It’s estimated there are more than 284 million cars on the road in the U.S. That’s 284 million potential customers who need their cars fixed, tuned, and so much more. Automotive franchises are revved up to take this opportunity to serve many customers. This essential industry can provide specified services like glass repair or tire work to general automotive care, allowing entrepreneurs to be selective about how they can best operate and serve the millions of drivers in the U.S.
Growing Market
The automotive industry is one of the most recession-proof and economically sound businesses. People must get their cars serviced in order to get to work, school, transport their kids, and even to have fun. Road trips proved popular during the pandemic and even more so in a post-pandemic world. A survey by The Vacationer found almost 80 percent of travelers planned on taking a road trip in 2022 (with 20 percent of those road trippers driving more than 500 miles). Global Market Insights (GMI) estimates the automotive repair industry will have a Compound Annual Growth Rate (CAGR) of 5% between 2022 and 2028 as the industry continues to steadily see an increase in growth.
Money to be Made
The global automotive repair industry size was more than $685 billion in 2021, according to GMI. Franchise Direct says the automotive franchise sector in the U.S. brings in more than $9 billion every year. An increase in road travel for pleasure, combined with an increase in people traveling by cars, vans, SUVs, and buses, and the steady demand for work vehicles, has proven the auto industry can weather economic storms. Paired with the fact the average car is on the road for about 12 years, there are opportunities for return customers for decades to come.
Automotive Franchises Trending Now:
Automotive franchises can cover a host of different car needs—from oil changes, general auto repair, window tinting, tire repair, and so much more. Here are a few opportunities to consider when looking at purchasing an automotive franchise.
- Grease Monkey
- Midas
- Milex Complete Auto Care
- AAMCO
Automotive Franchise Opportunities
As an essential business, automotive franchises are one of the best investments due to their resiliency against economic downturns. These automotive franchise opportunities provide a needed service for an important part of life for people in the U.S. Having knowledge of cars is not always necessary to be successful in an auto franchise. The most important factor for owners to have is knowing how to run a business and a willingness to work hard and learn. Your franchise fee covers training and ongoing support, a proven business model, and a full team behind you.
