Players shaping India’s car repair market

The car repair market in India is largely unorganized but change is afoot as technology plays a larger role and car owners sharpen focus on quality and convenience. In this insight, we analyze the key players influencing India’s car repair market.

The car repair and service segment in India can be broadly divided into three verticals that cater to the Indians car owner’s maintenance needs. According to Mahindra First Choice Services, a chain of organized workshops, which quoted data from a 2016 aftermarket study by Automotive Component Manufacturers Association (ACMA), these verticals are the unorganized garages, which account for about 64% market share; OEM-authorized repairers, which constitute approximately 32% of the market; and organized independent aftermarket (known locally as multibrand outlets), which constitute the remaining 4%. For perspective, in the United States, the independent aftermarket accounts for 70% of the overall segment while the authorized dealers account for 30%, according to the Auto Car Association. This split has remained mostly the same since 2012 and is expected to continue till 2024 as well, according to the AASA Channel Forecast Model.