Services that simplify car ownership

The Service Business includes services and concepts that simplify car ownership throughout a car’s life cycle. These encompass car servicing and repairs, spare parts, wheel storage, tyre sales, rim repair, glass repair and replacement, car dismantling, and in-store and online sales.

The high new car sales in recent years has created a large overall stock of cars, with a high and stable demand for services that is affected to a low degree by economic fluctuations.

With its Service Business offering, Bilia stays with the car and its owner throughout the car’s life cycle. It is part of our business where demand for our services remains relatively unaffected by economic fluctuations. Even in times of economic uncertainty, customers continue to look after their cars.
The high level of new car sales in the past 10 years has created a large and stable stock of cars with strong demand for servicing. With rapid technological developments in modern cars, the need for servicing is high and requires advanced technological competence. Repairs on a car are often more extensive these days, given the increasing proportion of electronics over the past 10 years.

The cars that have historically been customers in our Service Business have been between 0 and 6 years old and have consisted of the car brands that we were authorised for in terms of sales of new cars. Through our strategic focus on used cars of all brands more than 6 years old, we have had access to a far larger customer base for our Service Business for several years.

The vast majority of the cars we deal with in our Service Business run on fossil fuel. The share of electric vehicles on the roads is increasing as customers choose fossil-free models but they still represent a low percentage overall. In Sweden during 2023, about 6 per cent of all cars were electric cars, and in Norway the corresponding figure was 24 per cent. The rising number of electric cars in our Service Business requires new skills among our personnel and new equipment at our facilities. We continuously ensure that our employees have the latest training, and that our facilities are up to date and can readily deal with the latest technology. Going forward, further training and upgrading of our equipment and workshops will be required, and this is expected to lead to a consolidation of the number of players on the market. Bilia wants to be a part of this future market consolidation.