Battery Diagnostics And Repair Market Size, Share & Trends Analysis Report By Component (Hardware, Software), By Vertical (Automotive, Power Grid), By Test Type, By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global battery diagnostics and repair market size was estimated at USD 1,206.8 million in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 6.3% from 2023 to 2030. Battery diagnostics and repair focuses on diagnosing and extending the lifespan of batteries through advanced technologies and repair services. In addition, battery diagnostics and repair identifies issues early, preventing dangerous failures and ensuring safe battery operation. The growing demand for sustainable energy usage, electric vehicles, and consumer electronics is fueling the demand for batteries, which is anticipated to propel the market's growth over the forecast period.

The rising costs and harmful effects associated with fossil fuel consumption have propelled the adoption of battery technology as a cleaner energy source. However, it is essential to acknowledge that the production processes, including lithium mining, have negative environmental consequences. To address these challenges, battery diagnostics and repair services have emerged as a crucial solution. Battery diagnostics and repair can increase the lifespan of batteries, and this approach aligns with the sustainability goals and offers a more economically viable option. As the global shift towards sustainable energy intensifies, the market is expected to grow rapidly.

According to the International Energy Agency (IEA), electric vehicle sales exceeded 10 million in 2022. This growth in electric vehicle sales translated into an increase in global electric vehicle battery demand by 65% in 2022, reaching around 550 GWh. As more consumers adopt EVs for energy efficiency, the demand for reliable and long-lasting batteries has surged. This increased reliance on batteries has amplified the need for effective diagnostics and repair services to address issues like capacity degradation and performance optimization, ensuring the longevity of expensive EV batteries. Hence, the growing demand for EVs and the subsequent battery demand is significantly contributing to the market’s growth.

Integrating IoT (Internet of Things) technology in battery diagnostics and repair solutions has revolutionized the diagnosis, monitoring, and management of battery health. IoT integration in battery diagnostics and repair solutions provides a data-driven approach to battery health monitoring, which helps in providing real-time visibility into battery performance and enables early detection of potential issues that could lead to battery failures or hazards. This proactive approach helps in reducing downtime and the need for replacements. It enhances efficiency, reduces downtime, and prolongs battery life, making IoT integration a pivotal factor driving the growth of the market.

Despite the several advantages of battery diagnostics and repair solutions, the lack of awareness among businesses hinders the growth of the market. In addition, the lack of battery standardization and, consequently, the lack of standardization of battery diagnostic equipment is impeding the widespread adoption in the market. Moreover, environmental regulations regarding battery disposal hinder the market’s growth. However, various governing and regulatory bodies are constantly working on standardizing the battery design, which is expected to boost the widespread adoption of battery diagnostics and repair solutions over the forecast period.

COVID-19 Impact Analysis

The battery diagnostics and repair industry faced significant challenges during the COVID-19 pandemic. The global lockdowns and economic slowdowns disrupted supply chains, affecting the availability of essential components for battery diagnostic and repair equipment. Moreover, companies across various industries experienced financial setbacks, leading to deferred investments in battery maintenance solutions. These factors collectively slowed the growth of the market. However, as the world gradually recovers from the pandemic's impact, there is a renewed emphasis on sustainable and cost-effective solutions. This has rekindled interest in battery diagnostics and repair, with increased investments flowing into the market, thus fostering the market's future growth.

Component Insights

In terms of component, the hardware segment dominated the market in 2022 with a revenue share of more than 72.0%. The hardware segment is further bifurcated into battery testing equipment, battery monitoring systems, and others. The hardware segment’s growth can be attributed to the growing use of battery testing equipment as well as battery monitoring systems for efficient battery health diagnostics and monitoring. Battery testing equipment enables thorough assessments of battery health, performance, and safety, ensuring optimal operation and preventing costly failures. The use of battery diagnostic hardware in industries prioritizing efficient energy management and sustainability contributes to the segment’s growth.

The services segment is anticipated to grow significantly over the forecast period. The services segment is further bifurcated into battery testing, battery repair, battery installation, and others. With the increasing adoption of electric vehicles and consumer electronics devices, the complexity of battery technologies is also increasing. This increased complexity necessitates expertise for battery installation, repair, and testing services. In addition, the growing emphasis on sustainability encourages battery users to invest in maintenance services rather than premature replacements. This bodes well for the demand for battery testing, repair, installation, and other services, thus fueling the segment’s growth.

Test Type Insights

Based on test type, the battery cell test segment dominated the market in 2022 with a revenue share of more than 45.0%. The growth of the battery cell test segment can be attributed to the surging demand for high-performance batteries across various applications. As industries increasingly rely on batteries for various applications, the need for precise and comprehensive testing of individual battery cells becomes crucial. This ensures optimal functionality, safety, and longevity of batteries. In addition, advancements in battery technology, including lithium-ion and solid-state batteries, necessitate advanced testing methodologies to meet performance standards. As a result, the battery cell test segment is anticipated to witness significant growth over the forecast period.

The battery pack/module test segment is anticipated to register significant growth over the forecast period. The growth of the battery pack/module test segment can be attributed to the growing demand and adoption of electric vehicles (EVs), renewable energy storage solutions, and grid applications. These larger-scale energy storage units require rigorous testing to ensure performance, safety, and durability. In addition, advancements in battery technologies, such as high-capacity and solid-state batteries, necessitate specialized testing methods. As the demand for reliable and efficient energy storage solutions continues to rise, the battery pack/module test segment is anticipated to witness significant growth over the forecast period.

Vertical Insights

In terms of vertical, the automotive segment dominated the market in 2022 with a revenue share of more than 52.0%. The automotive segment is experiencing significant growth, largely driven by the surging adoption of EVs. The demand for reliable battery diagnostics and repair solutions has surged as the global automotive industry shifts toward electrification. EVs rely on advanced battery technologies for power, making battery health crucial. Consequently, manufacturers, service providers, and consumers are increasingly investing in diagnostics and repair services to ensure the longevity and efficiency of EV batteries. This trend is expected to propel the growth of the automotive segment within the market over the forecast period.

The consumer electronics segment is anticipated to register a significant CAGR of 7.0% over the forecast period. The growth of the consumer electronics segment can be attributed to the increasing use of devices such as smartphones and laptops, among other portable devices. Consumers are seeking cost-effective alternatives to prolong their devices' lifespan, contributing to a surge in demand for battery diagnostics and repair services. These services address issues such as battery degradation, thus extending the usable life of batteries and consequently reducing electronic waste. The convenience and cost savings offered by battery diagnostics and repair solutions are driving the segment's growth.

Regional Insights

In terms of region, Europe dominated the market in 2022 with a revenue share of more than 29.0%. European countries are pushing for sustainability and reduced carbon emissions, driving the demand for efficient battery diagnostics and repair services. Moreover, the emergence of innovative technologies and solutions by key market players has contributed to the region's growth. For instance, in June 2023, Autocraft EV Solutions, based in the UK launched its unique Revive Mobile Repair Centre, which is a portable container that delivers battery diagnostics and repair services to areas with the highest demand. The solution enables businesses to deliver their services from any location in an effective and scalable manner.

North America is anticipated to register significant growth over the forecast period. The region benefits from the presence of key market players such as Keysight Technologies, Exponential Power, and Midtronics, Inc., driving innovation and expanding service offerings. With a growing emphasis on reducing electronic waste and promoting sustainability, consumers and businesses are increasingly turning to battery diagnostics and repair solutions to extend the lifespan of their devices and reduce environmental impact. This trend aligns with North America's commitment to eco-friendly practices, propelling the growth of the market in the region.

Key Companies & Market Share Insights

The market is considered a fragmented market with the presence of several small players. This market serves a diverse customer base spanning various sectors such as automotive, consumer electronics, and renewable energy. Notably, leading market participants are actively pursuing innovation and introducing novel solutions tailored to these industries' unique requirements. In addition, the battery industry is constantly evolving, embracing emerging technologies like lithium-ion and solid-state batteries. In this landscape, market players with specialized expertise in specific domains have emerged as pivotal contributors to the market's dynamics.

Vendors are focusing on launching innovative products, which is anticipated to further boost the market growth over the forecast period. For instance, in March 2023, Launch Tech Co., Ltd., a leading enterprise in the automotive aftermarket industry, announced a range of its EV diagnostic and maintenance products. These products are designed to maintain and repair battery packs, electric motor systems, EV control units (EV-ECUs), and other tools and gadgets that are compatible with all mainstream EV models in the market. Such product launches are driving innovation in the market while serving as a catalyst in the market. Some prominent players in the global battery diagnostics and repair market are:

• DV Power

• Keysight Technologies

• Exponential Power

• AVILOO GmbH

• CycloChrome

• SUN Mobility

• Midtronics, Inc.

• Bosch Automotive Service Solutions Inc.

• ENERSYS

• Saft

Battery Diagnostics And Repair Market Report Scope

Global Battery Diagnostics And Repair Market Report Segmentation

The report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the battery diagnostics and repair market report based on component, test type, vertical, and region:

• Component Outlook (Revenue, USD Million, 2017 - 2030)

  • Hardware

    • Battery Testing Equipment

    • Battery Monitoring Systems

    • Others

  • Software

  • Services

    • Battery Testing

    • Battery Repair

    • Battery Installation

    • Others

• Test Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Battery Cell Test

  • Battery Pack/Module Test

• Vertical Outlook (Revenue, USD Million, 2017 - 2030)

  • Automotive

    • ICE Vehicles

    • Electric Vehicles

  • Consumer Electronics

  • Industrial Applications

  • Power Grid

  • Others

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • Germany

    • UK

    • France

  • Asia Pacific

    • China

    • India

    • Japan

    • South Korea

    • Australia

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa

    • Kingdom of Saudi Arabia (KSA)

    • UAE

    • South Africa