Long Service of Older Vehicles Provides Gain to Automotive Parts and Service Industries
The increased use of automobiles especially in Canada indicates a prospective growth in the region’s Aftermarket Performance Parts and service businesses. More people are having a longer time driving their own vehicles as shown by a recent study.
Based from the released study by DesRosiers Automotive Consultants, there are more than six million automobiles still traveling on the road in the previous year though these vehicles are already older than 10 years. In 2000, 28% passenger vehicles that are bought 15 years ago can be seen in the thoroughfare but eventually, there is an apparent increase, reaching the number of cars to 43%. In addition, the imports brands remains to be enduring since a lot of these autos are still in use today. More than half of the import cars purchased in 1991 are actively driven on the road.
As said by Dennis DesRosiers, an industry analyst, “Canadian drivers are taking full advantage of their vehicles’ increased usage potential by extending their ownership into previously unplumbed high-mileage territory. Never before have we seen such compelling, large-scale evidence of improved long term durability - regardless of nameplate origin, country of manufacture, or class of vehicle.”
The positive boost in auto business provides a better opportunity and hints the expansion for Canada’s $16 billion automotive aftermarket industry. This business field is in line with the manufacturing, distribution and installing of replacement parts for automobiles aside from the offered equipments, accessories and tools.
“The longer those vehicles stay on the road, obviously the more work gets done. It’s just increased the size of that market exponentially. The future’s pretty bright,” the president of Automotive Industries Association of Canada, Ray Datt, commented.
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