The collision repair center market is projected to grow significantly over the rest of this decade. According to Grand View Research, the aforementioned industry is expected to carry a compound annual growth rate of 1.9% from 2023 to 2030. What are the main factors driving the growth of this industry? Let's discuss them in greater detail throughout this article.

1. The Changing Demographics of Workers in Collision Repair Centers

According to CCC Intelligent Solutions, the total number of collision technicians dropped to approximately 153,000 back in 2020. The decrease in qualified collision technicians working in the industry has been attributed to a surge in retirement. However, this drop in the number of qualified collision technicians may not necessarily be bad for the industry as a whole. Collision repair centers are now looking to hire younger professionals. These are people who are more familiar with the new tools that are increasingly utilized for automotive repair. Although it may take some time for repair centers to feel comfortable with the number of collision technicians, the quality of work throughout the industry may still improve.

2. Modernized Services Are Becoming the Norm

Building on the point detailed above, digitalization has firmly taken hold within the collision repair center industry. We're seeing technicians increasingly rely on computer programs and more advanced tools to complete repair jobs faster. The repair services have to keep up because the cars on the road are also becoming more sophisticated from a technological standpoint. Customers are also utilizing technology to manage their dealings with repair centers. They schedule repairs and speak to technicians online so they can minimize the time they have to spend at the physical locations. Repair centers that are lacking in terms of technology will be in danger of becoming irrelevant in this industry.

3. Demand for Collision Repair Is Expected to Increase

Collision repair is a service that's expected to become more in demand over the coming years. It's part of the reason why the decrease in qualified technicians is not expected to harm the industry in the long run. Factors that are expected to keep demand strong for collision repair include the high sales figures of vehicles globally and general population growth.

The collision repair center market is likely to stay strong in the coming years. If you're interested in collision repair services, contact us at Powell's Auto Body. Check out our website to learn more!