Report: Here’s what dealers really want in 2017
A new report from analysts Frost and Sullivan suggests tire dealers are set to invest in new wheel aligners and tire changers over the coming five years, in a bid to keep up with new technologies.
The company’s Market Engineering Analysis of the Tire and Wheel Equipment Market report projects the overall wheel and tire equipment industry will grow at a compound annual rate of 2.5 percent until 2022, due to the rising demand for the latest workshop kit.
“Technology convergence is helping scale down large wheel and tire diagnostic garage equipment tools to fit within automobiles,” Frost and Sullivan say. “Optimization will create smaller, sophisticated products that utilize sensor-based applications to diagnose real-time service escalation needs. Manufacturers must focus on achieving the right balance of product mix and placement to meet demand expectation and maintain a competitor advantage.”
“The tire and wheel equipment market is being hindered by improved lifespan and replacement cycles, better-quality equipment, efficient servicing, and lack of awareness around the use of certain equipment.” Despite that, its analysts predict global revenues for equipment manufacturers are expected to reach $541.4 million in 2022.
Is foreign-made value brand equipment on the way?
“Snap-on, Hunter Engineering Company and Hennessy are the current market leaders,” Frost and Sullivan intelligent mobility research analyst Benson Augustine said. “Their key assets are penetration and brand image with state-of-the-art products and a strong mix of high-end and value-line equipment. However, Chinese manufacturers are likely to infuse relatively low-priced products to attract price-sensitive smaller garages.”
Frost and Sullivan’s report says technology convergence is “helping scale down large wheel and tire diagnostic garage equipment tools to fit within automobiles.”
Copies of Frost and Sullivan’s report are available for purchase from their website.
