Automobile Wholesaling in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: August 2023
NAICS 41511CARevenue
$106.2bn
Past 5-Year Growth
Profit
$X.Xbn
Employees
11,712
Businesses
1,696
Wages
$XXX.Xm
Automobile Wholesaling in Canada industry analysis
Revenue for the Canadian Automobile Wholesaling industry tends to ebb and flow with general fluctuations in the overall economy, particularly at the consumer level. Industry operators heavily rely on economic conditions in the United States, as a large portion of revenue is derived from Canada's southern neighbour. Although international trade is accounted for at the manufacturing level, industry operators still target cross-border downstream markets, such as US automobile and heavy-duty truck dealerships.Despite a steady economy for most of the period, industry revenue is expected to experience a deep decline due to decreased demand stemming from the COVID-19 pandemic. Automobile wholesaling revenue has been decreasing at a CAGR of 0.3% over the past five years – including an estimated 1.4% increase in the current year – and is expected to total $106.2 billion in 2023, with profit set to grow to 3.7%.Industry revenue is expected to grow over the five years to 2028, despite threats that will likely pressure industry demand. For example, interest rates are anticipated to continue to skyrocket over the next five years, lifting borrowing costs and thus deterring demand for big-ticket purchases such as new automobiles. Despite these trends, positive economic conditions, such as rising disposable income and continued recovery from the coronavirus pandemic, are expected to keep industry revenue afloat. Automobile wholesaling revenue is expected to increase at a CAGR of 0.7% to $110.1 billion over the five years to 2028, when profit is estimated to drop to 3.6%.
Trends and Insights
- COVID-19 restrictions forced closures in 2020, leading to drops in new car sales and the downstream need for wholesalers' services. Supply chain issues increased steel prices and created semiconductor shortages, increasing revenue volatility.
- New light trucks and SUVs make up a good portion of revenue. Gas prices heavily influence demand for this segment and dealers will rely on wholesalers to take the internal combustion engine vehicles off their hands.
- Most establishments are in Ontario and Alberta. Establishments in the Canadian Automobile Wholesaling industry are primarily located near large concentrations of automobile manufacturers.
- Transportation and logistics costs keep the industry fragmented. Even so, larger companies can weather high oil prices.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 0.3 % over the past five years, to reach an estimated $106.2bn in 2023.
Trends and Insights
COVID-19 and its effects increased volatility
- COVID-19 restrictions and closures led to drops in new car sales, plummeting the need for wholesalers' services.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
Changes in automobiles will sustain growth
- Volatility in the world price of oil and consumers' increasing sentiment away from internal combustion engine vehicles will speed up EV manufacturing.
Biggest companies in the Automobile Wholesaling in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Ford Motor Company of Canada Limited | 13,656.9 | 702.8 | 5.1 | |
General Motors Company | 13,127.8 | N/A | N/A |
To view the market share and analysis for all 2 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including New cars , New light trucks and SUVs and Used automobiles . New cars is the largest segment of the Automobile Wholesaling in Canada.
Trends and Insights
New cars, trucks and SUVs will ride the EV wave
- New cars include all sedans, coupes, hatchbacks and wagons and account for the industry's most significant revenue share.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- SUV & Light Truck Manufacturing in Canada
Complementors
- Auto Parts Manufacturing in Canada
- Auto Parts Wholesaling in Canada
- Tire Wholesaling in Canada
International industries
- Automobile Wholesaling in the US
- Motor Vehicle Wholesaling in Australia
- Commercial Vehicle Wholesaling in Australia
- Car Wholesaling in New Zealand
- Commercial Vehicle Wholesaling in New Zealand
Table of Contents
About this industry
Industry definition
The Automobile Wholesaling industry in Canada wholesales a wide range of new and used vehicles, including automobiles and light trucks. Automobile wholesalers do not sell motor vehicle parts or tires.
What's included in this industry?
Automobile wholesalingLight-duty truck wholesalingSport-utility vehicles wholesalingMini-van wholesalingCompanies
Ford Motor Company of Canada LimitedGeneral Motors CompanyPurchase this report to view all 2 major companies in this industry.
Related Terms
LIGHT TRUCKSHEAVY TRUCKSSPORT UTILITY VEHICLE (SUV)TRANSPLANTSIndustry Code
NAICS 415110 - Automobile Wholesaling in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
COVID-19 restrictions forced closures in 2020, leading to drops in new car sales and the downstream need for wholesalers' services. Supply chain issues increased steel prices...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
New light trucks and SUVs make up a good portion of revenue. Gas prices heavily influence demand for this segment and dealers will rely on wholesalers to take the internal co...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Most establishments are in Ontario and Alberta. Establishments in the Canadian Automobile Wholesaling industry are primarily located near large concentrations of automobile m...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Transportation and logistics costs keep the industry fragmented. Even so, larger companies can weather high oil prices.
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Ford follows the industry trend of cutting their workforces to lower costs. As part of its transition from internal combustion engines to electric vehicles, Ford Motor Compan...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Ford Motor Company of Canada Limited's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of General Motors Company's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for Ford Motor Company of Canada Limited, and factors influencing its performance in the industry
- Description and key data for General Motors Company, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
If the economy is sick, wholesalers catch a cold. Wholesalers experience cyclical pressures from changes in economic conditions.
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Automated technology will displace low-wage, less-skilled employees, while other technologies require a more skilled workforce. But wages as a whole are still expected to inc...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Automobile Wholesaling industry in Canada in 2024?
The market size of the Automobile Wholesaling industry in Canada is $106.2bn in 2024.
How many businesses are there in the Automobile Wholesaling in Canada industry in 2023?
There are 1,696 businesses in the Automobile Wholesaling industry in Canada, which has grown at a CAGR of 1.4 % between 2018 and 2023.
Has the Automobile Wholesaling industry in Canada grown or declined over the past 5 years?
The market size of the Automobile Wholesaling industry in Canada has been declining at a CAGR of 0.3 % between 2018 and 2023.
What is the forecast growth of the Automobile Wholesaling industry in Canada over the next 5 years?
Over the next five years, the Automobile Wholesaling industry in Canada is expected to grow.
What are the biggest companies in the Automobile Wholesaling market in Canada?
The biggest companies operating in the Automobile Wholesaling market in Canada are Ford Motor Company of Canada Limited and General Motors Company
What does the Automobile Wholesaling in Canada include?
Automobile wholesaling and Light-duty truck wholesaling are part of the Automobile Wholesaling industry.
Which companies have the highest market share in the Automobile Wholesaling in Canada?
The company holding the most market share in Canada is Ford Motor Company of Canada Limited.
How competitive is the Automobile Wholesaling industry in Canada?
The level of competition is moderate and steady in the Automobile Wholesaling industry in Canada.
