Global Automotive Dealer Industry
The world automotive retail industry was worth close to $5 trillion in 2011, having recorded yearly growth of more than 2% for the four preceding years, reports MarketLine. Auto dealers represented the leading market segment, generating more than $2 trillion in 2011, equivalent to almost 44% of the overall market. Industry growth is expected to accelerate to a yearly rate of 8% between 2011 and 2016, bringing the market to more than $7.2 trillion.
While the global passenger car sector was badly hit by the economic crisis, dealer sales are witnessing recovery thanks to increasing employment and rising levels of consumer income. Global Industry Analysts underlines the role played by governments in helping fuel market expansion through the launch of initiatives that see new cars replace old cars, and the introduction of financial packages for automotive manufacturers in difficulty.
Recovery in end-use markets sectors (such as transportation and construction) drove commercial vehicle sales in 2010. Increasing automotive production and a rising number of vehicle miles traveled and the resulting wear-and-tear on vehicle parts improved business prospects for outfits dealing in automotive components and parts. A greater degree of vehicle maintenance, rising levels of income and improvement in aftermarket purchases also helped market conditions for component dealers and related service providers.