PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1514937
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1514937
Roadside Assistance Market size was valued at USD 25,000.01 Million in 2023, expanding at a CAGR of 5.90% from 2024 to 2032.
Drivers who have emergencies or car breakdowns while driving can get services from the roadside assistance sector. In order to help drivers get their cars back on the road or to a safe place, roadside assistance services are meant to provide them with immediate support. Dedicated businesses usually provide these services, or they might be included in insurance plans, auto warranties, or memberships in car clubs. The purpose of this tool is to help drivers fix frequent car issues, including flat tires, dead batteries, engine problems, accidents, lockouts, and other similar circumstances that could leave them stuck or unable to continue traveling.
Roadside Assistance Market- Market Dynamics
O Growing Ownership of Vehicles to Propel Market Growth
The likelihood of experiencing breakdowns, accidents, or other difficulties on the road increases as more people and businesses purchase cars. Due to the increased need for dependable and timely help services brought about by this expanding ownership, roadside assistance providers now have the chance to serve a wider clientele. The need for help services grows as there are more cars on the road. Owners of vehicles want to know that in the event of an emergency or breakdown, they can count on a reputable service to assist them. In densely populated urban regions, where traffic congestion and lengthier commutes increase the risk of experiencing road-related concerns, this desire is particularly prominent. Moreover, the rise in vehicle ownership goes beyond personal automobiles. The demand for roadside assistance is rising as a result of the growth of business fleets, which include delivery cars, ride-sharing cars, and other transport services. These companies' ability to deliver services depends on the uninterrupted running of their vehicles, therefore, timely help is essential to their business. Global car ownership is increasing, which is good news for the roadside assistance industry since it means there is a wider pool of potential customers.
Roadside Assistance Market- Key Insights
v As per the analysis shared by our research analyst, the global market is estimated to grow annually at a CAGR of around 5.90% over the forecast period (2024-2032)
v Based on provider segmentation, the motor insurance category was predicted to show maximum market share in the year 2023
v Based on vehicle segmentation, the passenger vehicles category was the leading type in 2023
v On the basis of region, Europe was the leading revenue generator in 2023
The Global Roadside Assistance Market is segmented on the basis of Provider, Vehicle, Service, and Region.
The market is divided into the following categories based on provider: OEM, Motor Insurance, Independent Service Provider, and Others. The motor insurance category dominates the market. The rising demand for roadside assistance-inclusive auto insurance plans is indicative of a trend in customer preferences toward comprehensive coverage and extra services. By giving drivers prompt assistance in times of need, this trend not only helps drivers but also propels the market's expansion and continued significance as a crucial part of the auto insurance industry.
The market is divided into two categories based on vehicle: Commercial Vehicles and Passenger Vehicles. The passenger vehicles category dominates the market and is likely to maintain its dominance during the forecast period. The car manufacturers' alluring warranties and after-sales services are the main drivers of the segment's growth. Passenger cars are now leading the worldwide roadside assistance market because they are affordable, favored by most consumers, low maintenance, and adaptable to a variety of uses. Additionally, sales of passenger cars were higher than those of commercial vehicles, which also significantly contributed to the annual gain in revenue for the segment. The International Organization of Motor Vehicle Manufacturers (OICA) reports that worldwide sales of passenger cars were 64 million in 2019, whereas total sales of commercial vehicles were only 27 million.
Roadside Assistance Market- Geographical Insights
Geographically, this market is widespread into the regions of North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. These regions are further divided as per the nations bringing business.
Over the course of the forecast period, Europe is anticipated to hold the greatest share of the global market for roadside assistance as a result of the European auto industry's tremendous rise. One of the main reasons propelling the market's expansion is the substantial number of on-road vehicles in the region, together with rising car sales throughout Europe. The region's need for automobile roadside assistance services is being fueled by factors such as rising per capita income, a rising standard of life, consumer taste for opulence, and an increase in the sale of luxury vehicles.
In addition, the roadside assistance market is anticipated to expand at the fastest rate in the world during the projected period in Asia Pacific. The main factors propelling the market expansion are rising per capita income and rising automobile demand. Additionally, a lot of market participants find that this area offers the most lucrative automobile market. Significant automobile sales growth in the area has led to a penetration of advanced driver assistance and electric vehicles, which has raised demand for roadside assistance services.
The existence of numerous service providers, such as Roadside Transportation LLC., ARC Europe SA, AutoVantage, and Viking Assistance Group, among others, has resulted in a highly fragmented and competitive global car roadside assistance market. The market is expanding slowly and won't be developing much in the future. To provide their consumers with high-quality service, automakers and dealers are anticipated to expand their warranty and after-sales offerings, which will propel the market's expansion in the upcoming years.
v September 2022: In order to improve the roadside assistance and car support experience, Agero, Inc. developed platform updates and services. Among other things, these changes include EV battery monitoring, better event communication, and digital repair vouchers. Agero wants to give customers more options, improve productivity, and finish services faster.
v July 2022: The "Free Roadside Assistance Initiative" was launched by Allianz SE in Egypt for all visitors, with a particular emphasis on the North Coast route highway. The goal of this program is to guarantee drivers' comfort and safety as they travel by offering free roadside assistance services.
GLOBAL ROADSIDE ASSISTANCE MARKET KEY PLAYERS- DETAILED COMPETITIVE INSIGHTS
O Roadside Transportation LLC.
O Agero, Inc.
O ARC Europe SA
O SOS International A/S
O Allstate Insurance Company
O AutoVantage
O Viking Assistance Group, LLC
O Allianz SE
O Paragon Motor Club, Inc.
O Falck A/S
O Others