Jobbers that haven’t moved into the electronic retail space better lace up their boots because it’s expected to take off in the next year.
The trend of buying aftermarket products online is increasing at a growth rate of three times more than the total aftermarket (excluding tires and accessories). The channel as a whole is expected to be worth US$28 billion by 2020.
“The auto care industry must adapt and evolve in order to win on the online superhighway,” the association said in an announcement when releasing its latest report, Disruptive Trends Shaping the Future of the Auto Care Industry: E-Tailing 2018.
Traditional distribution through physical retail stores will face disruption and as e-tailing channels grow, meaning pricing pressure and transparency measures could follow.
But there could also be opportunities for growth, the report says.
The full report is available from the association to members for US$499 and to non-members for US$1,599.