Table of Contents
Executive Summary
-
- The market
- Consumer expenditures on auto maintenance top $160 billion
-
- Figure 1: Total consumer expenditures and fan chart forecast for auto maintenance and repair parts and services, 2009-19
- Vehicle age at an all-time high, creating more demand for repair
-
- Figure 2: Average age of cars, light trucks, and total light vehicles, 2002-13
- The consumer
- One third of respondents choose dealerships for auto service
-
- Figure 3: Where auto service or repair was completed, September 2014
- Three quarters of respondents performing preventive maintenance
-
- Figure 4: Type of service/repair last done on vehicle, September 2014
- Most auto work is preventive, routine
-
- Figure 5: Specific components worked on at last service or repair, September 2014
- Men spend far more than women on maintenance and repairs
-
- Figure 6: Average amount spent on vehicle maintenance/repairs in past two years, by gender, September 2014
- Divergence in attitudes and behaviors between ages
-
- Figure 7: Attitudes toward auto maintenance, by age, September 2014
- Young consumers eager for instruction
-
- Figure 8: Attitudes toward auto ownership, care, and maintenance, by age, September 2014
- What we think
Issues and Insights
-
- Can preventive care be marketed as a money-saving tool?
- The issues
- The implications
- How can non-dealerships continue to compete?
- The issues
- The implications
- How can brands market their experts?
- The issues
- The implications
Trend Application
-
- Trend: Influentials
- Trend: Locavore
- Trend: Survival Skills
Market Size and Forecast
-
- Key points
- Consumer expenditures on auto maintenance top $160 billion
-
- Figure 9: Total US consumer expenditures for auto maintenance and repair parts and services, at current prices, 2009-19
- Figure 10: Total US consumer expenditures for auto maintenance and repair parts and services, at inflation-adjusted prices, 2009-19
- Fan chart forecast
-
- Figure 11: Total US consumer expenditures and fan chart forecast for auto maintenance and repair parts and services, 2009-19
Market Drivers
-
- Key points
- Average age of vehicles at all-time high
-
- Figure 12: Average age of cars, light trucks, and total light vehicles, 2002-14
- Far fewer dealerships now than pre-recession
- Manufacturers offering free maintenance incentives
- Tesla’s downloadable software upgrade foreshadows future
- Right to Repair Act still in legal motion
Retail Channels
-
- Key points
- Dealers, independents popular while franchises highly segmented
-
- Figure 13: Retail stores visited and services received – Tune-up, April 2013-June 2014
- Dealerships account for approximately half of car service expenditures
-
- Figure 14: Automotive dealers’ total service and parts sales (Franchise dealers), 2004-13
- Number of dealerships in steady decline
-
- Figure 15: Number of dealerships selling new cars, 2003-13
- Service and repair account for 11.6% of dealership profits
-
- Figure 16: Automotive dealerships’ revenue split, by new, used sales and service, share of total sales dollars (Franchise dealers), 2002 vs 2013
- Dealerships competing with “quick lube” services
-
- Figure 17: Breakdown of franchise dealership service and parts operations, average dealership vs all dealer totals, 2013
- Franchise sector highly fragmented
- Pep Boys
- Jiffy Lube
- Firestone
- TBC Corporation
- Driven Brands
- Goodyear Tire & Service
- AAMCO Transmissions
- Monro Muffler Brake
Innovations and Innovators
-
- Hyundai Blue Link infotainment provides Car Care features
- Consumers benefit from convenience and competition with apps
Marketing Strategies
-
- Quanz Auto Care emphasizes local touch
-
- Figure 18: Quanz ad, brothers, July 2014
- Pep Boys rebrands with relationship-based message
-
- Figure 19: Pep Boys ad, The boys will get you there, July 2013
- AutoZone partners with fighter Chuck Liddell to show durability
-
- Figure 20: AutoZone ad, Duralast battery walk the walk, March 2014
- GMC markets free Pro Grade maintenance program
-
- Figure 21: GMC ad, pull the chains, March 2013
Automotive Services Completed
-
- Key points
- Tire rotation most common auto service
-
- Figure 22: Automotive services completed in last 12 months, April 2013-June 2014
- Maintenance service more common as household income rises
-
- Figure 23: Automotive services completed in last 12 months, by household income, April 2013-June 2014
Household Vehicle Ownership
-
- Key points
- Most households own one or two vehicles
-
- Figure 24: Number of vehicles in household, September 2014
- More affluent households own more cars
-
- Figure 25: Number of vehicles in household, by household income, September 2014
- Passenger car most common vehicle type
-
- Figure 26: Type of vehicles owned, by gender and age, September 2014
- SUVs/crossovers become more common as household income increases
-
- Figure 27: Type of vehicles owned, by household income, September 2014
- New cars slightly more favored
-
- Figure 28: New, used, or CPO, by gender and age, September 2014
Where Auto Service or Repair was Completed
-
- Key points
- One third of respondents complete service at dealerships
-
- Figure 29: Where auto service or repair was completed, September 2014
- Older consumers far more likely to visit dealership for repairs
-
- Figure 30: Where auto service or repair was completed, by age, September 2014
- Dealerships most popular among more affluent consumers
-
- Figure 31: Where auto service or repair was completed, by household income, September 2014
- Big box retailers twice as popular among parents
-
- Figure 32: Where auto service or repair was completed, by presence of children in household, September 2014
- How car purchased (new/used) determines where serviced or repaired
-
- Figure 33: Where auto service or repair was completed, by new, used, or CPO, September 2014
Type of Service/Repair
-
- Key points
- Three quarters of repair work is for preventive maintenance
-
- Figure 34: Type of service/repair last done on vehicle, by age, September 2014
- Parents, performing less routine maintenance, need more repairs
-
- Figure 35: Type of service/repair last done on vehicle, by presence of children in household, September 2014
- Preventive maintenance often performed at dealerships
-
- Figure 36: Type of service/repair last done on vehicle, by where auto service or repair was completed, September 2014
Method of Payment for Last Purchase of Service/Repair or Parts
-
- Key points
- Younger consumers having service paid by provider
-
- Figure 37: Method of payment for last purchase of service, repair, or parts, by gender and age, September 2014
- Provider more likely to pay for more affluent consumers’ car service
-
- Figure 38: Method of payment for last purchase of service, repair, or parts, by household income, September 2014
- New cars twice as likely to be paid for by provider
-
- Figure 39: Method of payment for last purchase of service, repair, or parts, by new, used, or CPO, September 2014
Specific Components Worked on at Last Service or Repair
-
- Key points
- Most auto work is preventive maintenance
-
- Figure 40: Specific components worked on at last service or repair, by age, September 2014
- Household income has little effect on type of repair
-
- Figure 41: Specific components worked on at last service or repair, by household income, September 2014
- Used car owners performing more preventive engine maintenance than new car owners
-
- Figure 42: Specific components worked on at last service or repair, by new, used, or CPO, September 2014
- Big box retailers visited for many types of work
-
- Figure 43: Specific components worked on at last service or repair, by where auto service or repair was completed, part 1, September 2014
- DIYers focus on engine preventive, tires, and brakes
-
- Figure 44: Specific components worked on at last service or repair, by where auto service or repair was completed, part 2, September 2014
Amount Spent on Vehicle Maintenance/Repairs
-
- Key points
- Consumers spend $1,700 on vehicle maintenance and repairs
-
- Figure 45: Amount spent on vehicle maintenance/repairs in past two years, by gender, September 2014
- 25-34 year-old consumers spend far more on vehicle maintenance
-
- Figure 46: Amount spent on vehicle maintenance/repairs in past two years, by age, September 2014
- Amount spent on maintenance/repairs increases with household income
-
- Figure 47: Amount spent on vehicle maintenance/repairs in past two years, by household income, September 2014
- New vehicles cost the most to repair and maintain
-
- Figure 48: Amount spent on vehicle maintenance/repairs in past two years, by new, used or CPO, September 2014
Attitudes toward Auto Maintenance
-
- Key points
- Majority of consumers don’t service their vehicles regularly
-
- Figure 49: Attitudes toward auto maintenance, by gender, September 2014
- Divergence in attitudes between ages
-
- Figure 50: Attitudes toward auto maintenance, by age, September 2014
- Less affluent looking for affordable, local repair shop
-
- Figure 51: Attitudes toward auto maintenance, by household income, September 2014
- New car owners more responsive to maintenance signals
-
- Figure 52: Attitudes toward auto maintenance, by new, used, or CPO, September 2014
Attitudes toward Auto Ownership, Care and Maintenance
-
- Key points
- Men far more likely than women to be auto enthusiasts
-
- Figure 53: Attitudes toward auto ownership, care, and maintenance, by gender, September 2014
- Young consumers eager for instruction
-
- Figure 54: Attitudes toward auto ownership, care, and maintenance, by age, September 2014
- Less affluent consider car as method to get from point A to point B
-
- Figure 55: Attitudes toward auto ownership, care, and maintenance, by household income, September 2014
- Car maintenance can provide an “escape” for parents
-
- Figure 56: Attitudes toward auto ownership, care, and maintenance, by presence of children in household, September 2014
Impact of Race and Hispanic Origin
-
- Key points
- Hispanics far less likely to complete service at dealership
-
- Figure 57: Where auto service or repair was completed, by race/Hispanic origin, September 2014
- Blacks, Hispanics do less preventive work, suffer more repair
-
- Figure 58: Type of service/repair last done on vehicle, by race/Hispanic origin, September 2014
- Hispanics paid an average of $2,531 on recent repairs
-
- Figure 59: Amount spent on vehicle maintenance/repairs in past two years, by race/Hispanic origin, September 2014
- Hispanics, less likely to perform service, not necessarily drawn to local
-
- Figure 60: Attitudes toward auto maintenance, by race/Hispanic origin, September 2014
- Blacks and Hispanics purchase automotive accessories
-
- Figure 61: Attitudes toward auto ownership, care, and maintenance, by race/Hispanic origin, September 2014
Appendix – Other Useful Consumer Tables
-
- Household vehicle ownership
-
- Figure 62: Number of vehicles in household, by race/Hispanic origin, September 2014
-
- Figure 63: Type of vehicles owned, by race/Hispanic origin, September 2014
- New, used, or CPO
-
- Figure 64: New, used, or CPO, by household income, September 2014
-
- Figure 65: New, used, or CPO, by race/Hispanic origin, September 2014
- Where auto service or repair was completed
-
- Figure 66: Where auto service or repair was completed, by method of payment for last purchase of service, repair, or parts, September 2014
-
- Figure 67: Where auto service or repair was completed, by number of vehicles in household, September 2014
-
- Figure 68: Where auto service or repair was completed, by type of vehicles owned, September 2014
- Type of service/repair completed
-
- Figure 69: Type of service/repair last done on vehicle, by household income, September 2014
-
- Figure 70: Type of service/repair last done on vehicle, by type of vehicles owned, September 2014
-
- Figure 71: Type of service/repair last done on vehicle, by new, used, or CPO, September 2014
-
- Figure 72: Type of service/repair last done on vehicle, by where auto service or repair was completed, September 2014
-
- Figure 73: Type of service/repair last done on vehicle, by method of payment for last purchase of service, repair, or parts, September 2014
- Method of payment for last purchase
-
- Figure 74: Method of payment for last purchase of service, repair, or parts, by presence of children in household, September 2014
-
- Figure 75: Method of payment for last purchase of service, repair, or parts, by type of vehicles owned, September 2014
-
- Figure 76: Method of payment for last purchase of service, repair, or parts, by race/Hispanic origin, September 2014
- Specific components worked on
-
- Figure 77: Specific components worked on at last service or repair, by gender, September 2014
-
- Figure 78: Specific components worked on at last service or repair, by presence of children in household, September 2014
-
- Figure 79: Specific components worked on at last service or repair, by type of vehicles owned, September 2014
-
- Figure 80: Specific components worked on at last service or repair, by race/Hispanic origin, September 2014
-
- Figure 81: Specific components worked on at last service or repair, by type of service/repair last done on vehicle, September 2014
- Amount spent on vehicle maintenance
-
- Figure 82: Amount spent on vehicle maintenance/repairs in past two years, by presence of children in household, September 2014
-
- Figure 83: Amount spent on vehicle maintenance/repairs in past two years, by type of vehicles owned, September 2014
- Attitudes toward auto maintenance
-
- Figure 84: Attitudes toward auto maintenance, by presence of children in household, September 2014
-
- Figure 85: Attitudes toward auto maintenance, by type of vehicles owned, September 2014
- Attitudes toward auto ownership, care, and maintenance
-
- Figure 86: Attitudes toward auto ownership, care, and maintenance, by new, used, or CPO, September 2014
-
- Figure 87: Attitudes toward auto ownership, care, and maintenance, by type of vehicles owned, September 2014
Appendix – Trade Associations
Back to top