The vehicle protection service market includes services that offer protection and coverage for vehicles including extended vehicle protection plans, maintenance plans, protection plans and repair warranties. These services help protect vehicles against unexpected repair costs and provides hassle-free maintenance and repairs. With growing vehicle ownership particularly in developing countries, the demand for vehicle protection services is rising globally. The automobile industry has been witnessing steady growth over the years and higher disposable income has increased vehicle purchases among consumers. This has subsequently increased the demand for protection plans and maintenance contracts in order to safeguard high investment on vehicles and avoid unexpected repair costs.
Key Takeaways
Key players operating in the vehicle protection service market are The prominent market players in the RFID market include Zebra Technologies Corp. (US), Alien Technology, LLC (US), CAEN RFID S.r.L. (Italy), Impinj, Inc. (US), Avery Dennison Corporation (US), Honeywell International Inc.(US), NXP Semiconductors (Netherlands), GAO Group (Canada), HID Global Corporation (US), Invengo Information Technology Co., Ltd. (China), Infotek Software & Systems (P) Ltd (i-TEK) (India), Bartronics India Limited (India), Bartech Data Systems Pvt. Ltd., ORBCOMM Inc. (US), GlobeRanger (US), Mojix (US), SAG Securitag Assembly Group Co., Ltd. (Taiwan), Linxens (France), Checkpoint Systems, Inc. (US), Identiv, Inc. (US), Confidex (Finland), Datalogic S.p.A. (Italy), Nedap N.V. (Netherlands), Jadak (US). Key opportunities in the vehicle protection service market include rising demand for telematics-based tracking systems and protection plans, growing preference for online purchase of vehicle protection services and expansion of service offerings. The vehicle protection service providers are exploring opportunities in developing and underpenetrated markets to expand globally.
Market Drivers and Restrain
The prominent market driver for the Vehicle Protection Service Market Demand is the rising vehicle ownership particularly in developing countries. Higher disposable income, easy financing options and growing middle class population has increased the number of vehicle sales worldwide which is driving the demand for vehicle protection services. However, lack of awareness about available service plans and benefits especially in rural areas act as a major market restrain. Complex claim processing and documentation requirements also limit the adoption of protection plans among some customers.
Segment Analysis
The vehicle protection service market is dominated by the regular maintenance sub-segment. Regular vehicle maintenance involves periodic servicing, repair, and replacement of parts which helps to keep the vehicle functioning properly. It also enhances vehicle life and resale value. As vehicles increase in age, they require more regular maintenance which is driving growth in this sub-segment.
Global Analysis
North America accounts for the largest share in the vehicle protection service market currently. This is attributed to higher vehicle ownership and usage in countries such as the US. Moreover, the presence of leading service providers in the region also supports market growth. The Asia Pacific region is expected to witness the fastest growth during the forecast period. Rapid economic development, growing disposable incomes, and increasing automobile ownership in developing countries such as China and India will boost the demand for vehicle protection services in the coming years.
Get more insights on Vehicle Protection Service Market
Also read related article on Microfiber Synthetic Leather Market
Comments
0 comment