Automotive Seat Heater Market Trend, Share, Growth, Size and Forecast 2030

Automotive Seat Heater Industry Prospective:

The global automotive seat heater market size was worth around USD 5.79 billion in 2022 and is predicted to grow to around USD 8.20 billion by 2030 with a compound annual growth rate (CAGR) of roughly 4.45% between 2023 and 2030.

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Automotive Seat Heater Market: Overview

An automotive seat heater is a technology meant for the comfort of an automobile driver and the passengers in the vehicle. It is a standard feature in most modern vehicles. The technology provides pleasant and comfortable warm seats to people sitting on them at all times and seasons including winter. The desired temperature can be set at different levels depending on the preference and requirement using a precise temperature setting or power control depending on the vehicle configuration. Furthermore, automobiles equipped with the technology also provide an option that helps in managing backrest and cushion temperatures separately depending on preference. Automotive seat heaters are a relatively new technology and may not be available in older vehicles, however, the changes can be made after sales with the assistance of professionals offering car upgrade services. Several seat heater kits are also available in the market that can be used for this purpose. Seat heaters work by leveraging elements that support electrical heating that are either embedded in the backseat or cushion of the seat. The materials used are generally safe and have high resistance to electricity. They perform by converting electrical energy into heat energy for the comfort of the seaters.

Key Insights:

• As per the analysis shared by our research analyst, the global automotive seat heater market is estimated to grow annually at a CAGR of around 4.45% over the forecast period (2023-2030)
• In terms of revenue, the global automotive seat heater market size was valued at around USD 5.79 billion in 2022 and is projected to reach USD 8.20 billion, by 2030.
• The automotive seat heater market is projected to grow at a significant rate due to the increasing investments in the luxury or high-end car segment
• Based on sales channel segmentation, original equipment maker (OEM) was predicted to show maximum market share in the year 2022
• Based on heater type segmentation, carbon fiber type was the leading segment in 2022
• On the basis of region, Europe was the leading revenue generator in 2022

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Automotive Seat Heater Market: Growth Drivers

Increasing investments in luxury or high-end car segment to drive market growth

The global automotive seat heater market is expected to grow owing to the increasing investments in the luxury or high-end car segment. These vehicles are equipped with exceptional features and seat heaters are a standard component. For instance, all vehicles manufactured by Audi, a leading German automotive company dealing in the luxury vehicles segment, including base trim models boast of power and heated adjustable front seats. As of March 2023, Audi’s revenue was 16.4% in the previous fiscal year. It generated a total revenue of USD 61.8 billion as per official reports. Although these high-end vehicles are expensive, the consumer range for expensive cars is growing at a steady pace. Some of the key reasons for higher growth are the increasing income in developing and developed nations along with better access to financial assistance that allows more people to invest in luxury vehicles.

Rising sale of electric vehicles to push demand for seat heater

The industry for seat heaters in the automotive segment is projected to witness higher growth owing to the increasing sale of electric vehicles. Most electric cars are equipped with seat heaters along with steering wheel heaters that only warm up a specific unit of the car without heating the overall car’s interior. It is one of the best features offered by electric vehicles (EVs) among other facilities. Until a few years ago, seat heaters were only available in high-end EVs however with changing technology and consumer expectations, seat heaters are now available in cheaper or less expensive EVs as well. In December 2022, EV company BYD, backed by Warren Buffett announced the launch of BYD 2023 Dolphin. The EV range is designed keeping in view marine aesthetics and offers features such as a six-way electronically adjustable driver seat and front seat heating.

Automotive Seat Heater Market: Restraints

Difficulty in managing the high cost of seat heaters to restrict market growth

The global automotive seat heater market growth is expected to be restricted due to the high cost of seat heaters, especially modular and highly advanced heating systems. The seating units are made of superior-grade material and the overall complex manufacturing process leads to added expense. Original equipment manufacturers (OEMs) must weigh the total cost of the vehicle against expected profit since vehicles equipped with seat heaters tend to offer several other advanced features such as better connectivity, advanced driver assistance systems, wireless charging, environmental sensors, and many others. In addition to this, there is a growing demand for lightweight vehicles that are mostly produced using composite or advanced materials. These factors increase the overall production cost thus impacting the profitability index.

Automotive Seat Heater Market: Opportunities

Surging innovation and novel customer service initiatives taken by industry players to create growth opportunities

The automotive seat heater industry size may expand at a higher rate due to the several creative and customer-oriented initiatives taken by automobile manufacturers to create a dedicated and growing consumer base. For instance, in July 2022, the leading US-based automaker General Motors Co. announced that vehicles that were initially sold without ventilated and heated seats due to changes in the global semiconductor industry will be eligible for retrofit that are expected to activate these features in the vehicles. The company also mentioned that it would cover the entire cost for vehicles that did not have the necessary chips used for heating or ventilating vehicle seats.

On the other hand, in July 2022, BMW, an automotive giant operating in the luxury segment announced that it will start selling heated seat subscriptions in multiple countries at a monthly fee of USD 18 and unlimited access at USD 415. The service was available in countries such as New Zealand, Germany, the UK, and South Africa. In January 2023, ZF Friedrichshafen AG, a global supplier of technology for the automotive industry launched heated seat belts that are expected to improve energy efficiency in EVs during cold weather. Such developments in ancillary units that support the functionalities of seats in an automobile may create additional expansion possibilities.

Automotive Seat Heater Market: Challenges

Challenges faced during retrofitting to act as expansion barriers

Several older generation vehicles on the road are not equipped with the software and hardware mechanisms required for heating seats. In such cases, the vehicles have to be retrofitted; however, these processes are complex and for certain models, it may not be possible to retrofit the technology needed for heating seats. Additionally, retrofitting is typically carried out by trained automotive professionals and there is a significant lack of skilled human resources equipped to undertake such projects.

Automotive Seat Heater Market: Segmentation

The global automotive seat heater market is segmented based on sales channel, vehicle type, heater type, and region.

Based on sales channel, the global market segments are aftermarket and original equipment maker (OEM). In 2022, the OEM segment was the leading revenue generator driven by the rise in sales of modern automobiles equipped with advanced facilities including automotive seat heaters. The surging rate of innovation to develop affordable technologies that allow seat heating has further strengthened segmental growth. For instance, Tesla Inc., a leading luxury EV maker, offers seat heating facilities that can be adjusted across 3 levels with a simple touch of a button. The aftermarket segment is a crucial contributor but with a limited growth rate.

Based on vehicle type, the automotive seat heater industry is divided into heavy commercial vehicles, light commercial vehicles, and passenger vehicles.

Based on heater type, the automotive seat heater industry segments are composite fiber type and carbon fiber type. In 2022, the carbon fiber type was the leading revenue generator since they are highly durable and well-preferred for constructing the car seat frame. Although they are higher priced as compared to composite fiber type, they offer excellent heating capabilities leading to segmental preference. The average heating range for car seats is between 86 and 113 degrees Fahrenheit.

Automotive Seat Heater Market: Regional Analysis

Europe to witness the highest growth rate during the assessment period

The global automotive seat heater market is expected to be dominated by Europe during the forecast period. The region is home to some of the largest and most dominant luxury automakers including global brands such as BMW, Audi, Maserati, Mercedes-Benz, Ferrari, Lamborghini, and Aston Martin to name a few. Vehicles manufactured by these brands are worth millions of dollars and seat heaters are standard features of all cars. In 2022, Mercedes-Benz reported a revenue of €150.0 billion. Growing demand for luxury cars and increasing focus on passenger comfort and safety are likely to lead to regional growth in addition to the growing investments in technological growth along with improvements in design aesthetics. In North America, the growth may be steady and significant due to the increasing sale of EVs especially dominated By Tesla Inc. Recently, the company lowered its price of unlocking seat heating features from USD 300 to USD 200 to attract more customers and service buyers.

Automotive Seat Heater Market: Report Scope

Automotive Seat Heater Market: Competitive Analysis

The global automotive seat heater market is led by players like:

• I.G. Bauerhin GmbH
• Gentherm
• Tachibana Industry Co. Ltd.
• Panasonic Corporation
• ISE Group
• Seat Comfort Systems
• Kongsberg Automotive
• Changchun SET Electronics
• Champion Seat Systems
• Kostal Group

The global automotive seat heater market is segmented as follows:

By Sales Channel

• Aftermarket
• Original Equipment Maker (OEM)

By Vehicle Type

• Heavy Commercial Vehicles
• Light Commercial Vehicles
• Passenger Vehicles

By Heater Type

• Composite Fiber Type
• Carbon Fiber Type

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa