Market Trends of Car Rack Industry
This section covers the major market trends shaping the Car Rack Market according to our research experts:
Roof Rack Segment is Expected to Grow at a Faster rate During the Forecast Period
The roof rack segment of the car rack market is expected to gain significance over the forecast period, owing to the increasing use of campers and off-road vehicles. With rising off-road vehicle users and SUV sales, the need for roof racks is expected to increase.
In 2021, SUVs accounted for about 45.9% of the total passenger car sales worldwide, growing by 4% from the previous year, indicating the high potential for off-road applications and increased use of roof racks for long-distance traveling across the world. Also, an estimated 200 million SUVs were in operation in 2021, indicating the high potential for these vehicles and roof racks for traveling.
According to RV Industry Association, sales of camper vehicles crossed 600000 units in 2021. Camper vans are generally outfitted with racks to increase their storage capacity since campers prefer to take their camper vehicles on long outdoor vacations, often to remote locations, stuffed with daily necessities. This increase in the sales of camper vehicles is also leading to a rise in the sales of car racks.
Several OEMs also implement various techniques for passenger comfort and roof rack utility in their models. For instance,
- October, 2022 : German camper specialist Ququq launched the world's first camper kit consisting of a luggage rack specially designed for VW I.D. Buzz. The equipment is priced competitively under USD 3000.
Thus the confluence of all the above factors is predicted to drive the growth of the roof rack period in the next five years.
North America to Play Key Role in Development of Car Rack Market
The car rack market in North America is expected to dominate the overall market during the forecast period. Some of the major factors driving the growth of the US market are the growing demand for vehicles from the tourism sector (car rental and taxi services), increasing demand for recreational vehicles (rising demand for recreational travels among consumers), and a large number of young people moving out to different cities in the United States for studies and work.
The share of leisure trips in the United States was valued at more than 86% of the total tourism in 2021, indicating the huge potential for quality roof racks to be mounted on vehicles. Bicycling and hiking have been voted as the third and fifth most popular outdoor activities preferred by Canadian citizens, which usually require standard car roof racks to mount various equipment and bicycles. This factor further increases the need for car rack equipment in the country.
Although there was a decline in the number of users due to the pandemic, the packaged holidays and vacation rentals segment of Canadian tourism observed a steep rise in the users in 2021, pointing toward an expected increase in the need for multipurpose vehicles equipped with car racks for traveling needs.
With the presence of renowned roof rack manufacturers like Yakima, Allen Group, and Saris Group in the geography, the use of roof racks is expected to be the highest during the forecast period. Therefore, such factors are expected to boost the North American car rack market during the forecast period.
The market is also expected to be driven by the launching of new products by car rack OEMs. For instance
- October, 2022: Lucid Motors launched new Lucid Air Crossbars accessories for Lucid Air Luxury EVs. The accessories include a new aluminum roof storage system capable of support 165 Ib. of load and are available for order now, with shipping beginning in Q4 2022.
Thus, North America is likely to remain the world's largest market for car racks over the next five years due to the above factors.
