INDIA AUTOMOTIVE REPAIR AND MAINTENANCE SERVICE MARKET

India Automotive Repair and Maintenance Service Market is forecast to grow at robust CAGR of 8.0% between 2025 and 2032 driven by rise in vehicles operating on the road (VIO) and increasing new vehicle sales coupled with the emerging online platforms for car servicing.

Major Market Drivers and Emerging Trends

India Automotive Repair and Maintenance Service Market (Passenger Car Repair & Service) involves the upkeep and fixing of various automotive parts including engine oil and brake fluid, accidental repair along with other essential elements. Regular repair and servicing are crucial in maintaining vehicle safety. Routine maintenance helps prevent major safety issues and ensure the vehicle operates smoothly. Keeping accurate maintenance documentation can further contribute to a higher resale value for the vehicle.

The India passenger car repair and servicing market size growth is primarily driven by the increasing vehicle fleet on the road. India has more than 50 million passenger vehicles in operation with over 4 million were sold through the used car market. Used cars come at more affordable prices than new vehicles without losing much value in depreciation. It provides a more affordable alternative which makes them an appealing choice for middle income buyers. With more people opting for used cars there is an increasing need for car repair and maintenance including engine tuning or brake inspections etc. to ensure smooth vehicle performance while lowering maintenance costs.

Rapid urbanization and increasing income levels have further led many individuals to buy cars for convenient transportation and better mobility. A large population coupled with an emerging middle class has contributed to an increasing disposable income along with greater purchasing power. Furthermore favorable interest rates and readily available financing options have made it easier for people to afford purchasing cars. This has enabled more people to purchase cars and invest in them which further drives market growth.

Another factor driving market growth is the rising automotive sales with India now being the third biggest passenger vehicle market globally. Total passenger vehicle sales in the country reached 4.3 million units in 2024. The recent announcements in the Union Budget including income tax adjustments and interest rate reductions by the RBI will likely enhance consumer confidence in the auto sector. The rising automotive sales will create a greater demand for car repair and maintenance services to preserve functionality.

Online platforms providing car repair services have further significantly enhanced consumer access. Market players are focusing on delivering reliable maintenance services which offer affordable online repair solutions to reach more customers and stay competitive. Companies offering online repair services are allocating investments in diagnostic tools and other equipment that can rapidly detect vehicle issues. The increasing adoption of data analytics and predictive maintenance is predicted to create profitable opportunities for market growth by improving vehicle performance.

Technological progress in automotive repair has also transformed the industry by introducing new tools and diagnostic technologies that boost efficiency in vehicle servicing. Additionally many automotive service providers are adopting automated inspection systems based on AI to enhance their services and attract a larger customer base.

However the market is expected to encounter difficulties in areas like securing affordable parts and hiring qualified technicians. It is also challenging to keep up with software and diagnostics updates. Additionally the increasing government support for electric vehicles could also hinder market growth. Electric vehicles generally have lower maintenance needs than conventional ones because their battery and electronics require minimal maintenance. The vehicles also demand less upkeep as it has significantly lesser number of parts owing to no internal combustion engine and fewer fluids like engine oil which needs regular maintenance and feature regenerative braking that reduces brake wear. Electric vehicles also have significantly fewer moving components in comparison to traditional fuel engines. These factors result in electric vehicles requiring less frequent repair and servicing. With the government promoting EV adoption this could significantly slow down market growth.

Based on service type, the market can be categorized into mechanical and maintenance alongside electrical and exterior services. Mechanical services generally involve the repair of mechanical components rather than their electrical systems. Many market players are investing more in enhancing their equipment to streamline the service process for vehicle mechanical components. The electrical segment includes the charging and the starting systems. These systems contain several components that require to be regularly inspected to ensure they are working properly. If any issues arise with these components it could affect the vehicle’s performance and potentially create significant safety hazards. The exterior & structural segment offers services spanning from extensive repairs to simple cosmetic enhancements to restore the external structure of the vehicle. Damage to a vehicle can result from collisions or common wear and tear. Repair shops can work to restore the car body or the frame alignment to its original condition.

Based on service provider, independent auto repair shops provide various services including oil changes and brake repairs among others. Expert technicians and modern equipment allow them to deliver efficient solutions for car problems. The service providers emphasize individualized customer care and seek to develop enduring relationships within the local community. Roadside garages also offer expertise and convenience from simple maintenance to more complicated repairs which ensures vehicles run efficiently.

An authorized dealer is officially licensed to offer services from a reputable brand while gaining access to its existing customer base. Official license also provides rights that non authorized dealers do not have. A multi brand car outlet specializes in repair and maintenance for multiple car brands. Multi brand car outlets generally keep a large inventory of parts for various car brands which minimizes the wait duration for parts to be delivered. As a result repairs and maintenance can be completed more quickly. Many trusted multi brand outlets provide warranties for their services. It offers reassurance that any problems after the service will be handled without additional charges.

Top Market Players

Several leading players in the market include Go Mechanic, My TVS, among others.

Key Developments

• • In 2023, a subsidiary under the Lifelong Group Servizzy acquired Go Mechanic. After being acquired by Servizzy the company has experienced a threefold increase in service revenue with the new leadership.

Segments covered in the Report:

The India Automotive Repair and Maintenance Service Market has been segmented on the basis of Service Type and Service Provider. Based on Service Type, the market is segmented into Mechanical, Exterior & Structural, Electrical, and Maintenance. Based on Service Provider, the market is segmented into Authorized Service Center, Multi Brand Car Service Center, and Independent Repair Shops/Roadside Garage.

Market Segmentation

India Automotive Repair and Maintenance Service Market by Service Type

• • Mechanical
  • Exterior & Structural
  • Electrical
  • Maintenance

India Automotive Repair and Maintenance Service Market by Service Provider

• • Authorized Service Center
  • Multi Brand Car Service Center
  • Independent Repair Shops/Roadside Garage

India Automotive Repair and Maintenance Service Market Leading players

• • Go Mechanic
  • My TVS