MOST TRUSTED NEWSWIRE PRESS RELEASE DISTRIBUTION
PRTODAY / NewswireToday press release distribution service network
Written by / Agency / Source: Frost & Sullivan
Check Ads Availability|e-mail Article

Are you the owner of this article?, Turn it PREMIUM with your LOGO instead - and make it 3rd party Ads-Free! within the next hour!

Vehicle Parc and Market Dynamics Transform KSA Automotive Aftermarket, Forcing Vendors to Change Their Business Approach - Agile players that find new ways of engaging with customers will succeed, finds Frost & Sullivan’s - Frost.com
Vehicle Parc and Market Dynamics Transform KSA Automotive Aftermarket, Forcing Vendors to Change Their Business Approach

 

NewswireToday - /newswire/ - Dubai, UAE, United Arab Emirates, 2017/03/30 - Agile players that find new ways of engaging with customers will succeed, finds Frost & Sullivan’s - Frost.com.

   
 
Your Banner Ad Here instead - Showing along with ALL Articles covering Automotive / Trucking / RV Announcements

Replace these Affiliate Programs at ANYTIME! Your banner here within the next hour. Learn How!


 

The automotive aftermarket in the Kingdom of Saudi Arabia (KSA) is large and lucrative, with relatively low barriers to entry. Despite the dip in new vehicle sales in 2016, and unstable demand forecast for 2017, the overall number of vehicles in operation (VIO) continues to grow, bolstering the aftermarket. As customers reduce spend per vehicle in the short term, the independent aftermarket brands, which offer more competitive pricing, can leverage this key advantage over genuine parts suppliers. However, all businesses in this space will have to change the way they conduct operations and communicate with customers or risk losing out to agile competitors.

“Customers are definitely becoming more demanding, and this is one of the factors transforming the market,” said Frost & Sullivan Mobility Senior Consultant Vitali Bielski. “Well-organized businesses with an expanded portfolio of vehicle parts (as opposed to only focusing on 5-7 quick moving categories) will be able to capture a bigger share in the market, which is set to reach 33 billion riyals by 2021. Streamlining business operations is no longer an option, it becomes a necessity and only those businesses that are keen to find new ways to retain customers in the long term will have the edge over competition.”

Overview of Opportunities for New and Existing Aftermarket Companies in the KSA, a recent white paper from Frost & Sullivan’s Mobility practice finds that, as a result of steadily declining profitability, automotive aftermarket companies in KSA are becoming smarter and leaner. Eventually, smaller independent companies will consolidate due to lower margins and limited financial resources for future investments.

Key trends reshaping the KSA automotive market include:

• Increasingly price-conscious and demanding customers;
• Steadily declining gross profits that are getting closer to the global average;
• Inevitable industry consolidation and increased investment in new customer engagement channels, such as online sales and quick delivery options;
• Market entry of aftermarket companies with “all-make all-part” type of offerings and country-wide reach as opposed to region wide.

“With more than 10 million vehicles expected on Saudi roads by 2021, which will be operating under harsh weather conditions and have an average annual mileage that is close to 25,000 km, the aftermarket companies will have numerous opportunities to grow,” added Bielski. “Strong opportunities will also emerge for genuine parts suppliers and independent aftermarket companies as government efforts drastically reduce the market share of counterfeit parts.”

Overall, the growing customer base will require more organized supply channels, transparent pricing, and convenient logistics. Wheels, window tinting and paint protection will remain the largest revenue generators in the car accessories segment, but car electronics and car care products are likely to outperform other accessories in terms of growth rates until 2021. The quickly growing share of Korean brands in VIO units also means that parts genuine and independent aftermarket for these vehicles will be in demand in the growing KSA automotive aftermarket.

About Frost & Sullivan

Frost & Sullivan (frost.com), the Growth Partnership Company, works in collaboration with clients to leverage visionary innovation that addresses the global challenges and related growth opportunities that will make or break today's market participants. For more than 50 years, we have been developing growth strategies for the global 1000, emerging businesses, the public sector and the investment community.

 
 
Your Banner Ad Here instead - Showing along with ALL Articles covering Automotive / Trucking / RV Announcements

Replace these Affiliate Programs at ANYTIME! Your banner here within the next hour. Learn How!


 

Written by / Agency / Source: Frost & Sullivan

 
 

Availability: All Regions (Including Int'l)

 

Traffic Booster: [/] Quick NewswireToday Visibility Checker

 

Distribution / Indexing: [+] / [Company listed above is a registered member of our network. Content made possible by PRZOOM / PRTODAY indexing services]

 
 
# # #
 
 
  Your Banner Ad showing on ALL
Automotive / Trucking / RV articles,
CATCH Visitors via Your Competitors Announcements!


Vehicle Parc and Market Dynamics Transform KSA Automotive Aftermarket, Forcing Vendors to Change Their Business Approach

Company website links NOT available to basic submissions
It is OK to republish and/or LINK any newswire for any legitimate media purpose as long as you name NewswireToday and LINK as the source.
 
Publisher Contact: Anita Chandhoke - Frost.com 
+91 80 67028020 / +91 99 16133311 (mobile) achandhoke[.]frost.com
 
Newswire Today - PRZOOM / PRTODAY disclaims any content contained in this article. If you need/wish to contact the company who published the current release, you will need to contact them - NOT us. Issuers of articles are solely responsible for the accuracy of their content. Our complete disclaimer appears here.
IMPORTANT INFORMATION: Issuance, publication or distribution of this press release in certain jurisdictions could be subject to restrictions. The recipient of this press release is responsible for using this press release and the information herein in accordance with the applicable rules and regulations in the particular jurisdiction. This press release does not constitute an offer or an offering to acquire or subscribe for any Frost & Sullivan securities in any jurisdiction including any other companies listed or named in this release.

Automotive / Trucking / RV via RSSAdd NewswireToday - PRZOOM Headline News to FeedBurner
Find who RetweetFollow @NewswireTODAY

Are you the owner of this article?, Turn it PREMIUM with your LOGO instead - and make it 3rd party Ads-Free! within the next hour!


Read Latest Articles From Frost & Sullivan / Company Profile


Read Automotive / Trucking / RV Most Recent Related Newswires:

MAN Engines Launches 800 Hp Light-duty Workboat Engine with Keel Cooling for North American Market
Technological Advancements Are Propagating the Global Induction Motor Market At 11.76% CAGR by 2027 Reports Inkwood Research
The Global Automotive Blockchain Market is Advancing At a CAGR of 45.01% by 2027 Reports Inkwood Research
Global Advanced Driver Assistance System Market At 19.01% CAGR by 2026 Reports Inkwood Research
KRAIBURG TPE Introduces THERMOLAST® K Family - Excellent Weatherproof Material for Automotive Exterior Application
KRAIBURG TPE to Present New TPE Compounds for Consumer and Automotive Applications At K-2019 Düsseldorf
MAN Publishes The 2018 CR Report
Cinemo Acclaimed by Frost & Sullivan for its Modular and Feature-rich In-vehicle Infotainment Systems
PPG Expands PPG ONECHOICE UV Primer System to Cut Spot Repairs to Minutes
Carbon-fiber Composite Manufacturers Must Focus on Cutting Costs to Drive Sluggish Adoption Rates Finds Frost & Sullivan
High-efficiency Powertrains that Lower Emissions to Enjoy Greater Growth Opportunities in 2019 Finds Frost & Sullivan
Frost & Sullivan Intelligent Mobility Forum to Explore How Automakers Are Future-Proofing their Portfolios
Automakers that Focus on Energy-efficient Vehicles Best Poised to Leverage Government Subsidies Says Frost & Sullivan
New Flyer Announces Robotic Research Partnership to Revolutionize Public Transit Using Autonomous Bus Technology
High Adoption of Electric Vehicles in China Attracts OEMs Looking to Expand their Global Footprint Finds Frost & Sullivan

Boost Your Social Network
& Crowdfunding Campaigns


LIFETIME SOCIAL MEDIA WALL
NewswireToday Celebrates 10 Years in Business


PREMIUM Members


Visit  JobsWare.com

Visit  La Bella Bakery Artisan Bakery Arizona





 
  ©2019 NewswireToday — Limelon Advertising, Co.
Home | About | Advertise/Pricing | Contact | Investors | Privacy/TOS | Sitemap | FRANCAIS
newswire, PR press releases distribution service magazines engine news alert newsroom press room breaking news public relations articles company news alerts newswiredistribution ezine bizentrepreneur biznewstoday digital business report market search pr firms agencies reports distri-bution today investor relation successful internet entrepreneurs newswire distribution prtoday.com newswiredistribution asianewstoday bizwiretoday USA pr UK today - NOT affiliated with PRNewswire as we declined their partnership offer in 2013
 
PRTODAY & NewswireTODAY are NOT affiliated with USA TODAY (usatoday.com)