NUMBERS: Mobility as a Service… and more

Our monthly pictogram that helps put the Canadian automotive aftermarket into perspective.

Despite the expected growth of mobility-as-a-service (MaaS), the vast majority of automotive executives around the globe (almost 80%) believe that, for the foreseeable future, those aged 25-50 will continue to own a car as their main form of transport.

Negative equity in vehicles is a growing concern in Canada. In 2009, 16.6% of all trade-in vehicles were “under water.” Today, that figure has swelled to 29.4%. Nearly a third of all vehicle owners could be making payments on cars they no longer own.

New-car dealerships were the most popular choice for vehicle service in Canada in 2012. They captured 36.6% market share. Independent repair outlets achieved a 32.2% share of the “do-it-for-me” market in 2012.

Now that recovery is largely complete, the Great Recession of 2008-2009 can be put into some historical perspective. Canada showed greater growth from 2005 to 2013, moving its GDP from $1.164 trillion to $1.826 trillion, an increase of 56.9%. Comparatively, the U.S. saw an increase of 28.1%, moving its GDP from $13.093 trillion in 2005 to $16.768 trillion in 2013. (All figures in current US$).

GDP Increase as a Percentage of 2005

Year                 Canada            U.S.

2005                0.0%               0.0%

2006                12.6%              5.8%

2007                25.2%              10.6%

2008                32.5%              12.4%

2009                17.8%              10.1%

2010                38.6%              14.3%

2011                52.8%              18.5%

2012                56.5%              23.4%

2013                56.9%              28.1%

The core of the Canadian automotive aftermarket industry employed approximately 216,900 people in 2013. The core aftermarket includes parts wholesalers (24,900 workers), parts retailers (46,900), and automotive repair and maintenance shops (145,100).

The 1.74 million light vehicle sales recorded in 2013 was an all-time sales record for Canada… but 2014 was even better, with 1.849 million vehicles sold. In the United States, car companies had their best year since 2006, with sales hitting 16.5 million vehicles.

Top 10 Passenger Cars in Canada 2013

Honda Civic                64,063 units sold

Hyundai Elantra          54,760

Toyota Corolla           44,449

Mazda3                       40,466

Chevrolet Cruze          33,184

VW Jetta                     30,413

Ford Focus                  25,781

Ford Fusion                20,145

Hyundai Accent          18,884

Toyota Camry             18,245

By 2020, the 10 major carmakers plan to reduce the number of vehicle platforms they use by about a third. GM alone plans to halve its vehicle platforms from 30 in 2010 to 14 in 2018.

The number of automotive repair and maintenance shops saw minor growth in 2013. The 23,592 shops counted in 2013 represent an increase of 3.8% over the 22,722 shops counted in 2012. In 2009 there were 22,561 shops.

By 2020, China will account for almost one-third of new vehicle sales worldwide, making it the major automotive market by some distance.

Source: KPMG International’s Global Automotive Executive Survey; J.D. Power & Associates; AIA 2014 Outlook Study; World Bank Group; DesRosiers Automotive Consultants Inc.