Automotive franchises

Automotive franchises cover a wide range of business types including car rentals, repair services, valeting services, car washes and accessories.  While some car dealerships are franchised, most franchises provide products and services for vehicles that have already been sold and are on the road. 

As an example, available franchises include: 

• Redspot car rentals
• Midas car service and repairs
• Car Care mobile car detailer
• What Scratch? mobile car paint repairs 
• TOWFIX mobile caravan and trailer repair 

Car Wash and Detailing

Like many other sectors, Car Wash and Detailing declined slightly during the pandemic. However, there are already signs of recovery with predictions that it will return to growth over the next five years. This will be supported by a projected rise in discretionary incomes and consumers’ increasing awareness of the negative impact washing their cars at home can have on the environment.

Overall market size: $577m

Total number of businesses: 2,256

Number employed in the sector: 3,470

Motor Vehicle Body, Paint and Interior Repair 

Improving economic conditions are expected to have a positive impact on the sector over the next five years as economic conditions recover from the COVID-19 pandemic. However, there are also likely to be some challenges including increasing vehicle safety, strong road safety campaigns, pressure from insurance companies and price competition. However, the number of vehicles on Australian roads will no doubt continue to grow, increasing demand for repairs of this kind.  

Overall market size: $8bn

Total number of businesses: 22,253

Number employed in the industry: 39,539

Motor Vehicle Engine and Parts Repair and Maintenance 

Continuing growth in the number of motor vehicles on the road is also expected to drive a steady increase in demand for engine repairs and maintenance, particularly in the household and commercial markets. Again, a projected rise in household disposable income should boost sales of new vehicles over the next five years.

In July 2022, legislation mandating the sharing of automotive service and repair information came into effect. This requires manufacturers to provide independent repairers with the same information they give to their authorised dealers, creating a more level playing field for franchises in the sector. 

Overall market size: $13bn

Total number of businesses: 37,152

Number employed in the sector: 79,473