Aftermarket Trends

January 17, 2024 By Kelsey Scherf

Growth in the automotive aftermarket has been explosive over the past five years and will continue well into the future. 2022 sales growth for all aftermarket products was 9.7%, exceeding expectations. That growth continued through 2023, with final growth numbers expected to be finalized at around 8.1%. These post-Covid numbers reflect unrealized demand during that period, but future growth is still anticipated to exceed 4% yearly through at least 2026.

Transmission repair shops saw a 5-year compound annual growth rate (CAGR) of 2.8% from 2017 – 2022, and that trend is expected to accelerate to 6.3% yearly to 2026 and beyond. So, the hot transmission aftermarket trend is actually accelerating, with sales, just for transmissions, estimated to be $2.8 billion by 2026.

We are also seeing ever-stronger growth in the “do it for me” (DIFM) marketplace averaging 11.8%, substantially higher than the “do-it-yourself” (DIY) market at 2.5%. So, people are coming to general repair shops for their automotive work at an ever-increasing rate. And vehicles of all age groups underwent transmission rebuilds, while 1.38% had transmission replacements. The reman, replacement tempo continues to outpace rebuilds as transmissions go from 4-speeds to 6-speeds, and beyond.

Keep an eye out this year for even more market updates from ETE REMAN!