U.S. Automotive Wrap Films Market Size, Share & Trends Analysis Report By Application (Heavy Duty Vehicles, Medium Duty Vehicles, Light Duty Vehicles), And Segment Forecasts, 2020 - 2027

Report Overview

The U.S. automotive wrap films market size was valued at USD 1.1 billion in 2019 and is expected to expand at a compound annual growth rate (CAGR) of 17.4% from 2020 to 2027. Rising trend of consumer spending on automobile customization coupled with rising number of medium duty vehicles used as transportation vehicles, food trucks, and others are expected to drive the demand for automotive wrap films in the country over the forecast period.

Automotive wrap films are of two types: cast vinyl films and calendered vinyl films. The raw materials used for manufacturing wrap films include PVC and other added ingredients such as plasticizers, pigments, and UV absorbers. PVC is generally a very rigid polymer and requires plasticizers to make it flexible for use. Plasticizers can be classified as monomeric and polymeric. Pigments and UV absorbers are used to improve films’ resistance and against UV radiation.

Growing advertising industry with the use of signs and graphics, increasing demand for advertising on automobiles, and low cost associated with vehicle wraps compared to vehicle paint are the major factors driving the market growth. However, stringent government regulations dictating the use of Polyvinyl Chloride (PVC) are expected to restrain market growth over the forecast period.

Hydro dipping is gaining popularity for use in bumpers, as the automotive wrap films get easily torn in bad road conditions due to stones. The processing time required for hydro dipping is less as compared to the installation of automotive wrap films. Various automotive enthusiasts have started using hydro dripping as their primary option for customization due to the low cost compared to automotive wrap films.

Application Insights

The light duty vehicles application segment led the U.S. automotive wrap films market and accounted for more than 52.0% revenue share in 2019. This high share is attributable to the rising demand for automotive wrap films as a cost-effective solution compared to vehicle paint, especially for high-end vehicles such as Audi, Mercedes, Porsche, Volkswagen, and BMW.

Motorsports and vehicle detailing have become a growing trend among consumers for which automotive wraps are being increasingly used to enhance the aesthetic appeal of cars and bikes.

Amid the global COVID-19 pandemic, these medium duty vehicles are being widely used to distribute the essentials such as masks, food items, and others by non-government organizations and a wide range of companies as a part of their social responsibility. Medium-duty vehicles used for these purposes display the company or the organization name which largely contributes to the consumption of automotive wrap films.

Companies engaged in research and development activities in the electrical and electronics industry in the U.S. like Apple Inc., SAMSUNG, and Hisense use heavy-duty vehicles in order to showcase new products simultaneously testing the durability of the product. Heavy duty trucks are also used at the time of food festivals by companies operating in the food and beverages industry to showcase their complete product portfolio and also while traveling to the event trying to cover the untapped consumer base of the country.

Key Companies & Market Share Insights

Companies operating in the market lay high emphasis on expanding their footprint in an attempt to drive their revenues and increase market shares. Companies are expanding their services in countries, such as Argentina, Colombia, Ecuador, Bolivia, French Guiana, El-Salvador, Brazil, and Chile, to cater to the rising demand for automotive wrap materials for commercial fleets in these economies.

Strategic partnerships, capacity expansions, and new product developments are the popular strategies adopted by a majority of players operating in Central and South America. For instance, in June 2020, ORAFOL Europe GmbH introduced ORALITE VC 612 primarily used for fleet vehicles for marketing and advertising purpose, and has a service life of 5 years. This product innovation will cater to fleet owners with high services of vehicle wraps. Some of the prominent players in the U.S. automotive wrap films market include:

• Avery Dennison Corporation

• Arlon Graphics, LLC

• 3M

• VViViD Vinyl

• Hexis S.A.

U.S. Automotive Wrap Films Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at country level and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the U.S. automotive wrap films market report on the basis of application:

• Application Outlook (Revenue, USD Million, 2016 - 2027)

  • Heavy duty vehicles

  • Medium duty vehicles

  • Light duty vehicles