North America and China to generate more than half of the global revenue by 2022, finds Frost & Sullivan's Mobility team
SANTA CLARA, California, Dec. 1, 2016 /PRNewswire/ -- Acknowledging the vast opportunities inherent in extending business-to-business (B2B) selling beyond offline channels, automotive aftermarket participants all over the world are turning to online retailing of replacement parts. The ease with which service aggregation can be achieved on online channels allows both existing and new retailers to make the most of the B2B eCommerce explosion.
"The rapid uptake of smartphones, especially in markets such as China, where broadband connectivity is limited, has prompted eRetailers to introduce mobile-based solutions to drive online sales," said Frost & Sullivan Mobility Program Manager Anuj Monga. "China is expected to become the second biggest market for online sales of replacement parts, while the United States will account for almost half the total revenue. By 2022, China and the United States together will generate more than half of the global revenue of $50 billion."
Strategic Analysis of eRetailing in the Global Automotive Aftermarket is part of Frost & Sullivan's Automotive & Transportation Growth Partnership Subscription. Related studies include original equipment supplier channel, new mobility business models, passenger vehicles and commercial vehicles filtration aftermarket, wheel and tire equipment, passenger car maintenance and service contract, and automotive sensors.
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The aftermarket has received a boost with the rise in the number of vehicles in operation, innovations in order fulfillment, and adoption of the latest trends in eRetailing. Already, original equipment manufacturers such as BMW as well as independent aftermarket participants such as Amazon are intensifying their focus on the online sales of aftermarket parts and accessories.
"End-to-end solution providers and traditional participants need to enlarge their presence on online sales platforms, despite concerns regarding inadequate connectivity in certain regions," noted Monga. "Telematics providers and service aggregators that are refining their business solutions are emerging as the ideal growth partners for companies looking to stand out in the eRetail automotive aftermarket."
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Strategic Analysis of eRetailing in the Global Automotive Aftermarket
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