News: Consolidator Report
The research firm Global Market Insights predicts that the global collision repair industry will grow to $200 billion in sales by 2022.
Despite a number of headwinds – including growing adoption of safety technology such as automatic emergency braking – the research firm sees strong demand for collision repair in large and medium-size shops.
Increasing global demand for vehicles will lead to more traffic, the firm says, which could lead to more traffic accidents in urban areas.
Sales of paint and coatings accounted for 20 percent of collision repair revenue in 2014, and will grow significantly from 2015 to 2022, according to the firm.
“Increasing traffic [brings a] high risk of minor dents and small collisions requiring touchups to restore the vehicles into their original color,” Global Market Insights says.
The growing prevalence of sensors and other advanced technologies will require body shops to continually invest in training and new equipment, which could put a strain on small and independent shops, the firm predicts.
To view the report, click here.