by The global Car Rack Market is estimated to be valued at US$ 1335.34 Mn in 2023 and is expected to exhibit a CAGR of 4.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Car racks help transport outdoor gear like bikes, kayaks, and surfboards safely and securely on car roofs and vehicles. The growing participation in outdoor recreational activities like cycling, skiing, surfing and hiking has increased the demand for car racks. Car racks provide a convenient way to transport bulky recreational equipment from one location to another. They prevent damage to vehicles by securing equipment firmly during transit. Available in different styles like roof racks, hitch racks, trunk racks and wheel-on racks, car racks suit varied vehicle types and cargo sizes.
Market key trends:
One of the key trends in the car rack market is the emergence of lightweight and modular car rack designs. Manufacturers are increasingly focusing on producing racks that are easy to install, adjust and remove. They are developing racks with minimal components that can be dismantled into smaller pieces for compact storage. Made of durable yet lightweight aluminum or composite materials, these modular racks promote convenience and portability. Another notable trend is the rising popularity of electric vehicles. To cater to the growing EV market, rack makers are launching innovative solutions that maintain aerodynamic profiles and do not impede battery range. Increased R&D efforts towards developing eco-friendly and sustainable rack options will also influence future market trends.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the car rack market is low to moderate as there is moderate capital requirement and established customer relationship of existing players. There are also entry barriers due to established brand loyalty by customers.
Bargaining power of buyers: The bargaining power of buyers in the car rack market is moderate. Buyers have moderate switching costs and a good availability of substitutes. The differentiated products of established players also limits the bargaining power of buyers.
Bargaining power of suppliers: The bargaining power of suppliers in the car rack market is low. There are numerous suppliers for raw materials used for manufacturing car racks globally. This reduces the dependency of manufacturers on a specific supplier.
Threat of new substitutes: The threat of substitutes is moderate. There are few existing substitutes like roof box carriers and bike carriers. However, car racks offer advantages in terms of being budget-friendly and suitable for carrying multiple items.
Competitive rivalry: The competitive rivalry in the car rack market is high due to presence of numerous international and regional players offering similar products. Players focus on product innovation, marketing and competitive pricing to gain higher market share.
Key Takeaways
The global Car Rack Market Size Growth is expected to reach US$ 1,855.56 Mn by 2030, expanding at a CAGR of 4.9% over the forecast period. Growing trend of outdoor recreational activities along with rising demand for carrying gear is expected to drive the market during the forecast period.
Regional analysis – Asia Pacific dominated the global car rack market in 2023 and is projected to witness the highest growth over the forecast period. Countries like China, India, and Japan are witnessing higher sales of passenger vehicles which is supporting the demand for car racks in the region. North America is expected to be the second largest market growing at a CAGR of over 4%.
Key players – Key players operating in the car rack market are Saris, Thule Group, Car Mate Mfg. Co. Ltd., Yakima Products Inc., Kuat Car Racks, Allen Sports, Malone Auto Racks, Rhino Rack USA LLC, ACPS Automotive, and Cruzber SA. Players focus on expanding their product portfolio with market specific and innovative products to cater to various consumer preferences.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
