Authorized Car Service Center Market is expected to exceed USD 300 billion by 2025. The rise in the sale of passenger vehicles and favorable government initiatives to support the development of the automobile industry are augmenting market growth.
Some major findings of the authorized car service center market report include:
- Huge investments by automakers for the expansion of their manufacturing facilities are accelerating the demand for car service facilities

- The development of next-generation vehicles equipped with complex electronic and mechanical systems is contributing to the growth of the organized OEM workshops market
- The car body services segment dominates the overall services market share due to frequent repairs associated with dents and scratches

- Stringent regulations by the European government to improve fuel economy have also pressurized vehicle owners to opt for scheduled preventive maintenance services

- The rapid growth of unorganized local garages is hampering the growth of authorized single brand and multi-brand workshops due to low cost and quick services provided by unorganized independent garages

- Small workshops need to professionalize themselves to respond effectively to the increasing vehicle complexity

- The Eastern Europe authorized car service center market will also witness higher growth due to the growing vehicle population in countries including Romania, Poland, Czech Republic, Croatia, and Hungary

The organized multi-brand service provider segment will observe the fastest growth rate over the forecast timeline due to high-quality repairs provided by service providers for various automobile brands at a low cost. Leading multi-brand service companies including Bosch, Mahindra, and TVS Automobile Solutions are focusing on the expansion of their service outlets and providing valuable packages to fleet operators. For instance, in January 2017, Bosch opened a new CoCo Bosch Car service center in Bengaluru (India) to deliver state-of-the-art equipment such as wheel aligner, nitrogen tire inflator, tire changer, and headlight aligner for multi-brand cars.
The engine service segment will hold a market share of above 12% by 2025 as it exhibits the ability to withstand significant degrees of temperature and pressure. Moreover, engines are equipped with turbochargers that require appropriate maintenance for felicitating enhanced exhaust gas flow for improving the engine performance, facilitating the market growth.
The vehicles aged more than three years will hold a major share of the authorized car service center market in 2025 due to the periodic maintenance of such vehicles for proper operation and compliance to stringent regulatory norms. Old vehicles require scheduled and preventive maintenance to preserve their resale value and avoid sudden failures, which is expected to increase the demand for OEM authorized as well as independent garages over the forecast timespan.
The Asia Pacific authorized car service center is expected to register the fastest growth over the forecast timeline due to the increasing vehicle sales in countries including India, China, and Australia, driving the demand for car repair and maintenance services. For instance, according to the 2017 data by the Australian Automotive Aftermarket Association (AAAA), the country had the highest car ownership in the region with 764 cars per 1,000 people. Another factor contributing to market growth is the highest traffic density and car congestion, which leads to wear & tear of vehicle components, resulting in a rise in the frequency of repair services.
Companies present in the authorized car service center market are entering into strategic partnerships and focusing on offering complete vehicle maintenance packages at attractive prices to differentiate their offerings. For instance, in October 2018, Toyota Motor Corporation along with Grab signed a deal for ride-hailing fleet maintenance. The company offers comprehensive maintenance packages along with the provision of light-warranty void for its vehicles, contributing significantly to increase its market share. In October 2018, Toyota Motor Corporation along with Grab signed a deal for ride-hailing fleet maintenance. The company will offer complete maintenance packages along with the provision of light-warranty void for its vehicles, contributing significantly to increase its market share.