We'll begin by showing you the existing effect of the pandemic on the auto industry. Then, at the base of this guide, we explain why current trends are changing the long run.
The near future of the automotive sector: Parts revenue is increasing
The near future of the automotive sector: Parts revenue is increasing
Chart 1: Automobile parts revenue reached an all-time high during the summer of 20 20. We observe that ongoing during the coronavirus pandemic. Personal ingestion of automotive parts at August 20 20 reached $50.303 billion, an all-time record (see our chart at right).
"Personal consumption" is the first of several important unitedstates automotive industry statistics in this report. It has retail sales just, no B2B revenue. Additionally, it includes revenue through high automotive aftermarket retailers too through as eCommerce. Personal consumption counts all specialization automotive products, performance automotive parts, and automotive accessories. It also incorporates OEM replacement automotive components.
We anticipate personal consumption of automotive parts will probably go back to the recent growth trajectory in 2013.
More personal income spent automotive components
More personal income spent automotive components
Chart 2: Through the COVID-19 pandemic, individuals will be paying more private income on automotive parts and accessories (view our chart at left). Individuals are also spending their discretionary income on automotive components, the design of the charts are nearly identical.
There has been a slight downward trend in the percentage of personal income used on automotive parts since 2013, as it surfaced in 0.309 percent. In August 20 20, consumers spent 0.291%, signaling a return to 2016-2017 levels.
What this means for the future of the automotive industry: individuals are prepared to pay more of the income automotive parts than in the past few years. We anticipate consumer spending as a proportion of private income will come back to the 0.270percent -0.280% range by 20 23.
Consumers are buying more automotive components in brick and mortar shops
Consumers are buying more automotive components in brick and mortar shops
Chart 3: Consumer spending automotive after market retailers returned to 2018-2019 levels.
This reflects, in part, the growing impact of e commerce on brick and mortar retail.
In 20-19, auto parts save revenue as a proportion of personal income payable to match 2018 (short red arrow). In April 2020 it fell somewhat. This summer it came back into 2018-2019 degrees when consumers carefully returned into retail shopping. June and July were approximately 0.046percent of private income.
From the foreseeable future of the automotive industry, we expect the percentage of personal income will likely soon be in the 0.040%-0.041% range in 20 23.