Industry Analysis & Industry Trends
The Motor Vehicle Parts Wholesaling industry has recovered and grown recently, following a poor start to the five-year period through 2016-17. When economic conditions deteriorated, consumers delayed purchasing non-essential car parts and only carried out necessary repairs, which weighed on industry performance at the start of the five-year period. Recent improvements in the general economy are expected to result in the growth of industry revenue at a compound annual rate of 0.6% over the five years through 2016-17.
At the beginning of the period, growth was fuelled by improved demand from the aftermarket segment. More recently, demand has been sustained by rising discretionary spending and the growth in retail sales of new motor vehicle parts... purchase to read more
Industry Report - Industry Analysis Chapter
Prior to and at the beginning of the five-year period through 2016-17, demand was negatively affected by poor economic conditions, despite relatively resilient demand from the aftermarket. The economic recovery stalled and caused revenue to fall in 2012-13. These struggles did, however, provide opportunities to some market segments. For example, demand for commercial vehicle parts was boosted at the beginning of the period because cash-strapped organisations sought replacement parts and repairs to avoid investing in new vehicles. For the most part, however, consumer demand fell in the aftermath of the economic crisis, and many wholesalers struggled to stay afloat in the following years.
.. purchase to read more