Digitization and Electrification Reshaping the Fleet Maintenance Paradigm in North America, 2020-2030

Vehicle Maintenance Aided by AI, Telematics, and Predictive Solutions to Enhance Stakeholder Growth Opportunities

The aim of this study is to gauge the aftermarket opportunity from maintenance of new mobility fleets in North America between 2020 and 2030.

According to analysis, the aftermarket revenues from servicing new mobility fleets in North America are pegged to grow at a CAGR of 11.4% between 2019 and 2030

Even though Coronavirus 2019 (COVID-19) related apprehensions regarding shared mobility platforms will keep annual vehicle miles traveled and hence aftermarket revenues subdued in the short run, revenues from servicing and repair of new mobility vehicles are estimated to be restored to pre COVID-19 levels by 2021.

A latest development is the announcement by a prominent market player to embark on an aggressive fleet electrification agenda by the end of the forecast period. This will catalyze an industry-wide shift towards cleaner powertrains and consequently impact the revenue potential from maintenance as spares stocking and manpower expertise requirements vary significantly between powertrain types. Revenues from IC engines as a proportion of total accruable revenues could reduce by more than half of the initial estimates by 2030 if this scenario is to pan out.

Study Coverage

The study provides a detailed analysis of the key trends influencing the North American new mobility ecosystem. It estimates the potential revenue accruable from servicing and repair of car sharing and ride hailing fleets in the United States and Canada. It further analyzes the impact of vehicle powertrain on annual spend per vehicle (SPV) and offers a comparison of ownership costs for ICE equipped vehicles, hybrid vehicles, and electric vehicles (EVs) deployed in new mobility fleets.

While highlighting the key market drivers and restraints for the new mobility segment in the short to medium term, the study also throws light on futuristic scenarios that fleet maintenance will inevitably be steered towards. It also puts forth fleet electrification scenarios for the forecast period considering the latest developments in the new mobility space.

Key objectives of the study include the following:

• To estimate the available market opportunity from servicing new mobility fleets in the United States and Canada
• To quantify the cost impact of specific service and repair jobs on the overall annual expenditure incurred towards a fleet vehicle’s maintenance
• To identify key trends shaping the new mobility segment and gauge their impact on the growth trajectory of the aftermarket business
• To ascertain the extent to which generic trends in the wider automotive industry will penetrate into the new mobility fleets and the consequent impact they will have on aftermarket revenues
• To illustrate the inherent benefits of prioritizing new mobility fleet maintenance over traditional taxi fleets
• To elucidate the emerging growth opportunities with abundant potential from a customer retention and revenue perspective

Key issues addressed include:

• What is the overall market size for new mobility fleet maintenance services?
• What are the emergent service fulfillment models and partnerships that are likely to rake in revenues for stakeholders?
• What are the key industry trends that are likely to shape the future of fleet maintenance?
• What is the financial impact of powertrain types on vehicle ownership costs?
• What are the growth opportunity areas that can be leveraged by ecosystem participants?
• Who are the major ecosystem participants, what they stand to gain from, and what they contribute to the new mobility fleet service business?