Market Snapshot

Realizing that the industry needs new tools to help companies survive, in January 2009, SEMA launched the monthly SEMA Financial Benchmarking program. More than 6,500 companies have participated to date, giving the automotive aftermarket industry unparalleled access to benchmarks and key performance indicators.

As part of our annual look at where automotive technology stands, we recently engaged in a wide-ranging conversation with John Waraniak, SEMA vice president of vehicle technology, delving further into the four advanced vehicle technology megatrends: driving green, driving connected, driving safe and driving cool.

Each year, a few vehicles dominate the automotive landscape. It stands to reason that the most popular vehicles among consumers and specialty-equipment manufacturers would also be among the most profitable for all SEMA members. To help sort the vehicular wheat from the chafe, we examined a series of forward-looking “SEMA Indicators” to see what they might suggest about the crop of cars and trucks that are likely to make the biggest sales impact in 2011.

A special group of enthusiasts entered the Las Vegas Convention Center on the final day of the 2010 SEMA Show. Despite the trade-only attendance rule, this select group was granted a “golden ticket” through the SEMA Opinion Leader Program. Participants received access to the SEMA Show on one condition: Their experiences had to be shared via feedback surveys and, when possible, across a variety of Internet-based social networks. This was the second year of the project, and the feedback and enthusiasm were inspiring.

The economy and the environment have been the major drivers for many markets over the last three years, and they have also been consistent topics of conversation among tire and wheel experts. The tire industry underwent a sort of accordion buckling in inventory as the economic slowdown led consumers to balk at anything other than critical expenditures and then pent-up demand caused a sudden resurgence.

When word got out that SEMA News was looking to identify future industry trends, our friends at Popular Hot Rodding presented us with the opportunity to feature their "What's Next?" hot-rod builder story. The forecast on the future of hot rodding originally ran in the September issue of Popular Hot Rodding and will no doubt be of interest to SEMA News readers. Special thanks to the folks at Popular Hot Rodding for allowing us to reprint the article in its entirety.

With just a few days left before the start of the 2010 SEMA Show in Las Vegas, the October Consumer Demand Index Report has been released with some great news. Recovering from a recent 12-point decline experienced in August, the index jumped 26 points to 57 for October. This is the highest level the index has seen since July 2009, when the index also reached 57. The following chart shows the overall index, in blue, as well as the three-month moving averages, in red.

Manufacturers are forecasting healthy parts and accessories sales during fall, but retailers and distributors are more reserved in their projections.

If you scan no farther than these next few words, know this: You should read The Business of Speed: The Hot Rod Industry in America, 1915–1990 by David Lucsko. Since you're browsing through SEMA News, you must be favored with some interest in the automotive specialty-equipment industry, and Lucsko's book offers a primer about where it began, how it evolved and, if not precisely where it's heading, at least an optimistic appraisal of why it will live on. [Read more]

Following in the footsteps of the popular Facebook social games, FarmVille and Mafia Wars, is the release of Car Town, created by Cie Games that aims to satisfy the user’s passion for automobiles while helping automakers and specialty-equipment manufacturers to reach a new audience via social media and online advertising.