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A challenge lies ahead for the automotive aftermarket: the temporary erosion of the population of vehicles in the aftermarket “sweet spot.” The sweet spot of vehicles, typically defined as 6 to 12 years old, recently has been a strong support for aftermarket growth. However, the number of vehicles in this sweet spot is beginning to decline and is predicted to continue to decline until 2018.
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The good news: this sweet spot slump is only temporary. Numbers will increase again as vehicles from the current strong wave of new vehicle sales come into the sweet spot. It’s also important to note that the overall market is not decreasing, it is shifting. The large U.S. vehicle parc that drives the aftermarket — more than 243 million vehicles in operation — is not shrinking; instead, AASA projects it to grow. That means that suppliers can look for opportunities on either side of the sweet spot.
This “AASA Industry Analysis” examines this future market shift and how suppliers can stay ahead of the curve.
Click here for the Industry Analysis Special Report.
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