The phrase “aftermarket” refers to the market that sells replacement parts, add-ons, and other bits and pieces for repairing or enhancing an original product, usually an automobile. In a nutshell, it alludes to the market that sells accessories and replacement components for cars. The supplemental market of the automobile industry is referred to by the phrase “automotive aftermarket.” Do know more about: auto parts
Overview of the Aftermarket
Markets for supplementary products and services that facilitate and improve the use of durable goods like autos are known as aftermarkets or secondary markets. These markets offer channels for the sale of supplemental products or services that facilitate and enhance the use of the product. Multimedia systems, parking assistance, brand-new mufflers, services, and vehicle maintenance components are some examples of aftermarket additions.
The network of resources for the aftermarket comprises suppliers, secondary market traders, aftersales services, and product recovery techniques. The support elaborates on business-to-business (B2B) and business-to-consumer (B2C) contacts, increasing the ecology of the aftermarket.
All maintenance activities, such as those involving accessories and replacement components, are included in aftermarket operations. This comprises extras, replacement components, aesthetic items, and service repairs for light- and heavy-duty automobiles that are acquired after the initial purchase.
Generic or aftermarket components are produced by businesses other than the original equipment producer of the vehicle. These parts are referred to as “generic” or “non-OEM” parts. These components can be used in place of the original ones while fixing the car because they are designed to do the same thing.
In general, structural and aesthetic aftermarket vehicle parts are separated. Cosmetic additions improve the vehicle’s functionality or look but do not improve or add any safety features. Examples of this include door skins and automobile fenders. To improve the safety features, structural components are also included at the same time.
By absorbing the power of a crash, a cage, for instance, shields passengers from harm during an accident. Generally speaking, structural components are produced following strict specifications and rules for generic parts established by regulating bodies.
Compared to OEM
Independent aftermarket: The components are produced and sold within the independent aftermarket by businesses other than the initial product maker. The parts may be produced in large quantities and can be tailored to meet the needs of several vehicle types, not just a single brand or model of car. They are therefore equivalent to OEM components and far less costly.
OEM network: In the OEM network, the manufacturer instead of a third party creates and promotes the parts. Since these components are created to meet a single make and model’s requirements, they are more expensive than those acquired from the independent aftermarket. The majority of OEMs have a three-tier distribution system that consists of a small regional distribution center, an entrance warehouse, and a central warehouse to service the whole network. Other smaller OEMs, nevertheless, rely on 2-tier or straight distribution systems. Examples of OEM networks in the automobile aftermarket include those from Ford, Daimler, Volvo, Volkswagen, BMW, and other producers.