Hyper Cars Market size is poised to expand at significant CAGR through 2026 impelled by prolific advancements in vehicle aerodynamics and ultra-light construction using composite materials. Furthermore, the growing propensity towards high-performance vehicles with advanced safety and comfort features will add encourage higher production of hyper cars in the years ahead.
Hyper cars represent the top tier of supercars. These vehicles are at the forefront of automotive engineering and design. The robust requirement for ultra-modern, efficient, and high-performance automobiles deliver clean, economical, and safe automotive performance will drive hyper cars marker share. Driven by some of their key features such as exclusivity, unique appearances and design, high price points, and extremely high quality standards in terms of passenger, driver, and road safety, that set these automobiles apart from their conventional counterparts, hyper cars have gained massive traction in recent times.
Rapid surge in production of fuel-efficient, clean, and safe electric/hybrid vehicles is projected to stimulate hyper cars market demand. Hyper cars have the ability to achieve over three to four times the fuel economy of regular vehicles, leading to a subsequent boost to performance, safety and efficiency. Companies in the automotive industry are making immense strides in developing sophisticated technologies which can be integrated within their automotive offerings.
For instance, Aston Martin’s Valkyrie model, designed in conjunction with Red Bull Advanced Technologies, is built using the racing expertise of both entities as well as the Formula 1 expertise of Red Bull. The car features a 6.5-litre Cosworth-developed V12 engine, which uses electric motors for an additional power boost as well as immediate responsiveness in rev range.
The demand for hyper cars using hybrid electric motor is likely to surge over the forecast spell. Vehicles consisting of hybrid electric motors are powered by an internal combustion engine that works with an electric motor, using energy from batteries. Hybrid electric vehicles are predominantly charged via the internal combustion engine as well as regenerative braking. Since this electric motor provides extra power that allows for smaller engine sizes, its battery source can reduce engine idling when the vehicle is stopped, and it powers auxiliary loads as well, hyper cars market from hybrid electric motors is likely to witness an upward trend.
Hybrid electric motors can lead to enhanced fuel economy whilst maintaining high automotive performance levels. Functionalities such as fuel consumption optimization, engine size reduction alongside high durability are anticipated to drive market penetration from the hybrid electric motor segment.
Europe is set to emerge as a lucrative revenue source for the hyper cars industry, given the strong position of nations like Germany, Italy, and the UK in the global automotive business landscape. Furthermore, the presence of major automotive brands and hyper car producers in the region, alongside growing investment activities towards R&D for advanced automotive technologies will bolster Europe market outlook over the forthcoming years.
The global hyper cars market is highly concentrated in nature and has a limited but strong presence of various automotive entities, including Automobili Lamborghini, McLaren, Daimler Group, Porsche, Ferrari (Exor), Bugatti, Koenigsegg, Hennessey Performance Engineering, Zenvo, Pagani Automobili and Maserati.
Key automotive entities have initiated significant efforts to maintain a stronghold in the market. For instance German tuning & refinement firm Gemballa has implemented a new corporate strategy for the company, in the form of three new sub-divisions; the Hypercar Division, which will handle all aspects of the company’s new hyper car, including marketing, production, and R&D, the Luxury Customization Division, which will comprise the bulk of the company business operations, handling the firm’s core competency of tuning and refining, and the Gemballa Classics Division, which will cater to maintenance, curation and restoration of classic automotive models.
The ongoing COVID-19 crisis has dealt a significant blow to the automotive landscape, impacting both supply and demand simultaneously. This impact is manifesting in myriad ways across the globe, such as a disruption in the export of parts from China, production interruptions across European markets, and assembly and manufacturing plant closures across the US and several other nations worldwide. While these disturbances are adding to the pressure on the already-stressed automotive industry, timely strategic decisions such as mergers & acquisitions, as well as product & technology innovations could help turn things around in the post-pandemic industrial landscape.
For example, Fiat-Chrysler Automobile (FCA) and Groupe PSA are forging ahead with their proposed merger deal, as both companies hold the belief that the substantial efficiencies and synergies stemming from the deal will help pave a smoother path towards recovery once the crisis abates.