Auto Mechanics in Canada - Market Research Report (2014-2029)
New York, United States
Last Updated: August 2024
NAICS 81111CARevenue
$11.6bn
Past 5-Year Growth
Profit
$XXX.Xm
Employees
49,755
Businesses
27,020
Wages
$X.Xbn
Auto Mechanics in Canada industry analysis
Auto mechanics provide mechanical and electrical repair and maintenance for a variety of vehicles, including cars, trucks and vans. Through the current period, the industry has faced volatile conditions and poor performance. Falling consumer confidence and lockdown restrictions during the COVID-19 pandemic limited travel demand, translating into fewer vehicle kilometres traveled, and encouraging buyers to postpone nonessential repair and maintenance services. On the contrary, rebounding economic conditions following the pandemic, enabled sporadic growth. Overall, revenue declined at an expected CAGR of 0.7% to $11.6 billion through the current period, despite a 4.2% jump in 2024, where profit reached 7.3%.
Trends and Insights
- Consumer sentiment will dictate growth. Consumers are more willing to drive and take trips as the economy improves, increasing vehicle wear and tear alongside demand for repairs.
- Diversity in downstream markets prevents major revenue losses. Despite volatility in key consumer markets, other core customers have fueled revenue growth.
- Ontario and Quebec have a high concentration of auto mechanics in Canada. Large cities and relatively affluent populations support demand for mechanics.
- Competition for talent is fierce. There are a limited number of workers with the necessary experience and certifications. Entrants find it especially difficult to hire and maintain qualified staff.
Industry Overview
Market size and recent performance (2014-2029)
Industry revenue has declined at a CAGR of 0.7 % over the past five years, to reach an estimated $11.6bn in 2024.
Trends and Insights
The pandemic halted growth
- Though Canadian federal and provincial governments deemed repair shops essential businesses, many Canadian auto mechanics faced added operational expenses and were forced to downsize operations to follow social-distancing regulations.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Growing economic activity increases demand for repairs
- Driving activity will rebound through the outlook period, highlighted by increased vehicle registrations, supporting demand for Canadian auto mechanics. In general, improved economic activity will support demand for vehicle-related services.
Biggest companies in the Auto Mechanics in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Midas International Corporation | 103.2 | N/A | N/A | |
AAMCO Transmission and Total Car Care | 11.5 | N/A | N/A |
To view the market share and analysis for all 2 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Scheduled preventative maintenance, Brake repair and replacement and Powertrain, engine and transmission repair. Scheduled preventative maintenance is the largest segment of the Auto Mechanics in Canada.
Trends and Insights
Scheduled preventative maintenance make up the majority of demand
- The most common forms of scheduled maintenance include mandatory inspections, oil filter and engine oil replacements and the occasional replacements of coolants, transaxle fluid and timing belts.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Car Body Shops in Canada
- Car Wash & Auto Detailing in Canada
- Oil Change Services in Canada
Complementors
- New Car Dealers in Canada
- Used Car Dealers in Canada
- Gas Stations with Convenience Stores in Canada
International industries
- Auto Mechanics in the US
- Truck Repair in the US
- Motor Vehicle Electrical Services in Australia
- Motor Vehicle Engine and Parts Repair and Maintenance in Australia
- Motor Vehicle Engine and Parts Repair and Maintenance in New Zealand
Table of Contents
About this industry
Industry definition
Operators in the Auto Mechanics industry in Canada perform mechanical and electrical repairs and maintenance for automotive vehicles, including passenger cars, trucks, vans and trailers. Auto mechanics often work independently or for small auto repair shops, garages and car care centres.
What's included in this industry?
Performing general automotive repairsRepairing and replacing automotive enginesRepairing and replacing automotive exhaust systemsRepairing and replacing mufflersRepairing automotive transmissionsRepairing automotive brakesRepairing automotive radiatorsPerforming automotive wheel alignmentsPerforming automotive electric repairsCompanies
Midas International CorporationAAMCO Transmission and Total Car CarePurchase this report to view all 2 major companies in this industry.
Related Terms
TELEMATICSNONEMPLOYERAUTO DEALERCRASHWORTHINESSIndustry Code
NAICS 8111 - Auto Mechanics in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Consumer sentiment will dictate growth. Consumers are more willing to drive and take trips as the economy improves, increasing vehicle wear and tear alongside demand for repa...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2014-2023) and forecast (2024-2029)
- Employees, including historical (2014-2023) and forecast (2024-2029)
- Businesses, including historical (2014-2023) and forecast (2024-2029)
- Profit, including historical (2014-2024)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Diversity in downstream markets prevents major revenue losses. Despite volatility in key consumer markets, other core customers have fueled revenue growth.
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2024
- Product innovation level
Charts
- Products & services segmentation in 2024
- Major market segmentation in 2024
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Ontario and Quebec have a high concentration of auto mechanics in Canada. Large cities and relatively affluent populations support demand for mechanics.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2024
Tables
- Number and share of establishments in each province in 2024
- Number and share of revenue each province accounts for in 2024
- Number and share of wages each province accounts for in 2024
- Number and share of employees in each province in 2024
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Competition for talent is fierce. There are a limited number of workers with the necessary experience and certifications. Entrants find it especially difficult to hire and ma...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2019-2024
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Nonemployers account for almost half of all establishments and most employers have fewer than five workers. This trend indicates a heavily fragmented market.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2020 through 2024
- Major companies in the industry, including market share, revenue, profit and profit margin in 2024
- Overview of Midas International Corporation's performance by revenue, market share and profit margin from 2018 through 2024
- Overview of AAMCO Transmission and Total Car Care's performance by revenue, market share and profit margin from 2018 through 2024
Detailed analysis
- Description and key data for Midas International Corporation, and factors influencing its performance in the industry
- Description and key data for AAMCO Transmission and Total Car Care, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The industry receives marginal public support. Some companies are eligible for various small business loans or recycling grants, but most companies rely on private support.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2014-2029)
- Assistance historical data and forecast (2014-2029)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Profit has decreased through the current period. Pandemic-related volatility, supply chain disruptions and labour shortages have contributed to higher operational costs.
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2017-2022)
- Coverage Ratios (2017-2022)
- Leverage Ratios (2017-2022)
- Operating Ratios (2017-2022)
- Assets (2017-2022)
- Liabilities (2017-2022)
- Cash Flow & Debt Service Ratios (2014-2029)
- Revenue per Employee (2014-2029)
- Revenue per Enterprise (2014-2029)
- Employees per Establishment (2014-2029)
- Employees per Enterprise (2014-2029)
- Average Wage (2014-2029)
- Wages/Revenue (2014-2029)
- Establishments per Enterprise (2014-2029)
- IVA/Revenue (2014-2029)
- Imports/Demand (2014-2029)
- Exports/Revenue (2014-2029)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2014-2029)
- IVA (2014-2029)
- Establishments (2014-2029)
- Enterprises (2014-2029)
- Employment (2014-2029)
- Exports (2014-2029)
- Imports (2014-2029)
- Wages (2014-2029)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Auto Mechanics industry in Canada in 2024?
The market size of the Auto Mechanics industry in Canada is $11.6bn in 2024.
How many businesses are there in the Auto Mechanics in Canada industry in 2024?
There are 27,020 businesses in the Auto Mechanics industry in Canada, which has grown at a CAGR of 0.3 % between 2019 and 2024.
Has the Auto Mechanics industry in Canada grown or declined over the past 5 years?
The market size of the Auto Mechanics industry in Canada has been declining at a CAGR of 0.7 % between 2019 and 2024.
What is the forecast growth of the Auto Mechanics industry in Canada over the next 5 years?
Over the next five years, the Auto Mechanics industry in Canada is expected to grow.
What are the biggest companies in the Auto Mechanics market in Canada?
The biggest companies operating in the Auto Mechanics market in Canada are Midas International Corporation and AAMCO Transmission and Total Car Care
What does the Auto Mechanics in Canada include?
Performing general automotive repairs and Repairing and replacing automotive engines are part of the Auto Mechanics industry.
Which companies have the highest market share in the Auto Mechanics in Canada?
The company holding the most market share in Canada is Midas International Corporation.
How competitive is the Auto Mechanics industry in Canada?
The level of competition is high and increasing in the Auto Mechanics industry in Canada.
