Auto Mechanics in Canada Industry Market Research Report from IBISWorld Has Been Updated

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Per capita disposable income is expected to continue slowly rising, resulting in stronger downstream demand for automotive repairs from individual consumers. For this reason, industry research firm IBISWorld has updated a report on the Auto Mechanics industry in its growing industry report collection.

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Operators able to repair new, fuel-efficient models will have a competitive advantage

The Auto Mechanics industry has been coasting over the past five years, providing widely accepted and increasingly diverse automotive repair services to individual and business customers. Revenue growth is determined by demand from consumers, businesses and government agencies, all of which have increasingly sought industry services due to rising disposable income, new vehicle sales and corporate profit since 2010. During the five years to 2015, industry revenue has grown, as continued evidence of stable macroeconomic growth across Canada bodes well for auto mechanics.

According to IBISWorld Industry Analyst Nick Petrillo, “profit margins are moderate for the average operator in 2015.” Over the past five years, profit margins have been relatively stable, experiencing their largest decline in 2013 when average industry profit fell. Internal competition exists among operators on the basis of price, quality and reputation. Industry participants also face external competition from other auto repairers, including new car dealerships and individuals who prefer to complete basic repairs at home.

Industry revenue is forecast to continue steadily trending upward over the next five years. Per capita disposable income is expected to continue slowly rising, resulting in stronger downstream demand for automotive repairs from individual consumers. In the five years to 2020, revenue for the Auto Mechanics industry is forecast to climb. “Auto manufacturers are constantly changing the way they make cars to meet various fuel efficiency targets set by the Canadian government, and these changes often lead to additional modifications in industry services,” says Petrillo. In 2012, Canada adopted the Corporate Average Fuel Economy standards, or minimum fuel-economy vehicle standards. As such, industry players that have highly skilled employees capable of modifying engine components to comply with new federal standards will hold a substantial competitive advantage during the next five years. Over the next five years, the number of mechanics is forecast to increase.

For more information, visit IBISWorld’s Auto Mechanics in Canada industry report page.

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IBISWorld industry Report Key Topics

Operators in this industry 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.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US and Canadian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

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Gavin Smith
IBISWorld Inc.
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