Automotive Oil Change & Lubrication Services Industry Overview

Excerpt from Automotive Oil Change & Lubrication Services Report

Companies in this industry provide motor oil changes and lubrication services for automobiles and light trucks. Major companies include Jiffy Lube, Havoline Xpress Lube, Pennzoil 10 Minute Oil Change, and Valvoline Instant Oil Change.

Competitive Landscape

Demand is driven by the amount of driving that consumers do and by new car sales. The profitability of individual companies depends on convenient location and good marketing. Large chains have an advantage in name recognition, but the operations of individual locations are similar. Small companies can compete successfully by owning favorable locations. The industry is fragmented: the 50 biggest companies generate about 35 percent of revenue.

Products, Operations & Technology

Major services are oil changes (about 75 percent of sales) and other preventive maintenance. Some locations provide repair services. Routine maintenance services like adjusting tire pressure, changing windshield wipers, replacing light bulbs, and topping off fluid levels are usually done in 10 minutes or less.