Market Overview:
The notchback market consists of passenger cars that have a sloping rear roofline integrated into the rear bodywork which provides cargo space access through a tailgate or rear door. They are one of the most common body styles for sedans as they combine the functionality of a trunk or cargo area with a moderate sloping roofline. Notchback sedans provide more interior space than coupes and offer advantages over hatchbacks such as improved security of cargo without compromising interior space.
Market key trends:
One of the key trends in the notchback market is the increasing demand for family sedans. Modern families prefer larger sedans that can accommodate 5 passengers along with cargo. Notchback sedans meet this requirement well as they have more headroom and legroom compared to coupes while providing a dedicated trunk space. Many leading automakers are focusing on sedans that provide ample passenger and cargo space to tap into the growing demand. For example, the Toyota Camry, Honda Accord, and Nissan Altima are some of the bestselling notchback sedans globally. The rising popularity of family sedans is expected to drive significant growth in the notchback market over the forecast period.
Porter’s Analysis
Threat of new entrants: Low barriers to entry in The Notchback Market Share such as relatively low investment requirements. However, established brands have significant customer loyalty and economies of scale.
Bargaining power of buyers: Buyers have high bargaining power due to availability of various substitutes and differentiated needs of customers.
Bargaining power of suppliers: Major automobile suppliers have significant bargaining power over OEMs due to high switching costs and investments in innovative technologies.
Threat of new substitutes: Threat from new entrant SUVs and crossovers is high due to changing customer preferences. Hybrid and electric vehicles also pose a threat.
Competitive rivalry: Intense competition among existing players to attract customers. Companies constantly invest in new technologies, designs and features to gain competitive edge.
Key Takeaways
The global notchback market is expected to witness high growth, exhibiting CAGR of 5.0% over the forecast period, due to increasing demand for spacious and comfortable sedans for family use.
The North American region dominates the global notchback market owing to presence of major automakers and consumer preference for large vehicles in the US and Canada. Asia Pacific is expected to be the fastest growing market due to rising incomes and automotive demand in China, India and ASEAN countries.
Key players operating in the notchback market are Volkswagen Group, BMW Group, Mercedes-Benz (Daimler AG), Audi (Volkswagen Group), Ford Motor Company, General Motors, Toyota Motor Corporation, Honda Motor Co. Ltd., Hyundai Motor Group, Kia Motors Corporation, Nissan Motor Co. Ltd., Mazda Motor Corporation, Subaru Corporation, Volvo Cars, Peugeot SA. These companies are focusing on development of advanced driver-assistance systems and electric notchback models.
Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it