Europe Automotive Diagnostic Scan Tools Market Size, Trends & Growth Opportunity, By Offering type (Diagnostic Equipment/Hardware, Diagnostic Software), By Workshop Equipment Type (Exhaust gas analyzer, Paint scan equipment, Fuel Injection Diagnostic, Pressure Leak Detection), By Connectivity, By Handheld Scan Tools, by Vehicle type, By Propulsion Type, By Region and Forecast till 2030

Europe Automotive Diagnostic Scan Tools Market

Europe Automotive Diagnostic Scan Tools Market was valued at US$ 5000.00 Mn in 2020, estimated to reach US$ 7,800.00 Mn in 2030 with a CAGR of 5.96% from 2021-2030.

Market Drivers: Vehicle production and sales is expected to drive the Europe Automotive Diagnostic Scan Tools market

The rise in automotive workshops & the trend of integrating innovative features into vehicles, is the primary factor for the automobile industry. From the past few years, the electronic systems had their own procedures where a large number of different tools were used to analyze a single vehicle. This procedures was done manually, which was tiresome & time consuming. To overcome this, the garage equipment manufacturers developed a standard tool to diagnose the number of vehicles. These tools were then used to diagnose any fault in a vehicle by plugging the cable into the vehicle’s diagnostic connecter & running a full scan. The primary advantage of diagnostic scan tools is that it is easy to identify the fault & repair more quickly. The importance of diagnostic scan tools in automobile industry is increasing rapidly due to the shift of consumer’s preference from manual to sophisticated automated diagnostics systems. These tools are used for the purpose of detecting & analyzing the malfunctions of electric systems in vehicles. As such, it is essential for automobile users to fix the problems in vehicles. Such diagnostic scan tools also enable the reprogramming &upgradation of the control modules in automobiles. Continuous advancement in technology, there has been a transition in diagnostic scan tools, just like any other automotive components. Furthermore, the rise in application of diagnostic scan tools with growing demand for sophisticated automotive diagnostics technology from consumers is accelerating the demand for Europe Automotive Diagnostic Scan Tools market during this forecast period.

Market Challenges: Lack of awareness of Automotive Diagnostic Scan Tools

Lack of awareness and the compatibility of the professional as well as the lack of skilled workers to deal up with the latest technology expected to hamper the Europe automotive diagnostic scan tools market over the forecast period. Also, the cost of the technology is immensely high, which may not be easily affordable to many consumers are limiting the Europe automotive diagnostic scan tools market throughout the forecast period. Moreover, the complexities involved in the functioning of such diagnostic scan tools may limit the growth of Europe automotive diagnostic scan tools market.

Market Opportunities: Introduction of wireless scan tools would provide significant market opportunities to the Market  

Introduction of wireless scan tools would provide significant market opportunities to the Market. For instance, in October 2020, Hella had introduced the mega macs ONE, a brand new system which used to transforms Android devices with a minimum of a seven-inch screen, into a fully-fledged diagnostic tool. Furthermore, electrification of vehicles & the growing number of service stations are expected to boost the growth of Europe automotive diagnostic scan tools market in the near future. Due to the rise in demand for safer automobiles a developing automobile industry is expected to be the fastest growing market with greatest CAGR in the near future. Customer’s improved lifestyle also accelerate the expansion of passenger & commercial vehicles, which in turn fuels the growth of Europe automotive diagnostic scan tools market. The largest market for automobile diagnostic scan tools is expected to be in Europe, due to the expansion of automotive diagnostics has as a result of the large vehicle fleet.

Impact of COVID-19 on Europe Automotive Diagnostic Scan Tools Market

The COVID-19 outbreak, affected the global economy, automotive diagnostic tools market was considered immune to the crisis. With the digital technology being developed & used today, the initial tool designing & proposals were all carried out remotely with the tools available currently because of the shutdown of actual fabrication stations due to the social distancing norms, stringent lockdown, as well as travel restrictions. The important aspects of tools design for a certain purpose were successfully carried out, and the only setback the industry observed was the delay of fabrication in terms of physical equipment. With the preference for personal transport & consequently, indications of increased vehicle sales, the industry looks secured from any economic crisis post-COVID-19.

Europe Automotive Diagnostic Scan Tools Market by Offering Type

On the basis of offering type, the Automotive Diagnostic Scan Tools market is segmented into Diagnostic Equipment/Hardware, and Diagnostic Software. The enteral Diagnostic hardware segment accounted for the largest share of the Europe Automotive Diagnostic Scan Tools market. Established aftermarket segment in the countries such as Germany and UK, are investing in R&D to develop advanced software for diagnostic scan tools. Additionally, increasing electrification in vehicles would require technologically advanced diagnostic tools, which is expected to drive the software segment and is also anticipated to grow at a significant rate. With innovations, in-vehicle electronics, remote diagnostics are expected to dominate the market in the near future. Such diagnoses would require sophisticated software, which is one of the critical factors for the growth of the software segment in this market.

Europe Automotive Diagnostic Scan Tools Market by Workshop Equipment Type

The Automotive Diagnostic Scan Tools application market is categorized into segments namely, Exhaust gas analyzer, Wheel alignment equipment and Paint scan equipment applications, Dynamometer, Headlight Tester, Fuel Injection Diagnostic, Pressure Leak Detection and Engine Analyzer. In 2020, the Exhaust gas analyzer segment accounted for the largest share of the automotive diagnostic scan tools market in Europe. The Exhaust gas analyzer segment is expected to show similar trends during the forecast period, growing at highest CAGR during the forecast period. The exhaust gas analyzer is projected to record the fastest growth, in terms of value, in the Europe automotive diagnostic scan tools market during the forecast period. The growth of the exhaust gas analyzer segment can be attributed to the increasing implementation of stringent emission norms in several countries in Europe.

Europe Automotive Diagnostic Scan Tools Market by Connectivity

On the basis of connectivity, the market is segmented into USB, Wi-Fi and Bluetooth. In 2020, USB segment in the Europe Automotive Diagnostic Scan Tools market is growing with the highest share and dominating the market. With the advent of new technologies and innovations in the electronics and automotive field, Telematics connectivity is an integrated term invented for telecommunications and information technologies to collect the received data and transmit it with the help of network. This enables the users to review and control vehicles in motion, owing to the integration of GPS technologies with the capabilities of mobile devices. Application of telematics connectivity in automotive involves onboard connectivity services, driving behavior or fleet management services, security, safety, and accident detection functionality. This system developed for automotive, exchanges the collected data between the user or central location and vehicles such as cars, trains, trucks, ambulances, and municipal vehicles or school buses. With these technologies, real-time vehicle diagnosis and tracking can help companies, especially logistics, to improve their customer service and general reporting of processes.

Europe Automotive Diagnostic Scan Tools Market by Handheld Scan Tools

On the basis of handheld scan tools, the market is segmented into Scanners, Code readers, TPMS tools, Digital Pressure tester and battery analyzer segment. In 2020, Scanners segment in the handheld scan tools comprised of the highest share and led the market with the highest growth rate due to increase in demand from automotive maintenance and repair sector along with advancements in the production technology of scanners. The strong position of various brands in the German market boosts the dependence on handheld scan tools for the production and assembly of automobiles, aerospace, and other such products. This stimulates the handheld scan tools producers to launch advanced and efficient tools and accessories. For instance, Robert Bosch Power Tools GmbH, a subsidiary of Robert Bosch Group, based in Germany, generated around 15% sales only from Germany. Through its brands Bosch and Dremel, it has launched over 100 types of hand tools, accessories, and measuring tools for the German market in 2019.

Europe Automotive Diagnostic Scan Tools Market by Vehicle Type

On the basis of vehicle type the market is segmented into Passenger Cars and Commercial Vehicles segment. In 2020, Passenger cars segment in the end user comprised of the highest share and led the market with the highest growth rate. The passenger car segment is also estimated to hold the largest market share during the forecast period. The increasing sales of passenger cars in the region, specifically in Germany is responsible for the exponential growth of the automotive diagnostic scan tools market. Similarly, the growing stringency of mandates related to emissions and vehicle safety performance in several countries is inflating the demand for automotive diagnostic scan tools.

Europe Automotive Diagnostic Scan Tools Market by Propulsion Type

On the basis of end user, the market is segmented into Scanners and Code readers segment. In 2020, internal combustion engine segment in the propulsion type segment comprised of the highest share and led the market with the highest growth rate due to the fact that the internal combustion engine has a higher energy density, which means it produces a higher energy output per density of fuel. The combustion engine also takes less time to refuel than the electric motor. On the other hand, the electric vehicle system which run on battery are also predicted to grow during the forecast period, as they will utilize the electric vehicle charging instead of fossil fuels. The growth in the electric vehicle battery market will also enhance the growth as the automotive scan tools required for these kind of vehicles are different than the conventional tools, thereby, encouraging the innovation of the product offerings by the company.

Europe Automotive Diagnostic Scan Tools Market by Country

The countries in the Europe Automotive Diagnostic Scan Tools market are analysed on the basis of development in the particular part of the region. Germany has the largest market share & it is one of the prominent contributors to the growth of the market in the Europe region. The 2 largest key players operating in Germany, are Continental AG and Robert Bosch GmbH which also have the largest market share. With about 30 percent of the total revenues in Europe, over the forecasted period, Germany is expected to remain the largest market for diagnostic equipment in the region.

Recent Developments:

In December 2020: Vector Informatik had partnered with CSM (Distributed Measurement Technology Expertise), for the development of a new E-Mobility measurement system. Under this partnership, CSM measurement modules combined with Vector software to enable easy scaling of several measurement tasks in e-mobility. The modular toolbox of closely harmonized hardware & software is intended for the development of all types of electric as well as hybrid vehicles.

Key Players

Hella KGaA Hueck & Co., ACTIA Group, KPIT, Softing AG, Vector Informatik, Robert Bosch GmbH, Continental Automotive AG, Delphi Automotive PLC, Siemens AG, Snap-On Inc., etc.

Market Taxonomy

By Offering type

• Diagnostic Equipment/Hardware
• Diagnostic Software

By Workshop Equipment Type

• Exhaust gas analyzer
• Wheel alignment equipment
• Paint scan equipment
• Dynamometer
• Headlight Tester
• Fuel Injection Diagnostic
• Pressure Leak Detection
• Engine Analyzer

By Connectivity

• USB
• Wi-Fi
• Bluetooth

By Handheld Scan Tools

• Scanners
• Code readers
• TPMS tools
• Digital pressure tester
• Battery analyzer

By Vehicle Type

• Commercial Vehicles
• Passenger Car

By Propulsion Type

• Internal Combustion Engine (ICE) Vehicles Propulsion
• Electric Vehicle Systems (EVS) Propulsion

By Country

• Germany             
• UK
• France
• Turkey
• Switzerland
• Norway
• Sweden
• Spain
• Italy
• Denmark
• Finland
• Iceland
• Poland
• Luxembourg
• Netherlands
• Belgium

Key Questions Addressed by the Report

• What are the Key Opportunities in Europe Automotive Diagnostic Scan Tools Market?
• What will be the growth rate from 2020 to 2030?
• Which segment/region will have highest growth?
• What are the factors that will impact/drive the Market?
• What is the competitive Landscape in the Industry?
• What is the role of key players in the value chain?