The global market for vehicle wash systems is projected to grow at a CAGR of 7% during the forecast period of 2022 to 2030. It is anticipated that the market for vehicle wash systems will as a result of the growing preference of consumers toward automation and the convenience with which vehicles may be washed and cleaned. The expanding number of heavy vehicles used in the construction and mining sectors is one of the primary aspects that is anticipated to be one of the major factors that is likely to boost the growth of the global market for automatic vehicle washing systems in the following years. Another driver that is expected to fuel market growth is the ongoing expansion of the automotive industry, which is being driven by the growing need for convenience. The Society of Indian Automobile Manufacturers (SIAM) reports that between the years 2020 and 2021, a total of about 2,711,457 passenger vehicles and 568,559 commercial vehicles were sold in the country of India. It is anticipated that this pattern will carry on during the entirety of the projection period, not only in India but also in other regions of the world. It is further positioned to promote sales in various markets around the world.
The emergence of COVID-19 has caused widespread disruption in the automotive industry. Because of this, production facilities have been forced to close, and as a result, sales volume has decreased. In addition, it is anticipated that there would be a decline in demand for commercial as well as passenger automobiles in the year 2020. As was to be predicted, this decline will have a negative impact on the vehicle wash equipment sector. There is a good chance that the amount of money allocated to research and development will be cut, which would slow down the development of new automobile wash equipment. Despite this, businesses are acting cautiously to protect themselves from the potentially disastrous impacts of the pandemic. The COVID-19 pandemic has slowed down economic activity for players in the vehicle wash business. This is as a result of the pandemic. As a consequence of this, the majority of nations have loosened their limits, which is contributing to the revival of market growth. In an effort to improve their trustworthiness, service providers are implementing appropriate infection control measures and are beginning to conceal their faces in public spaces in order to protect both their personnel and their clients.
Consumer preferences are the primary factor driving growth in the vehicle wash system market. More sophisticated vehicle washing technologies are being adopted at a faster rate than more traditional ones. The vehicle wash systems are in high demand in the countries of North America and Europe, while the developing economies of the Asia-Pacific region offer attractive potential for expansion to the makers. The responsibilities of washing and cleaning vehicles have become simpler as a result of the beneficial innovation of vehicle washing systems, which is one of the important growth factors for the market. Additionally, the continual increase in industrialization is another factor that is driving the market.
In the past, customers typically opted for classic car wash systems, which may have included in-bay automatic, full-service, or self-service options. Self-service was also a popular option. However, the industry that manufactures vehicle wash systems is currently going through a slow but steady transition in which customers are gradually leaning more toward convenience and automation, which is driving demand for express exterior and flex-service vehicle wash systems.
According to the information that was compiled by Enerdata, a programme that is run by the European Union, a number of nations, including Austria, France, and Spain, have seen an increase in the distance that people drive in their automobiles. The rise in commercial vehicle utilization can be partially attributed to the expansion of commercial trading operations. Because of this increase in the number of miles travelled by each vehicle, each vehicle is subjected to a greater quantity of dirt, grit, snow salt, and other such elements. These are the kinds of things that cause a vehicle's performance and aesthetic appeal to deteriorate, which in turn leads to an increase in the demand for cleaning services. As a result, growth in the global market for car and truck washes is being driven by increases in both the number of cars sold and the number of miles driven by vehicles.
The reduction in the amount of water that is wasted at professional vehicle wash facilities is one of the primary causes that is driving the increase in the number of vehicle washes performed at those centres. The growing human population and the number of vehicles on the road have both contributed to an increase in the amount of strain that is being placed on a resource that is already in short supply. Although water is a plentiful resource, there is a very small amount of it that may be utilised for a wide range of activities. As a result, the appropriate use of discretion is required. When done with traditional methods, washing a driveway wastes a significant quantity of water and exposes the surrounding environment to potentially dangerous wastewater in direct contact. The wastewater is either dumped directly into the bodies of water without being treated, or it is released into the surrounding environment. In addition, regulatory agencies have implemented stringent water usage restrictions in areas that are prone to situations similar to drought, which further discourages the practise of washing driveways. This is the case in places such. The efficient management of water use is made possible by the use of automatic vehicle wash machines. In addition, the water that pours out after washing is collected, and either sent to sewage treatment plants or recycled for use in the washing process again. Automatic washing machines enable the deployment of the barest necessary amount of labour, which in turn helps to cut costs and boost the market growth.
The sensitive nature of vehicle paint has contributed to an increase in demand for touchless car washing systems, which fall under the umbrella of exterior car washing technologies. It provides thorough cleaning in addition to speedy and inexpensive washing services, all of which are expected to contribute to an increase in market demand of twenty percent over the next few years. Many vehicle wash systems available in the market are touch-free. These systems were designed to respond to different vehicle models with increased speed and efficiency, and it washes vehicles in a manner that is comparable to that of a soft-touch car wash or a conventional wash.
The need for a large initial investment can be a barrier to overall expansion in the car wash industry. The costs of investment include a variety of additional expenses, including those related to land, documentation, site work, construction, equipment, promotion, and marketing. These up-front fees inhibit market expansion because they make it more difficult for new market participants to enter the market. Due to the extremely expensive price of automatic vehicle washing systems, businesses located in less developed nations may be unable to afford to purchase and install such systems. In addition, the output volume from end-users is extremely low in these countries because people there prefer to have their cars washed manually rather than using automated equipment. Because of the issues that were mentioned earlier, it is possible that the growth of the global market for automatic vehicle washing systems may slow down in the near future.
The roll overs segment of the market accounted for 35% of the total market share in 2021 and is projected to expand at a compound annual growth rate (CAGR) of 6% between the years 2022 and 2030. The effectiveness of rollovers is the primary reason for the increase in demand. In addition, there is a good chance that demand will increase as a result of end-users' increasing emphasis on efficiency. On the other hand, pressure washers, which now hold a market share of 27%, are anticipated to outsell other segments within the system type category. This can be ascribed to the fact that pressure washers are relatively inexpensive. As a result of this, the market for pressure washers is expected to expand at a compound annual growth rate of 6.5 % over the next few years.
The automotive segment that includes commercial and passenger vehicles dominated the market with 35% of market share in 2021, is also anticipated to dominate the highest sales valuation during the forecast period of 2022-2030. This is due to the fact that the automotive market is growing at a faster rate than any other market. This can be attributable to the increased need for repairing and maintaining vehicles, as well as the utilisation of more sophisticated washing technology and equipment. It is anticipated that this market segment will expand at a compound annual growth rate of 5% during the forecast period.
North America and Europe together contribute to over 47% of market revenues with North America taking a lead. The expansion of the market can be linked to the ownership of vehicle washes by small and medium-sized enterprises in the North American region, as well as ownership of vehicle washes by medium- and large-sized petroleum corporations in the European region. In addition, it is anticipated that the vehicle wash system would show a double-fold rise in the economies of China, Japan, and South-East Asia in the Asia-Pacific region. This is due to the increasing demand for vehicle wash systems in a variety of industries, including aerospace, mining, and others.
As there are so many participants on the domestic and regional levels, the international market for vehicle wash systems is extremely competitive and has a high degree of fragmentation. Key players engage in a variety of marketing strategies, such as merging and acquiring other companies, expanding their operations, forming partnerships and collaborations, and so on. Additionally, in order to increase their market presence among customers, the most successful businesses are using the development of new products as a strategic method. The application of these strategies has led to the installation of a cutting-edge vehicle wash system. Key market players include Ryco Solutions, Inc., Coleman Hanna, Autec, Inc., Wash Tec Group, Aquarama S.r.l., Sonny's Enterprises LLC, PDQ Manufacturing, Inc., Otto Christ AG, and others.
This study report represents analysis of each segment from 2020 to 2030 considering 2021 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments is estimated for the forecast period of 2022 to 2030.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations, and other key market insights.
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. Key data point that enables the estimation of vehicle wash market are as follows:
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The Pandemic Had an Adverse Impact on the Market, yet the Market is Set for Revival
The emergence of COVID-19 has caused widespread disruption in the automotive industry. Because of this, production facilities have been forced to close, and as a result, sales volume has decreased. In addition, it is anticipated that there would be a decline in demand for commercial as well as passenger automobiles in the year 2020. As was to be predicted, this decline will have a negative impact on the vehicle wash equipment sector. There is a good chance that the amount of money allocated to research and development will be cut, which would slow down the development of new automobile wash equipment. Despite this, businesses are acting cautiously to protect themselves from the potentially disastrous impacts of the pandemic. The COVID-19 pandemic has slowed down economic activity for players in the vehicle wash business. This is as a result of the pandemic. As a consequence of this, the majority of nations have loosened their limits, which is contributing to the revival of market growth. In an effort to improve their trustworthiness, service providers are implementing appropriate infection control measures and are beginning to conceal their faces in public spaces in order to protect both their personnel and their clients.
Consumer Preference, Ease, and Simplicity are the Key Factors Driving the Market Growth of the Vehicle Wash Market
Consumer preferences are the primary factor driving growth in the vehicle wash system market. More sophisticated vehicle washing technologies are being adopted at a faster rate than more traditional ones. The vehicle wash systems are in high demand in the countries of North America and Europe, while the developing economies of the Asia-Pacific region offer attractive potential for expansion to the makers. The responsibilities of washing and cleaning vehicles have become simpler as a result of the beneficial innovation of vehicle washing systems, which is one of the important growth factors for the market. Additionally, the continual increase in industrialization is another factor that is driving the market.
In the past, customers typically opted for classic car wash systems, which may have included in-bay automatic, full-service, or self-service options. Self-service was also a popular option. However, the industry that manufactures vehicle wash systems is currently going through a slow but steady transition in which customers are gradually leaning more toward convenience and automation, which is driving demand for express exterior and flex-service vehicle wash systems.
Increasing Number of Miles Driven
According to the information that was compiled by Enerdata, a programme that is run by the European Union, a number of nations, including Austria, France, and Spain, have seen an increase in the distance that people drive in their automobiles. The rise in commercial vehicle utilization can be partially attributed to the expansion of commercial trading operations. Because of this increase in the number of miles travelled by each vehicle, each vehicle is subjected to a greater quantity of dirt, grit, snow salt, and other such elements. These are the kinds of things that cause a vehicle's performance and aesthetic appeal to deteriorate, which in turn leads to an increase in the demand for cleaning services. As a result, growth in the global market for car and truck washes is being driven by increases in both the number of cars sold and the number of miles driven by vehicles.
Regulations on Water Usage Motivating Use of Professional Vehicle Wash Facilities
The reduction in the amount of water that is wasted at professional vehicle wash facilities is one of the primary causes that is driving the increase in the number of vehicle washes performed at those centres. The growing human population and the number of vehicles on the road have both contributed to an increase in the amount of strain that is being placed on a resource that is already in short supply. Although water is a plentiful resource, there is a very small amount of it that may be utilised for a wide range of activities. As a result, the appropriate use of discretion is required. When done with traditional methods, washing a driveway wastes a significant quantity of water and exposes the surrounding environment to potentially dangerous wastewater in direct contact. The wastewater is either dumped directly into the bodies of water without being treated, or it is released into the surrounding environment. In addition, regulatory agencies have implemented stringent water usage restrictions in areas that are prone to situations similar to drought, which further discourages the practise of washing driveways. This is the case in places such. The efficient management of water use is made possible by the use of automatic vehicle wash machines. In addition, the water that pours out after washing is collected, and either sent to sewage treatment plants or recycled for use in the washing process again. Automatic washing machines enable the deployment of the barest necessary amount of labour, which in turn helps to cut costs and boost the market growth.
Touchless Wash Systems Evidencing Increased Demand
The sensitive nature of vehicle paint has contributed to an increase in demand for touchless car washing systems, which fall under the umbrella of exterior car washing technologies. It provides thorough cleaning in addition to speedy and inexpensive washing services, all of which are expected to contribute to an increase in market demand of twenty percent over the next few years. Many vehicle wash systems available in the market are touch-free. These systems were designed to respond to different vehicle models with increased speed and efficiency, and it washes vehicles in a manner that is comparable to that of a soft-touch car wash or a conventional wash.
A Significant Initial Investment to Moderately Constrain the Market Growth
The need for a large initial investment can be a barrier to overall expansion in the car wash industry. The costs of investment include a variety of additional expenses, including those related to land, documentation, site work, construction, equipment, promotion, and marketing. These up-front fees inhibit market expansion because they make it more difficult for new market participants to enter the market. Due to the extremely expensive price of automatic vehicle washing systems, businesses located in less developed nations may be unable to afford to purchase and install such systems. In addition, the output volume from end-users is extremely low in these countries because people there prefer to have their cars washed manually rather than using automated equipment. Because of the issues that were mentioned earlier, it is possible that the growth of the global market for automatic vehicle washing systems may slow down in the near future.
Roll Overs to Leads with 35% Market Share
The roll overs segment of the market accounted for 35% of the total market share in 2021 and is projected to expand at a compound annual growth rate (CAGR) of 6% between the years 2022 and 2030. The effectiveness of rollovers is the primary reason for the increase in demand. In addition, there is a good chance that demand will increase as a result of end-users' increasing emphasis on efficiency. On the other hand, pressure washers, which now hold a market share of 27%, are anticipated to outsell other segments within the system type category. This can be ascribed to the fact that pressure washers are relatively inexpensive. As a result of this, the market for pressure washers is expected to expand at a compound annual growth rate of 6.5 % over the next few years.
Automotive Segment Dominating the Current Market
The automotive segment that includes commercial and passenger vehicles dominated the market with 35% of market share in 2021, is also anticipated to dominate the highest sales valuation during the forecast period of 2022-2030. This is due to the fact that the automotive market is growing at a faster rate than any other market. This can be attributable to the increased need for repairing and maintaining vehicles, as well as the utilisation of more sophisticated washing technology and equipment. It is anticipated that this market segment will expand at a compound annual growth rate of 5% during the forecast period.
North America Remains as a Global Leader
North America and Europe together contribute to over 47% of market revenues with North America taking a lead. The expansion of the market can be linked to the ownership of vehicle washes by small and medium-sized enterprises in the North American region, as well as ownership of vehicle washes by medium- and large-sized petroleum corporations in the European region. In addition, it is anticipated that the vehicle wash system would show a double-fold rise in the economies of China, Japan, and South-East Asia in the Asia-Pacific region. This is due to the increasing demand for vehicle wash systems in a variety of industries, including aerospace, mining, and others.
Cut Throat Competition Here to Stay During the Forecast Period
As there are so many participants on the domestic and regional levels, the international market for vehicle wash systems is extremely competitive and has a high degree of fragmentation. Key players engage in a variety of marketing strategies, such as merging and acquiring other companies, expanding their operations, forming partnerships and collaborations, and so on. Additionally, in order to increase their market presence among customers, the most successful businesses are using the development of new products as a strategic method. The application of these strategies has led to the installation of a cutting-edge vehicle wash system. Key market players include Ryco Solutions, Inc., Coleman Hanna, Autec, Inc., Wash Tec Group, Aquarama S.r.l., Sonny's Enterprises LLC, PDQ Manufacturing, Inc., Otto Christ AG, and others.
Historical & Forecast Period
This study report represents analysis of each segment from 2020 to 2030 considering 2021 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments is estimated for the forecast period of 2022 to 2030.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations, and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. Key data point that enables the estimation of vehicle wash market are as follows:
- Research and development budgets of manufacturers and government spending
- Revenues of key companies in the market segment
- Number of end users and consumption volume, price and value.
- Geographical revenues generate by countries considered in the report
- Micro and macro environment factors that are currently influencing the vehicle wash market and their expected impact during the forecast period.
Market Segmentation
By System (2020-2030; US$ Mn)
- Tunnel
- Roll Overs
- Touch-less
- Pressure Washer
By Vehicle Type (2020-2030; US$ Mn)
- Automotive
- Passenger Vehicle
- Commercial Vehicle
- Railways
By End User (2020-2030; US$ Mn)
- Independent
- Franchised Service Station
- Authorized Car Dealership
By Sales Channel (2020-2030; US$ Mn)
- Aftermarket
- OEM
Region Segment (2020-2030; US$ Mn)
- North America (U.S., Canada)
- Europe & UK (UK, Germany, Spain, Italy, France, RoE)
- Asia Pacific (China, Japan, India, Australia, South Korea, RoAPAC)
- Latin America (Brazil, Mexico, RoLATAM)
- Middle East and Africa (GCC, Africa, RoME)
Global Impact of Covid-19 Segment (2020-2021; US$ Mn )
- Pre Covid-19 situation
- Post Covid-19 situation
Key questions answered in this report
- What are the key micro and macro-environmental factors that are impacting the growth of vehicle wash market?
- What are the key investment pockets with respect to product segments and geographies currently and during the forecast period?
- Estimated forecast and market projections up to 2030.
- Which segment accounts for the fastest CAGR during the forecast period?
- Which market segment holds a larger market share and why?
- Are low and middle-income economies investing in the Vehicle Wash System market?
- Which is the largest regional market for vehicle wash market?
- What are the market trends and dynamics in emerging markets such as Asia Pacific, Latin America, and Middle East & Africa?
- Which are the key trends driving vehicle wash market growth?
- Who are the key competitors and what are their key strategies to enhance their market presence in the vehicle wash market worldwide?
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Table of Contents
1. Preface
2. Executive Summary
3. Vehicle Wash System Market: Business Outlook & Market Dynamics
4. Vehicle Wash System Market: By System, 2020-2030, USD (Million)
5. Vehicle Wash System Market: By Vehicle Type, 2020-2030, USD (Million)
6. Vehicle Wash System Market: By End User, 2020-2030, USD (Million)
7. Vehicle Wash System Market: By Sales Channel, 2020-2030, USD (Million)
8. North America Vehicle Wash System Market, 2020-2030, USD (Million)
9. UK and European Union Vehicle Wash System Market, 2020-2030, USD (Million)
10. Asia Vehicle Wash System Market, 2020-2030, USD (Million)
11. Latin America Vehicle Wash System Market, 2020-2030, USD (Million)
12. Middle East and Africa Vehicle Wash System Market, 2020-2030, USD (Million)
13. Company Profiles
Companies Mentioned
- Ryco Solutions Inc.
- Coleman Hanna
- Autec Inc.
- Wash Tec Group
- Aquarama S.r.l.
- Sonny's Enterprises LLC
- PDQ Manufacturing Inc.
- Otto Christ AG
