Business Level

-Market size of "motor vehicle parts" within which "aftermarket parts" makes up some share is estimated at $5.2bn p.a. in Australia (IBIS World)

-With new car registration increasing @ 2.3% p.a the aftermarket parts industry is by no means a growth industry meaning the market size isn't expanding fast

-Therefore Bapcor's growth will be derived from capturing market share from competitors

-AGM 2018 presentation outlined plan on how they will do this; increasing store fronts over the next 5yrs

Macro level

-Growth in new registered vehicles 2013-2018: 2.3% (Australian bureau of statistics), although note a decline since 2003-2008: 3% (Australian bureau of statistics)

-Average age of cars 2015-2018 stable at: 10.5 years (Australian bureau of statistics)

-Im guessing the average age will increase with stagnation of wage growth currently putting pressure on consumers to hold off buying new cars. Aging cars will need repairs and replacement parts meaning increased demand for aftermarket parts

-Global aftermarket parts industry is projected to grow at 3% p.a out to 2030 (McKinsey & Co.)