Demand for tire, wheel equipment to grow

SANTA CLARA, Calif. (Dec. 29, 2016) — Demand for tire- and wheel-servicing equipment in North America is expected to grow 2.5 percent annually through 2022, according to the market research firm Frost & Sullivan.

"Aging vehicles, retaining patterns in consumers and rising annual mileage will create recurring demand for wheel and tire service and maintenance," said Benson Augustine, Intelligent Mobility Research Analyst for Santa Clara-based Frost & Sullivan.

The tire and wheel equipment market is being hindered by improved lifespan and replacement cycles, better-quality equipment, efficient servicing and lack of awareness around the use of certain equipment.

Nonetheless, the firm said, global revenues are expected to reach $541.4 million in 2022, with tire changers and wheel alignment equipment leading the way.

Frost & Sullivan identified Snap-on Inc., Hunter Engineering Co. and Hennessy Industries Inc. at the market leaders.

"Their key assets are penetration and brand image with state-of-the-art products and a strong mix of high-end and value-line equipment," Mr. Augustine said. "However, Chinese manufacturers are likely to infuse relatively low-priced products to attract price-sensitive smaller garages."

Frost & Sullivan also noted that technology convergence is helping scale down large wheel and tire diagnostic garage equipment tools to fit within automobiles.

Optimization will create smaller, sophisticated products that use sensor-based applications to diagnose real-time service escalation needs, the firm said. Manufacturers must focus on achieving the right balance of product mix and placement to meet demand expectation and maintain a competitor advantage.

The report, "Market Engineering Analysis of Tire and Wheel Equipment Market," is part of Frost & Sullivan's Mobility: Automotive & Transportation Growth Partnership Service program.

The report includes chapters on tire changers, wheel balancers, wheel alignment equipment and on-car lathes, including growth projections for each product type.

The report is listed at $4,950. To order or to request information, go to Frost & Sullivan's website.