5 Facts About Automotive Repair Franchises
If you are thinking about acquiring an automotive repair franchise to own and run yourself, you probably have a few questions on the matter. The more you can learn now, the more chance of success you will have when you buy an automotive repair franchise. But it can be hard to know what the salient information is and what isn’t. And it can be hard to know where to get that valuable information. That’s why we’re here to help. Here are five helpful facts about automotive repair franchises.
268.8 million is the number of vehicles Americans owned in 2016. That’s a lot of vehicles. And the number has been growing steadily since 1990. Of course, some individuals own multiple automobiles, but when you think of how many Americans drive a vehicle, you begin to understand that automotive franchises have an enormous potential customer base. It’s not like you’re investing in an industry like saxophone repair or jet ski maintenance. Automotive repair franchises repair automobiles, and with 268.8 million of them out there, there’s plenty of potential work.
The average American vehicle on the road is 11.5 years old. That’s a lot older than the average age of vehicles in previous years. In fact, it’s a record high. With more Americans holding on to their vehicles for longer, the need for automotive repair franchises is higher than ever. Older vehicles mean more repairs and more maintenance are needed. This means more automotive repair franchises are needed.
In 2015, Americans purchased 17.5 million cars and light trucks. That means, even though Americans are holding on to their existing vehicles longer than ever, they’re not shying away from buying new ones either. This is important because today’s new vehicles will be old vehicles in five years’ time and that’s when they’ll need more repairs and more maintenance. So not only is the automotive repair business a huge business, it is a growing and stable one.
But is there actual proof that the owners of older vehicles spend more money on repair(s) than the owners of newer vehicles? How do we know they’re not just prolonging the life of their vehicles with their own handy skills? Or that auto manufacturers aren’t just making better, more stable cars? Well, in fact, we do have proof that these older auto owners spend more money at auto repair franchises. Older car owners are twice as likely to spend $1000 or more than are newer car owners.
722.8 billion. That mind-boggling number is the projected total value of the automotive aftermarket by 2020. The automotive aftermarket contains basically any transaction to do with an automobile after its initial purchase. So, the automotive aftermarket includes automotive repair franchises. Clearly, there is a lot of money out there potentially available to owners of automotive repair franchises. These facts indicate that you don’t want to miss out on the opportunity to get involved with an automotive repair franchise.