Auto Service World
News   June 30, 2022   by Auto Service World Staff

Car Wrapping: A Niche Market With High Profits

The automotive industry is one of the three most competitive industries in the world.

You have to be at your best to survive in this industry, and if you are planning to outlast and outgrow your competitors, you need to think outside the box.

While most workshops and automotive retailers tend to focus on the same product range and services, day in day out, some simple innovations can not only help you to make more from your existing clients, it can help to attract new clients too. 

One potential idea is car wrapping.

Car wrapping services have turned out to be a great new source of revenue, helping many otherwise struggling workshops to stand out from their competition. Read on to learn more.

Easy to Sell Due to High Demand

Car wrapping is hot right now. Not only is demand for branded, promotional wrapping higher than ever, so too is single color vinyl wraps, for aesthetic purposes.

The automotive film wrap market passed USD $4.7 billion in 2021 and is expected to grow a further 22.5% from 2022 to 2030.

Since it’s often cheaper and easier than painting, it’s both easy to sell and easy to install.

There’s no need for paint booths and spray equipment. In fact, you won’t have to spend a lot of money on materials at all. You will, however, get to earn high-profit rates without putting a lot of investment at risk.

Since it’s still a relatively niche service, you can expect plenty of referrals too.

A Cheap Growth Lever

As a business owner, one of your major concerns would be determining how much time, effort, and money you have to invest in every project. 

If you are experienced and creative, a well-designed car wrapping service will certainly help to grow your business, increasing overall sales and profits.

Think about it, if someone comes to your workshop to have their car vinyl wrapped, and they love your service, chances are they will return for their servicing, repair, or modification needs at a later date.

But as we’ve mentioned, you get growth through growing demand as well. Rising global population, increasing disposable income, more common use of passenger vehicles and an ongoing desire for a personalized touch means custom color schemes or customized graphics will only get more common as the years go on.

Great Margins

Of course, before committing, you’ll want to know more about the potential ROI.

The truth is, the cost of materials and labor for vinyl wrapping services are less than you might think. But despite this, businesses and consumer customers are willing to pay a premium for a high quality service.

Depending on the size and model of the vehicle, that average cost of a car wrap is $6000. This leaves a lot of room to take profits.

Source: Low Offset


Consider the massive investment being made by many well established industry players:

  • 3M
  • Avery Dennison
  • Arlon Graphics
  • Guangzhou Carbins Film Co.
  • Hexis
  • JMR Graphics
  • Kay Premium Marking Films
  • Orafol Group
  • Ritrama

Increased Visibility 

The primary goal of every business is to reach a wide audience and inform its potential prospects about its existence, and car wrapping can be a great way of doing that. 

Unlike using the usual cliché marketing techniques, car wrapping can help take a more creative route to increase brand recognition without much hassle. 

A lot of people will notice the well-done job on the vehicles of your clients and get intrigued about the service provider. It is also a great opportunity to portray your creativity in the right place. 

A Glimmering Opportunity

Branded vinyl wraps have seen growing demand in marketing many businesses, where branding and logos are present. But consider how many vinyl wrapped cars you really see on the roads each day—it really is a tiny percentage. The B2B market is prized to grow, but not in isolation.

Customized cars with incredible finishes are choosing wraps over custom paint jobs due to the lower cost and the ability to be removed without causing damage.

If this opportunity is appealing to you, spend some time researching the market, and consider how you could integrate this service into your business.

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