The Global Automotive E-Commerce Market Size Was Valued At USD 66.34 Billion In 2021. The Market Is Projected To Grow From USD 75.28 Billion In 2022 To USD 213.08 Billion By 2030, Exhibiting A CAGR Of 16.02% During The Forecast Period.

Automotive E-commerce Market Overview:

Based on our research, the global market grew by an average of 4.5% between 2019 and 2020.

Most OEMs are having trouble running their businesses because of things like disruptions in the supply chain, a drop in the import and export of auto parts, and limits on the transportation of non-essential items. The growth of the global e-commerce industry, the rise in car sales, and the digitization of interfaces and channels are all things that drive the market. Also, consumers' income per person is going up, and more and more people are getting online. This has led to a rise in online sales of auto parts and components, which will help the market to grow over the next few years.

Consumers are moving away from manual controls and towards automatic or semi-automatic ones. Technological progress is another thing that is expected to drive the growth of the market. Power window systems in cars also need to be able to work quietly. Automatic or powered windows are a type of system that can be used with little or no effort, and this is expected to push the market forward.

Also, the growth of the global automotive e-commerce market is due to the fact that more and more cars are getting older and need more parts and components. Customers buy things online because they can see prices more clearly, it's easy to shop, and there are more kinds of parts to choose from. The market is also growing because there are many online offers, low prices, and the ability to compare parts online based on guarantee, price, and specifications.

Market Dynamics:

Latest Trends:

A big trend is that people are spending more on cars through e-commerce.

With the rise of automotive e-commerce, OEMs, dealers, and other digital car sellers have a lot of new sales opportunities. The fastest growth in this industry is expected to come from online shopping for automotive parts and components through third-party vendors like Amazon.com, Inc., O'Reilly Auto Parts, and Alibaba Group Holding Limited.

Driving Factors:

The growth of the market will be driven by the growing need for omni-channel insights.

The growth of the market is being driven by the fact that you can buy a wide range of cars, auto parts, and auto components online. Online shopping for auto parts and components is becoming more and more popular among car buyers today. Because of this, there is a big shift in the automotive industry towards automotive e-commerce platforms. There is a lot of competition in the market, so sellers are focusing on services like making appointments for car repairs, buying used cars, and trading in old cars. Also, they want to offer prices that are competitive with those of traditional retailers so that they can beat them. Tesla, Carvana, Vroom, and Walmart, for example, have set themselves up to fill the void left by traditional automakers and dealers in order to meet the growing demand from online car buyers. Tesla sells both new and used cars directly to customers. Carvana and Vroom also sell used cars directly to customers, and Walmart sells both new and used cars through a network of dealers that represent all the major automakers. The growth of this industry will also be helped by the fact that you can buy a wide range of cars and auto parts online, access is available 24 hours a day, seven days a week, and prices are clear. Market growth will also be helped by the fact that third-party e-commerce companies are investing more in automotive parts and online sales of cars. For example, third-party vendors like Amazon.com, O'Reilly Auto Parts, and Alibaba Group Holdings Limited are expected to grow the fastest.

Getting people more used to buying things online will be good for the growth of the market.

People have gotten used to how fast and easy it is to shop online. When they buy something online, they are more confident that they can get a fair price and return the item. Cox Automotive recently did a survey of car buyers in the U.S., and one of the most important things they found was that digitization has made people happier with buying cars, with satisfaction reaching an all-time high of 72% in 2020, up from 60% in 2019. Today, 80% of people say they want to do at least some of their car shopping online. 64% of people who buy cars want to do more of their shopping online than they did the last time they bought a car. In 2021, 25% of people said they would do all of their shopping online. So, these factors will cause the market to grow over the next few years.

Restraining Factors:

The growth of the market will be slowed down by the growing number of fake auto parts.

The growth of the market is likely to be slowed by the growing availability of fake auto parts and components. Several companies make copies of original auto parts that they sell at lower prices. Most of the time, the fake market focuses on parts that are easy to copy and move quickly, like tie rods, steering arms, windscreens, tail lights, headlamps, bumpers, and filters. Due to a rise in the number of companies that make auto parts, the demand for fake parts is growing around the world. The quality of these parts is low, and they break down often. It gives the company a bad name, which hurts online sales of cars. The biggest problem with buying and selling cars online is that it's not safe. People are afraid to give out personal and financial information, even though data encryption has gotten better in some ways. There are some websites that can't do real transactions. Electronic commerce can't grow as fast as it could because people are afraid to give out information about their credit cards and identities. Electronic images help people decide what to buy. Sometimes, when the product is delivered, it doesn't look like the pictures on the computer because it doesn't meet the needs of the buyer. People don't buy things through automotive e commerce because they can't "feel and touch" them.

Segmentation Analysis:

By Component Type Analysis:

The global market is divided into infotainment and multimedia, engine parts, tires and wheels, interior accessories, and electrical products based on the type of component.

The engine parts segment has the largest share of the market because the number of old vehicles and vehicles in use keeps going up. Under "engine components," you can find pistons and rings, bearings, the engine block and cylinder heads, valves and filters. Also, tires and wheels need to be replaced often because they wear out quickly, which helps the segment grow.

By Vendor Type Analysis:

This market is split into OEM vendor and third-party vendor groups based on the type of vendor.

Most of the market is made up of the type of third-party vendor segment, which is also expected to be the market leader during the forecast period. This is because third-party vendors are able to meet customer expectations through fast delivery and a great service network. They also offer discounts to bring in customers.

By Vehicle Type Analysis:

This market is divided into three groups based on the type of vehicle: passenger cars, commercial vehicles, and two-wheelers.

The passenger car segment makes up most of the market, and it is expected to continue to do so over the next few years. This is because sales of passenger vehicles are going up. E-stores use optimized and advanced search engines to make the shopping experience better for their customers. End users can use these kinds of search engines to find passenger cars by using filters for things like vehicle specifications, price, trim, make, features, and exterior color. Most vendors also let customers compare different passenger cars, which helps customers decide which one to buy. All of these factors make customers more likely to buy cars online, which is driving the growth of the segment.

Regional Insights:

The North American region will be the market leader because there is a growing demand for easy shopping, a well-developed infrastructure, more and more people in the region prefer shopping online, and there is a high demand for premium and luxury cars.

Due to the presence of important automotive e-commerce companies like Alibaba Group, Amazon.com, eBay Inc., and Flipkart Internet Private Limited, the market is expected to become one of the most profitable in Asia-Pacific. The market is also expected to grow thanks to government programs like Digital India and partnerships between brick-and-mortar stores and e-commerce platform providers.

Also, Europe is expected to become the second-fastest-growing market between 2022 and 2029, with a CAGR of 16.6%. Due to the growth of e-commerce, Europe is one of the most important places to buy cars online.

From 2022 to 2029, the rest of the world is likely to have average growth. The growth of the market in Latin America, the Middle East, and Africa is expected to be driven by things like the fact that the e-commerce market in those places is always changing and the development of new channels that offer better logistics support.

Scope Analysis

Recent Development:

• July 2021 - MasterBeat Corporation announced that JTEC Autoworld has launched the Amazon retail arm of its online auto parts platform. JTEC plans to leverage Amazon and other e-commerce platforms to accelerate marketing and sales.
• January 2022 - Amazon and automaker Stellantis announced a strategic partnership to develop cars and trucks with Amazon software on the dashboard and distribute products made by Stellantis on the Amazon delivery network.
• October 2021 - Autodoc announced its dominance in the European automotive e-commerce market as the largest online automotive online store in 2020. Online sales of auto parts and accessories within Germany amounted to approximately $3.7 billion in 2020. Total market value is $27.9 billion.
• November 2021 - Wipro launched Click-Shift-Drive, a new automotive e-commerce solution that enables dealers and automakers to offer online services ranging from product comparison, loan approval, purchase and delivery.
• October 2020 - BMW signed MoU with Alibaba. According to the memorandum of understanding, Alibaba and BMW will jointly launch the first online sales and service business involving dealers among premium automotive brands, creating a seamless end-to-end online-offline digital experience.

Market Segmentation

By Component Type:

• Infotainment & Multimedia
• Engine Components
• Tires & Wheels
• Interior Accessories
• Electrical Products
• Others

By Vendor Type:

• OEM Vendor
• Third-party Vendor
• Others

By Vehicle Type:

• Passenger Car
• Commercial Vehicle
• Two-Wheeler
• Others

By Companies:

• O’Reilly Auto Parts (U.S.)
• Amazon (U.S.)
• Alibaba Group Holding Limited (China)
• AutoZone, Inc. (U.S.)
• Advance Auto Parts (U.S.)
• Delticom AG (Germany)
• eBay Inc. (U.S.)
• Walmart (U.S.)
• Bosch Auto Parts (Germany)
• Flipkart (India)
• Others