U.S. Car Wash Services Market Size, Share & Trends Analysis Report By Type (Tunnels, Roll-over/In-bay, Self-service), By Mode of Payment (Cash Payment, Cashless Payment), By Region, And Segment Forecasts, 2023 - 2030
The U.S. car wash services market size is expected to reach USD 23.79 billion by 2030, according to a new report by Grand View Research, Inc. The market is expected to grow at a CAGR of 5.7% from 2023 to 2030. Growing focus on vehicular maintenance, daily schedules becoming increasingly hectic, and a rise in sustainable car washing methods are factors propelling the growth of the U.S. market for car wash services. The growth is further fueled by investors’ interest in the market due to minimum labor requirements, high volumes, and quick returns.
With the U.S. government banning car washes in the open, on main streets, and in public spaces, more consumers are now opting for professional car wash services. In general, an automated car wash uses 10-60 gallons of water per car whereas a home car wash uses more than 60 gallons of water. As a result, environment-conscious consumers have been preferring professional car wash services to conserve water. The car wash services market in the U.S. is projected to exhibit a notable growth rate in the coming years, with plenty of franchising opportunities in emerging markets across the country.
Moreover, the rise in disposable incomes of consumers is making them spend more on professional services including car wash services. The speed and convenience that such car washing services offer is resulting in consumers steadily decreasing washing cars by themselves. In addition, a majority of the population believes car maintenance can improve the lifespan of vehicles. For instance, according to a report by Morning Consult in 2022, the percentage of baby boomers who believe maintenance boosts vehicle longevity is higher than the percentage of Gen Z adults who believe the same (84% versus 59%, respectively).
Additionally, self-service vehicle washing is very popular among customers who prefer to wash their own vehicles.Flexibility in the use of water, foam, brushes, and other car wash equipment, as well as payment for only the amenities used, are some of the factors driving the popularity of this service. Moreover, many car washes operate 24/7, which further propels the convenience of this service among consumers.
Companies in this market are continuing to improve their consumer base by expanding their distribution network. For instance, in August 2020, Zips Carwash opened its new service centers in Greater Cincinnati (Ohio) and Asheville area, and Greensboro (North Carolina) to expand and follow its aggressive strategy to capture the market. Moreover, to execute secure payments, many operators in the market are more inclined toward using cashless payment modes. Due to the robust growth in the e-commerce industry, the use of online portals and websites is gaining traction in the car wash services market.
U.S. Car Wash Services Market Report Highlights
The roll-over/in-bay segment is expected to dominate the market share owing to various benefits such as simpler customer interaction, impulse-driven purchases, and ideal for smaller spacess
Cashless mode of payments is anticipated to account for a larger share in terms of revenue in the forthcoming years. An integrated payments system simplifies the managing of the business, tracks supplies easily, helps catch consumer data, and accepts multiple payments method
Moreover, technological advancements are also altering the face of on-demand car wash services. The major goal in advancing car wash technology is to reduce friction and manual vehicle prepping and produce cleaner and drier vehicles faster. Technologies like touch-free car washing and hybrid car washing are propelling the growth of the market
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