Is Vehicle Customization the Best Route to Shop Growth?

Avery Dennison Graphics Solutions

August 27, 2024

Is Vehicle Customization the Best Route to Shop Growth?

For most independent automotive service and repair businesses, adding a new aftermarket service is going to be the most promising path to meaningful business growth. 

 

According to the Specialty Equipment Market Association (SEMA), the overall aftermarket has a projected compound annual growth rate (CAGR) of 2.3% (2023-2026). 

 

That’s not bad, but within the broad market are niches that are projected to grow much faster. These include vehicle wrapping film, paint protection film and tinted automotive window film. 

Entry into any of these service areas would require hiring an experienced installer or arranging for a member of your current team to be trained. 

 

The good news is that training and certification programs are offered throughout the U.S. by leading film manufacturers. 

 

For example, Avery Dennison offers a comprehensive training program separately covering vehicle wraps, paint protection film and automotive window film applications. In all cases, the three-day training sessions are led by the restyling industry’s leading installers, and no previous experience is required for the trainees.

 

Color-change wrap films and printed wrap films are used to enhance and customize the appearance of personal vehicles. Shops also install printed wrap films on commercial vehicles for marketing purposes. The U.S. automotive wrap film market is expected to grow at an 18.8% CAGR during the 2021-2028 forecast period (Grandview Research).

U.S. Automotive Wrap Films Market graph over time.

Tinted automotive window film is often installed for aesthetic purposes, but it also protects against solar heat and glare as well as harmful UV rays. This market is projected to increase at a CAGR of 4.8% over the forecast period 2024-2030 (Industry ARC)

 

Paint protection film is applied to the painted surfaces of a new or relatively new car to preserve the vehicle’s appearance and maximize its resale value. With the average price paid for a new car at $48,000, more and more car buyers are adding PPF to protect their investment. The U.S. market has a projected CAGR of 5.8% during the forecast period of 2023-2031 (SNS Insider).

So, now are you intrigued by the automotive film business? 

The first step is to do your research. 

 

Talk to your employees, friends and family, and current customers. Are they familiar with these vehicle customization services? Do they have any experience with them?  Any insights?

What does the local market look like for each of these services? Is it saturated? Do the shops appear to be prosperous? Are they busy?  Be a secret shopper and talk to the employees and customers. Read up on the industry in a trade publication like Window Film Magazine or The Shop

 

Does vehicle wrapping, window tinting or PPF look like a business you want to be in? Do you have space in your location?  What would the necessary equipment cost? Could you afford to buy an existing shop? Talk to your banker. Talk to a buyside business broker.

 

To get a real sense of the industry, you should attend one of the three big trade shows: The International Window Film Conference and Tint-off (Orlando, Sept. 2024), the SEMA Show (Las Vegas, Nov. 2024), or the ISA Sign Show (Las Vegas, Apr. 2025). Be sure to take advantage of the free business boot camps and technical courses offered by leading graphic film manufacturers like Avery Dennison at these events.

Wrap training class.

Ready to take the next step? 

 

Decide which of the three graphic film product lines you’re going to pursue. Definitely do not try to do them all at once. Line up an equipment supplier who can set you up in business.

You can try to hire an experienced installer or you can offer one or two of your best employees the opportunity to be trained. You probably should pursue both paths. Bringing on an experienced installer will accelerate your path to success.

 

Hands-on instruction from experienced industry trainers in a well-equipped training facility is critical if you intend to develop a new installer from scratch. New installers need to get their hands on different materials and learn about their unique characteristics. 

 

You should expect the training to instill excitement and build self-confidence. Ninety-three percent of the attendees at Avery Dennison classes rated their training as "excellent" or "very good." Prior to the training, 29% said they had medium to high confidence installing our film. The number jumped to 87% after the training.

 

Trainees return home with a complimentary roll of graphic film to practice with. Shop owners will typically offer a free or discounted installation to a friend or family member to provide the newly trained employee with additional experience.

 

As your shop ramps up to start selling film installations, the manufacturer’s sales reps will set you up with a film distributor and provide hands-on technical support  to ensure a smooth launch of your new line of business. 

 

You’ll want to budget for an extra marketing spend and an updated website and social media program the first year. And, don’t compromise on quality. Film installation is a very competitive business. If the work is not performed professionally and flawlessly, people will notice. 

As the shop owner and chief sales person, you should get trained too. You need to be able to confidently answer any question a customer asks as you explain the process and what the finished product will look like and the value it will provide.

 

Now, you’re on the path to growth. With one new vehicle customization service in place, the addition of a second one will be that much easier.

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