Automotive Wrap Films Market Analysis By Application (Heavy Duty Vehicles, Medium Duty Vehicles, Light Duty Vehicles), By Region, And Segment Forecasts, 2018 - 2025

Industry Insights

The global automotive wrap films market size was valued at USD 1.62 billion in 2015, in terms of revenue. Growing sign & graphics industry, low cost, and increasing demand for mobile advertising are expected to propel market growth. In addition, modernization of consumer lifestyle coupled with rising demand for personalization of cars is anticipated to have a positive impact on the market.

Various methods including complete wrap, half wrap, window graphics, lettering, and spot graphics are used for wrapping vehicles based on customer’s requirements. Automotive wrap films industry is characterized by presence of a large number of suppliers and installers and low level of integration across the value chain.

U.S. automotive wrap films market revenue, by application, 2014 - 2025 (USD Million)

North America was the largest market for automotive wrap films in 2015 on account of the early adoption of the product and high consumers’ willingness to pay. Technological advancement in printing coupled with the presence of a large number of market players is likely to bolster the growth throughout the forecast period.

Growing acceptance of solid color films including matte orange, matte black, green, blue, and pink is expected to increase demand among consumers in the U.S. Moreover, textured finish such as wood grain, carbon fiber, brushed metal, and leather is being rapidly adopted in European as well as in North American countries.

Application Insights

Light duty vehicles dominated the global market for automotive wrap films, accounting for 49.2% of global market revenue in 2015. Rising demand for colorful graphics for personal cars, SUVs, and vans coupled with growing opportunities for drivers to earn money through advertisements is expected to elevate demand for the product in light duty vehicles throughout the forecast period. In addition, high density of light vehicles on roads is expected to propel growth.

Motorsports have become an accepted trend among consumers these days. Automotive wraps are being increasingly used to provide attractive looks to racing cars. Rising utilization of motorsports wraps in events including Formula 1, Touring cars & GT’s, Porsche Carrera cup, Formula Ford & Formula 3 have led to rapid growth in demand for the product in light duty vehicles.

Automotive wrap films market revenue by application, 2015 (%)

Heavy duty vehicles segment is expected to grow at a CAGR of 16.8% from 2016 to 2025. Large billboards are now being replaced by mobile billboards using heavy duty vehicle films which not only lead to high visibility but also provide a higher return on investment for the consumers. In addition, large availability of space in heavy duty vehicles allows wrapping in a variety of models including full, partial, king kong, queen kong, full ribbon, partial ribbon, and back cap wraps which is expected elevate the demand in the market.

Large sizes of graphics attract more commuters and allow easy access to information. Moreover, heavy duty vehicles travel very long distances allowing exposure to millions of varied resources for the promotion of company’s image. Different types of vinyl films are available for vehicle body and windows. For instance, in buses, the body is covered with opaque vinyl film while windows are covered with perforated and special quality films in order to maintain visibility.

Regional Insights

Asia Pacific is anticipated to witness the fastest growth in the demand for automotive wrap films on account of low cost of the product as compared to other regions. Growing interest of consumers towards color change and paint protection films is likely to propel demand over the forecast period. Rapidly growing demand for passenger cars coupled with changing consumer lifestyles is likely to bolster demand across the region. Low cost and maintenance of vehicle resale value are expected to propel growth over the next nine years.

In China, sales of motor vehicle have increased significantly over the past few years. In terms of volume, a number of motor vehicles sold was13.6 million in 2009 and increased to 24.6 million in 2015. Although demand for commercial vehicles vary, but sales of personal vehicles have increased tremendously. Rising consumer disposable income and growing population are expected to play a key role in augmenting the demand for the product in the economy.

Central & South America is a developing market with rapid industrialization, technological advancements, and a shift in consumer lifestyle. The region is expected to witness comparatively slow growth rate for automotive wrap film owing to lack of road infrastructure and awareness among the consumers. In addition, there is a small number of the urban population leading to restricted visibility of outdoor advertisements for the rural population.

Brazil is one of the fastest growing economies in Central & South America, characterized by increased manufacturing and service sector. Modernization and increasing investments in this country are likely to support the automotive wrap films industry over the coming years. High penetration of out-door media advertising in the economy is expected to promote the growth of automotive wrap films further.

Competitive Insights

The key companies have been adopting strategies such as mergers & acquisitions and expansion of distribution channel to strengthen their global reach. Mergers & acquisitions supported the companies to increase their product offerings. In March 2016, Arlon Graphics LLC signed a distributorship with All Graphic Supplies in Canada strengthening its business position in the economy

Government support coupled with reduced cost leads to high demand for wraps. This ultimately leads to increased R&D by manufacturers for the development of a variety of colors and textures for automotive wrap films. Arlon Graphics adopted one such strategy by introducing Premiumplus color product line. However, KMPF also launched K75565 matt purple black iridescent cast featuring shift of colors.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2014 to 2025. For the purpose of this study, Grand View Research has segmented the automotive wrap films market on the basis of application and region:

• Application Outlook (Revenue, USD Million, 2014 - 2025)

  • Heavy Duty Vehicles

  • Medium Duty Vehicles

  • Light Duty Vehicles

• Regional Outlook (USD Million, 2014 - 2025)

  • North America

    • U.S.

  • Europe

    • Germany

  • Asia Pacific

    • China

  • Central & South America

    • Brazil

  • Middle East & Africa