Steady Growth Seen, Driven by Repair/Replacement Market

With a worldwide value of $250 billion, the automotive aftermarket is in a state of flux. Increased diversification in the supply chain and the influence of electronic commerce are leading to higher competition for aftermarket sales. These forces are creating risks as well as opportunities for automotive materials suppliers.

The adhesives content of cars has been increasing yearly as adhesives achieve design wins at the expense of mechanical fasteners and welds, based on their ability to reduce noise and vibration and to bond synthetic materials. While a few major participants dominate the top third of the automotive adhesives market, the market as a whole remains fragmented.

There is intense competition and price sensitivity for automotive adhesives in the aftermarket. Imports aggressively compete in this segment. While the total aftermarket will increase, the do-it-yourself segment will decline due to the effects of leasing and the aging male population.

Channel management is critical to success in the automotive aftermarket. Distributors in the aftermarket are striving to do more business with fewer suppliers. Successful suppliers will strive to understand and build on this trend of supplier consolidation.

To take advantage of the opportunities presented by these new technology and market developments, suppliers must be fully aware of the market potential of adhesives in the automotive aftermarket. Suppliers must also be willing to act on this information by teaming with automotive OEMs, channel partners, and repair/service shops to develop the product features and packaging that will be required to take full advantage of aftermarket applications.

The Automotive Aftermarket: Opportunities for Adhesives has been researched and written to be of maximum value to adhesives suppliers. It consists of in-depth analyses, descriptions and evaluations of current and probable future market developments, technology issues and business factors - information necessary to compete effectively in this evolving market. Publication date is September 25th. The price of the study is US $2,450.00.