Ever reliable: Despite greater vehicle reliability, the industry has recorded modest growth

Operators in the Roadside Vehicle Assistance industry offer emergency services to motorists in the case of vehicle faults or incidents that leave them unable to continue their journey. The industry is highly concentrated, with two companies – AA plc and RAC Motoring Services – accounting for an estimated 73.4% of the market. However, healthy demand has encouraged new operators to enter the industry over the past five years. Industry performance is contingent on the size and average age of the UK’s car parc, both of which have displayed a steady rise in recent years, leading to an increase in the pool of vehicles that require industry services. Consequently, revenue is expected to increase at a compound annual rate of 1.6% over the five years through 2019-20, reaching £1.7 billion...read more.

Industry Statistics & Market Size
Revenue
£1.7bn
Annual Growth 15-20
1.6%
Forecast Growth 20-25
Profit
Employment
9,802
Businesses
39

Industry Threats & Opportunities

  • The size and average age of the UK car parc have risen, to the benefit of the industry
  • The condition of UK roads has become increasingly important in determining the level of demand
  • The number of vehicles on UK roads is expected to continue to increase, supporting steady growth
  • Industry Report - Starting a New Business Chapter

    Barriers to entering the industry are moderate and include the investment required to build a trusted, highly recognised brand, the creation of a nationwide, branded fleet of qualified patrols with competitive technical ability, and the sophisticated deployment process to operate effectively. The dominance of the two largest industry players also contributes towards the industry's moderate barriers to entry. This is due to the superior brand recognition they hold over smaller companies, in addition to greater investment capabilities which leaves the large firms better placed to take advantage of emerging trends. Nevertheless, smaller operators are able to establish themselves within local markets, with the quality and price of the service offered key factors determining their success. ...purchase to read more.

    Additional Insights for the Roadside Vehicle Assistance Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Roadside Vehicle Assistance Industry are

  • Prompt delivery to market
  • Easy access for clients
  • Qualified work force
  • IBISWorld analysts also discuss how external factors such as Average age of motor vehicles and Total number of registered motor vehicles in the Roadside Vehicle Assistance industry impact industry performance..

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    What's in this report

    What is the Roadside Vehicle Assistance Industry?

    Roadside vehicle assistance services assist motorists in the case of a mechanical failure that leaves the operator stranded. Maintenance services that are booked in advance to take place in garages are not included in the industry.

    Industry Products
  • Roadside assistance
  • Vehicle recovery
  • Industry Activities
  • Emergency road repair services
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Average age of motor vehicles
  • Total number of registered motor vehicles
  • Fuel prices
  • Population aged 16 to 25 years

  • Current Performance
  • Going electric
  • Road to revenue
  • Filling up
  • Accelerating competition
  • Chart: Revenue Growth

  • Industry Outlook
  • Parting ways
  • On the road
  • Emerging trends
  • Table: Roadside Vehicle Assistance Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Roadside Vehicle Assistance Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Motor Vehicle Manufacturing
  • Car Rental & Leasing
  • Truck Rental & Leasing

  • Key Selling Industries
  • Motor Vehicle Parts Wholesaling
  • Other Motor Vehicle Sales

  • Products & Services
  • Roadside assistance
  • Vehicle recovery
  • Other
  • Chart: Roadside Vehicle Assistance Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Customers
  • Businesses
  • Chart: Major Market Segmentation for the Roadside Vehicle Assistance Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitAlthough profit margins are expected to expand over the five years through 2019-20, though growth has been hampered by increasing price-based competition. Moreover, the price of fuel, a significant expense for operating vehicles, has been volatile over the past five years. Nevertheless, increasing demand over the period has enabled operators to manage their costs more effectively contributing towards maintaining healthy margins. Profit margins are anticipated to account for 25.4% of industry revenue in 2019-20, up from 20% in 2014-15. WagesPurchasesDepreciationMarketingOther
  • Chart: Cost Structure Benchmarking – Sector vs Roadside Vehicle Assistance

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Roadside Vehicle Assistance Industry

  • Industry Globalization
    AA plc, RAC Motoring Services,
  • Table: AA plc - financial performance
  • Table: RAC Motoring Services - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Roadside Vehicle Assistance Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Roadside Vehicle Assistance Industry
    Includes:
  • Industry Revenue (2011-2025)
  • Industry Gross Product (2011-2025)
  • Establishments (2011-2025)
  • Businesses (2011-2025)
  • Employment (2011-2025)
  • Wages (2011-2025)
  • Wages (2011-2025)
  • Purchases (2011-2025)
  • Profit (2011-2025)
  • Depreciation (2011-2025)
  • Marketing (2011-2025)
  • Rent (2011-2025)
  • Utilities (2011-2025)
  • Other (2011-2025)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Alternative-Fuel Vehicles (Afvs)
  • Vehicles that do not run on petrol or diesel. They can be petrol-electric, petrol-alcohol, electric and petrol-gas.
  • Breakdown
  • A breakdown is the mechanical failure of a vehicle that prevents the safe operation of the vehicle.
  • Society Of Motor Manufacturers And Traders (Smmt)
  • The Society of Motor Manufacturers & Traders (SMMT) is an association supporting and promoting the interests of the UK automotive industry.
  • What Our Customers Say

    Why buy this report?

    The Roadside Vehicle Assistance market research report provides key industry analysis and industry statistics, measures market size, analyzes current and future industry trends and shows market share for the industry’s largest companies. IBISWorld publishes the largest collection of industry reports so you can see an industry’s supply chain, economic drivers and key buyers and markets.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Roadside Vehicle Assistance:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Roadside Vehicle Assistance market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Roadside Vehicle Assistance, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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