Automotive Tuner Market

What is the Future Outlook on Automotive Tuner Market in Comparison to Historic Sales?

Automotive tuner comes under aftermarket accessories in the automotive industry. Automotive tuner provides customers the little push in the performance of the vehicle and offers information regarding vehicle torque and horsepower. According to FMI’s analysis, automotive tuner sales have grown at 2.7% CAGR between 2016 and 2021.

COVID – 19 has caused major disruptions in the automotive industry and the transportation sector, which are key end users in the automotive tuner market. Weakening macroeconomic environment, slowdown in the production and sales of automobiles and aftermarket caused due to the pandemic has severely impacted automotive tuner sales.

With a number of end users affected in regions such as East Asia and South Asia Pacific, the supply and shortage in demand are expected to result in a significant drop in Y-O-Y growth. Nonetheless, FMI expects global Automotive Tuner market to grow at 5.8% CAGR through 2031.

What is the Commercial Potential of Automotive Tuners?

Automotive tuners are mostly used for increasing the performance of vehicles by just putting some extra component such as some ECU software upgradation which lead the vehicle to perform more efficient and give more power than the stock software or hardware.

The key players are focusing on expansion of their unit either in the way of direct sales or in terms of franchise in other region to boost their sales and revenue.

Moreover, establishing sales and service facilities in emerging countries coupled with long term partnerships with regional distributors also paves the way for the expansion of channel reach.

Country-wise Insights

How large is the Opportunity in the U.S.?

The U.S. is estimated to remain the most rewarding market throughout the course of the projection period. Some of the key factors supporting growth are the steadily increasing vehicle sales, rising vehicle parc, and increase in demand for performance tuning and ECU mapping. With the number of aging vehicles increasing, the demand for automotive tuner is expected to surge in the country.

The U.S. being one of the leading automotive markets in the world, has a high number of original equipment manufacturer (OEMs) and aftermarket production. Adoption of the latest technologies and innovations remains high in the U.S., sealing its position as one the largest markets for automotive tuners in the world.

Will Increasing Automotive Sales Drive Growth in India?

Automotive sales in India is rising at a fast pace and so is the demand for technologies for better maintenance of cars. People in India are more willing to spend on maintenance of their vehicle. The increasing focus on high performance, will create a conducive environment for the growth of the market within India. According to registration data released by the Federation of Automobile Dealers Association (FADA), automotive retail sales in India improved by 11.66% in September 2020.

With both production and sales of vehicles forecast to rise, India will remain a lucrative market for automotive tuner through the course of the forecast period.

What are the Factors Driving China Automotive Tuning Market?

With China's annual growth in vehicle fleet, the need for automotive tuning is increasing. China is a leading supplier and third party online channel of raw materials and some parts require for tuning the vehicle. The replacement aftermarket is also expanding due to increasing car ownership and increase in vehicle age in China. China is a lucrative market for automotive tuner as the manufacturers are using merger and acquisition strategy to capture maximum market share.

Growing Vehicle Fleet Supporting GCC Automotive Tuner Market

GCC countries have emerged as highly lucrative markets for automotive tuner. The demand is expected to rise consistently due to the increasing availability of the high-end vehicle which require more tuning and performance upgradation. The UAE and Saudi Arabia will account for leading share in the GCC market. Both countries exhibit increasing demand luxury cars and sports utility vehicles, emerging as attractive markets for automotive tuners.

Category-wise Insights

Automotive Tuner market share by Component Type?

Hardware components hold higher share in the market for automotive tuners. The hardware component segment accounts for over 50.7% of the total market share.

Which is the Preferred Automotive Tuner Sales Channel?

Direct sales and Third Party Online Channel are preferred sales channels for automotive tuners. Combined, both these segments contribute 65.4% of total market share. Convenience of shopping offered by both channels has made consumer-favorites. Online sales are expected to surge especially since consumers are showing greater inclination of availing online discounts and offers and enjoy placing order from the comfort of their homes, while getting it delivered to their doorsteps.

Which vehicle segment and fuel segment comprise more market share?

Passenger vehicles comprise over 60% of the global automotive tuner market in terms of vehicle type. Passenger vehicles sales is forecast to increase, especially in economies such as India and China. According to the India Brand Equity Foundation (IBEF), passenger vehicles sales in India stood at 3,10,294 units in October 2020, registering an increase of 14.9% in comparison to sales registered in October 2019. With sales forecast to rise further, the demand for their maintenance will increase, creating attractive scope for the expansion of the market.

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Competitive Landscape

The automotive tuner market is highly competitive, with presence of a large number of players. Some of the companies are focusing to carve a niche for specific demography. The market has robust partnerships throughout the value chain, with high focus on innovations. Manufacturers are aiming at strategic collaborations with regional distributors to address the requirements of an expanding customer base. Brand consciousness and aggressive marketing makes it challenging for new entrants in this market. Through these developments, companies are aiming at competitive advantage.

Some of the leading companies operating in the market are:

• Derive Systems
• Cobb Tuning
• Alientech SRL
• Roo Systems
• EFI Live
• Magic Motorsports
• Edge Products
• Diablo Sport
• Mountune
• Autotuner
• AEM Electronics
• Hypertech Inc.
• HP Tuners
• Flashtec SA
• Jet Performance Products

*The list is not exhaustive, and only for representational purposes. Full competitive intelligence with SWOT analysis available in the report.

Scope of the Report

Key Questions Answered in the Report

• Which is the most lucrative market for automotive tuners?

  Europe currently leads the global market for automotive tuners. Sales in Europe will account for over 32.9% of total demand registered between 2021 and 2031.

• Which are the top-selling automotive tuners?

  Hardware component tuning component are highly sought-after for various applications. The demand for hardware component is expected to remain high in the near future, especially due to continuously increasing the demand for performance tuning and ECU mapping from the consumers in all regions.

• Which are some of the leading automotive tuner manufacturers?

  Some of the leading companies manufacturing Automotive Tuner are Derive Systems, Cobb, Alientech SRL, Roo Systems, EFI Live, Magic Motorsports, Edge Products, Diablo Sport, Mountune, Autotuner, AEM Electronics, Hypertech Inc., HP Tuners, Flashtec SA, Jet Performance Products, etc.

• Which vehicle type shows high need for automotive tuners?

  Automotive tuners are highly sought-after by passenger vehicle owners.

Enquiry before Buying

• Is this research conducted by FMI?

  Yes, the research has been conducted by expert analysts of FMI through a combination of primary research and secondary research. To know more about how the research was conducted, you can speak to research analyst

• What research methodology is followed by FMI?

  FMI follows a methodology that encompasses demand side assessment of the market, and triangulates the same through supply side analysis. This methodology is based on use of standard market structure, methods and definitions. Request detailed methodology

• Who are the respondents for primary research?

  FMI speaks to stakeholders across the spectrum, including C-level executives, distributors, product manufacturers, industry experts. For a full list of primary respondents, please reach out to us.

• What are the sources of secondary research?

  FMI conducts extensive secondary research through proprietary databases, paid databases, and information available in the public domain. We refer to industry associations, company press releases, annual reports, investor presentations, and research papers. More information about desk research is available upon request.

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Automotive Tuner Market

By Component Type

• Hardware Component
• Software

By Vehicle Type

• Passenger Car
• LCV
• HCV

By Fuel Type

• Gasoline
• Diesel

By Sales Channel

• Direct Sales
• Third Party Online Channel
• Independent Stores/Shops
• Other Sales Channel

By Region

• North  America
• Latin America
• Europe
• East Asia
• South Asia & Pacific
• Middle East & Africa