Saudi Arabia Vehicle Reparation Market Segmented By Service Area (Automotive Mechanical and Electrical Parts, Automotive Body Parts, Tire, Paint, Interior Parts, Glass, Others), By Vehicle Type (Two-Wheeler, Passenger Car, LCV, and M&HCV), By Service Provider (Automobile Manufacturers, Franchise General Repairs, Locally Owned Repair Shops), By Channel (Online, Offline), By Region, Competition, Forecast & Opportunities, 2027

Saudi Arabia vehicle reparation market is anticipated to grow at a CAGR of 3.52% during the forecast period to reach USD1,204.54 million by 2027F. Anticipated growth in the market can be attributed to the booming automobile fleet coupled with the removal of ban on women driving. Expanding business sectors such as fast-moving consumer goods (FMCG), e-commerce, etc., combined with the rise in per capita income, are anticipated to power the growth of Saudi Arabia vehicle reparation market in the upcoming five years.

The scope of the report includes revenue generated in a particular year through the services which the companies provide for repairing the various components of a vehicle as well as the additional services provided for replacing any component or parts of a vehicle.

Saudi Arabia vehicle reparation market includes the revenue that is being generated from the services offered while repairing, maintenance, or replacement of various automobile parts categorized under segments such as automotive mechanical and electrical parts, glass, automotive body parts, paint, tire, interior parts, frames, and bodies. The revenue being generated consists of labor costs, cost of consumables, VAT, and other service-related charges. The market size of the Saudi Arabia vehicle reparation market is independent of the cost of spare parts and other components cost.

The COVID-19 pandemic adversely impacted the economy of Saudi Arabia. According to Saudi Arabia’s General Authority of Statistics, the gross domestic product (GDP) of the Kingdom of Saudi Arabia went down by 1.0% in Q1 2020 compared to Q1 2019. Also, petroleum refining activities went down by a massive 24.2% in Q1 2020 compared to Q1 2019. Moreover, in Q2 2020, the GDP decreased by 7.0% compared to the same period of 2019. On the other hand, the unemployment rate increased to 15.4% in Q2 2020, which was 3.1% higher than that in Q2 2019, hence leaving a negative impact on consumer spending by the people in the country. All these factors negatively influenced the growth of the vehicle reparation market in the year 2020 in the country.

Removal of Ban on Women Driving Drives the Market Growth

In June 2018, after the announcement of curbing down the ban on women driving and giving women the right to drive motor vehicles on public roads, the women-to-drive movement campaign by Saudi women finally registered victory. Removal of ban and growing preference for women drivers has uplifted the passenger car sales in Saudi Arabia. Changes in the government norms for females driving automotive vehicles after decades have resulted in the growth of women drivers. Moreover, opting for self-driving gives many women a sense of empowerment.

Increasing Employment Drives the Market Growth

According to World bank open data, 84.28% of Saudi Arabia’s population is classified as urban population, where the majority of them are categorized as the service class. Moreover, the country’s employment to population ratio increased to 72.79% in 2019 from 72.69% in 2018. The growth in employment of the country is leading to an increase in consumer spending, owing to which people are spending well on maintaining and servicing their vehicles. Furthermore, people of Saudi Arabia use passenger cars for daily commuting to their offices. As offices in Saudi Arabia run five days a week, passenger cars are highly utilized in the country, which in turn is generating the need for regular maintenance and servicing of passenger cars. The growth in employment, rising consumer spending integrated with expanding urban population has led to an increase in the utilization of vehicles in the country, which in turn is generating the need to service the vehicle more frequently, driving the vehicle reparation market of Saudi Arabia.

Growing Usage of Commercial Vehicle Drives the Market Growth

Growth in the vehicle reparation market is driven by increasing urbanization, construction, and continuously improving living standards of the people of Saudi Arabia. With a growing number of small-scale businesses falling in sectors such as FMCG, agriculture, e-commerce, pharma, construction, etc., across the country, the demand for commercial vehicles to carry goods is constantly increasing. The growth in various businesses is leading to an increase in usage of commercial vehicles such as vans and trucks, which is subsequently generating the need to service the vehicle in shorter time periods, driving the vehicle reparation market of Saudi Arabia.

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Market Segmentation

The Saudi Arabia vehicle reparation market is segmented based on service area, vehicle type, service provider, channel, region. On the basis of service area, the market is fragmented into Automotive Mechanical and Electrical Parts, Glass, Automotive Body Parts, Paint, Tire, Interior Parts and Others. Also, segmentation of the market on the grounds of vehicle type is done into passenger car, LCV, M&HCV, two-wheeler. On the basis of service provider, the market is fragmented into Franchise General Repairs, Automobile Manufacturers, Locally Owned Repair Shops. Based on channel, the market is bifurcated into Offline and Online. The market analysis also studies the regional segmentation to devise regional market segmentation, divided among Al-Riyadh, Eastern Region, Makkah Al-Mokarramah, Aseer, Al-Qaseem, others. Saudi Arabia vehicle reparation market is majorly dominated by Al-Riyadh region of the country. The region accounts for the highest fleet of automobiles in the country, registering a market share of over 45% in 2021 and the trend is expected to continue in the forthcoming years as well. Al-Riyadh region of Saudi Arabia is the economic as well as the cultural hub of Saudi Arabia, accounting for a majority of commercial services as well as industrial activities in the country. The region leads over the other regions in terms of the urban population, population density, industries, universities, airports, ports, highways, hospitals, schools, literacy rate, per capita income, houses, etc. Thus, consumers in the Al-Riyadh region have higher purchasing power compared to the other regions in the country. As a result, the majority of Al-Riyadh people own multiple vehicles. Moreover, the region encompasses multiple automobile manufacturers and franchise general repairs workshops and service centers that operate in an organized capacity. Al-Riyadh region is comparatively dominating over other regions based on their usage of automobiles across the country.

Company Profiles

Abdul Latif Jameel IPR Company Limited, SMC Auto Service Broker LLC, Ezhalha, E.A. Juffali & Brothers (Juffali Automotive Company), Al Jazirah Vehicles Agencies Co. Ltd., Petromin Corporation, Al Jomaih Group (ACDelco Service Centers), Haji Husein Alireza & Co. Ltd., Mohamed Yousuf Naghi & Brothers Group, Aljabr Group, are among the major market players in the Saudi Arabia platform that lead the market growth of the Saudi Arabia vehicle reparation market.

Report Scope:

In this report, Saudi Arabia vehicle reparation market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

• Saudi Arabia Vehicle Reparation Market, Service Area:
• Automotive Mechanical and Electrical Parts
• Glass
• Automotive Body Parts
• Paint
• Tire
• Interior Parts
• Others
• Saudi Arabia Vehicle Reparation Market, By Vehicle Type:
• Passenger Car
• LCV
• M&HCV
• Two-Wheeler
• Saudi Arabia Vehicle Reparation Market, By Service Provider:
• Franchise General Repairs
• Automobile Manufacturers
• Locally Owned Repair Shops
• Saudi Arabia Vehicle Reparation Market, By Channel:
• Offline
• Online

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in Saudi Arabia vehicle reparation market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).