According to a recent study by the management consultancy McKinsey, the automotive aftersales market could become even more attractive for startups and young tech companies in the future. However, it's important to position yourself in the most promising areas.
Spare parts, used cars or additional products for cars — the automotive market is not exhausted with the sale of a vehicle. In fact, according to a McKinsey study The so-called aftersales market will continue to grow from today's 242 billion to 295 billion euros by 2030. According to the study, not only established companies but also startups will benefit from this:
“There will be threats and opportunities for existing stakeholders as well as points of entry for new players from other industries and newly created startups.”
Startups as intermediaries
However, not all sectors of the aftersales market will benefit from the positive forecast. For example, the business of traditional workshops could suffer in the future due to the fact that electric cars have fewer maintenance-intensive components, which in turn could be a location advantage for workshops specializing in electric vehicles:
“The rise of vehicle electrification will mean that traditional service and repair shops will come under competitive pressure from workshops that specialize in EVs.”
As a startup, it's important to position yourself in the right areas of the aftersales market. The study primarily assigns young companies the role of service provider between end consumers and manufacturers and/or services related to the automotive market. Examples include the insurance and leasing markets, as well as the management of vehicle fleets within companies.
