SEMA News—April 2013

BUSINESS
By Mike Imlay

Are Young Enthusiasts Vanishing?

(And What Can We Do About It?)

Are young people today as enthusiastic about cars as prior generations were? That’s a question many in the specialty-equipment industry are asking—and the future of the automotive aftermarket may hinge upon the answer.

Is enthusiasm for the automobile fading among today’s youth? It’s an important question that more and more specialty-equipment veterans are asking, because the answer holds vast and obvious implications for the industry’s future.

The SEMA Education Institute (SEI) recently delved into this topic through an in-depth panel discussion at the 2012 SEMA Show. The presenters included Mickey Andrade, marketing manager of HRE Wheels; James Lawrence, CEO of Power Automedia; Jim Liaw, co-founder and president of the Formula D Drifting Championship; and Evan Smith, editor of Muscle Mustangs & Fast Fords magazine. Highly experienced in the youth market, the four painted a picture of a young demographic displaying tremendous shifts in interests and buying habits. According to the panelists, these changes offer both challenges and new opportunities for the automotive specialty-equipment market.

All agreed that, while there is a wide perception within the industry that young enthusiasts are disappearing, precise data on the trend is lacking. Still, several broad indicators point toward a diminishing market of younger drivers—a matter of concern, since a lifelong passion for cars was built at an early age in past generations.

A troubling statistic is the steep decline in driver’s licenses among teens. In 1972, for example, 50% of American 16-year-olds had licenses, with that number growing to 69% by age 17. Today, those figures are 28% and 45% respectively. While tighter licensing laws for teens are major contributors to the drop, experts say that there are other important social and economic factors at play, including:

• Increased devotion to social media, such as Facebook and texting, which are replacing in-person interaction and making cars less necessary for “hanging out” with friends.
• Gaming, which is displacing sporting and activity events.
• A shift of discretionary income toward mobile devices, leaving less money for automotive expenditures.
• Current unemployment rates among 20- to 24-year-olds reaching 15%.
• A tight economy, rendering parents with less disposable income to help young enthusiasts with auto-related purchases.
• Economic pressures forcing older wrenchers from the hobby, depriving youth of role models.

In addition, advanced technologies have made new cars more difficult to modify, smog laws have become more restrictive and performance cars and insurance are dramatically more expensive than they were 20 years ago. Combine all these phenomena, and it’s easy to see why young people may seem slower to build a lifestyle around cars.

Today’s Youth

Events such as the annual Hot Rodders of Tomorrow Engine Challenge National Championship, held at the recent SEMA Show, encourage young, talented individuals across the country to pursue their mechanical passions.

As editor of Muscle Mustangs & Fast Fords, a publication focusing on late-model Ford street and racing performance and featuring tech and how-to articles, Evan Smith has witnessed the change in the interests of his younger readers over the years.

“We probably participate in behind-the-wheel activities as much if not more than any other magazine,” said Smith. “Our editors are out there driving cars in drag and road racing, hill climbing and karting. If it’s got a steering wheel, gas and a brake, we’ll jump in it and go.

“I don’t think there’s any one thing affecting [today’s youth]. I think society has changed in many aspects. Things are certainly different for young people today, just the way they go about living their lives, educating themselves and moving forward with their careers. When I was a kid, I had car toys in my hands. I’ve been a car guy all my life. For me, to get a V8 car and drive it was all I cared about. But [teens] today have so many more things to do than I did when I was their age—with video games, with communication technology and the Internet. I think that fills many of their needs and desires so that getting a car and being able to go to the local hangout isn’t the only thing that a 14-, 15- or 16-year-old thinks about. They’re already connected with everyone they want to be connected with. They don’t have to get in a car and go to the movies or the pizza place.”

Smith, 44, also underscored the economic gap between his generation and that of teens today. Two decades ago, a teenager could buy a used vehicle for a few thousand dollars that, with a little work, could look just as cool and perform as well as many newer cars. Not any more. With vehicle designs and technology now moving in leaps and bounds, newer (and more expensive) automobiles quickly outshine even their more recent predecessors, not to mention what are now considered the “vintage” performers of decades past.

Moreover, Smith speculated, “Kids aspire to have the latest and greatest because they get that in their cell phones and their video games and probably want that in their automobiles as well. Another factor is the sour economy, in which a lot of adults are holding part-time jobs [that] used to be the jobs that 17-, 16- or 15-year-olds would have. So there are fewer opportunities for them to go make money and save up for a car.”

Jim Liaw, president and co-founder of the Formula Drift championship series shares a similar perspective. Liaw was heavily involved in the import and sport-compact scene from early in his career before establishing the first Formula Drift event in 2004.

“I grew up as a car enthusiast,” he said. “I had friends around me working on cars. Are there fewer young people with driver’s licenses today? Yes. Does that mean fewer potential customers? Yes. That means they’re more elusive, which means every one of us needs to work a little bit harder to get to each one of them.”

Decline Everywhere?

Making automotive projects a family affair for your children will help to instill enthusiasm for the hobby at an early age. It’s one small step you can take to help ensure the industry’s future.

Once a rite of passage, getting the keys to a car is increasingly delayed for today’s teens due to tougher licensing laws as well as a variety of economic and social factors. Thanks especially to social media, the Internet and gaming, the automobile is less important for “hanging out” with friends.

Liaw readily observed, however, that not every industry segment is experiencing a decline in young consumers. Formula Drift events are a case in point: Their attendance skews heavily toward the younger demographic. Liaw credited reasonable admission costs and a youthful marketing campaign for the series’ success among teens and young adults.

“The price point is fair; it’s similar to going to a baseball or basketball game,” he said. “We don’t have a lot of add-ons. Once you get here you’re not paying for a pit pass, for instance. Because of the accessibility and cost of entry into our events, it makes it very affordable for a young fan to be there.

“From our messaging and marketing perspective, we communicate on the same level as the younger fan. We don’t do a lot of traditional advertising. While we are in print, we rarely do any regional newspapers or radio and cable TV. Rather, we are very heavy online, in the social media space and virally. I think that’s where ourstrength is.”

Yet Liaw understands why veterans in other industry segments worry about the future. He observed that vehicle and aftermarket product options were more limited three to four decades ago.

“Now you have products of all sorts of quality and style and customs of all kinds,” he said. “Companies are not only fighting for a smaller audience base but also fighting among more competing companies. So in some niches and product lines, they feel that the market is continually diminishing, yet in others, they may feel that they’re actually thriving. I think also the overall SEMA member base and the types of products and genres available are so diverse—not only has the potential pool of customers dwindled, but the selection of products and types of activities that a young car enthusiast has to choose from is that much more than it was 30 years ago.”

From his vantage as publisher of Hot Rod magazine, Jeff Dahlin offers yet another take on the youth market.

“We live in a rapidly changing world, and many younger people are doing the best they can to have fun with their vehicles,” he said. “The younger enthusiasts that we run into across the country seem to be very engaged. Many of the performance-related products now available in our market offer significant gains without breaking the bank or requiring the experience of a mechanic to install.”

This, he noted, has led to a great deal of innovation among young men and women, who are often bucking tradition and building all sorts of novel vehicles.

“On the flip side, as modern engines become more complicated, it becomes more difficult for enthusiasts to make internal engine modifications,” Dahlin cautioned. “Swapping heads, camshafts and pistons can really wreak havoc when it comes time for emissions testing. If someone with a more superficial knowledge of cars wants to hop up a vehicle with some performance parts, he or she might get discouraged upon hearing that it might make their check-engine light come on. I’m confident, however, that the aftermarket will continue to innovate and find solutions to these problems. The younger generation, I am sure, contains some geniuses who will find ways to make this so.”

Executive Summary While there is little firm research on the topic, there are growing concerns within the specialty-equipment industry that young enthusiasts are on the decline. Current economics, the advent of social media and new laws affecting teen driving habits all are seen as having a downward effect on the marketplace. Whatever the overall trends, there are ways for the industry to come together, reach this crucial audience and continue to ignite automotive passions.

Moreover, as more and more automotive manufacturers offer options that young people crave, it is transforming their relationship to the aftermarket.

“If you buy a new vehicle that is outfitted with everything you want, and you don’t need to take advantage of the aftermarket, are you still an enthusiast?” Dahlin asked rhetorically. “The answer to this may be changing.”

Dahlin’s real concern, however, is the increasingly limited venues where young drivers can test and enjoy their performance cars.

“Street racing, burnouts and even loud engines are considered serious crimes in most municipalities,” he said, “and while this is a positive from a safety aspect, we haven’t provided good alternatives. Drag strips continue to close, and off-road access is perpetually limited. We need to provide places for young people to use modified vehicles. I understand that there are factors that make this difficult sometimes, including liability and noise concerns, but we need to invest in ways for younger enthusiasts to become involved in our beloved pastime. I can think of a few ways we can do this, even with limited space: dyno drags, organized and safe burnout contests, public-friendly drag races and parking-lot 4x4 obstacle courses.”

Driving Passions

Read the complete article, "Are Young Enthusiasts Vanishing," featured in the April 2013 issue of SEMA News. 

SEMA News—April 2013

BUSINESS
By Mike Imlay

Are Young Enthusiasts Vanishing?

(And What Can We Do About It?)

Are young people today as enthusiastic about cars as prior generations were? That’s a question many in the specialty-equipment industry are asking—and the future of the automotive aftermarket may hinge upon the answer.

Is enthusiasm for the automobile fading among today’s youth? It’s an important question that more and more specialty-equipment veterans are asking, because the answer holds vast and obvious implications for the industry’s future.

The SEMA Education Institute (SEI) recently delved into this topic through an in-depth panel discussion at the 2012 SEMA Show. The presenters included Mickey Andrade, marketing manager of HRE Wheels; James Lawrence, CEO of Power Automedia; Jim Liaw, co-founder and president of the Formula D Drifting Championship; and Evan Smith, editor of Muscle Mustangs & Fast Fords magazine. Highly experienced in the youth market, the four painted a picture of a young demographic displaying tremendous shifts in interests and buying habits. According to the panelists, these changes offer both challenges and new opportunities for the automotive specialty-equipment market.

All agreed that, while there is a wide perception within the industry that young enthusiasts are disappearing, precise data on the trend is lacking. Still, several broad indicators point toward a diminishing market of younger drivers—a matter of concern, since a lifelong passion for cars was built at an early age in past generations.

A troubling statistic is the steep decline in driver’s licenses among teens. In 1972, for example, 50% of American 16-year-olds had licenses, with that number growing to 69% by age 17. Today, those figures are 28% and 45% respectively. While tighter licensing laws for teens are major contributors to the drop, experts say that there are other important social and economic factors at play, including:

• Increased devotion to social media, such as Facebook and texting, which are replacing in-person interaction and making cars less necessary for “hanging out” with friends.
• Gaming, which is displacing sporting and activity events.
• A shift of discretionary income toward mobile devices, leaving less money for automotive expenditures.
• Current unemployment rates among 20- to 24-year-olds reaching 15%.
• A tight economy, rendering parents with less disposable income to help young enthusiasts with auto-related purchases.
• Economic pressures forcing older wrenchers from the hobby, depriving youth of role models.

In addition, advanced technologies have made new cars more difficult to modify, smog laws have become more restrictive and performance cars and insurance are dramatically more expensive than they were 20 years ago. Combine all these phenomena, and it’s easy to see why young people may seem slower to build a lifestyle around cars.

Today’s Youth

Events such as the annual Hot Rodders of Tomorrow Engine Challenge National Championship, held at the recent SEMA Show, encourage young, talented individuals across the country to pursue their mechanical passions.

As editor of Muscle Mustangs & Fast Fords, a publication focusing on late-model Ford street and racing performance and featuring tech and how-to articles, Evan Smith has witnessed the change in the interests of his younger readers over the years.

“We probably participate in behind-the-wheel activities as much if not more than any other magazine,” said Smith. “Our editors are out there driving cars in drag and road racing, hill climbing and karting. If it’s got a steering wheel, gas and a brake, we’ll jump in it and go.

“I don’t think there’s any one thing affecting [today’s youth]. I think society has changed in many aspects. Things are certainly different for young people today, just the way they go about living their lives, educating themselves and moving forward with their careers. When I was a kid, I had car toys in my hands. I’ve been a car guy all my life. For me, to get a V8 car and drive it was all I cared about. But [teens] today have so many more things to do than I did when I was their age—with video games, with communication technology and the Internet. I think that fills many of their needs and desires so that getting a car and being able to go to the local hangout isn’t the only thing that a 14-, 15- or 16-year-old thinks about. They’re already connected with everyone they want to be connected with. They don’t have to get in a car and go to the movies or the pizza place.”

Smith, 44, also underscored the economic gap between his generation and that of teens today. Two decades ago, a teenager could buy a used vehicle for a few thousand dollars that, with a little work, could look just as cool and perform as well as many newer cars. Not any more. With vehicle designs and technology now moving in leaps and bounds, newer (and more expensive) automobiles quickly outshine even their more recent predecessors, not to mention what are now considered the “vintage” performers of decades past.

Moreover, Smith speculated, “Kids aspire to have the latest and greatest because they get that in their cell phones and their video games and probably want that in their automobiles as well. Another factor is the sour economy, in which a lot of adults are holding part-time jobs [that] used to be the jobs that 17-, 16- or 15-year-olds would have. So there are fewer opportunities for them to go make money and save up for a car.”

Jim Liaw, president and co-founder of the Formula Drift championship series shares a similar perspective. Liaw was heavily involved in the import and sport-compact scene from early in his career before establishing the first Formula Drift event in 2004.

“I grew up as a car enthusiast,” he said. “I had friends around me working on cars. Are there fewer young people with driver’s licenses today? Yes. Does that mean fewer potential customers? Yes. That means they’re more elusive, which means every one of us needs to work a little bit harder to get to each one of them.”

Decline Everywhere?

Making automotive projects a family affair for your children will help to instill enthusiasm for the hobby at an early age. It’s one small step you can take to help ensure the industry’s future.

Once a rite of passage, getting the keys to a car is increasingly delayed for today’s teens due to tougher licensing laws as well as a variety of economic and social factors. Thanks especially to social media, the Internet and gaming, the automobile is less important for “hanging out” with friends.

Liaw readily observed, however, that not every industry segment is experiencing a decline in young consumers. Formula Drift events are a case in point: Their attendance skews heavily toward the younger demographic. Liaw credited reasonable admission costs and a youthful marketing campaign for the series’ success among teens and young adults.

“The price point is fair; it’s similar to going to a baseball or basketball game,” he said. “We don’t have a lot of add-ons. Once you get here you’re not paying for a pit pass, for instance. Because of the accessibility and cost of entry into our events, it makes it very affordable for a young fan to be there.

“From our messaging and marketing perspective, we communicate on the same level as the younger fan. We don’t do a lot of traditional advertising. While we are in print, we rarely do any regional newspapers or radio and cable TV. Rather, we are very heavy online, in the social media space and virally. I think that’s where ourstrength is.”

Yet Liaw understands why veterans in other industry segments worry about the future. He observed that vehicle and aftermarket product options were more limited three to four decades ago.

“Now you have products of all sorts of quality and style and customs of all kinds,” he said. “Companies are not only fighting for a smaller audience base but also fighting among more competing companies. So in some niches and product lines, they feel that the market is continually diminishing, yet in others, they may feel that they’re actually thriving. I think also the overall SEMA member base and the types of products and genres available are so diverse—not only has the potential pool of customers dwindled, but the selection of products and types of activities that a young car enthusiast has to choose from is that much more than it was 30 years ago.”

From his vantage as publisher of Hot Rod magazine, Jeff Dahlin offers yet another take on the youth market.

“We live in a rapidly changing world, and many younger people are doing the best they can to have fun with their vehicles,” he said. “The younger enthusiasts that we run into across the country seem to be very engaged. Many of the performance-related products now available in our market offer significant gains without breaking the bank or requiring the experience of a mechanic to install.”

This, he noted, has led to a great deal of innovation among young men and women, who are often bucking tradition and building all sorts of novel vehicles.

“On the flip side, as modern engines become more complicated, it becomes more difficult for enthusiasts to make internal engine modifications,” Dahlin cautioned. “Swapping heads, camshafts and pistons can really wreak havoc when it comes time for emissions testing. If someone with a more superficial knowledge of cars wants to hop up a vehicle with some performance parts, he or she might get discouraged upon hearing that it might make their check-engine light come on. I’m confident, however, that the aftermarket will continue to innovate and find solutions to these problems. The younger generation, I am sure, contains some geniuses who will find ways to make this so.”

Executive Summary While there is little firm research on the topic, there are growing concerns within the specialty-equipment industry that young enthusiasts are on the decline. Current economics, the advent of social media and new laws affecting teen driving habits all are seen as having a downward effect on the marketplace. Whatever the overall trends, there are ways for the industry to come together, reach this crucial audience and continue to ignite automotive passions.

Moreover, as more and more automotive manufacturers offer options that young people crave, it is transforming their relationship to the aftermarket.

“If you buy a new vehicle that is outfitted with everything you want, and you don’t need to take advantage of the aftermarket, are you still an enthusiast?” Dahlin asked rhetorically. “The answer to this may be changing.”

Dahlin’s real concern, however, is the increasingly limited venues where young drivers can test and enjoy their performance cars.

“Street racing, burnouts and even loud engines are considered serious crimes in most municipalities,” he said, “and while this is a positive from a safety aspect, we haven’t provided good alternatives. Drag strips continue to close, and off-road access is perpetually limited. We need to provide places for young people to use modified vehicles. I understand that there are factors that make this difficult sometimes, including liability and noise concerns, but we need to invest in ways for younger enthusiasts to become involved in our beloved pastime. I can think of a few ways we can do this, even with limited space: dyno drags, organized and safe burnout contests, public-friendly drag races and parking-lot 4x4 obstacle courses.”

Driving Passions

Read the complete article, "Are Young Enthusiasts Vanishing," featured in the April 2013 issue of SEMA News. 

SEMA News—April 2013

BUSINESS
By Mike Imlay

Are Young Enthusiasts Vanishing?

(And What Can We Do About It?)

Are young people today as enthusiastic about cars as prior generations were? That’s a question many in the specialty-equipment industry are asking—and the future of the automotive aftermarket may hinge upon the answer.

Is enthusiasm for the automobile fading among today’s youth? It’s an important question that more and more specialty-equipment veterans are asking, because the answer holds vast and obvious implications for the industry’s future.

The SEMA Education Institute (SEI) recently delved into this topic through an in-depth panel discussion at the 2012 SEMA Show. The presenters included Mickey Andrade, marketing manager of HRE Wheels; James Lawrence, CEO of Power Automedia; Jim Liaw, co-founder and president of the Formula D Drifting Championship; and Evan Smith, editor of Muscle Mustangs & Fast Fords magazine. Highly experienced in the youth market, the four painted a picture of a young demographic displaying tremendous shifts in interests and buying habits. According to the panelists, these changes offer both challenges and new opportunities for the automotive specialty-equipment market.

All agreed that, while there is a wide perception within the industry that young enthusiasts are disappearing, precise data on the trend is lacking. Still, several broad indicators point toward a diminishing market of younger drivers—a matter of concern, since a lifelong passion for cars was built at an early age in past generations.

A troubling statistic is the steep decline in driver’s licenses among teens. In 1972, for example, 50% of American 16-year-olds had licenses, with that number growing to 69% by age 17. Today, those figures are 28% and 45% respectively. While tighter licensing laws for teens are major contributors to the drop, experts say that there are other important social and economic factors at play, including:

• Increased devotion to social media, such as Facebook and texting, which are replacing in-person interaction and making cars less necessary for “hanging out” with friends.
• Gaming, which is displacing sporting and activity events.
• A shift of discretionary income toward mobile devices, leaving less money for automotive expenditures.
• Current unemployment rates among 20- to 24-year-olds reaching 15%.
• A tight economy, rendering parents with less disposable income to help young enthusiasts with auto-related purchases.
• Economic pressures forcing older wrenchers from the hobby, depriving youth of role models.

In addition, advanced technologies have made new cars more difficult to modify, smog laws have become more restrictive and performance cars and insurance are dramatically more expensive than they were 20 years ago. Combine all these phenomena, and it’s easy to see why young people may seem slower to build a lifestyle around cars.

Today’s Youth

Events such as the annual Hot Rodders of Tomorrow Engine Challenge National Championship, held at the recent SEMA Show, encourage young, talented individuals across the country to pursue their mechanical passions.

As editor of Muscle Mustangs & Fast Fords, a publication focusing on late-model Ford street and racing performance and featuring tech and how-to articles, Evan Smith has witnessed the change in the interests of his younger readers over the years.

“We probably participate in behind-the-wheel activities as much if not more than any other magazine,” said Smith. “Our editors are out there driving cars in drag and road racing, hill climbing and karting. If it’s got a steering wheel, gas and a brake, we’ll jump in it and go.

“I don’t think there’s any one thing affecting [today’s youth]. I think society has changed in many aspects. Things are certainly different for young people today, just the way they go about living their lives, educating themselves and moving forward with their careers. When I was a kid, I had car toys in my hands. I’ve been a car guy all my life. For me, to get a V8 car and drive it was all I cared about. But [teens] today have so many more things to do than I did when I was their age—with video games, with communication technology and the Internet. I think that fills many of their needs and desires so that getting a car and being able to go to the local hangout isn’t the only thing that a 14-, 15- or 16-year-old thinks about. They’re already connected with everyone they want to be connected with. They don’t have to get in a car and go to the movies or the pizza place.”

Smith, 44, also underscored the economic gap between his generation and that of teens today. Two decades ago, a teenager could buy a used vehicle for a few thousand dollars that, with a little work, could look just as cool and perform as well as many newer cars. Not any more. With vehicle designs and technology now moving in leaps and bounds, newer (and more expensive) automobiles quickly outshine even their more recent predecessors, not to mention what are now considered the “vintage” performers of decades past.

Moreover, Smith speculated, “Kids aspire to have the latest and greatest because they get that in their cell phones and their video games and probably want that in their automobiles as well. Another factor is the sour economy, in which a lot of adults are holding part-time jobs [that] used to be the jobs that 17-, 16- or 15-year-olds would have. So there are fewer opportunities for them to go make money and save up for a car.”

Jim Liaw, president and co-founder of the Formula Drift championship series shares a similar perspective. Liaw was heavily involved in the import and sport-compact scene from early in his career before establishing the first Formula Drift event in 2004.

“I grew up as a car enthusiast,” he said. “I had friends around me working on cars. Are there fewer young people with driver’s licenses today? Yes. Does that mean fewer potential customers? Yes. That means they’re more elusive, which means every one of us needs to work a little bit harder to get to each one of them.”

Decline Everywhere?

Making automotive projects a family affair for your children will help to instill enthusiasm for the hobby at an early age. It’s one small step you can take to help ensure the industry’s future.

Once a rite of passage, getting the keys to a car is increasingly delayed for today’s teens due to tougher licensing laws as well as a variety of economic and social factors. Thanks especially to social media, the Internet and gaming, the automobile is less important for “hanging out” with friends.

Liaw readily observed, however, that not every industry segment is experiencing a decline in young consumers. Formula Drift events are a case in point: Their attendance skews heavily toward the younger demographic. Liaw credited reasonable admission costs and a youthful marketing campaign for the series’ success among teens and young adults.

“The price point is fair; it’s similar to going to a baseball or basketball game,” he said. “We don’t have a lot of add-ons. Once you get here you’re not paying for a pit pass, for instance. Because of the accessibility and cost of entry into our events, it makes it very affordable for a young fan to be there.

“From our messaging and marketing perspective, we communicate on the same level as the younger fan. We don’t do a lot of traditional advertising. While we are in print, we rarely do any regional newspapers or radio and cable TV. Rather, we are very heavy online, in the social media space and virally. I think that’s where ourstrength is.”

Yet Liaw understands why veterans in other industry segments worry about the future. He observed that vehicle and aftermarket product options were more limited three to four decades ago.

“Now you have products of all sorts of quality and style and customs of all kinds,” he said. “Companies are not only fighting for a smaller audience base but also fighting among more competing companies. So in some niches and product lines, they feel that the market is continually diminishing, yet in others, they may feel that they’re actually thriving. I think also the overall SEMA member base and the types of products and genres available are so diverse—not only has the potential pool of customers dwindled, but the selection of products and types of activities that a young car enthusiast has to choose from is that much more than it was 30 years ago.”

From his vantage as publisher of Hot Rod magazine, Jeff Dahlin offers yet another take on the youth market.

“We live in a rapidly changing world, and many younger people are doing the best they can to have fun with their vehicles,” he said. “The younger enthusiasts that we run into across the country seem to be very engaged. Many of the performance-related products now available in our market offer significant gains without breaking the bank or requiring the experience of a mechanic to install.”

This, he noted, has led to a great deal of innovation among young men and women, who are often bucking tradition and building all sorts of novel vehicles.

“On the flip side, as modern engines become more complicated, it becomes more difficult for enthusiasts to make internal engine modifications,” Dahlin cautioned. “Swapping heads, camshafts and pistons can really wreak havoc when it comes time for emissions testing. If someone with a more superficial knowledge of cars wants to hop up a vehicle with some performance parts, he or she might get discouraged upon hearing that it might make their check-engine light come on. I’m confident, however, that the aftermarket will continue to innovate and find solutions to these problems. The younger generation, I am sure, contains some geniuses who will find ways to make this so.”

Executive Summary While there is little firm research on the topic, there are growing concerns within the specialty-equipment industry that young enthusiasts are on the decline. Current economics, the advent of social media and new laws affecting teen driving habits all are seen as having a downward effect on the marketplace. Whatever the overall trends, there are ways for the industry to come together, reach this crucial audience and continue to ignite automotive passions.

Moreover, as more and more automotive manufacturers offer options that young people crave, it is transforming their relationship to the aftermarket.

“If you buy a new vehicle that is outfitted with everything you want, and you don’t need to take advantage of the aftermarket, are you still an enthusiast?” Dahlin asked rhetorically. “The answer to this may be changing.”

Dahlin’s real concern, however, is the increasingly limited venues where young drivers can test and enjoy their performance cars.

“Street racing, burnouts and even loud engines are considered serious crimes in most municipalities,” he said, “and while this is a positive from a safety aspect, we haven’t provided good alternatives. Drag strips continue to close, and off-road access is perpetually limited. We need to provide places for young people to use modified vehicles. I understand that there are factors that make this difficult sometimes, including liability and noise concerns, but we need to invest in ways for younger enthusiasts to become involved in our beloved pastime. I can think of a few ways we can do this, even with limited space: dyno drags, organized and safe burnout contests, public-friendly drag races and parking-lot 4x4 obstacle courses.”

Driving Passions

Read the complete article, "Are Young Enthusiasts Vanishing," featured in the April 2013 issue of SEMA News. 

By Linda Spencer

	Participating SEMA members will have the opportunity to meet one-on-one with pre-vetted distributors and retailers from throughout China.

Get in on the ground level at what is likely to be one of the largest consumer specialty-product markets. 

The SEMA China Business Development Tour—September 11–14, 2013, in Beijing—allows participants to gain insight into the growing specialty market for the 1.3 billion Chinese consumers. Participants will learn what products sell, what products are in demand and for which applications through networking opportunities with retailers and wholesalers. 

Benefits for participating SEMA members include:

• A first-hand look at the developing specialty-equipment market. The delegation will visit off-road and street-performance shops.
• Meetings with pre-vetted distributors and retailers from throughout China. 
• Qualified exhibitors will receive a U.S. grant of $1,000 to defray the costs of participation. 
• Program costs include hotel, meals, interpreters, access to buyers from throughout China (flights to and from the United States are not included).

Register now for the 2013 SEMA China Business Development Tour.

For more information, contact Linda Spencer at lindas@sema.org or visit sema.org/china.

Here's what past participants have said about the Chinese specialty-equipment market and SEMA overseas one-on-one programs:



"In the near future, I believe the potential for the Chinese specialty-equipment market could easily be 10 times the size of the U.S. market."


–Jeff Victer, Prolong Super Lubricants. 



SCT President Rick Trudo estimated that his company's sales in China and other markets outside the United States will surpass its U.S. sales by 2015.



"China's growing middle class and Western influences have created tremendous demand for quality U.S.-made products. In the one-child-only Chinese society, personalization is everything, and everyone wants to be different."


–George Hsieh, K&N 



"China is a very important destination for our products."


–Nathan Calabrese, OMIX-ADA

By Linda Spencer

	Participating SEMA members will have the opportunity to meet one-on-one with pre-vetted distributors and retailers from throughout China.

Get in on the ground level at what is likely to be one of the largest consumer specialty-product markets. 

The SEMA China Business Development Tour—September 11–14, 2013, in Beijing—allows participants to gain insight into the growing specialty market for the 1.3 billion Chinese consumers. Participants will learn what products sell, what products are in demand and for which applications through networking opportunities with retailers and wholesalers. 

Benefits for participating SEMA members include:

• A first-hand look at the developing specialty-equipment market. The delegation will visit off-road and street-performance shops.
• Meetings with pre-vetted distributors and retailers from throughout China. 
• Qualified exhibitors will receive a U.S. grant of $1,000 to defray the costs of participation. 
• Program costs include hotel, meals, interpreters, access to buyers from throughout China (flights to and from the United States are not included).

Register now for the 2013 SEMA China Business Development Tour.

For more information, contact Linda Spencer at lindas@sema.org or visit sema.org/china.

Here's what past participants have said about the Chinese specialty-equipment market and SEMA overseas one-on-one programs:



"In the near future, I believe the potential for the Chinese specialty-equipment market could easily be 10 times the size of the U.S. market."


–Jeff Victer, Prolong Super Lubricants. 



SCT President Rick Trudo estimated that his company's sales in China and other markets outside the United States will surpass its U.S. sales by 2015.



"China's growing middle class and Western influences have created tremendous demand for quality U.S.-made products. In the one-child-only Chinese society, personalization is everything, and everyone wants to be different."


–George Hsieh, K&N 



"China is a very important destination for our products."


–Nathan Calabrese, OMIX-ADA

By John Stewart

	The MSRP for the new ’14 Silverado 1500 regular cab will start at $24,585, including a $995 destination freight charge—the same base price as the ’13 model.

Chevrolet has released information on initial pricing, performance data and EPA fuel-efficiency estimates for the ’14 Silverado 1500—an all-new pickup that starts production later this summer.

The ’14 Silverado 1500 will offer three new EcoTec3 engines, a six-speed automatic transmission, an all-new interior design, plus revised steering, suspension and brakes.

The ’14 Silverado will become part of Chevrolet’s three-truck portfolio, joining the Silverado 2500 and 3500 HD pickups, which were new for the ’11 model year. Chevrolet is also developing an all-new Colorado midsize pickup, which will offer significant truck capability in a space- and fuel-efficient package.

The MSRP for the new ’14 Silverado 1500 regular cab will start at $24,585, including a $995 destination freight charge—the same base price as the ’13 model. For that price, the ’14 Silverado regular cab, which starts production this summer, will include:

• A more powerful, more efficient EcoTec3 engine
• A six-speed automatic transmission
• A stronger, quieter cab with an all-new interior
• Four-wheel disc brakes with Duralife rotors
• A new bed with standard box rail protectors and CornerStep bumper

The base starting prices for the Silverado crew cab—the first model to launch later this spring—and for the new double-cab Silverado—which replaces the extended cab—also will be the same as for the corresponding ’13 models.

Buyers of all ’14 Silverados also will receive a standard scheduled maintenance program for two years or 24,000 miles, whichever comes first. Up to four maintenance visits are included in the price of the vehicle, each one of which includes a regularly scheduled oil change, oil filter replacement, tire rotation and multi-point vehicle inspection, based on the schedule in the vehicle owner’s manual.

All-New Engine Lineup

The ’14 Silverado launches later this spring with crew-cab models equipped with the all-new 5.3L EcoTec3 V-8, which is expected to become the engine of choice in three out of four Silverado 1500s.

Chevrolet announced EPA estimates of 23 mpg highway for 2WD models, and 22 mpg highway for 4x4 models. Chevrolet says that beats the EPA estimates for the ’13 Ford EcoBoost turbocharged V6 for both 2WD and 4x4 models.

Silverado’s 5.3L EcoTec3 V8 is SAE-certified at 355 hp and 383 lb.-ft. of torque on 87-octane regular gasoline, with more than 300 lb.-ft. of torque available from 2,000 to 5,600 rpm for responsive performance under a broad range of real-world conditions.

Silverado will also offer later this year a standard 4.3L EcoTec3 V6, and an all-new 6.2L EcoTec3 V8. Final performance data and EPA estimates for these engines will be available in the coming months.

All three EcoTec engines feature direct fuel injection, Active Fuel Management (cylinder deactivation) and continuously variable valve timing. The engines also use a compact overhead valve design and weight-saving components, such as aluminum blocks and cylinder heads to reduce the mass of the engines for additional energy savings.

Double-cab 2WD models equipped with the optional max towing package, available later this year, will have towing ratings of up to 11,500 lbs. Other features include frames made from high-strength steel, larger, stronger rear axles for V8 models and an updated suspension with two-stage multi-leaf rear springs. Maximum available payload rating is 2,102 lbs.

	Fourteen high school Auto-Tec teams have qualified for the Hot Rodders of Tomorrow Engine Challenge finals at the PRI Trade Show, Wednesday–Saturday, December 11–14, in Indianapolis.

Hot Rodders of Tomorrow Qualifications Underway; New Rules for 2013 Season
Three events have taken place for the 2013 season of the Hot Rodders of Tomorrow, and 14 High School Auto-Tec teams have qualified for the finals at the PRI Trade Show, Wednesday–Saturday, December 11–14, in Indianapolis. To help provide more opportunities for teams to experience the thrill of competition on its highest stage, the qualifying rules were changed for the 2013 season. In an effort to establish a true race-against-the-clock competition, any High School Auto-Tec Team that is timed at 35 minutes or less will automatically qualify for the finals. The change will help to increase the number of schools that will qualify, allowing more students to participate. For more information on the Hot Rodders of Tomorrow Engine Challenge, visit www.hotroddersoftomorrow.com.

ODYSSEY Named Official Battery of Doug Foley’s Drag Racing School
EnerSys announced that ODYSSEY battery was named the official battery of Doug Foley’s Drag Racing School in Mooresville, North Carolina. Started by professional drag racer Doug Foley, the school provides a comprehensive training center where individuals can safely learn how to drag race. As the official battery for the driving school, ODYSSEY batteries will be exclusively used in all of Doug Foley’s Drag Racing School dragsters, door cars and race cars. The ODYSSEY battery logo will also appear on all vehicles and on Doug Foley’s Racing School website. Doug Foley’s Drag Racing School consists of the Dragster Experience, which teaches individuals how to drag race, and the Dragster Blast Ride Along, designed for individuals to experience the ride from the passenger seat.

	Nick Rogers’ radical ’51 Mercury custom won the Goodguys 2013 Mother’s Custom of the Year award at the Goodguys 31st All American Get-Together presented by Specialty Sales Classics.

Goodguys 2013 Mother’s Custom of the Year—Nick Rogers’ ’51 Merc
Nick Rogers’ radical ’51 Mercury custom won the Goodguys 2013 Mother’s Custom of the Year award at the Goodguys 31st All American Get-Together presented by Specialty Sales Classics. Rogers’ sleek candy-blue Merc beat out a field of customs to collect its second award this spring. The car also won the coveted Custom d’Elegance crown at February’s Sacramento AutoRama. The Merc was finished and produced for the show season by Bill Ganahl’s South City Rod & Custom. Highlights of the Merc include forward-slanted B-pillars and the addition of a ’50 Merc rear window (among other subtle cosmetic enhancements) that were artistically executed by Matt Townsend (Townsend Customs & Hot Rods). The addition of an evil ’53 DeSoto grille,’49 Merc dash and ’55 Ford side trim (featuring Packard spears) only enhanced the Merc’s curb appeal. The candy blue House of Kolor paint was sprayed by Joe Compani. Fellow finalists for the Goodguys 2013 Mother’s Custom of the Year Award included John D’Agostino (’40 Cadillac), Tony Cuevest (’49 Merc), Don Kirk (’40 Ford) and Jeff James (’54 Chevy).

Yokohama Tire Corp. Establishes New Subsidiary in Mexico
Yokohama Tire Corp. (YTC) established a new subsidiary—Yokohama Tire Mexico S. de R.L. de C.V. (Sociedad De Responsabilidad Limitada De Capital Variable), incorporated in Silao, Guanajuato, Mexico. The subsidiary was created to meet the growing demand for consumer, commercial and OTR tires in Mexico, and Yokohama expects it to provide critical sales, distribution and business logistical advantages. Yokohama Tire Mexico will be headed by 45-year tire veteran Gary Nash, who has been appointed president of the new company. Nash was previously vice president of YTC’s OTR sales, where he will now take on the new title of executive advisor to OTR sales and marketing.   

	CEO of Marx Group Advisors Tom Marx will present "Aspects of Buying/Selling a Small Business," Wednesday, April 17, during a Production Engine Remanufacturers Association webinar.

Marx Group Advisors CEO Presents Seminar on Valuing Your Business for Sale
CEO of Marx Group Advisors Tom Marx will present "Aspects of Buying/Selling a Small Business," Wednesday, April 17, during a Production Engine Remanufacturers Association (PERA) webinar. The one-hour session (10:00 a.m.–11:00 a.m. [CST]) is designed for small- and midsize company owners, especially those who are thinking of selling and need information on the right way to prepare and follow through to successfully value their business. Webinar registration, open to PERA members and non-members, is available through GoToMeeting. “Our research has found that 70% of all small and midsized businesses never sell after they are put on the market," explained Marx. "Selling a business is not like selling a piece of real estate or any other type of asset."

Marx will address the questions people ask about how to sell and value their business, including ways to ensure the value of the business is maximized. He will provide the information needed to get a business ready to go to market; on how deals are structured; and why, when and how to use an intermediary to support you. He will also talk about proven steps to follow to increase the chance of closing the sale of a business.

Have some company news you would like to share? Let us know and the news may appear in an upcoming issue of SEMA eNews. Send your items for consideration to editors@sema.org. 

By SEMA Editors

The online version of the 2012 SEMA News Product & Catalog Showcase is featured in the November 2012 issue of SEMA News.

Generate buzz for your products and services by participating in the 2013 SEMA News Product and Catalog Showcase featured in the June issue of SEMA News.

The Product and Catalog Showcase remains one of the most cost-effective ways to advertise in SEMA News, helping members reach more customers specific to the specialty-equipment market. Only offered twice per year in the June and November issues of SEMA News, guarantee yourself a spot in this highlighted showcase and boost your branding efforts!

Simply provide a four-color image of your new product or your catalog cover, along with about 75 words of text and we'll build a 1/6-page ad for you. The cost is $250. Space is limited, so don't delay. View the online version of the 2012 SEMA News Product & Catalog Showcase, featured in the November 2012 issue of SEMA News.

To get started, contact Brian Paik at 909-978-6677 or Monica Terlouw at 909-978-6695.

By SEMA Editors

The online version of the 2012 SEMA News Product & Catalog Showcase is featured in the November 2012 issue of SEMA News.

Generate buzz for your products and services by participating in the 2013 SEMA News Product and Catalog Showcase featured in the June issue of SEMA News.

The Product and Catalog Showcase remains one of the most cost-effective ways to advertise in SEMA News, helping members reach more customers specific to the specialty-equipment market. Only offered twice per year in the June and November issues of SEMA News, guarantee yourself a spot in this highlighted showcase and boost your branding efforts!

Simply provide a four-color image of your new product or your catalog cover, along with about 75 words of text and we'll build a 1/6-page ad for you. The cost is $250. Space is limited, so don't delay. View the online version of the 2012 SEMA News Product & Catalog Showcase, featured in the November 2012 issue of SEMA News.

To get started, contact Brian Paik at 909-978-6677 or Monica Terlouw at 909-978-6695.

Compiled by SEMA Editors

	Nicole Lyons is Royal Purple’s first 2013 "Outperformer," award-winning engine builder, pioneering female racer and restoration shop owner. Photo Credit: Royal Purple

Royal Purple's "Outperformer" Series Returns for Second Season
This year's Royal Purple "Outperformer" documentary series kicks off spotlighting award-winning engine builder, pioneering female racer and restoration shop owner Nicole Lyons.

The mini-documentary airs as Lyons continues to break down barriers, becoming the first female driver to compete in race series for both the National Hot Rod Association (NHRA) and National Association for Stock Car Auto Racing (NASCAR) together in one race season. In addition to tackling two separate race series and their respective schedules, Lyons also holds the distinction of being the first African-American woman to race in the NHRA and American Drag Racing League (ADRL) Top Sportsman classes.

An accomplished builder and restorer in her own right, Lyons also owns and operates her own restoration shop, Cole Muscle Cars, in Sylmar, California, which specializes in ’60–’70 musclecars and ’55–’59 classic cars.

Two additional mini-documentaries featuring other "Outperformers" will air later in the year and can be viewed by visiting the Royal Purple website. The videos, which average five minutes in length, will be promoted with 15-second clips on broadcast television and online.

NHRA, NMCA, NMCA WEST & Chevy High Performance Nationals Continue Aerospace Components NHRA Unleashed Series
The NHRA, Aerospace Components and ProMedia Events will once again combine forces and continue Aerospace Components NHRA Unleashed in conjunction with the NMCA and NMCA WEST event series, including the Chevy High Performance Nationals. Outlined in a multi-year agreement reached between the NHRA and ProMedia, the Aerospace Components NHRA Unleashed Series will again be contested at all NHRA-member tracks on the 2013 NMCA & NMCA WEST tour. These events include: Auto Club Famoso Raceway in Bakersfield, California (April 5–7); Atlanta Dragway in Commerce, Georgia (April 11–14); Auto Club Raceway of Pomona in Pomona, California (May 16–19); Atlanta Dragway (May 31–June 2); Route 66 Raceway in Joliet, Illinois (July 11–14); Beech Bend Raceway in Bowling Green, Kentucky (August 2–4); Summit Motorsports Park in Norwalk, Ohio (August 22–25); TBD Location (September 6–8); Lucas Oil Raceway in Indianapolis, Indiana (October 10–13); and Auto Club Famoso Raceway (October 25–27).

Aerospace Components will continue to sponsor NHRA Unleashed, providing added benefits to both Flowmaster-sponsored NMCA and NMCA WEST event series and the Chevy High Performance Nationals, which include more than $3.5 million purse and cash contingencies for all 11 events.

	Tanner Foust won the Rallycross season opener at the Lydden Hill circuit in Wootton, United Kingdom.

Tanner Foust Wins 2013 Rallycross Opener
Rockstar Energy Drink driver Tanner Foust earned the first win of an international Rallycross campaign that will see him contest two major series on three continents this year. He arrived at the Lydden Hill circuit in southeast England last weekend ready for a repeat of his 2012 performance there. In addition to the car's refreshed look, new sponsors include ENEOS Motor Oil and ODYSSEY Battery.

Early qualifying saw Foust suffer a flat tire in the first of four heats, but he recovered quickly and advanced to the final round, where he led from wire to wire.

Foust has finished the past two seasons in the top ranks of the FIA European Rallycross Championship, earned back-to-back Global Rallycross Championship titles and has scored three X Games gold medals in rally competition. He now leads the points in the nine-round European championship.

The win puts Foust in a strong position heading into the first Global Rallycross Championship round, held for the first time at X Games Brazil, April 21. Foust is expected to run a select season of events in the 2013 European Rallycross Championship, as well as the full X Games and Global Rallycross schedule.

Royal Purple will present the Muscle Mustangs All-Female Shootout at its Norwalk, Ohio, event the weekend of June 14–16, 2013.

NMRA to Host All-Female Shootout at Norwalk, Ohio, Event
The NMRA Keystone Automotive Ford Nationals series has announced that Royal Purple will present the Muscle Mustangs All-Female Shootout at its Norwalk, Ohio, event that will take place at Summit Motorsports Park the weekend of June 14–16, 2013. The All-Female Shootout will bring together some of the fastest females in the United States to race their street-legal Mustangs and Fords.

These NMRA lady racers will first compete in their own all-female TREMEC True Street class, presented by Muscle Mustangs, on Saturday (must meet all TS rules) with their own cash prizes and awards.

On Sunday, the eight quickest racers from Saturday’s ladies-only True Street competition will race heads-up on a 4/10 pro tree in the All-Female Shootout for cash, Royal Purple product, awards and the title of All-Female Shootout champion.

For more information on the NMRA Ohio event, log on to www.NMRAdigital.com/OH.

	Toyota's official on-track fleet for IEC's opening night 2013 includes an Avalon pace car.

Southern California Toyota Dealers Partner With the Irwindale Event Center
Southern California Toyota Dealers have come aboard at the Irwindale Event Center (IEC) as its official vehicle providers. The 59-dealer strong association will have an on-site presence at every NASCAR and NHRA event at the IEC, which includes providing the facility's on-track safety vehicles and official pace car.

Additionally, there will be a continuing display of the latest Toyota and Scion vehicles in the fan area just inside the main spectator gates of the Speedway. Opening night 2013 is Saturday, April 6, and the Toyota official on-track fleet (three Tundra pickups and an Avalon pace car) is ready for the work ahead.