United States Car Wash Services Market

United States Car Wash Services Market Outlook

The United States car wash services market is projected to have a significant CAGR of 5.5% by 2033. According to FMI statistics, market share is predicted to increase from US$ 16.33 billion in 2023 to US$ 27.89 billion by 2033.

The demand for car wash services in the United States has increased due to the consumers' increasing attention to vehicle care. Additionally, the continual harm to car bodies from dirt, dust, bird droppings, and salt deposits during the winter months increases the global demand.

Particularly in the last ten years, the adoption of car wash services in the area has skyrocketed. This is explained by increased convenience, a large selection of service bundles, and budget-friendly choices.

The need for professional car wash services is anticipated to increase as a result of tight environmental regulations that forbid household techniques of car washing. Additionally, due to their busy schedules, many consumers choose not to wash their cars themselves. Consumer attention to routine vehicle maintenance keeps expanding as their spending power does.

Spending in the United States Car Wash Service Market

• In North America, there are 80,000+ professional vehicle wash facilities, according to SEKO, a provider of car washing services.
• Every day, car wash facilities wash 8 million+ vehicles. More than 2 billion cars are washed annually in North America.
• In 2019, the US Census Bureau reported that Americans spend US$ 5.8 billion annually at car wash facilities.
• In the past ten years, more than 70% of automobile owners converted from hand-washing to using car wash services.

Attributes	Details
United States Car Wash Services Market CAGR (2023 to 2033)	5.5%
United States Car Wash Services Market Size (2023)	US$ 16.33 billion
United States Car Wash Services Market Size (2033)	US$ 27.89 billion

United States Car Wash Service Sector Outlook 2018 to 2022 Compared to 2023 to 2033 Forecast

When compared to the 3.2% CAGR recorded between 2018 and 2022, the United States car wash services industry is predicted to expand at a 5.5% CAGR between 2023 and 2033. With surging demand for high-end car wash services, the market growth rate is expected to be around 1.05x between 2022 and 2023.

Year	Market Share
2018	US$ 12.49 billion
2022	US$ 15.28 billion
2025	US$ 18.17 billion
2033	US$ 27.89 billion

Short-term Growth (2023 to 2026): the market is expanding as a result of increasing customer knowledge of the benefits of car wash services, including enhanced car appearance and prolonged car life.

Medium-term Growth (2027 to 2030): adoption is anticipated to increase as a result of rising disposable incomes, rising car ownership rates, and surging consumer purchasing power.

Long-term Growth (2031 to 2033): in the long run, the market is projected to grow due to the rising demand for eco-friendly cleaning products and the increased emphasis on the customer experience.

The recent industrial expansion has been significantly impacted by advancements in automation and technology. This includes the use of license plate readers and radio-frequency identification (RFID) chips.

It enables car wash operators to instantly identify monthly membership holders as they approach the location. Due to all the factors, the average growth of the market is expected to be around 1.82x between 2022 and 2033.

How E-commerce can Expand the Consumer Base in the United States Car Wash Services Market?

On-demand car wash services are changing as a result of new technological advancements. Consumers have adopted the service through mobile applications and online portals as a result of the e-commerce sector's rapid expansion.

Specifically for professional car washes, businesses like WashCard have created online payment gateways that let consumers make mobile payments and create automated billing and cleaning schedules.

The United States car wash services business has been significantly impacted by e-commerce. Customers can easily and conveniently get car wash services through e-commerce from the comfort of their own homes.

This has made it possible for many car wash companies to grow their clientele and provide services to clients who might not be able to travel physically. The demand for car wash services in the United States is anticipated to increase by 2033, as individuals become accustomed to using online services to access them.

Lastly, e-commerce has made it possible for car wash services businesses to provide discounts and promotions to its clients, aiding in the recruitment of new clients. In this sector, loyalty schemes are also gaining popularity.

Car wash owners are implementing loyalty programs to give discounts to recurring clients and reward customers for regular visits. This can help customers spend adequate money and increase customer loyalty.

Sustainability: Top Priority for United States Car Wash Services Industry

Car wash service providers have started offering eco-friendly car wash services, as sustainability continues to influence purchasing decisions. Service providers for car washes have begun to move toward regulated water requirements.

When equipped with water reclamation, the eco-friendly car wash services utilize 8 to 70 gallons per vehicle, as opposed to the traditional method's 15 to 80 gallons. Although it has been around for a while, water reclamation technology is now being used by many brands. End-users include consumers, businesses, and government officials, who continue to push for quality assurance and conservation.

Car wash owners and operators are starting to employ green practices, such as reducing trash and conserving energy and water. Car wash service providers can reduce their electricity bills by installing solar panels and energy-efficient lighting. They can also put in motion sensors to use less energy when there aren't any customers there.

By recycling the water, soap, and other materials used in their car wash services, owners can further reduce waste. Sustainable car wash services include crucial water conservation measures. Car wash owners and operators can use recycled water, establish rainwater collection systems, and install water-saving nozzles and low-flow pumps.

This can lower the volume of waste disposed of in landfills and lower overall expenses. They can also utilize ecologically friendly cleaning supplies to aid in lowering air and water pollution. Additionally, organizations and business associations, like the International Car Wash Association (ICA), offer resources to help car wash owners intensify their sustainability efforts.

Category Analysis

Which Car Wash Service Type is Most Popular in the United States?

In terms of revenue, the roll-over/in-bay type of car wash services segment is expected to dominate the market with a CAGR of 6.5% by 2033. The growth is attributed to the ability of the roll-over/in-bay segment to apply substances like waxes, dryers, or foams.

Roll-overs/in-bays provide an eco-friendly method of car washing, as they require significantly less water. Main factors driving the demand for roll-over car wash services in the United States are the increased need for convenience and car maintenance.

Which is the Most Utilized Mode of Payment in the United States Car Wash Services Market?

Cashless payments are the leading market, with a CAGR of 8.6% by 2033. Car wash service owners are starting to incorporate integrated payment solutions, or point-of-sale (POS) systems, across pay stations due to the high adoption of online payments.

These payment methods not only increase sales, but also provide thorough client insights. Consumers in the millennial generation, in particular, anticipate the availability of practical payment choices, such as tokens, debit cards, loyalty cards, and mobile payment options.

The majority of car wash services have installed coin-operated machines to clean cars. However, due to the growing trend of digital payments, the demand for cash payments in the market is anticipated to decline during the forecast period.

Competitive Analysis

Start-ups Focus on Eco-friendly and Mobile-app Services for Great Revenue Prospects

The United States car wash services sector is seeing the introduction of new companies that are entering the industry with a somewhat different strategy. To entice new clients, businesses are developing dry car washes and green car washes.

The car washing industry's future is predicted to be eco-friendly, which implies using no or very little water, given the climate change and water scarcity. Several engineering and equipment manufacturing firms are expressing interest in the car wash services in the United States.

They are producing tools and equipment linked to it, in addition to service providers of car washing and detailing. Overall, given the improved macroeconomic climate, the forecast for the United States car wash services and detailing business is positive.

Start-ups offering car wash services in the United States are utilizing new technologies and trends to their financial advantage. Start-ups are active in developing and maintaining their mobile apps, as it is the great way to contact the customer base. Many of the top applications available today are:

Companies	Details
Washos	Using this mobile app, the on-demand car wash and detailing service Washos connects users with nearby car wash services and detailers. Customers can use the app to book appointments for vehicle washes and detailing, pay for services, and monitor their services.
MobileWash	MobileWash is a mobile car wash and polishing business that works on-site with clients. Customers can plan a car wash or detailing appointment online by using the MobileWash app. The service is offered in more than 120 cities around the United States and Canada.
Spiffy	A mobile car care company called Spiffy provides full-service detailing, upkeep and repair work, and oil changes. Online or through the Spiffy app, customers may make an appointment for a Spiffy car wash and detailing.
Spotless Car Wash	The Spotless Car Wash app-based car wash and cleaning service is available in more than 20 cities across the United States. Through the Spotless app, customers can book a car wash or detailing appointment. Spotless also offers monthly auto care subscriptions at a discount.

United States Car Wash Service Providers Aims for Better Management

Even though the market is expanding substantially, it still lacks management on some level. Just 10% of the global market is controlled by the top 20 corporations. Less than 20% of the market in emerging countries is organized, compared to about 40% in developed countries. Key players of the United States car wash services now have the chance to grow their enterprises.

There are substantial domestic service providers, which defines the market. Large players are buying up regional businesses to help them reach a wider audience throughout the nation. Market participants have acknowledged the significance and dominance of regional businesses in order to increase the consumer base.

Product Launches, Mergers & Acquisition

• April 2019-to improve the usefulness of FordPass, its smartphone app, Ford Motor Company started offering a car-on-demand service. These services are available to owners of Ford and Lincoln vehicles with built-in modems that are recent.
  • The company anticipates a significant amount of third-party contracts, as more of its vehicles are equipped with built-in modems.
  • Consequently, as innovative car wash services are introduced, the company is expecting high profit margins.
• November 2021-with the announcement of its 100th car wash acquisition, Driven Brands, Inc. increased the total number of Driven Brands Car Washes in the United States to 300.
• June 2022-Mister Car Wash, Inc. declared the launch of its new branch in Oviedo, Florida. The Platinum package available at the new facility includes several of Mister's distinctive goods, including HotShine® Carnauba wax, Repel Shield, and Platinum Seal. A cutting-edge tunnel experience with Mister's unique cleaning systems is available at the new location.
• July 2022-El Car Wash, one of the quick express car-washing firms in the US, was purchased by Warburg Pincus.
• August 2022-The purchase of Top Wash, three express outdoor facilities in Anoka, Fridley, and Champlin, Minnesota, was announced by Mister Car Wash, Inc. The acquisition increased Mister Car Wash's footprint in Minneapolis's northern suburbs.
• September 2022-leading conveyor car wash company Wave Wash was purchased by Super Star Car Wash, a reputable car wash business.

Key players

• Quick Quack Car Wash
• Autobell Car Wash, Inc.
• Zips Car Wash
• Splash Car Wash
• Tommy's Express Car Wash
• Driven Brands, Inc.
• Mister Car Wash
• Wash Depot
• Magic Hand Carwash
• True Blue Car Wash

Key segments

By Type:

• Tunnels
• Roll-over/In-bay

By Mode of Payment:

• Cash Payment
• Cashless Payment

Frequently Asked Questions

What is the Current Scale of the United States Car Wash Services Market?

The current scale of the United States car wash services market is estimated to be US$ 16.33 billion.

What is the Scope of the United States Car Wash Services Market in 2033?

The market is estimated to garner a revenue of US$ 27.89 billion by 2033.

At what Rate is the United States Car Wash Services Market expected to Progress?

The market is anticipated to advance at a CAGR of 5.5% through 2033.

What is the Impact of E-commerce in the United States Car Wash Services Market?

Consumers have adopted the service through mobile applications and online portals, which significantly boosts market growth.

What is the Key Opportunity Available for Market Players?

Emerging automation trends are a key investment opportunity presented to market players.