Car customisation trend to drive car accessories market growth

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With established popularity of accessories, such as seat covers, car mats, stereos and speakers, steering wheel covers, dash kits, navigation systems, cushions, sunshades, and others, the global market for interior car accessories is gaining steady traction. A wide range of new, innovative accessories is frequently launched, providing an uptick in the demand for interior car accessories globally.

Key market drivers

An increasing number of car owners are purchasing interior accessories for their cars, in order to enhance the look and aesthetic appeal. Moreover, accessories also add value to the overall driving experience. A trend of customised cars is on the rise since the recent past and will remain a favorable factor for the market growth during the forecast period.

Following the staggering growth of the global automotive industry, the market is also witnessing an upsurge in the sales of passenger cars and pickup trucks. This will continue to play a vital role in bolstering the demand for a particular set of interior vehicle accessories. Increasing demand for accessories for fast moving cars will also remain a key driver.

In developed regions, rising aftermarket e-retailing is a major driver positively influencing the market for car accessories.

Counterfeits operating in the market are however expected to capture a sizeable market share, owing to easily available and cost effective products. In addition, the global market is extremely fragmented. These two factors may collectively hamper the market growth over the forecast period.

Technological innovations and growing applications of car accessories collectively boost a trend of decorative car accessories in the global car interior accessories market. This trend will remain a major driver for the market by 2024 end.

Segementation and market share

By product type: Electronic accessories will remain a major shareholder through to 2024, registering a CAGR of 5.4%. The covers segment is estimated to record the highest CAGR of 6.8%, reaching a value of US$ 61.59 Bn by 2024 end. Other product segments include knobs, consoles and organizers, car cushions and pillows, fragrance, communication, car mats, central locking system, dash kits, and sunshades.

By vehicle type: Passenger cars will continue to attract higher sales against pickup trucks. While the former is expected to maintain around 95% of the total market share, the latter will grow significantly over the forecast period.

By distribution channel: The OEM segment is projected to grab over 25% of the total market share. However, the aftermarket segment will remain dominant with a CAGR of 5.2% during 2016-2024.

Regional analysis

Based on regional analysis, interior car accessories will witness the highest consumption in developing regions of Asia Pacific. APAC is anticipated to account for over 30% of the market revenue share and record a moderate CAGR of 5.5% over the forecast period. Latin America, the Middle East, and Africa will also register discernible demand for interior car accessories.

Key players

Key players competing in the global interior car accessories include Pep Boys, Pioneer Corporation, Garmin Ltd., O’Reilly Auto Parts, U.S. Auto Parts Network Inc., Pecca Group Berhad, Car Mate Mfg, Co., Ltd., Covercraft Industries, LLC, Classic Soft Trim, Lloyd Mats, H.I. Motors, Star Automotive Accessories, and Momo Srl.

Leading companies are focusing on strategic marketing for better product positioning and enhanced market presence. A number of automotive dealers are also working as individual brands in tandem with their parent OEMs.

Long-term Outlook

The global interior car accessories market will expand at a volume CAGR of 3.9% over the forecast period, 2016-2024. Passenger cars will dominate the market with over 95% of the share.

Complete report available here.