The US auto parts retail market faces a potential challenge from electric vehicles (EVs), which could reshape its $400 billion landscape. Unlike internal combustion engine (ICE) vehicles, EVs require significantly fewer parts and components like spark plugs, timing belts, and oil filters.
“EV vehicles have far fewer components... the rate of parts needed will be slowing” - Former Regional Director at O'Reilly Auto Parts
With EVs currently under 1% of used car sales, the impact remains minimal, but the next decade could disrupt retailers reliant on high SKU volumes and frequent repairs. Understanding the mechanics of the auto part aftermarket, supply chain, customer priorities, and competitive dynamics is important to anticipate how O’Reilly Auto Parts, Advance Auto Parts, and AutoZone can adapt. This IP Research Roundup compiles our learnings to date on the subject.
O’Reilly splits the market down by professional and DIY and measures the market using wholesale prices, excluding glass and body collision shops. The DIY market remains more consolidated than professional end markets.
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