Paint Protection Film Market Size, Share & Trend Analysis Report By Application (Automotive, Electrical & Electronics, Aerospace & Defense), By region, And Segment Forecasts, 2012 - 2022

Industry Insights

The global paint protection film market size was valued at USD 221.2 million in 2014, The industry’s dynamics are expected to be heavily influenced by consumption trends in emerging markets, particularly considering the growth of end-use industries such as automobiles, defense and electronics, expanding manufacturing sector and urbanization. Changing lifestyle along with shift in preference towards keeping intact the finishing & look of the vehicle is a key trait in consumers’ buying criteria.

Recovery of automotive industry in European nations such as Germany, France, UK and Italy is anticipated to fuel paint protection film demand significantly over the next seven years. Emerging economies such as China, India, Brazil and UAE are witnessing high growth rates in automotive industry. Increasing investment by consumers on car care along with rising awareness is further expected to drive growth.

PPF is a thermoplastic urethane film which is widely used to protect vulnerable surfaces of automotive, such as hoods, bumpers, door handles, body cavities, and edges, from bug splatters, stone chipping, and abrasions against other surfaces. Recently, electronic manufacturers have also commercialized PPF usage in mobile phones, and display screens of other appliances. Penetration in these applications shall be a crucial factor in industry’s development in matured markets.

North America and Europe, which are witnessing increasing penetration in non-automotive applications, are also the largest consumers due to the sheer size of their automotive industries and operational presence of international brands such as 3M. However, the future is bright for Asian economies, particularly South Korea, Japan and China, which are experiencing the advent of domestic PPF manufacturers and cheaper offerings compared to international brands.

Strong economic growth along with consequently increasing spending in automotive as well as OEM sector across various developing markets such as India and Thailand have resulted in industry growth in the recent past. A major chunk of the population being youngsters in these economies, PPF demand in automotive is inevitably bound to rise.

Application Insights

Automotive was the leading application segment and accounted for over 75% of the overall consumption in 2014. There are two main factors that pertain to the high penetration level of PPF in the segment, i.e., rising sales of premium or high-end luxury automobiles, and awareness among their buyers regarding vehicle maintenance & aftermarket care.

With gradual transfer of automotive technologies to the Asian region, and evolution of aftersales services in the region, automotive segment shall attract considerable demand in the future. However, product innovation remains a key factor while understanding the segment’s growth prospects for the industry. With the entry of PPF marketers for automotive at a domestic level, large corporations are vying to improve their offerings by means of high-end films with specialized applications.

Aerospace is projected to grow at a CAGR of 4.7% from 2015 to 2022, with paint protection film’s key usage being coverings for rotor blades, outer layers of airplane fuselages and cockpit panels. In the recent past, electronics such as mobile phones, tablets, display screens, and keyboards have also emerged as application sectors for the industry. Their key properties with respect to electronics is to prevent outer surfaces from scratches, abrasions, wear, and galvanic corrosion.

Regional Insights

Ongoing investments by western companies such as Volkswagen, Fiat Chrysler, Daimler, and General Motors in the Asia has led to the gradual development of the overall automotive industry’s ecosystem. Over the past decade, the region has witnessed entry of parts manufacturers, aftersales service providers, and automotive OEMs, thereby forming a circular economy for the industry.

From the consumer perspective, increased disposable income has led to wider range of choices for vehicle buyers, and consequent flourishment of custom auto part. On the basis of these two factors, China, India, Thailand, Indonesia, Malaysia, Japan, and South Korea are touted to be major demand centers for the paint protection film market.

In comparison, North America and Europe, being the pioneering regions for the PPF industry have reached saturation. Almost every automobile in these regions are on-road with paint protection film installed at the factory level. Most demand in the region comes from replacement of existing films at their end-life. Therefore, companies are focused on specialized applications and exclusive agreements with automotive manufacturers to maintain competitiveness.

Paint Protection Film Market Share Insights

The industry’s competition can be described on two fronts. The first being, R&D by paint protection film manufacturers. While the latter being, installer’s margins. In terms of manufacturing, the industry has reached a stage where price based competition has become obsolete due to the emergence of small-scale domestic companies. Therefore, product differentiation acts as a key front for manufacturers to compete and maintain their market positions.

For installers and dealerships, reducing costs is a key area where they could attract customers with the best offerings under their entities. Major companies in the industry include, 3M Company, Lubrizol, XPEL Technologies, SunTek Films, Solar Gard, Topaz, Avery Denison, Argotec, and Premier Protective Films.

Report Scope

Segments covered in the report

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2012 to 2022. For the purpose of this study, Grand View Research has segmented the global paint protection film market report on the basis of application and region:

• Application Outlook (Volume, Thousand square meters; Revenue, USD Million, 2012 - 2022)

  • Automotive

  • Electrical & Electronics

  • Aerospace & Defense

  • Others

• Regional Outlook (Volume, Thousand square meters; Revenue, USD Million, 2012 - 2022)

  • North America

    • U.S.

  • Europe

    • Germany

    • UK

    • France

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

  • Middle East & Africa