Introduction: By definition, the automotive parts and spares industry is an extensive range of organizations and companies engaged and included in the development, design, marketing, manufacturing, and selling of the motor vehicles and spare parts, while some of them are being called off as the automakers. It is considered to be the most effective and vital sectors in the world due to the high amount of revenue generated through it. Overall, the statistical resistance in the market for automotive and spare parts industry has been traditionally meticulous. For a long time, steel has been the most dominant material, particularly in the 1920s. However, what kind of materials in the automotive industry is likely to surge in the 21st century? The decision taken by the manufacturers on the utilization of the materials in the automotive industry is usually complicated and is decided by a wide range of factors. Issues of the global warming support the accumulative objective to enhance the economy, and the usage of the energy has an enormous impact on the selection of the materials. The industry right now as well as in the past has been complicated and intensive, which is precisely the reason why the competition has been so rigorous. According to a research study, the government of the United States has made an ordinance to improve and drive the economy and safeguard the safety of the occupant by releasing an instruction to reduce the level of emissions in the exhaust for some vehicles. To get such efforts, the spare parts and the automotive industry is making a considerable amount of contributions in improving the traditional effectiveness of the engine so that it can easily manufacture and produce the newly operated powertrains, like the most important ones, that decrease the weights of the vehicle and complete engine electric motor or electrical system. Automotive & The Global Market: The worldwide automotive aftermarket industry is predicted to reach $722.8 billion by the end of 2020. The customers today are preserving their vehicles for a longer period and are more informed about the significance of inhibitory maintenance and scheduled overhauling to personalize the value of their vehicles for a long time. The growing need for aftermarket services and parts is stimulating revenue and growth opportunities for a vast range of businesses working in the industry for a long time. The most common car on the American roads is averaged to be around 12 years old, as per the survey conducted by the HIS Automotive. Even though the cars on the roads might be getting old, the consumers are still interested in buying the newer models. In 2015 in the United States alone, the sales for cars hit a record high with automotive companies selling about 18 million trucks and cars, a six percent increase in comparison to the car sales recorded in 2014. Although many of the people in America are planning to purchase new vehicles, the numbers are telling an entirely different story suggesting that the aftermarket for vehicles is declining. Older vehicles are merely lasting for a longer time and as per an article written by the USA Today in 2015, the amount of vehicles on the road which are above 25 years old are about 14 million. The numbers have improved in comparison to the eight million back in 2002. Those are the vehicles manufactured and produced back in 90’s or even before that. In the meanwhile, the numbers of vehicles that are aged between 16 to 24 years old are comprised of the 44 million vehicles by the end of 2017 increasing in accordance to the 26 million vehicles registered in 2002.
Applications For Automobile Parts:
1) Data Complexity Issues: The median vehicle using the computer is manufactured and produced using around 20,000-30,000 parts. For each and every vehicle that is being manufactured and assembled, aftermarket parts producers and manufacturers should always source, provide, or determine that a current part can change those parts in the occurrence of a breakdown tear or normal wear. The suppliers of the aftermarket parts mention this information like an application data; with as many as about 130 million records for application data are attained by retailers and distributors every month. 2) Industrial Standards: To facilitate the problems faced by the industry, the Auto Care Association which was previously called as the Automotive Aftermarket Industry Association has taken over the authority of ensuring the adoption and creation of the standards in the automotive aftermarket. Some of these standards assist in removing the similar work by making sure that all the partners of trading are using the references given to them like general formats, tables, and general formats when demanding and exchanging a similar amount of data. Suppliers & Buyers: The ecommerce market is expanding at an exponential level in both business-to-consumer and business-to-business marketplaces, and by the end of 2020, it is predicted to reach a record $20 billion of the automotive parts and spares, taking over ten percent of the market in the world. Since ecommerce efficiently opens up the marketplace, making budget-friendly imports more convenient and approachable to both the B2C and B2B sectors, the completion of the auto part in the aftermarket has been enlarging drastically. The advancement in the ecommerce industry has enabled to improve the channel consolidation in the past few years, transferring the balances of power within the industry. Selling immediately to the end businesses and customers through digitalized channels has become a notion changing into a market trend in the years to come as customers expect reliable and easy availability of the automotive parts. Market Statistics & Trends: • The most common age of the vehicle in the United States has improved to be about 17 percent in the last couple of years. • Seventy-five percent of the aftermarket auto-repair is executed by repair shops working independently, while 25 percent of the businesses live along with dealerships. • The world of the aftermarket is going online with the marketplace constantly improving and developing. Majority of the parts are being sold online, while the services are also being sold online. • The most common length of the ownership or the vehicle for used and new vehicles has increased to about 60 percent in the last ten years. Market Opportunities: According to research prepared by NPD Group, essential marketing trends in the automotive industry were checked and assessed. Critical Players Of The Automotive Market: The three important countries contributing a lot to the spare parts and automotive market are the USA, Germany, and China. The United States is the number one importer of spare parts and automotive products while being the second largest exporter of other automotive products. It mainly imports goods from Germany, the largest exporter of vehicle goods and parts while also standing on the second for importing other parts and vehicle products. China is the sixth largest exporter while being the largest producer and manufacturer of vehicle items and products in the world respectively.