By Ashley Reyes
Gavin Knapp (left), SEMA director of Market Research, spoke with Myles Kovacs about the status of the automotive retail industry on the The STAGE at the 2019 SEMA Show.
Eighty-three percent of automotive specialty-equipment retailers report stable or growing sales in recent years, dispelling reports of a “retailpocalypse” and showing that the more than 3,000 SEMA-member retailers are primed for continued growth, according to the new “SEMA Retail Landscape Research Report.”
The internet and e-commerce are becoming normal aspects of doing business, with many specialty automotive retailers selling products online or using the internet to advertise and promote themselves. However, retailers surveyed reported that most 2018 sales were made through in-store purchases and believed that offering personalized advice to their customers was the key to helping them succeed in the future.
“‘The SEMA Retail Landscape Report’ shows that the heavily publicized death of traditional retail is greatly exaggerated,” said Gavin Knapp, SEMA director of Market Research. “The positive news is that most retailers in our industry are doing well. While the internet and e-commerce have impacted their businesses, savvy retailers are learning how to incorporate online sales into the mix and finding great success.”
For specialty-automotive retailers who find opportunity online, 54% sell products through their company’s website and 39% sell their products through an online marketplace, such as Amazon, eBay and Walmart.
The web and social media are vital for marketing with 81% of retailers using social media to market their businesses. Facebook and Instagram are the main—but by no means the only—platforms used, while 71% of specialty auto retailers use their company’s website to advertise their business.
To learn more about the state of retail in the specialty automotive aftermarket and find insights that can help your business, download the “SEMA Retail Landscape Report” for free today at www.sema.org/research.