Attachment 2 - Economic Needs Assessment

            Car Wash Industry Overview
This section examines the historic and projected performance of the car wash industry.
Consideration is also given to the five key external drivers within the industry. It also highlights the
environmental impact of home car washes, the benefits of a commercial car wash facility and
outsourcing trends within Australia.

5.1 Historic Performance
Over the past ten years, industry revenue and no. of establishments within Australia have grown at
an AAGR of 0.7% and 0.2%, respectively. However, employment in the car wash and detailing
services industry has declined at an AAGR of 2.1% over the same period. The decline in employment
and the corresponding increase in the number of establishments suggests that new establishments
within the industry are likely to be automated or self-serve.
Table 5-1 outlines the trends within the Car Wash and Detailing Services industry in Australia between
2007-08 and 2021-22.
Table 5-1         Car Wash & Detailing Services in Australia – Historical Performance, Australia, 2007-08 to 2021-
22
 Year                      Revenue ($m)           Establishments (No.)       Employment (No.)

 2007–08                                   536                       2,332                      3,878

 2008–09                                   586                       2,596                      4,254

 2009–10                                   590                       2,515                      4,243

 2010–11                                   566                       2,394                      4,039

 2011–12                                   549                       2,264                      4,045

 2012–13                                   558                       2,233                      3,863

 2013–14                                   531                       2,144                      3,615

 2014–15                                   569                       2,357                      3,908

 2015–16                                   629                       2,438                      3,887

 2016–17                                   608                       2,332                      3,723

 2017–18                                   602                       2,359                      3,688

 2018–19                                   620                       2,396                      3,760

 2019–20                                   605                       2,363                      3,667

 2020-21                                   586                       2,302                      3,633

 2021-22                                   577                       2,256                      3,470

 AAGR, 2012-22 (%)                        0.7%                       0.2%                       -2.1%
Source: IBISWorld (2022)


5.2 Key External Drivers
The IBISWorld report Car Wash and Detailing Services in Australia identifies five key external drivers for
the car wash industry, with these being:
    +      Number of motor vehicles – Demand for industry services depends on the size of Australia's
           motor vehicle fleet. Demand for washing and detailing increases as consumers purchase
           and drive more vehicles. The number of motor vehicles registered in Australia is expected to
           increase by 1.94% in 2022-23, presenting an opportunity for the industry;



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