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    Automotive Oil Change & Lubrication Services Industry Profile

    Report Page Length: 10-12
    Last Quarterly Update: 11/9/2020
    SIC Codes: 7549
    NAICS Codes: 811191
    Chapters Include:
    Industry Overview Trends & Challenges Industry Forecast
    Quarterly Industry Update Call Prep Questions Website & Media Links
    Business Challenges Financial Information Glossary & Acronyms
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    Excerpt from Automotive Oil Change & Lubrication Services Industry Profile

    Companies in this industry provide motor oil changes and lubrication services for automobiles and light trucks. Major US companies include Havoline Xpress Lube (owned by Chevron), Jiffy Lube and Pennzoil 10 Minute Oil Change (both owned by Royal Dutch Shell), and Valvoline Instant Oil Change.

    The United States has historically accounted for the largest portion of lubricant demand, followed by China and India. Growth of the global automotive oil change and lubrication services industry (aka the quick lube industry) is driven by increasing vehicle ownership in developing markets and the number of miles driven.

    The US automotive oil change and lubrication industry includes about 8,300 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $5.6 billion.

    COMPETITIVE LANDSCAPE

    Demand is driven by the amount of driving that consumers do and by new car sales. The profitability of individual companies depends on convenient location and good marketing. Large chains have an advantage in name recognition, but the operations of individual locations are similar. Small companies can compete successfully by owning favorable locations. The US industry is fragmented: the 50 biggest companies generate about 40% of revenue. The Canadian quick-lube industry is similarly fragmented, with a small number of large players accounting for roughly half of the market.

    PRODUCTS, OPERATIONS & TECHNOLOGY

    Major services are oil changes (about 70% of sales) and other preventive maintenance. Some locations provide repair services. Routine maintenance services like ...

     
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