Capturing Aftermarket Growth: Emerging Segments, Electrification, and Digital Services
How Leading Organizations Are Capturing Aftermarket Growth
Trade and tariff uncertainties, particularly in the United States, are pressuring supply chain costs and parts pricing, while geopolitical instability in Europe is challenging operational confidence. At the same time, stricter emissions regulations across North America and Europe are accelerating fleet transitions toward electrification, fundamentally altering service and maintenance paradigms.
What’s Driving Growth?
- In North America, aftermarket parts consumption is expanding as fleet operators are deferring vehicle replacement cycles due to elevated acquisition costs and constrained supply chains.
- Europe is witnessing parallel momentum, with multi-purpose vehicles multi-utility vehicles (MUVs), sport utility vehicles (SUVs), vans, and pickups driving substantial replacement revenue growth.
- Telematics integration, predictive diagnostics, driver safety programs, environmental compliance solutions, and mobile servicing are redefining value propositions.
- Independent aftermarket (IAM) players are gaining cost-competitive advantages through localization and nearshoring strategies
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1. Supply Chain Restructuring and Localization
- Global tariff changes are disrupting sourcing strategies across the value chain.
- Nearshoring and localization initiatives are reducing supply chain carbon footprints.
- Fleet electrification is demanding specialized maintenance capabilities beyond traditional internal combustion engine (ICE) services.
- Charging infrastructure integration is driving comprehensive fleet service ecosystems.
- Telematics and connected technologies are enabling shifts from reactive to predictive maintenance.
- Over-the-air updates and software-driven servicing are reshaping maintenance schedules.
- Introducing telematics and new fleet management software platforms
- Re-structuring supply chain to combat geopolitical chaos and trade policy volatility
- Using digital platforms and predictive insights for proactive customer engagement
- Reducing dependency on disrupted supply corridors through localized sourcing
Latin America is emerging as one of the fastest-growing regions for aftermarket services with anticipated 6.9% year-on-year (YoY) growth in 2026, driven by nearshoring and increased auto exports.
Europe’s advanced aftermarket fleet services industry is expected to surge to $60.8 billion by 2030. North America's advanced aftermarket fleet services market is set to grow to $9.7 billion by 2030.
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