Companies in this industry provide repair and maintenance services for passenger cars and light trucks. Major US companies include Firestone Complete Auto Care (a unit of Bridgestone), Jiffy Lube, Meineke, Midas, Monro Muffler Brake, and Safelite Group.
The global automotive repair and maintenance services industry is forecast to grow at a double-digit compound annual rate between 2015 and 2025, according to Future Market Insights, driven by increasing vehicle production and growing demand from emerging markets.
The US automotive repair and maintenance services industry includes about 160,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $105 billion. The industry has experienced solid growth in recent years, with annual revenue up nearly 30% between 2010 and 2015. Separate industry profiles cover Automotive Oil Change & Lubrication Services and Car Washes, which are included in the industry.
Demand depends on miles driven and the number of cars on the road. The increased complexity of vehicles, which makes it more difficult for vehicle owners to perform do-it-yourself repairs, is also driving demand. The profitability of individual companies depends on convenient location and good marketing. Large companies can maximize use of expensive diagnostic equipment and have advantages in purchasing, distribution, and marketing. Small companies can compete effectively by providing superior customer service or offering specialized services. The US industry is highly fragmented: the 50 largest companies generate less than 10% of revenue.