., TruXmart has recently launched innovative lightweight (around 20 lbs lighter its other tonneau covers) tonneau covers under brand name “Forte”, which is scratch-resistant and easy to install.
- Latin America Trends
Growing preference for branded accessories
According to a study conducted by Specialty Equipment Manufacturers Association (SEMA), preference for “Made in U.S.” car accessories are more prevalent in the Latin America automotive aftermarket. Consumers in the region are more inclined towards quality and deliberately seek car accessories and tuning products with the “Made in U.S.” mark.
Rising popularity of amateur races and vehicle restoration
According to SEMA, amateur races and drag races are becoming more popular in Brazil. The amateur races and vehicle customization trends are more prominent among younger individuals in Brazil. Passenger cars, SUVs, and pickup trucks are customized for such races in order to increase performance and achieve sporty aesthetics. Another trend that has been noticed in Brazil is car restoration, where old European and American muscle cars are restored by vehicle enthusiasts by completely modifying the exterior of the vehicle.
Key players operating in the global exterior car accessories market are Thule Group, Truck Covers USA LLC, HELLA KGaA Hueck & Co., F.LLI MENABÒ SRL, Oakmore Pty Ltd., Mont Blanc Industri AB, Lund International, Inc., Momo Srl., Covercraft Industries, LLC, Star Automotive Accessories, Classic Soft Trim, H.I Motors CAR MATE MFG. CO., LTD, O'Reilly Auto Parts, Pep Boys, and U.S. Auto Parts Network, Inc.
- Major companies in the market are focused on product development, in order to gain a competitive edge in the market. For instance, in July 2018, Thule Group introduced its next-generation of roof Thule Evo System.
- Key market players are involved in merger and acquisition activities, in order to strengthen market position. For instance, in August 2018, Covercraft Industries acquired Marathon Seat Covers, a manufacturer of premium seat covers.