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What are the categories of automotive aftermarket?

Automotive Aftermarket Definition

What is the automotive aftermarket?

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  • Automotive aftermarket definition: The automotive industry&#;s after-sale market.
  • &#;Aftermarket&#; includes vehicle parts, equipment, replacement tires, service repair, collision repair and accessories, sold after the sale of the original vehicle.
  • The aftermarket includes companies in manufacturing, re-manufacturing, distribution, retailing, and installation of replacement vehicle parts, equipment, service repair and automotive accessories.
  • Automotive aftermarket market segments include the type of parts and accessories; do-it-yourself (DIY) vs. do-it-for-me (DIFM); or light, medium or heavy-duty vehicles.

Vehicle aftermarket meaning: What does &#;automotive aftermarket&#; mean? What is the &#;aftermarket?&#;

Aftermarket parts can be OEM replacement parts made by the OEM, or aftermarket including performance and accessories. Share on XThe automotive aftermarket definition starts with this: Vehicle parts and accessories may or may not be manufactured by the original equipment manufacturer (OEM).

Automotive aftermarket parts are divided into three categories: OEM replacement parts made by the OEM; aftermarket parts including performance parts for modification; and aftermarket accessories.

OEM replacement parts are vehicle parts manufactured or re-manufactured (or &#;re-manned&#;) to replace OEM parts as they wear due to normal wear & tear of a vehicle, or for replacement due to damage. Aftermarket parts can be parts intended to be an alternative to OEM replacement parts, or can be an aftermarket part with different specifications altogether, and can be an add-on part or can be intended to replace an existing part. Accessories are parts made for the vehicle owner&#;s comfort, convenience or safety, or for customizing the vehicle, and are typically add-on parts. These can be after the original sale of the motor vehicle or they can be accessories installed by the automobile dealer.

What is direct to consumer (DTC)?

Direct-to-consumer (DTC) is sales channel where a manufacturer sells directly to the end user. DTC avoids any &#;middlemen&#; or additional distribution. DTC sales primarily rely on ecommerce or company-owned brick and mortar retail stores.

What are

automotive aftermarket products

for cars?

Aftermarket parts for cars are simply parts that do not come from the car&#;s original equipment manufacturer (OEM) and were not installed by the OEM factory. These parts originate from the aftermarket.

Are aftermarket parts good?

Yes, aftermarket parts are good!

In many cases, automotive aftermarket parts are manufactured to provide additional performance or with features not available from the OEM part. Some aftermarket parts are stronger and designed to last longer than OEM parts. It is also important to know that aftermarket parts do not void the OEM warranty. Learn more about Magnuson-Moss Warranty Act aftermarket parts.

Automotive aftermarket definition by DIY vs. DIFM consumer markets

It&#;s important to know you can split up the automotive aftermarket in a few different ways. One way is DIY vs. DIFM.

Consumers who are skilled enough to repair or modify their own vehicles are in the &#;do-it-yourself&#; or &#;DIY&#; segment of the aftermarket. Some consumers prefer to have parts and accessories installed for them, and take their vehicle to a professional repair or installation facility in the &#;do-it-for me&#; or &#;DIFM&#; segment. The aftermarket helps keep vehicles on the road by providing consumers the choice of where they want their vehicles serviced, maintained, or customized.The DIY market is approximately 20%, and DIFM market 80%, of the total automotive aftermarket. Share on X

According to the Channel Forecast Model from the Auto Care Association and AASA, the DIY market is approximately 20% of the total market by parts purchases, and the DIFM market is the remaining 80%.

Automotive aftermarket definition by light, medium and heavy duty vehicles

Here&#;s yet another way to define the automotive aftermarket: vehicle size.

Vehicles are classified into Gross Vehicle Weight (GVW) or Gross Vehicle Weight Rating (GVWR) categories from &#;none&#; (the lightest) up to GVW Class 8, which includes the largest semi tractors. Automobiles have a GVW class of &#;none&#; or &#;blank.&#; Light pickup trucks and SUVs can be in GVW Class 1, 2 or 3. These make up the classification of &#;light&#; vehicles.

Medium-duty trucks including larger commercial trucks, moving vans, box trucks, and delivery trucks are usually GVW Class 4, 5 or 6. Heavy-duty trucks include the largest school buses, semi tractors and crane trucks. Medium and heavy-duty trucks are often grouped together.

Gross Vehicle Weight Rating (GVWR) Class GVWR
Category GVWR Category Description Examples (Blank; the lightest vehicles are not included in a GVWR Class) Light duty vehicle Passenger cars Common passenger cars; no SUVs or CUVs GVWR Class 1 Light duty vehicle Medium pickup trucks, mini vans, SUVs and CUVs under 6,000 lbs. (2,722 kg) Common &#;quarter ton&#; pickup trucks, SUVs and crossover CUVs. Examples: GMC Canyon, Chevy Colorado, Ford Ranger. GVWR Class 2 Light duty vehicle Mini vans, full-size pickups, step vans or cargo vans 6,001lbs. to 10,000 lbs. (2,722&#;4,536 kg) Examples: Ram , Ford F-150, Chevy Silverado pickup trucks GVWR Class 3 Medium duty vehicle Heavy-duty &#;3/4 ton&#; pickups, box trucks, walk-in commercial vans 10,001 lbs. to 14,000 lbs. (4,536&#;6,350 kg) Examples: Ram , Ford F-350, GMC Sierra &#;3/4 ton&#; pickups GVWR Class 4 Medium duty vehicle Large walk-in commercial vans, larger box trucks, city delivery trucks 14,001 lbs. to 16,000 lbs. (6,351&#;7,257 kg) Examples: Ford E-450 van, Ford F-450, Ram GVWR Class 5 Medium duty vehicle Largest city delivery trucks, largest walk-in commercial vans with double rear axles, bucket utility &#;cherry picker&#; trucks 16,000 lbs. to 19,500 lbs. (7,258&#;8,845 kg) Examples: Ford F-550, GMC , Ram GVWR Class 6 Medium duty vehicle School buses, single-axle straight trucks, stake bed trucks, beverage trucks 19,501 lbs. to 26,000 lbs. (8,846&#;11,793 kg) Examples: Thomas Built Buses, Blue Bird GVWR Class 7 Heavy duty vehicle City transit buses, smaller semi truck cabs, moving vans, garbage trucks 26,001 lbs. to 33,000 lbs. (11,794&#;14,969 kg) Examples: GMC C, Freightliner GVWR Class 8 Heavy duty vehicle Largest dump trucks, largest semi cabs, semi truck sleeper cabs, cement trucks 33,001 lbs. (14,969 kg) and heavier Examples: Freightliner, International, Mack,

Distribution channels in the aftermarket

The automotive aftermarket is characterized by a complex distribution system. Parts and accessories flow through the industry from the manufacturer to the consumer in many different ways.

For most of the industry&#;s history, from the early s until the internet grew in the s-s, distribution was mostly known as &#;two step distribution.&#; This means manufacturers sold to warehouse distributors (WDs), that in turn sold to retailers, that in turn sold to consumers.

Today with the huge growth in the internet, more parts manufacturers are selling direct to consumer (DTC), further altering the traditional channels of distribution.

Automotive aftermarket

Automotive industry concerned with secondary parts

For other uses, see Aftermarket

For more Auto Aftermarket Parts categoryinformation, please contact us. We will provide professional answers.

The automotive aftermarket is the secondary parts market of the automotive industry, concerned with the manufacturing, remanufacturing, distribution, retailing, and installation of all vehicle parts, chemicals, equipment, and accessories, after the sale of the automobile by the original equipment manufacturer (OEM) to the consumer. The parts, accessories, etc. for sale may or may not be manufactured by the OEM.[1]

The aftermarket encompasses parts for replacement, collision, appearance, and performance. The aftermarket provides a wide variety of parts of varying qualities and prices for nearly all vehicle makes and models.

Consumers have the option of repairing their vehicles themselves (the "do-it-yourself" or "DIY" segment) or can take the vehicle to a professional repair facility (the "do-it-for me" or "DIFM" segment). The aftermarket helps keep vehicles on the road by providing consumers the choice of where they want their vehicles serviced, maintained, or customized.

Size of the automotive aftermarket

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The United States automotive aftermarket is estimated to be worth $383 billion (), contributing more than 2.3% to GDP. The aftermarket employs 4.4 million people who work at manufacturers, distributors, retailers and repair shops. [2]

In the United States, online sales of aftermarket accessories have showed year over year increases over traditional brick and mortar stores. In fact, according to Hedges & Company, "Online revenue for automotive parts eCommerce revenue will reach $38 billion in in the US." That includes $19.8 billion from first-party 1P eCommerce websites and $18.3 billion from third-party 3P marketplaces.[3]

Singapore, which does not have a domestic automobile industry, is an especially important destination for businesses exporting automotive parts and accessories due to its high automobile turnover stemming from the peculiarities of its driving laws. (In short, car owners are legally required to get rid of their cars after ten years of use and Singapore's compensation scheme to offset the registration fee of new cars has incentivized more frequent turnover.)[4]

High automobile turnover and the preference for new parts means that the market for remanufactured and reconditioned auto parts is very small. Combined with a high demand for "accessories, car-care products, prestige items, and new spare parts," Singapore's automotive aftermarket is large. In fact, Singapore has become a major automotive components manufacturing base, as several leading multinational corporations (MNCs) have established international procurement offices as well as their Southeast Asia distribution centers.[4]

In Canada, the automotive aftermarket is a C$19.4 billion industry that employs about 420,000 people.[5]

In Australia, the automotive aftermarket industry in was estimated to generate a AUD$5.2 billion turnover, with staff, and manufacturers.[6]

in Europe, the total volume of Independent Aftermarket (IAM) amounted to 127 billion Euros in (end-user prices without labor and tax). At that moment there were 54 parts traders with annual turnover over 100 mio Euros in Europe, 6 of them exceeded 1 billion Euros.[7]

Meeting platform for the international automotive aftermarket is the B2B trade fair Automechanika which takes place every two years in Frankfurt. At last edition the hot topics were connected cars, autonomous driving, alternative drives and the workshop of the future.[8]

Online versus brick-and-mortar aftermarket accessory vendors

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Among online retailers, Amazon.com and eBay Motors are the largest sellers of aftermarket parts and accessories in the U.S. by both units sold and revenue, and are expected to grow 25% in , far outstripping traditional chain stores.

As DIY parts sales soften at the retail counter, chain stores have pushed themselves into the DIFM commercial business, eating into distributors&#; and wholesalers&#; market share. Since , DIY sales at the chain stores have fallen a total of 3% to 5%, while commercial sales have brought in a double-digit sales increase. AutoZone&#;s DIFM sales in alone increased over 13%.[9]

Online sales of auto parts and accessories in the United States, excluding online auctions and used parts, have been projected to pass $10 billion in .[10]

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Automobile manufacturers have attempted to hinder or suppress automotive aftermarket sales by means of copyright or patent infringement litigation. For example, in British Leyland Motor Corp. v Armstrong Patents Co. in the UK, the House of Lords decided in that Leyland could not claim copyright infringement in order to prevent the aftermarket sale of replacement tailpipes to purchasers of those motor cars.[11]

Aro Mfg. Co. v. Convertible Top Replacement Co. is a U.S. Supreme Court case in which the Court redefined the U.S. patent law doctrine of repair and reconstruction: "No element, not itself separately patented, that constitutes one of the elements of a combination patent is entitled to patent monopoly, however essential it may be to the patented combination and no matter how costly or difficult replacement may be."[12]

In Harley-Davidson filed a patent and trademark infringement lawsuit against two aftermarket engine manufacturers producing drop-in replacements for Harley's engines, namely S&S Cycle and Delkron, Inc. Harley accused S&S and Delkron of copying parts for Twin Cam engines and using Harley trademarks without permission. S&S argued that the suit was without any legal basis, and asserted that "a mutually beneficial relationship existed" between them and Harley.[13]

See also

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References

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