SEMA News—August 2021

RESEARCH

The Latest SEMA “State of the Industry Report”

Market Research to Inform Business Planning After a Year of Disruption

By Mike Imlay

Back in late 2019, the trendlines looked good for the automotive specialty-equipment industry. Then, of course, the 2020 pandemic threw the world into confusion. As lockdowns swept the United States, uncertainty gripped virtually every market sector, including the aftermarket. With the pandemic ebbing, it’s a good time to assess where the industry finds itself and where it may be headed. Enter the latest SEMA 2021 “State of the Industry Report,” now available from SEMA Market Research.

Seeking to bring some clarity to a jumbled financial picture, the report is based on a statistical survey of aftermarket manufacturers, distributors and retailers/installers who were asked a series of questions touching on their overall economic health as well as their expectations and outlooks for the coming year. Government data encompassing broader American consumer and automotive-sector trends was also tapped for comparison with industry benchmarks.

Company Sales Performance Over Time

“This is a study that we do twice a year to gauge the state of the industry, how aftermarket sales are doing, and other metrics that are of interest to SEMA members,” said SEMA Market Research Manager Kyle Cheng. “For this report, we were especially interested in how the industry did after a lot of disruption. Now that we’re further removed from the initial shock of the pandemic, the data is reflective of where our businesses stand as we return to some sort of normalcy.”

According SEMA Senior Director of Market Research Gavin Knapp, the study was designed as a comprehensive view of the aftermarket.

“We looked across the industry at different business types, from manufacturers to retailers, distributors and other business models,” he said. “Wherever they are in the industry, whether they focus on classic cars or musclecars or whether they’re in the performance or accessory world or even the racing world, our goal was to bring them all together and get their input for our ‘State of the Industry’ research.”

When Companies Expect Industry To Return to Pre-Pandemic Levels

A Year of (Mixed) Growth

Perhaps the report’s biggest takeaway is the impressive aftermarket sales growth that followed the widespread U.S. lockdowns shortly after COVID-19 hit.

“Obviously, the elephant in the room is that sales have really performed and that many companies have really killed it,” Cheng said. “We’ve heard anecdotally from a lot of them that they’ve seen record sales, and the data largely supports that across the industry. That’s not to say that some companies out there—particularly retailers—weren’t hit fairly hard in sales, but most companies are showing pretty good sales growth compared to where things were last fall.”

For many companies, the surge in sales came as an unexpected windfall, Knapp added.

How Total Number of Staff Changed Over Past Year

“The pandemic shutdowns brought a lot of disruption over the last year, and we would’ve expected a year ago that there would be some serious ramifications for the industry in terms of sales,” he said. “But while companies were really worried last spring and even took a sales shock, the outlook was much better by fall. Now we’re seeing even more increases. We’re at a point where a majority of companies report doing as well as or better than they did in 2019 over this past year.”

That specialty-equipment sales growth mirrors an overall trend in the automotive sector at large. In March 2021, U.S. government data indicated that consumer spending at motor vehicle and parts dealers had hit $135.5 billion—the highest number ever recorded. By the following month, that figure had climbed even higher to $139.5 billion.

“This record spending is helping our market recover a lot faster,” Cheng noted. “On top of that, automotive parts production, which was disrupted in the beginning of the pandemic, is now reaching really high capacity and producing more parts than it had in the last 20 years.”

Overall, aftermarket manufacturers saw the steadiest sales growth, while the industry’s retailers experienced a more mixed outcome.

“In a recession, we would typically expect a lot of hurt across all industries and sectors of the economy, but this was very sectorial,” Knapp observed. “Certain industries were hurt a lot, others not so much. Luckily for us, our industry was one that fared very well. But even within our industry, there were a lot of differences.”

On the manufacturing side, business remained good as long as consumers were buying parts and manufacturers could crank them out and ship them. But Knapp explained that the inherent structure of retailing sometimes worked against resellers and mom-and-pop shops.

“For example, people were afraid during lockdowns—and sometimes are still afraid now—to go into a brick-and-mortar store,” he said. “We also saw a lot of differences in results, depending on the size of a business. Larger businesses came through very well and have by this point not only recovered but are likely to say they’re growing, but there is a larger proportion of smaller businesses who say they got hurt over the year and are still feeling it.”

The ability to source products from multiple suppliers and to sell online helped many businesses (notably manufacturers) weather the storm. Leveraging social-media channels also seemed to bolster retail sales for many. While the downturn was generally tougher on retailers, fewer than a third of those surveyed for the “State of the Industry Report” said they suffered losses over the past year. In fact, a relatively healthy 40% said they grew their sales—some by double digits. Without minimizing the pain of the smaller businesses that struggled, the aftermarket retail segment in general demonstrated remarkable resiliency.

“If you think about how things looked a year ago, again, those numbers are better than we might have expected,” Knapp said. “While we can say the pandemic hurt more retailers than it did manufacturers or other types of businesses, it certainly wasn’t uniform.”

Expect Industry to Grow Next Year

The Industry Is Hiring

After some industry job losses last year—with 17% of manufacturers, 21% of distributors and 13% of retailers reporting staff decreases—the good news is that the industry is looking to hire in the coming months. Moreover, the positions that aftermarket businesses seek to fill are broad and varied.

“Companies across the board are certainly looking for more general-labor-type people to work in warehousing, shipping and areas like that,” Knapp explained. “However, a lot of companies on the manufacturing and retail sides are also looking at other jobs, such as sales. As things ramp up, there will also be engineering and product-development-type jobs as well as other skilled positions to move products out the door. In fact, 83% of manufacturers expect to increase staffing in the next 12 months or so. That’s big.”

Cheng added that the industry has made significant progress in bringing back jobs thus far.

“Within a period of a couple of months, we had recovered about 80% of the jobs that were lost over the past year,” he said. “It’s that last 10% to 20% that is going to take some time to fully bounce back from, and when we look at companies’ opinions on when the industry will be back to pre-pandemic levels, most are looking at the end of 2021 as the goal.

When Industry Will Return to Pre-Pandemic Levels

“Along those lines, the pandemic disrupted a lot of supply chains, so companies are looking at ways to repair and rebuild that infrastructure or find alternative pathways. In order to do that, you need a lot of staff and resources. That could also mean a lot more business opportunities. A lot of companies relied on international suppliers that were disrupted severely, so new ways to source parts will be an important issue for the future.”

Out of the Storm?

Taking into account the sharp ups and downs of the past year, the various uncertainties still playing out in the overall economy and the business challenges ahead, what’s the prognosis for the industry? Are the economic winds blowing favorably again for the aftermarket?

“I think the overall story is pretty good,” Cheng answered. “Our companies are doing pretty well. They’re optimistic for the future. Still, there is a fair degree of economic uncertainty. Companies are kind of figuring out where the economy is and where it will be in the next couple of months. Obviously, the virus situation has gotten a lot better, but there’s still some concern that about that, too.

“Another factor is consumers. Over the past year, they have spent a lot of money on our industry, as we see from the government data, but will they continue to funnel money into our industry at the levels they have lately as we return to normal? That’s going to be an important question moving forward. All indications are yes, but consumers will have more options. Of course, enthusiasts will always find ways to invest in the aftermarket.”

Knapp agreed.

“Keep in mind that as we look at expectations for this year, we see that 70% of our manufacturing and 57% of our retailer respondents said they expect to grow,” he said. “Only a very small portion expect to see declines this year, so optimism for sales in 2021 is really strong across the industry right now.”

Get the Latest Research

To download your free copy of the 2021 “State of the Industry Report,” visit the SEMA Market Research webpage at www.sema.org/market-research. While there, be sure to check out the many other research reports that can help your business succeed and prosper in 2021 and beyond.

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

Law and Order

By Stuart Gosswein

FEDERAL UPDATE

FTC Report on Right to Repair: The Federal Trade Commission (FTC) issued a report to Congress that is highly critical of anti-competitive repair restrictions employed by manufacturers that limit consumer choice. The report is based on industry research gathered at an FTC workshop in 2019 and covers a wide range of products, including automobiles. The FTC noted little evidence to support manufacturers’ justifications for repair restrictions (e.g., safety, cybersecurity, liability and reputational harm, quality of service). While the Magnuson-Moss Warranty Act makes it illegal to void a warranty or deny coverage due to the mere presence of an aftermarket replacement or specialty part, the FTC expressed concern that new technologies such as software lockouts may prevent independent servicing or installation of the non-OEM parts. SEMA noted at the FTC 2019 workshop that it periodically receives complaints of auto dealerships voiding warranties based on the presence of a specialty part rather than confirming that the part had caused a malfunction. SEMA recommended that consumers be provided a written explanation if being denied warranty coverage. The FTC will consider if there are additional regulatory and legislative actions that can be taken to better protect consumers.

Definition of Independent Contractor: The Biden administration officially withdrew the independent contractor regulation issued in the closing days of the Trump administration. While the issue may be revisited in the future, the U.S. Department of Labor (DOL) is reverting for now to previous guidance on distinguishing whether an individual should be classified as an independent contractor or an employee. Specifically, the DOL is deferring to the seven-factor “economic realities” guidance test issued in 2008:

• The extent to which the services rendered are an integral part of the principal’s business.
• The permanency of the relationship.
• The amount of the alleged contractor’s investment in facilities and equipment.
• The nature and degree of control by the principal.
• The alleged contractor’s opportunities for profit and loss.
• The amount of initiative, judgment or foresight in open market competition with others required for the success of the claimed independent contractor.
• The degree of independent business organization and operation.

The increase of independent contractors in recent years who perform on-demand services such as drivers and other gig workers has placed a focus on the definition. Company employees have protections under the Fair Labor Standards Act such as minimum wage and overtime compensation that do not apply to independent contractors.

STATE UPDATE

Alaska—License Plates: The Alaska House Transportation Committee passed SEMA-supported legislation to allow the display of only a single, rear-mounted license plate for all passenger vehicles. Under current law, vehicles must display two license plates. The bill currently awaits consideration in the House Finance Committee.

Illinois—Antique Vehicles: The Illinois Senate Transportation Committee passed SEMA-supported legislation to allow expanded-use antique vehicles to be driven without limitation for two additional months. Currently, expanded-use antique vehicles are defined as being more than 25 years old “or a bona fide replica” and are limited to traveling to and from auto shows, exhibitions, service stations and demonstrations during the colder months (November through March) but can be driven without limitation during the warmer months (April through October). The bill proposes that the months without driving limitations be expanded to March through November. The bill previously passed the House of Representatives and now awaits consideration on the Senate floor.

Kansas—Antique Vehicles: Kansas Governor Laura Kelly signed into law SEMA-supported legislation to redefine vehicles eligible to be registered as antique vehicles. Previously, the Kansas Highway Patrol defined an antique vehicle as being “more than 35 years old and as close to the original as possible, without any significant alterations to the major component parts.” The new law requires only that the vehicle be more than 35 years old, regardless of the age of the component parts installed.

Massachusetts—Antique Vehicles: The Massachusetts House of Representatives introduced a pair of SEMA-supported bills to exempt older antique vehicles from the state’s annual safety inspection requirement. The bills apply to vehicles at least 50 years old and registered with antique or year-of-manufacture (YOM) license plates and whose owner is a member of a recognized antique automobile club. Current law requires all vehicles to be inspected every year regardless of model year, including those registered as antiques. The bills await consideration in the Joint Transportation Committee.

Massachusetts—License Plates: The Massachusetts House of Representatives introduced legislation to allow the display of only a single, rear-mounted license plate for all passenger vehicles. Under current law, vehicles must display two license plates. The bill currently awaits consideration in the Joint Transportation Committee.

Massachusetts—YOM Plates: The Massachusetts Legislature introduced a pair of SEMA-supported bills to allow year-of-manufacture (YOM) registration plates to be restored to their original colors and designs. Vehicles registered as antique may currently display YOM plates with DMV approval. DMV regulations state that the plates must be in original condition. The bills await consideration in the Joint Transportation Committee.

New York—Historic Vehicles: The New York Assembly introduced SEMA-supported legislation to allow historical vehicle owners to pay only a one-time registration fee of $100 upon initial registration. Under current law, owners of the vehicles pay a fee of $28.75 every year. The bill currently awaits consideration in the Assembly Transportation Committee.

North Dakota—Antique Vehicles: The North Dakota legislature failed to pass prior to adjournment SEMA-supported legislation to lower the age requirement for a vehicle to be registered as antique from at least 40 years old to at least 35 years old. It also would have lowered the age requirement for a vehicle to be registered as a collector’s vehicle from at least 25 years old to at least 20 years old.

North Dakota—Vehicle Titling: The North Dakota legislature failed to pass prior to adjournment SEMA-supported legislation to allow a “collector’s title” to be issued to an owner of a rebuilt, reconstructed, salvaged, antique or vintage motor vehicle without a certificate of inspection.

Texas—License Plates: The Texas Senate passed SEMA-supported legislation to allow the display of only a single, rear-mounted license plate for passenger vehicles if the vehicle is unable to display a front license plate. The bill awaits consideration by the House Transportation Committee.

Economic Support for Racetracks: SEMA, the Performance Racing Industry and 17 other organizations representing live recreation and amusement venues asked the U.S. Small Business Administration (SBA) to expand the Shuttered Venues Operator Grant (SVOG) program to include motorsports, horse racing, recreation events, and mobile amusement. The COVID-19 pandemic posed significant challenges for racetracks and other live entertainment operators, especially when states placed restrictions on the sizes of gatherings. The U.S. Congress created the $16 billion SVOG program to assist live entertainment and performing arts venues that experienced significant revenue declines, but the SBA did not include racetracks and many other forms of live entertainment in the list of groups that are eligible to apply for grants. The coalition asked the SBA to reconsider its eligibility guidance and is also working with Congress to expand the SVOG program through legislation.

Trade Show Participant Tax Credit: SEMA-supported legislation was introduced in the U.S. Congress that would provide tax credits to cover 50% of the expenses associated with exhibiting at or attending trade shows and conventions in the United States between January 2021 and December 2024. SEMA continues to work with other key industry and trade groups in urging Congress to consider the Hospitality and Commerce Job Recovery Act. The legislation has been referred to the House and Senate tax and finance committees.

SEMA News—August 2021

BUSINESS

Letting Go to Get Ahead

Reducing Micromanagement to Increase Workplace Productivity

By Douglas McColloch

Merriam-Webster defines micromanagement as managing “especially with excessive control or attention to details,” and while it may be easy to define, its presence in an office environment may be difficult to pinpoint because its presence can take many forms: poor communications, a risk-averse workforce, projects that never seem to get completed in a timely manner and—perhaps of most concern to a successful business—a high employee turnover rate. However well-intended, what we generally refer to as micromanagement can have a corrosive effect on an office culture and can hinder efficiency and productivity.

A recent SEMA Education webinar, “Reducing Micromanagement and Increasing Employee Self-Sufficiency,” was hosted by the SEMA Businesswomen’s Network. Moderated by Vintage Air Chief Operating Officer Allison Harding, the seminar featured Christine Ashmore, senior vice president and financial adviser for Morgan Stanley, who tapped into her experience in executive-level management, including chairing several corporate boards, to discuss best practices and to recommend employee-management strategies.

Identifying the Problem

As mentioned, micromanagement can often be recognized more by its symptoms than its cause. Ashmore suggested that managers ask themselves some basic questions about the following workplace scenarios.

Unfinished projects: “Do you have a long list of pending approvals and decisions? Do your employees feel that if they try to move forward with a project without getting your approval, you’re probably going to make them redo it? Unfortunately, that’s a real big issue with micromanagers.”

Unwillingness to delegate: “Do you not trust your employees to perform a meeting without you with people whom you consider important senior executives of the organization, your boss or key clients?”

Insistence on control: “Do you insist that your employees copy or blind-copy you on all communication to people that you’ve deemed important or on subject matter that you deem important?”

Company brain drain: “Do you have high turnover on your team, or possibly low satisfaction in the workforce? That’s a big problem when you have high performers on your team. If they feel micromanaged and feel that they can’t spread their wings, they’ll leave and find a place where they can.”

Before we draw harsh conclusions, Ashmore reminded us that what we refer to as micromanagement is, in some ways, a wholly natural impulse.

“It’s actually a very natural thing,” she noted, because “you’ve been promoted to a management position because you’ve done a really good job at your previous position and therefore want to keep doing what you’ve been good at and tend to fall back into what’s comfortable.”

That is where managers need to engage in some self-assessment and realize that an overly assertive management style comes with a long-term cost to the business:

• Poor employee development: “By engaging in micromanagement,” Ashmore said, “you’re not only hurting yourself because you’re hampering your career development, but you’re also hurting the people who work for you and their career development.”
• Reduced workplace efficiency: Another key takeaway from micromanagement is that “you’re reducing your effectiveness. If you’re caught up in the details, you’re not looking at the big picture. You’re not really steering the ship of the team in that bigger strategic direction. And then, as we said before, micromanaging really interferes with the development of your team.”
• Stagnating office culture: “One of your key jobs as a manager is to cultivate competent and independent employees so that they can naturally move up in the organization. If you’re micromanaging and you’re not letting them expand their abilities, they’re never going to be in a position to move on to higher roles within the organization or in other firms.”

Working Toward Solutions

There are a number of proactive steps managers can take to address these issues.

• Give your team clearly defined goals, with an emphasis on what each individual team member brings to the project: “The key here is really taking the time and sitting down with your team, not just on the forefront of a project or a relationship but also throughout the course of the project,” Ashmore advised. “It’s key that your employees understand: What are the larger goals? What’s the larger goal of this project? How does it fit with the larger goals of the organization? And how can they contribute individually to help you get to the goal line? Really, that’s setting the culture of the team where everybody knows that they’re important and valued employees.”
• Give your employees a stake in the work by actively seeking their advice: “When you’re sitting down, solicit input. Don’t just sit there and talk to your employees like you’re standing on a pedestal, just telling them what needs to be done. Really solicit input from the team as far as their view of what it’s going to take to get the project done.”
• Involve team members in all stages of a project, and be willing to call out their achievements: “Maybe when you’re making a presentation to your boss or senior executives or a client, you bring in someone on your team who’s done a really fantastic job. Make sure you celebrate their successes in the meeting, and they’ll tend to work harder for you. That is a way of giving them ownership in their success.”
• Instill a culture of accountability: “There has to be accountability among the team—not just accountability to the boss or the manager but accountability across the team to each other that everyone’s contributing.”
• Encourage constructive criticism, and be willing to be criticized: “A great way to start this is to make sure that you have clear and concise conversations among the team that constructive criticism is not only freely given in a very respectful way but also that it is solicited from the employee to other employees.

“It’s good for a manager to come out and say, ‘Hey, what could we have done better? How could I have supported you better?’ I think it’s really important for this process to involve everybody on the team and not just the feedback you’re giving your team members.”

• Be willing to delegate: “You might not be able to be at every meeting with your team, but pick some senior people on your team to sit down and meet with the younger people. As they say, ‘If you want a promotion, do your boss’s job, not just your job.’ By delegating a senior person who’s proven that he or she can take a project from beginning to end, give them that ownership to unofficially manage some of the younger people on the team. That gives them great experience for the time when they want to move to that next step in their career.”
• Be willing to lead by example, not by rank: “Let your employees know that you’re willing to get in the trenches with them. At the end of the day, whatever you’re working on is a team project with a team solution, and sometimes you have to throw designated job titles or job responsibilities out the window. The team needs to know that everyone will do whatever it takes to meet deadlines and produce a quality output that is of the level that we expect from ourselves and the team as a whole.”
• Be a mentor, not a boss: Put another way, find out what motivates your employees, then leverage that knowledge to increase their effectiveness in the workplace.

“I was personally kind of shocked to find out it wasn’t just purely money in compensation,” Ashmore said. “‘I get up every day to go to work so that I can get paid,’ but for some people, that’s not it. Some people are driven by a job title. They may feel that respect is given based on what their business card says.

“To a lot of people—and I think it’s especially being recognized during this time of COVID—flexibility is becoming a key driver. ‘Hey, I’ve done a really good job, and I’m going to get the work done for you. Give me the flexibility to go pick up my kids from school and either come back or log on to my computer at home.’

“So I really believe that if you can figure out what motivates people, you can help them meet their goals. They’re going to do whatever they can to get the job done in an effective and efficient time frame.”

To Ashmore, it all comes down to what a former manager once told her: “I don’t want you to think of me as your boss,” she recalled. “I don’t want you to think of me as your manager. I’m your mentor. I’m here for you. I’m here to help you grow and develop.”

“When employees look at you like that, I think it’s through a completely different lens. All of a sudden, you’re a thought leader—someone who cares about them, cares about their development, and they’ll feel more supported.”

About SEMA Virtual Education

Accessing SEMA’s industry-leading education is easier than ever. With dozens of live and on-demand offerings—and more debuting during the year—SEMA Virtual Education includes comprehensive presentations, insightful discussions, and short videos that teach, inform, inspire and entertain automotive specialty-equipment professionals. From builders and engineers to marketers and sales staff and much more, participants become more educated and prepared for success through SEMA’s Virtual Education.

Visit www.sema.org/virtual-education for more information.

SEMA News—August 2021

SEMA DATA

By Gigi Ho

SEMA Data Product News

The products featured below are from SEMA Data member companies that have attained Gold- or Platinum-level data, which means that their product data is robust and complete—likely to drive customer purchase decisions. SEMA Data members meeting data scorecard requirements are invited to submit product releases for consideration to enews@semadatacoop.org.

AlphaRex

Projector Headlights for ’14–’20 Toyota 4Runner

AlphaRex designs its lights from inception, patents every component it’s designed, and guarantees that its products are compliant with SAE and DOT requirements.

• High-beam bulb size: H7
• Attachment method: plug and play
• Projector headlights, plank-style design, midnight black with sequential signal light

Information: www.alpharexusa.com

PN: 880726

Fuelab

Velocity-Series 200-GPH, 8-PSI Duramax 30304

Fuelab offers diesel performance lift pumps and filtration systems. The Velocity 100-gph lift pump with filter and Velocity 200-gph lift pump with filter and Vortex air separator represent a major upgrade in diesel lift pump efficiency and technology.

• Extremely quiet operation and steady pressure
• 1,500hp support
• Backed by a two-year limited warranty
• Carbon nine-vane construction with pressure-balanced rotor for high reliability

Information: www.fuelab.com

PN: 30304

Du-Ha

Underseat Storage for ’15+ Ford F-150 Super Crew and Ford ’17+ F-250 Through F-550 Super Duty Crew Cab

Du-Ha’s underseat and behind-the-seat storage units are available for all major truck brands. Other Du-Ha products such as the Tote, Humpstor, Reach E-Z and Dri-Hide gun protectors have been developed and added to complement the Du-Ha line. Presently, the company’s innovative automotive and sporting-goods products are being sold throughout North America and worldwide.

Information: www.du-ha.com

PN: 20111

SEMA Data is “data central” for the specialty-equipment segment, containing millions of products and vehicle fitments from performance and accessories brands. Created by SEMA, SEMA Data is the definitive, industry-owned and -operated centralized data warehouse, complete with comprehensive online tools, and a team of dedicated data and technology experts to assist manufacturers and resellers with product data needs. Learn more at www.semadatacoop.org or scan the QR code with your smartphone camera.

SEMA News—August 2021

PEOPLE

The 2021 SEMA Hall of Fame

Four Inductees Who Forever Changed the Industry

By SEMA News Editors

Created in 1969, the SEMA Hall of Fame represents the most prestigious honor that the association can bestow on an individual. It is reserved for outstanding achievers whose work has significantly enhanced the stature and growth of the industry and association. For 2021, SEMA inducted Jessi Combs, Rick Love, Bob Moore and Carl Schiefer, all of whom have made lasting impressions on the automotive world.

As the host of several television programs, the founder of a variety of businesses, and an accomplished fabricator and race-car driver, Combs built an accomplished automotive-industry career. In 2019, she set a land speed record for women—522.783 mph—on an Oregon dry lake bed, but it was a feat that resulted in an accident that led to her untimely death at age 39.

As president of Vintage Air, Love never wavers from volunteering his time and expertise to the industry. Having served multiple terms as chairman of the SEMA Hot Rod Industry Alliance (HRIA), he has been a tireless ambassador, recruiting and encouraging individuals to deepen their association involvement and to learn, network and grow.

As a SEMA Board member and the co-founder and chairman of the SEMA Business Technology Committee, Moore was instrumental in creating standardized data and standards for the automotive specialty-equipment industry. His efforts ultimately resulted in the first-ever one-stop product information data pool.

As the son of the first SEMA Hall of Fame recipient Paul Schiefer, Carl Schiefer built a legacy of his own by founding one of the first marketing agencies dedicated to automotive brands. His agency, Schiefer Media, became instrumental in bringing motorsports brands to the mainstream public.

The careers and contributions of these inductees exemplify hard work, innovation, professionalism and integrity—the very hallmarks of the SEMA Hall of Fame. Their dedication and relationships within the industry have helped make the specialty-equipment marketplace what it is today. SEMA is honored to count these four individuals among its Hall of Fame recipients.

Jessi Combs

Fastest Woman on Four Wheels

Her racing suit was covered in Johnson Valley dirt, and her close friend and navigator Theresa Contreras was by her side. It was 2015, and Jessi Combs had shocked the world 12 months prior with a spec-class win at King of the Hammers, leading to an Ultra4 season in which she was crowned national champion. Despite the frustration of needing a new engine to continue, she still made time to talk to SEMA News, offering this advice to aspiring racers: “It’s dedication and passion, and when you have that, nothing can slow you down.”

Combs’ love for all things off-road and racing began in Rapid City, South Dakota, in 1980. Her family introduced her to exploring the great outdoors, creating a passion for both adventure and artistry.

That foundation from her childhood helped guide her career path, beginning with her first stop—a WyoTech classroom in Laramie, Wyoming. Graduating at the top of her class, she crossed the stage with a degree in custom automotive fabrication. During an interview for SEMA’s education department, Combs talked about her lightbulb moment from school.

“I knew that I liked cars. I knew that I liked fixing them. I knew that I liked racing them,” she explained, her eyes lighting up as she continued. “But I thought for sure that I was going to put my creative skills into custom painting. What I didn’t realize is how good of a fabricator I would turn out to be.”

WyoTech was the first to recognize her talent, offering her the chance to build a ’64 Mercury Cyclone alongside fellow classmate Ben Bright. There was just a six-month window to complete the project for a 2004 SEMA Show display. It was a different kind of race, and the podium was actually the convention center in Las Vegas. Her victory proved to be the start of a SEMA Show dynasty.

Her work on the Mercury also landed her an opportunity to be a guest fabricator on a popular TV show called “Overhaulin’.” Audiences were drawn to her personality, mesmerized by her talent in the garage and behind the wheel, and she added “TV Show Host” to her business card literally overnight.

From 2004–2008, Combs shot more than 90 episodes of “Xtreme 4x4” for Spike TV. She left in 2008 and began making appearances on “Two Guys Garage,” “TruckU” and “Full Throttle TV,” and she went on to be the season seven host of “Mythbusters.” She also found her way into the cockpit of numerous race vehicles and began filling her trophy case accordingly.

In 2013, Combs joined the North American Eagle Supersonic Speed Challenger team as it attempted to break the 512-mph women’s land speed record. With a top speed of 440 mph, she was christened “The Fastest Woman on Four Wheels.” The moniker fueled her need to compete as she returned to that familiar Johnson Valley, where she had been crowned “Queen of the Hammers” in 2014.

Despite the blown engine in 2015, Combs retained her legendary status with another first-place finish in the Every Man’s Challenge Modified Class in the 2016 King of the Hammers just to prove that she was the Queen. In a follow-up interview about her time racing King of the Hammers, Combs was beaming when SEMA News caught up with her.

“There is something inside of me that’s beyond competitive, that loves putting myself to the test endurance-wise and strength-wise, mentally and physically,” she said. “I mean the support system. It’s by far the most important. Not just my sponsors, but when it comes to friends and family, your team is super-duper important.”

On August 27, 2019, Combs achieved her dream of setting a new overall women’s speed record at 522.783 mph, but tragedy struck in a fatal accident during her final run that day.

When talking about Combs’ legacy, friends such as Theresa Contreras remember her support.

“In October one year, she jumped into the paint booth to say ‘hi’ and then popped back out,” Contreras remembered. “She was always a welcome surprise with her beautiful energy, but she could tell I was stressed out. When I walked back to the office later, there was a note sitting on my desk. It read, ‘Theresa, if there is anyone that can handle all this awesomeness it’s you! Love ya tons, Jessi.’”

Contreras teared up.

“That is Jessi,” she said. “Being everyone’s cheerleader! And she still is!”

Jessi’s brother Kelly also saw first hand how she always mentored and encouraged everyone.

“Her talent, work ethic and passion for the automotive industry were magnified by her natural ability to make a lasting impression on anyone she met.” He added, “It is incredibly special that SEMA was at the forefront of it all.”

When asked about the family’s emotions regarding Jessi being inducted into the Hall of Fame, her mother Nina Darrington offered a message of hope.

“The entire family is so very proud for her to receive this honor,” said Darrington. “Through this, her amazing tenacity, energy and passion in the industry will continue to inspire women. She was and forever will be an inspiration.”

The Queen of the Hammers. The Fastest Woman on Four Wheels. And now, SEMA Hall of Fame member. Ladies and gentlemen, the real deal: Jessi Combs.

Rick Love

From Hot Rodder to Industry Ambassador

As president of Vintage Air, Rick Love is passionate about hot rods, restomods and classic cars. He’s been that way since his youth, thanks in large part to his father.

“My dad worked at IBM his entire life, but he was kind of a car guy who did mechanical side work on other people’s cars,” Love explained. “In fact, I still actually have the ’56 Cadillac Sedan Deville he bought in 1958.”

Born May 7, 1961, Love grew up in Binghamton, New York—a small upstate town where nearby dirt tracks were his entertainment and introduction to the world of constant modification and improvement. Naturally, he segued to hot-rodding. As a high-school senior, Love built “a little ’40 Chevrolet that became my daily driver through college.”

After earning a degree in electronics, Love sought warmer climes in San Antonio, Texas, and landed a job with a simulator company that gave him the opportunity to travel the world. Much like his father, Love continued to build cars and did wiring and air-conditioning installations on the side from a home shop. He also freelanced for Rodder’s Digest magazine. His work caught the attention of SEMA Hall of Famer and Vintage Air founder Jack Chisenhall, who invited Love to assist in hot-rodding events and R&D projects.

“Then Jack called me one night out of the blue and said, ‘Why don’t you come meet me for breakfast? I want to talk to you a bit,’” Love recalled. That breakfast turned into lunch, then a dinner topped with a job offer.

“The timing was just really good,” Love said. “We had a young son [Matt] at home, and I was tired of all the traveling. I went to work for Jack full-time in 1998 and have been there ever since.”

Love was named company president in spring 2021, but from the beginning, Chisenhall encouraged him to get involved with SEMA, so he joined what’s now the Hot Rod Industry Alliance (HRIA) and became an energetic volunteer. He served on the HRIA select committee and as the council’s chair. A veteran of several Washington Rallys, he also served on the SEMA Board nominating committee and helped advance numerous HRIA education programs for builders.

“So many of these guys go from a backyard business to renting or owning a larger building, but nobody ever teaches them the business skills they need with that growth,” he observed. “I have also really enjoyed the HRIA feature vehicle program. One of our mandates was to get young upcoming builders and their cars to the SEMA Show and get them some limelight on the bigger stage. A lot of builders benefited from that. It gave them exposure they couldn’t get anywhere else. They would get television interviews, meet potential customers and encounter other industry people to help their career.”

In fact, Love considers the relationships built through SEMA—and especially at the Show—to be among the association’s greatest benefits.

“Where else can you learn what everybody else is doing with new products and trends?” he asked. “Just the people you meet and the information you can gain from people from all over the world is incredible. Some of the best industry connections I’ve made couldn’t have been made anywhere else.”

A tireless industry advocate, Love remains hands-on in the car hobby. Along with his father’s car, his collection includes a ’32 Ford coupe, ’72 Camaro, ’66 El Camino that serves as his runabout, and ’39 Ford Deluxe coupe that he has owned for more than 35 years.

“My wife Linda and I were just dating—gosh, that was 1991 or so,” he said. “We got in that ’39 and went to Florida for an NSRA event. Her family was just aghast that we were going to get in that old car and drive all the way to Florida.”

Today their son Matt is about the age Love was when he started building hot rods. So will Matt carry on the tradition?

“Interestingly, he likes the old cars, and we got a ’56 Ford Victoria two-door hardtop when he was a junior in high school,” Love said. “It’s a basic restoration that we upgraded a little bit for daily driving. It’s funny, but in many ways he’s representative of our new kind of customer, because he loves that ’56 and drives it everywhere, but he’s not a mechanic. Changing the oil is about all he does, but he loves the car.”

And that leads to what Love views as one of the industry’s big challenges.

“I think we need to do everything we can—as SEMA is—to get as many younger people as we can interested in not only the industry but cars in general. Growing up, cars were your ticket to freedom,” he said, adding that the industry can still offer that thrill to young people, albeit differently.

“I feel so blessed to be involved with this industry,” he concluded. “Jack Chisenhall took a chance on me as a young kid and gave me a rope and room to grow. This industry has given me the best friends of my life, and we’re all so fortunate to be part of this family.”

For his work spreading that family experience to others, Rick Love joins the Hall of Fame.

Bob Moore

An Online Marketing and Sales Visionary

When Bob Moore was notified by SEMA President and CEO Chris Kersting of his induction into the SEMA Hall of Fame, his reaction was, in his words, “stunned disbelief.”

“I told Chris, ‘I’m not a builder, and I’m not a racer,’” Moore recalled.

Fair enough, Kersting replied, but what Bob Moore had accomplished was equally noteworthy and deserving of recognition. In Moore’s case, his accomplishments span some four decades in the aftermarket as a marketing visionary and a tech innovator who helped shepherd the industry into the digital age. And yet, a career in the aftermarket was not among his future plans as a young man.

“I like to say that I didn’t pick the aftermarket,” he said. “The aftermarket picked me.”

Moore grew up in the Kansas City area. While attending Kansas State Teachers’ College with a dual major—psychology and anthropology, which “qualified me to be a tedious conversationalist”—he and a roommate started a college radio station, which led him to the worlds of marketing and advertising. Upon graduation, he took a marketing job at a local agency that included a number of automotive aftermarket companies as clients. That eventually led him to his first SEMA Show in 1980.

“SEMA was really cool,” Moore recalled. “Even then it was big, and it was really cool to walk around and see all the cars, the stars and the drivers.”

That led him to focus his sales and marketing expertise more exclusively on the aftermarket in the ensuing years, eventually working with leading companies such as Dana, Western Auto and Federal Mogul. But working with such big clients gradually “drew me away from SEMA, where it all started,” so in 1996 he started his own company, Bob Moore & Partners, where he began to focus his attention on “this crazy little emerging technology called the internet.”

In those early days, he recalls, it wasn’t easy to convince clients to embrace the new technology as a sales and marketing tool for fear of disrupting their existing business models.

“But what I learned early on in helping customers put their products on the internet was the importance of data—and more importantly, getting that data into a shareable state,” he said. “In those days, manufacturers had all that information—images, drawings, installation instructions, specifications—but they didn’t have it readily packaged to be shared, and there wasn’t a mechanism to gather up all the information and distribute it, either to their point-of-sale systems if they were a retail chain or to post on their websites if they were a web seller.”

After working for several years with clients on building and maintaining shareable online databases, a phone call led him directly back to SEMA in 2002.

“Jon Wyly [former SEMA Data Co-op CEO] called me and said that SEMA had been watching my work, was trying to replicate what the aftermarket was doing, and he asked if I’d be willing to help out,” Moore recalled. “I said ‘Sure,’ and that’s when we formed the SEMA Business Technology Committee.”

Out of that initial collaboration came a working study group that, nearly 20 years later, has evolved into the SDC, now known as SEMA Data. In its present form, it serves as an industry-leading shareable database hosting more than 4.6 million parts with 67 million applications.

Looking back on the project, Moore said it’s the career accomplishment he’s proudest of, adding that “it took a lot of vision on the part of a lot of people on the Board and on the [SEMA] staff to convince the naysayers that this was the thing to do.”

But Moore’s experience in digital sales and marketing predates SEMA by many years. In 1983, working with Clevite Engine Bearings, he created Compukit—one of the industry’s first electronic engine-parts catalogs. He also co-founded Free-Cat, a supplier-led electronic parts catalog and data service. During his time working with Dana Corp., he helped create the first vendor-managed inventory system, called the Collaborative Automated Replenishment Program.

Moore’s career accomplishments extend far beyond data management, however. He has taught several University of The Aftermarket courses, most notably on the subject of supply-chain technology, and is a recipient of Northwood University’s prestigious Automotive Management Education Award. His monthly column, “Ahead of The Curve,” was featured in Aftermarket Business Magazine for more than 30 years (he estimates that he’s written some 3,000 pages of copy), and he’s also been a featured speaker at events hosted by the Aftermarket eForum, the Automotive Warehouse Distributors Association, the Automotive Suppliers Association and other industry groups.

As a SEMA volunteer, Moore’s record is extensive, including two terms on the Board of Directors and its executive committee; service as a SEMA Ambassador; six years of lobbying in Washington, D.C., as part of the SEMA legislative team; chairmanship of the SEMA Person of the Year Task Force; and as a speaker at numerous SEMA educational forums. He was awarded the SEMA Chairman’s Service Award in 2010 and is now a Hall of Fame inductee for 2021 for his contributions to the industry.

“I always had an interest in technology, and I always had an interest in marketing and selling,” Moore reflected. “The confluence between these two things is what drove me throughout my career.”

Carl Schiefer

Family Tradition, Groundbreaking Media

Carl Schiefer is known as a pioneer of automotive aftermarket and motorsports marketing. He was the first to bring high-performance products and motorsports personalities to a mainstream audience through cable TV advertising. With spots on then-budding cable channels such as ESPN and TNN, Schiefer helped aftermarket companies capture more market share, gain a massive number of leads, and generate new business overall.

As the son of Paul Schiefer—the first member of the SEMA Hall of Fame and a legend in the development of the earliest flywheels and clutches for all-out high performance—Carl grew up around racing. He spent his early years watching his father race in dry lake meets during the late ’40s. The time he spent at the track inspired him to get behind the wheel and compete.

“My father was very successful at the dry lakes, and I admired that,” Schiefer said. “It made me want to punch the throttle.”

By the time he was 13, Schiefer was helping to promote the Schiefer Manufacturing Company and its high-performance products at local racetracks and businesses. With a love of high performance in his blood, it did not take long before Schiefer’s days at the track watching his father shifted to days at the track racing for Don “Big Daddy” Garlits.

“We’ve always had a great relationship with ‘Big Daddy,’” Schiefer said. “I have been friends with him since I was 13 years old. It was the same time when my father was running the clutch business and I was promoting it.”

During Schiefer’s time chasing checkered flags, he competed against other racing greats such as Tommy Ivo and the Smothers Brothers. He raced Top Gas and Top Fuel dragsters and credits his success to technicians who knew how to push the most power from an engine, pre-race preparation, and a bit of good timing.

“At the track with Big Daddy, for example, he’d have me change tires, check the engine and everything on the car, and then take a pass with it,” Schiefer recalled. “I was fortunate to work with great racers and mechanics—guys who really knew what they were doing. I happened to capture the essence of leaving the starting line first and won some races.”

He continued to race through his late 20s. In his 30s, Schiefer worked as a marketing director for several high-performance parts manufacturers. He had already earned a reputation as a worthy competitor and a trustworthy person, which helped him build strong relationships with racers and forge friendships throughout the motorsports industry, but it did not stop there.

During his short stint running a landscaping business, Schiefer’s reputation and hard work created an unexpected opportunity to shift into sports marketing. He was doing work at Don Sutton’s house, and the Hall of Fame pitcher was impressed with the job that Schiefer had done. He was equally impressed with Schiefer’s work ethic and background in advertising and promotion.

As a sports agent, Schiefer represented athletes such as Eric Dickerson and Wilt Chamberlin in addition to Sutton. He created advertising and marketing campaigns promoting professional athletes to a wide audience.

It was around that time that he was out at a track with his good friend Steve Evans. With a few words, Evans would steer Schiefer in a direction that would permanently change the future of motorsports marketing.

According to Schiefer, Evans said, “We should check the cable TV business. It’s going to be a big thing.”

Through Schiefer Media, companies that were never before seen on TV, such as MOPAR, Edelbrock and Bilstein, gained brand exposure outside of the ordinary automotive advertising avenues. Schiefer Media soon was working with retailers such as AutoZone and Advance Auto Parts, creating national advertising to drive business to those stores.

“We broke out of the traditional Hot Rod magazine-type of advertising and took them on ESPN, ESPN Sports and TNN, and we helped grow the businesses in a national market,” Schiefer said.

Even with a history of racing, promotion and marketing, combined with his work with SEMA and his extraordinary reputation in the automotive aftermarket, an induction into the SEMA Hall of Fame was something that he did not expect.

“When Chris Kersting called me to tell me I am being inducted, I was shocked.
I really was,” Schiefer said.

Today, Schiefer Media continues to operate as SCS, with Schiefer’s son James as CEO.

James shared his father’s excitement and appreciation of being inducted into the SEMA Hall of Fame, something that’s becoming a trend for the Schiefer family.

“It’s an incredible honor,” James said. “Seeing my dad’s lifelong passion for the automotive industry, his commitment to his friends, to the brands, to SEMA, it was beyond work for him. It was fun. He followed his father’s footsteps; I guess I have big shoes to fill for myself.”

To that, his father replied, “I think you’re filling them nicely.”

SEMA News—August 2021

PEOPLE

SEMA Announces New Board of Directors Members

By Mike Imlay

The SEMA Board of Directors is composed of industry representatives who volunteer their time to lead and guide the association. They are elected by SEMA-member companies and reflect the trade association’s key membership categories: manufacturers, distributors/retailers, manufacturers’ representatives and services.

Member terms are staggered so that there is regular turnover in the Board’s composition. For the 2021 election cycle, there were 10 candidates running for six open seats, which included chair-elect, distributors/retailers, services, and manufacturers board positions. Online voting took place from May 11 through May 25 and was open to all current SEMA-member companies. Per SEMA bylaws, votes were cast by each company’s primary contact.

With the results tallied, SEMA announced that Kyle Fickler of Driven Racing Oil will become the chair-elect. In addition, Larry Montante of Keystone Automotive Operations and Steve Whipple of Jegs High Performance were elected to distributors/retailers seats; Kim Pendergast of Magnuson Superchargers and Brian Reese of Driven Lighting Group were elected to manufacturers seats; and Lindsay Hubley of Lodestone Events was elected to a services seat.

The entire Board of Directors is honored each July at the association’s Installation & Gala, which for 2021 takes place Friday, July 30, in the new West Hall of the Las Vegas Convention Center. This year, outgoing Immediate Past Chair and Secretary Wade Kawasaki of Legendary Companies and Board members Donnie Eatherly of P&E Distributors, Dan Kahn of Kahn Media, and Brian Lounsberry of One 6 Motorsports also will be recognized for their service on the Board.

The following pages provide biographical information and statements from the newly elected Board members regarding the platforms they ran on, their views on issues confronting the industry, and their priorities for serving the association.

Chair-Elect

Kyle Fickler
Director of Sales & New Business Development
Driven Racing Oil

As SEMA Board chair-elect, I will work to maintain our right to modify our vehicles and have a place to enjoy them. This freedom can be restricted in many ways, but whether it is regulatory, legislative or societal, we need to act proactively as an industry to provide solutions. I bring SEMA members a unique perspective blended from the education of a licensed attorney, the unwavering commitment required of a business owner, and the hands-on passion demonstrated by a virtual lifetime of successful participation in motorsports and our industry.

I have served the last eight years on the SEMA Board of Directors and as SEMA treasurer, following six years as a select committee member and as chair of the Motorsports Parts Manufacturers Council. I’ve also served on numerous SEMA task forces and committees, including:

• SEMA Board Executive Committee
• SEMA Investment Committee
• SEMA Budget Committee (chair)
• PRI Advisory Committee
• SEMA Manufacturer of the Year Task Force (chair)
• SEMA Person of the Year Task Force
• SEMA Board Nominating Committee (chair and three-time member)
• SEMA Town Hall (host and three-time panelist)
• MPMC Rules of the Road (three-time panelist)
• MPMC Future of Performance (panelist)
• CBLC Liaison
• SEMA PAC President’s Club

Although I am a licensed attorney in Missouri and Montana, my best experience has been in service of three different industry-leading manufacturers dating back more than 25 years: director of business development for Aeromotive Inc.; vice president of sales and equity partner at Weld Racing LLC; and current director of sales and business development at Driven Racing Oil.

I am very active in motorsports, with an AHRA world championship and two NHRA national event wins to date. My wife and daughter also race, with Danika (my daughter) winning back-to-back races to start this season. When I’m not racing, you are likely to hear a story about our JK on a Badge of Honor trail. Like most gearheads, we also have plenty of projects (10) that need attention.

Our industry is what my family lives for, and I will be a capable and energetic leader serving our industry for the benefit of current and future generations.

Distributors/Retailers

Larry Montante
Vice President, Category Management
Keystone Automotive Operations

My name is Larry Montante, and I am excited to have the opportunity to serve the SEMA membership.

The market is changing, and it’s time for action with a fresh approach. I am a proven, innovative leader with 37 years of industry experience across many functions and channels, and I know the needs of the supplier, retailer and consumer.

Agenda: Leveraging my experience, passion for driving change and strategic nature, I will drive several impactful topics to be part of SEMA’s future plans.

• Preserve: Protect our industry by engaging in key legislative areas, understanding and managing market shifts that cause disruption, fostering the creative passion that drives our industry, and preparing for changes brought on by future vehicles and technologies.
• Grow: Expand our industry and increase consumer awareness, target youth markets and onboard new enthusiasts and consumers while developing plans to pursue adjacent markets.
• Engage: Drive more engagement from existing membership and grow membership; drive effectiveness and reach of SEMA communications; diversify SEMA’s influence beyond the SEMA Show and deliver more consumer reach through digital channels.

Experience:

Career: 37 years with Keystone Automotive. Well-versed in different business functions from my various leadership roles:

• Currently: vice president, category management.
• Previously: vice president, marketing; pricing and analytics director; category manager; buyer; salesperson; retail store associate; and warehouse associate, where I started my career at Keystone.

Industry: Served on the SEMA Show Committee, TORA, WTC and YEN. Hosted several SEMA events and served as an advisor to SEMA and member companies. Currently a Federated Group Executive Board member.

Accomplishments: Multiple SEMA WD of the Year Awards and more than 30 top customer awards. Launched more than 25 innovative programs, websites, loyalty programs, promotions, shows and publications. Led new brand, product and market launches. Graduate of the Wharton School Advanced Management Program.

At Work for You: As a hands-on driver of change, I will deliver fresh thinking to protect the future of our industry and promote growth.

Distributors/Retailers

Steve Whipple
Director of Private Label Sourcing
Jegs High Performance

The world has changed; undoubtedly, we won’t go back to where it was. It’s time for leadership to shape the industry of tomorrow: new thinking, new innovation, new motivation, new inspiration, new transparency and commitment—not the same old stuff. It’s not the same old world!

Passions

• Protect the Industry: Guard against being regulated out of business with unnecessary regulations and governmental overreach.
• Focus on the Future: Overcome the challenges in vehicle technology, including electric vehicles; successfully engaging the next generation of automotive enthusiasts, including customers and employees, to influence our great industry going forward.
• Provide a Passionate Voice for All SEMA Members: Whether you’re a manufacturer, a warehouse distributor, an industry service provider or a small shop fighting for your life, I will be your voice. I will serve the SEMA members passionately.

Leadership Experience

• Jegs Automotive, director of private brands–new markets (four months)
• Edelbrock, vice president, sales and marketing (21 years)
• Nitrous Oxide Systems (NOS), director, sales and marketing (two years)
• Super Shops, western states sales manager (22 years)
• 20+ years in performance core manufacturing
• 20+ years in performance distribution
• 40+ years in the performance industry

SEMA Service and Awards

• SEMA Board of Directors (three years)
• SEMA MPMC Select Committee (five years)
• SEMA WD of the Year Committee (five years)
• SEMA Rep of the Year Committee (three years)
• Attended the SEMA Washington Rally to meet with
• Congress in support of the RPM Act
• PWA 2015 Person of the Year
• SEMA MPMC 2016 and 2017 Chairman’s Award
• SEMA MPMC Hall of Fame

Personal Life

• Been married for 42 years to the same lady, Lisa.
• Have two great kids: Lindsey, 37, married to Christian; and Michael, 32, married to Kelly. I also have two “faultless” grandkids, Charlotte and Elliot.

Manufacturers

Kim Pendergast
CEO
Magnuson Superchargers

I’m Kim Pendergast, CEO and owner of Magnuson Superchargers and an entrepreneur with 44 years of experience in business and 15 years in the automotive aftermarket. Although new to the SEMA Board (replacing Dr. Jamie Meyer when he became president of PRI), I have experience on five boards in the automotive industry.

So why did I run for reelection? Simple: I believe it is critical that we protect our industry—my business and your business—from increasing attacks by the EPA and restrictive government regulations. I will be a voice in the boardroom, pushing for our industry—through SEMA—to mount an aggressive and effective response in Washington.

How? First, SEMA must grow its political action committee—and quickly. Next, SEMA must proactively and massively push back against the actions being taken against our industry through public awareness campaigns, grassroots efforts and organized, aggressive outreach campaigns at the local, state and national levels. Let them know who we are and why we are important!

As a business owner and manufacturer, I understand all too well the issues the industry is facing, and I want to address them head on. I promise to help SEMA be a strong industry advocate in Washington and make clear to America, to Congress and to regulators who we are and the immense popularity and size of our industry.

New technological trends such as electrification threaten to become political mandates. We must take the lead on these issues and make sure the aftermarket is not banned from playing a role in the future modification of vehicles.

I have been a member of SEMA since 2005 and a strong supporter of the SEMA Businesswomen’s Network (SBN). In 2018, I was honored with the SEMA SBN Athena Woman of the Year Award. I served as the SEMA chair of the 2017 Person of the Year Task Force as well as the 2018 Scholarship Committee.

As a Board member, I will fight for our companies and our industry as a whole.

Manufacturers

Brian Reese
President and CEO
Driven Lighting Group

With the honor of serving on the SEMA Board, my overarching commitment is to represent the best interests of all SEMA members. My focus will start with four objectives. First, keep our industry legal! Legislative threats must be met with increased proactive effort from SEMA, and I will push for that. Second, SEMA must look forward and prepare the industry for emerging trends and technology, such as vehicle electrification. I will drive SEMA to lead this charge. Third, I will push SEMA to market the thrills and excitement of the aftermarket in order to attract new enthusiasts and appeal as a career for talent so that we continue to be relevant and enticing to next generations. Finally, my door is always open—I welcome contact from the members who I am here to serve.

I bring broad and extensive experience, having worked my entire career for SEMA-member companies across several categories. Currently, I am the president, CEO and co-owner of Driven Lighting Group—the leader in aftermarket lighting. Previously, I was the president and CEO of Race Winning Brands (JE Pistons, Wiseco, Diamond Pistons, Trend, Dart, MGP, Rekluse, ProX and Manley). Prior to Race Winning Brands, I served as a vice president at Comp Performance Group, vice president at Craftsman and DieHard, and director at SLP Performance.

My SEMA volunteer experience spans more than 20 years, starting as a YEN member. I have served on three councils (SCC, SPC and ETTN), chaired two councils, was elected to the CBLC, served as a YEN Launch Pad judge, and served on several task forces and committees, including the SEMA Hall of Fame, Gen-III Innovator and SEMA Garage planning team. I have been honored with the GEN-III Innovator (2012) and YEN Vanguard (2020) awards.

I am a fanatical “car guy.” From motorcycles to Jeeps to classics to performance and racing, I am an active participant. I have built engines, painted cars, raced motocross, autocrossed, road raced and drag raced. It’s my passion, personally and professionally. Beyond SEMA, I am also an endurance athlete who enjoys precious time with my wife and son as well as traveling the world.

Services

Lindsay Hubley
Managing Partner
Lodestone Events LLC

My name is Lindsay Hubley, and I am honored to be elected to the SEMA Board of Directors. I am an experienced public trade show and consumer event strategist with a passion for the overall sustainability of the automotive aftermarket, fostering the careers of women and youth, protecting our right to modify our vehicles and OHV land-use advocacy!

I grew up in this industry, working into a leadership role in my father’s event production company­—producing events such as the Hot Rod Power Tour, the Car Craft Summer Nationals, the Sand Sports Super Show and the Off-Road Expo. Today, I am a 20-year active SEMA member and co-founder of Lodestone Events, producers of the Overland Expo series.

Over my career, I’ve produced thousands of events reaching millions of automotive enthusiasts nationwide across racing/performance, classic car, powersports and off-road. My event management background, combined with the successful pivot of a live-event business through the pandemic, makes me uniquely qualified to guide SEMA’s development of a hybrid trade show strategy that is both live and virtual, and a 365-day content plan to engage young innovators and expand SEMA’s reach.

Youth Engagement, Education and Advocacy:

• SEMA Young Executives Network (YEN) Select Committee (2012–2016)
• Developed the first SEMA YEN Launch Pad (2013)
• Developed the first SEMA YEN Power Tour (2014)
• SEMA Political Action Committee Member (2015–2021)
• Curated Overland Education for the SEMA Overland Experience (2019)

Current Positions:

• Off-Road Business Association Board Member
• Tread Lightly! Education and Fundraising Partner
• Founding and Current Board Member, One Voice Foundation for Off Road Motorized Recreation

Strategic Initiatives:

• Expand SEMA’s youth engagement and global reach.
• Enhanced SEMA member benefits, including a robust year-round business education program.
• Address threats from intellectual property and trademark infringement plus the counterfeit community.
• Automotive and aftermarket industry sustainability in a looming net-zero emissions economy.
• Protect the right to modify our vehicles and motorized access to public lands.

I am an industry professional who raises the bar, questions the status quo and drives change. As a SEMA Board member, I will protect our right to innovate, modify and recreate the automobile.

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

Federal Trade Commission Report Criticizes Anti-Competitive Repair Restrictions

By Stuart Gosswein

The Federal Trade Commission (FTC) issued a report to Congress in May that is highly critical of anti-competitive repair restrictions employed by manufacturers that limit consumer choice.

While the report focuses on product service and repair issues, it also has ramifications for the specialty parts industry. At stake is the consumer’s right to have a vehicle serviced, repaired—and modified.

In July 2019, the FTC held a “Nixing the Fix” workshop that formed the basis for the report on repair restrictions. The FTC considered a wide array of products ranging from printers to computers, with a focus on automobiles and mobile phones.

Consumer products are becoming harder to fix, and repairs often require specialized tools, difficult-to-obtain parts, and access to proprietary diagnostic software, according to the FTC. Repair options decrease as a result, placing an increased financial burden on lower-income and underserved populations.

The FTC said that there was “scant evidence to support manufacturers’ justifications for repair restrictions.” Manufacturer explanations for the restrictions were divided into six categories: protection of intellectual property, safety, cybersecurity, liability and reputational harm, consumer design choices, and quality of service.

The report provided examples of how manufacturer restrictions can block repairs. For example, the FTC reviewed access control technologies employed by OEMs, such as software locks, digital rights management tools, and technological protection measures. While manufacturers argue that those measures are necessary to protect proprietary hardware and copyrighted technologies, repair advocates argue that such tactics lock out independent service providers and consumers from basic repairs.

The report considered the potential for manufacturers to engage in unfair repair restrictions to limit aftermarket competition. Under the Magnuson-Moss Warranty Act (MMWA), it is illegal for a manufacturer to void a warranty or deny coverage if a customer has a repair or maintenance performed by an independent repair shop or using a third-party replacement part (unless the original manufacturer provides the service or part for free).

The MMWA’s anti-tying provision is not limited to service and repair issues. It also applies to specialty parts and modifications. For example, SEMA noted in testimony submitted to the FTC’s 2019 workshop that it periodically receives complaints of auto dealerships voiding warranties if the dealership finds a specialty part (e.g., custom wheels) had been installed on the automobile, regardless of whether the specialty part caused the automobile to malfunction.

While the FTC said that the manufacturer or dealer must show that the aftermarket part caused the need for repairs before denying warranty coverage, SEMA recommended that the agency go one step further and require a written explanation.

The FTC expressed concern over whether the MMWA’s anti-tying provision is keeping pace with technological challenges that have the potential effect of tying a repair to the OEM or their authorized dealers using OEM parts. Examples provided include:

• Unavailability of parts and repair information.
• Designs that make independent repairs less safe.
• Policies or statements that steer consumers to manufacturer repair networks.
• Application of patent rights and enforcement of trademarks.
• Disparagement of non-OEM parts and independent repair.
• Software locks and firmware updates.
• End-user license agreements.

The report explored ways to expand consumer repair options. Using the MMWA as a tool, the FTC could revisit whether manufacturers are in compliance and consider whether some repair restrictions are violations of antitrust law. The FTC could update its written guidance and regulations on the topic, although the agency acknowledges that the pursuit would be challenging given the variety of repair restrictions and widespread applicability to multiple industries.

The report also identified industry self-regulation as potentially beneficial while noting that only the auto industry has created and implemented it. In 2014, trade groups representing the automakers and independent repair shops and aftermarket replacement parts manufacturers entered into a Memorandum of Understanding after Massachusetts passed a motor vehicle right-to-repair law. Manufacturers agreed to sell the diagnostic and repair information made available to their dealers to car owners and independent repair shops.

In 2020, Massachusetts voters approved a new ballot initiative to essentially expand the existing right-to-repair law to telematics. Starting with model year 2022, “manufacturers of motor vehicles sold in Massachusetts to equip any such vehicles that use telematics systems…with a standardized open access data platform” that would enable vehicle owners to authorize independent repair facilities and dealerships “to retrieve mechanical data from and send commands to the vehicle for repair maintenance and diagnostic testing.” The ballot initiative is currently subject to a court lawsuit.

The report also examined legislative approaches for expanding repair options. Several state laws were cited that require manufacturers to make available adequate service information and replacement parts to warranty stations and independent service facilities for a certain period of time. The European Union is beginning to take up the issue as well, recently adopting some regulations aimed at increasing consumer repair options in the home appliance industry (refrigerators, washing machines, dishwashers, etc.).

The FTC concluded that it will pursue appropriate law enforcement and regulatory options to address unfair repair restrictions as well as consumer education. The FTC also stands ready to work with legislators, either at the state or federal level, to protect consumers’ rights and choices in repairing products that they own.

Vehicle Modifications

While the FTC report is generally focused on service and repair issues, consumers also have the right to modify their vehicles without fearing warranty coverage denial based on the installation of a specialty auto part.

Federal warranty laws prevent vehicle manufacturers, dealers and others from unjustly denying warranty coverage. Regarding aftermarket parts, the spirit of the law is that warranty coverage cannot be denied simply because such parts—replacement or specialty—are present on the vehicle or have been used. The warranty coverage can be denied only if the aftermarket part caused a malfunction or damage for which warranty coverage is sought. If disputes arise, they are generally over facts and technical opinions rather than interpretations of the law.

Federal Warranty Laws

The Magnuson-Moss Warranty Act (15 U.S.C. 2302(c)): This federal law regulates consumer warranties. The essence of the law concerning aftermarket auto parts is that a vehicle manufacturer may not condition a written or implied warranty on the consumers using parts or services that are identified by brand, trade or corporate name (such as the vehicle maker’s brand) unless the parts or service are provided free of charge.

The law means that the use of an aftermarket part alone is not cause for denying the warranty. However, the law’s protection does not extend to aftermarket parts in situations where such parts actually caused the damage being claimed under the warranty. Further, consumers are advised to be aware of any specific terms or conditions stated in the warranty that may result in its being voided. The law states in relevant part:

“No warrantor of a consumer product may condition his written or implied warranty of such product on the consumers using, in connection with such product, any article or service (other than article or service provided without charge under the terms of the warranty) which is identified by brand, trade or corporate name….”

Clean Air Act Warranty Provisions (42 U.S.C. S 7541(c)(3)(B))

The federal Clean Air Act requires vehicle makers to provide two emissions-related warranties: a production warranty and a performance warranty.

The production warranty requires the vehicle maker to warrant that the vehicle is designed, built and equipped so that it conforms to emissions requirements at the time of sale.

The performance warranty requires the vehicle maker to warrant that the vehicle will comply with applicable emissions requirements as tested under state vehicle emissions inspection programs for the specified warranty periods. The performance warranty is conditioned on the vehicle being properly maintained and operated.

As with the MMWA, vehicle manufacturers may not refuse warranty repairs under the Clean Air Act’s performance and defect warranties merely because aftermarket parts have been installed on the vehicle. The only circumstance under which the vehicle manufacturer can void the emissions warranties is if an aftermarket part causes the warranty claim.

Manufacturer warnings to their dealers are another way in which consumer choice may be limited. For example, the automakers periodically issue warnings that put dealers on notice that the use of non-
authorized parts or non-authorized vehicle modifications may void the manufacturer’s warranty obligation and create liability exposure for the dealer.

While most of the warnings do not cross the line of violating the MMWA’s prohibition of tying sales of branded products and services as a condition of warranty coverage, the FTC has flagged several warnings in recent years. In those cases, the agency placed the automaker on notice that it must change the warnings or face FTC legal action.

Technology is ever-evolving. Whether it is addressing cybersecurity concerns or controlling data, SEMA is working with its industry partners to make sure consumers always have the right to modify their vehicles and enjoy their rides.

For more information, visit www.semasan.com/resources/warranty-issues.

SEMA News—August 2021

LEGISLATIVE AND TECHNICAL AFFAIRS

Putting Out Fire…With Gasoline!

Government Actions Ignite Epic Auto Advocacy Movement

By Colby Martin

“Save Our Race Cars” is the banner uniting the automotive masses as legislative advocates. The latest phase of the saga to ensure that the Recognizing the Protection of Motorsports (RPM) Act becomes law has shattered previous efforts with viral strength. Many will recall first learning of the unreasonable interpretation of the Clean Air Act by the U.S. Environmental Protection Agency (EPA) in 2016, which has sent a chill through the automotive community ever since. The race to pass the RPM Act has now taken on a groundbreaking pace.

When seeking influence on any public policy such as the RPM Act, the most important measure of horsepower often comes from the voters affected by the law. After all, politicians rely on constituent opinion—that’s us—when making decisions.

For elected officials, the math is simple: More individuals sharing a common issue means more of those enthusiasts weighing in at the polls. Thus, lawmakers are looking to be attached to proposals that are likely to be popular and ultimately enacted into law. An eager electorate holding policymakers accountable is key to swaying favor—a fact that is especially true at the federal level, where incredible volumes are required to cut through the noise.

A passionate and like-minded group of advocates working together can wield huge influence on how we’re governed. Enthusiasts comprise a significant population and are invested in our industry’s political capital and its future. Tapping into that collective energy and channeling the power of their individual votes forms the mission of the SEMA Action Network (SAN). Representing the auto hobby’s legislative voice, the SAN continues to build strength in numbers nationwide. Amid constant threat, this unified legion sticks up for a thriving marketplace when it matters most. More than two decades of legislative victories and communication with hundreds of hobby-friendly lawmakers reinforce why outreach works.

Unlike years past, 2021 brought with it uniquely challenging circumstances for fans of cars and trucks far and wide. Widespread uncertainty, doubt and anger following a series of difficult world events spawned an edgy undercurrent. Tensions were further stoked by numerous cases between the EPA and aftermarket manufacturers.

In one recent lawsuit, the EPA again maintained that once a vehicle has been certified as a street vehicle, it cannot be converted into a racing vehicle, even if it is trailered to the track and is never driven on public roads. While the EPA maintains that it won’t enforce against modified vehicles used on the track, the agency still contends that it has the authority to do so if it chooses.

As a result, the early months of 2021 had the makings of a perfect storm, where the RPM Act was the logical safe harbor: It provides permanent certainty for racers and businesses that produce and sell race parts.

The SAN has experienced an all-out explosion of its contact base. It has grown by 250% overall in recent months and now numbers more than 300,000 individuals ready to weigh in on public policy. At long last, this grassroots force holds a distinct advantage in the eyes of politicians, with far more voters demanding a resolution this year than any other.

Word travels online at light speed, for better and for worse. The digital blitz by racers and fans made the U.S. Congress acutely aware of just how formidable and highly concerned our industry is at present. And it’s ready for battle.

The RPM Act must pass this year, and the odds have never looked more in our industry’s favor. Congress simply can’t ignore the surge of support from racers and fans—the constituents who elected its members to office—demanding action to bring the bill across the finish line for good.

This momentum must be sustained with newly reintroduced legislation eligible for consideration in the current session of Congress. SEMA worked in close coordination with U.S. Representatives Patrick McHenry (R-NC) and Raul Ruiz (D-CA) as they introduced H.R. 3281 along with 46 other original sponsors. A similar effort is underway in the U.S. Senate. Please do your part—keep up the heat!

Fuel The Fire

It’s go time, so don’t let off the accelerator. Your drive is as important as ever, so please sign the letter at SaveOurRacecars.com. Even if you’ve previously contacted your lawmakers about the RPM Act, we need your voice once again now that the bill has officially returned in 2021. The million letters sent are working and resulted in the legislation’s reintroduction this session. Tell your lawmakers to do their part to finally save racing from government threat by supporting and passing the RPM Act into law this year.

Don’t Get Burned

Concerned with protecting your business against emissions enforcement? Find full details and background on the subject in “Is There Something in the Air,” which appeared in the June 2021 issue of SEMA News (www.sema.org/june_2021/something_air).

What Laid the Foundation?

Action by the EPA

In 2015, the EPA proposed a rulemaking that included language suggesting that once a vehicle has been certified as a street vehicle, it cannot be converted into a racing vehicle even if that vehicle is trailered to the track and is never driven on public roads.

Following a huge SEMA-led public outcry, the EPA withdrew the draft provision in April 2016 and noted that it had “no interest in vehicles that begin their existence as normal, EPA-certified production vehicles used on public roads and are then permanently converted to sanctioned competition-use only vehicles.”

However, the EPA continues to assert that the Clean Air Act (CAA) does not allow a motor vehicle to be converted into a racing vehicle used solely for competition.

The agency created a national compliance program and announced that enforcement against high-performance parts, including superchargers, tuners and exhaust systems, is a top priority for this year and beyond.

Clean Air Act

Introduced in 1970, the CAA regulates, among other things, motor vehicles on streets and highways throughout the United States.

The CAA’s anti-tampering provision in Section 203 of the act prohibits selling parts intended for use with or as part of any motor vehicle or motor-vehicle engine where the principal effect of the part or component is to bypass, defeat or render inoperative any device or element of design installed on or in a motor vehicle or motor-vehicle engine in compliance with regulations.

For 45 years, the CAA’s anti-tampering provision applied only to motor vehicles driven on public roads, and street vehicles were allowed to be converted into dedicated race cars that were never driven on the street again.

  SEMA News—August 2021

REQUIRED READING

By Juan Torres

Technology and Innovation on Display

Since 1967, manufacturers of automotive aftermarket parts have relied on the SEMA Show to debut their products and conduct business, so after having to spend more than a year mostly separated, the industry is eager to reconnect at the 2021 SEMA Show.

Companies exhibiting at this year’s SEMA Show have already selected their booth spaces and are preparing to bring nearly two years’ worth of innovation and new technology to share with attendees. The exhibits will be housed throughout the four halls of the Las Vegas Convention Center, including the newly constructed West Hall and the outside areas. Below are some of the publications that look forward to the SEMA Show every year to highlight what’s new in the industry.

Street Trucks Because the SEMA Show is a trade-only event, John Mata Jr. felt that it was his duty to filter through the many new products at the SEMA Show and highlight the ones that would appeal to his readers. His final report included descriptions and photos of more than 40 new parts for 2020.
Window Film Editor Emmariah Holcomb referred to the SEMA Show as “the mecca of everything aftermarket” in her comprehensive report for Window Film. Readers learned about new products and trends in the automotive film industry, including highly popular paint-protection films.
Tomorrow’s Technician In his in-depth report on cooling systems, Brendan Baker described how some companies have developed thinner radiators to fit into reduced spaces. One of the manufacturers of such products is Proform Parts, which debuted its Slimline radiator at the SEMA Show.
Heard on Social Media “Come see Equalizer Auto Glass Tools at SEMA! They have new products, and there will be live demos of their Auto Glass Tools.”—Autobody News, via Facebook “If you want to do some modifications on your truck in the near future, SEMA is the place to look for ideas, inspiration and the newest innovations.”—Truckin’, via Facebook “Check out Induction Innovations’ demonstrations of some of their new products—including the Mini-Ductor Venom HP and two new coil packs.”—BodyShop Business, via Twitter “ATI now has a Super Case for those who use a Turbo 350 transmission. Check it out right here.”—Dragzine, via Facebook

SEMA News—August 2021

BUSINESS

Restomodding: Business Is Still Booming

Marrying Classic-Car Styling With Modern Performance

By Chad Simon

The consensus is clear: The transition to electric vehicles is currently underway and will eventually make a hard push into the restomod segment of the industry. Also worth noting, other than some supply-chain issues with getting parts, the COVID-19 pandemic that has plagued the world over the past year and a half has not quenched consumer thirst for wanting to restore classic cars using modern technology.

We spoke with three leaders who specialize in building, customizing and restoring classic vehicles to discover the latest industry trends and what the future holds as well as how the builders established their reputations, source their parts and create partnerships. Here’s what they had to say.

An Exploding Market

While the term “restomodding” might be relatively new, the actual practice has been around ever since hot rodding began, explained Dustin Foust, owner of Classic Restorations, which specializes in ’72 and older domestic vehicles. In the ’50s and ’60s, people put ’60s engines into ’30s cars. Today, the market for a restored and upgraded one-off classic is still strong and constantly expanding.

“It’s something that never decreases in value, so it’s definitely a good investment in a booming industry right now,” Foust said.

If anything, during the pandemic, Foust received more phone calls from people who were stuck at home with a project sitting in the garage, and they wanted to finally do something with it. He noted that now his only real obstacle is getting parts, which is an industry-wide problem. Before the pandemic, lead times were a day or two, but now they’re a week or two and sometimes up to two months.

There aren’t many shops in southeast Indiana, where Classic Restorations is located. The next reputable shop might be 100 mi. away, but the tightly knit restomod community is growing to keep up with demand.

“We’re all friends with each other,” Foust said. “When we see each other at shows, it’s not like they’re our enemy or our competition. There’s more than enough work to go around for everybody. If we find a better way to do something, we share it with each other.”

Tony Arme, owner of American Legends Hot Rods, hasn’t slowed down a bit. He has a backlog of work, which again shows the resilience this market has exhibited over the past couple of years. The business is divided into two: upgrades and repairs, and building cars from scratch—mostly ’60s-era musclecars.

Arme believes that the restomod market and custom-car world are blowing up because it comes down to the personalization and creativity of the car.

“You can see 169 Camaros parked in a lot at a show, and none of them are the same, whereas you go to Cars & Coffee, see 15 McLarens lined up, and it’s just ‘what color do you want?’” Arme said. “In the custom-car world, physically building the cars is so much different than going to a dealership. Everything we do has 10 options—what color this, what part that—and it’s easy to make it your own.”

According to Jeremiah Proffitt, owner of Proffitt’s Resurrection Land Cruisers, the market for a one-off restored vehicle is just as good or better than he can ever remember it being. Other than the aforementioned difficulty in getting some parts, the pandemic hasn’t really affected business.

“Whenever people are uncomfortable with what’s going on around them, they turn to what’s important to them,” Proffitt said. “For many people, automobiles are one of those things they get excited about when they’re unsure of what else is going to happen around them.”

Proffitt—whose schedule is booked 18 months in advance—has met friends and colleagues from all over the world at the SEMA Show, and everybody who’s legit, honest and cares about their customers is busy cranking out cars, according to him.

“If you’re good, know how to add value, and your craftsmanship is at a high level, you’re probably going to be successful,” Proffitt said. “Nobody started in this business because they heard it was the best way to make money. Everybody who’s in this is doing it because it’s a passion. The people who are good at it and can make it over that first hump are experiencing success.”

Who Are the Clients?

Foust’s clients are mostly older people who grew up with these types of cars but maybe couldn’t afford one at the time they were new. Now they have the means.

On the other hand, Arme’s customer demographic is all over the place, from their middle 30s to 70s in age.

“We do some stuff for athletes, business owners and retired guys who did well for themselves,” Arme said. “You used to be able to say the trend for a certain car was a specific age group, but we’re seeing some of the older guys build stuff that a younger guy would build and vice versa.”

Proffitt’s clients are mostly 50–65-year-old professionals who have started to free up some room in their budgets to build something they’ve been thinking about building for a long time. His projects are relatively expensive, especially for the 4x4 restomod market, which requires enough discretionary income to spend $100,000 to $200,00 on a car.

“They’re going to use the vehicles, even if they’re just weekend warriors,” Proffitt said. “These clients are not high-end car collectors who are just going to add it to their collections. They usually have a connection to or a memory of a vehicle from their past, and they’re trying to recreate an experience. My grandfather had an FJ40 when I was little; now I want to recreate those memories for my kids and my grandkids, which seems to be a common theme for most of our clients.”

Latest Trends

According to Foust, everybody loves the lines on classic cars from the ’50s, ’60s and ’70s because they were individual, as opposed to today’s cookie-cutter cars. They want yesterday’s looks with today’s technology, including air conditioning, brakes, suspension and modern fuel-injected engines.

“If you’re used to driving a new car every day and you hop in an old one, you’re going to feel a big difference in performance and how it drives and stops,” Foust said.

Arme believes that people are more interested in convenience—especially with new cars.

“You go to a dealership and buy a brand-new Escalade or Corvette or Camaro, and just some of the amenities that those cars have, how they drive and how foolproof they are, is more or less what our customers are looking for in the old cars, too,” he said.

Many of the higher-end builds are getting modern chassis along with the latest drivetrain platforms and more one-off components. Arme believes that people are drawn to the exclusiveness of having something that nobody else has.

“One of our customers lives in an extremely nice neighborhood,” he said. “You’ll see 10 Lamborghinis driving around on any given weekend, but you’ll never see one of these custom one-off cars, so at some level, it’s about having something that somebody else can’t have. You can’t just go out and get one; it takes us roughly two years to build a car.”

Everybody wants the best of all worlds, according to Proffitt. By combining today’s technology with older vehicles, a ’71 car can be made practical and fun to drive with a higher level of comfort, including better seats, a nicer stereo and instrumentation, more responsive brakes and a more powerful engine.

“We’re capable of higher speeds and also lower [off-road] speeds, more traction and articulation, and better off-road ability,” Proffitt said. “We take everything that everybody has learned about improving automotive function and put it all into one old car, and we end up with something that’s pretty darn cool.”

Over the past five years, Proffitt has seen a push to preserve a vehicle’s value by keeping it closer to the original manufacturer’s DNA or vision but still making improvements within those parameters by using newer components or enhancing the old ones. The clients for those vehicles tend to stay away from LS swaps and other conversions that take the vehicle so far away from its roots. However, that’s not always possible, because sometimes Proffitt has to think outside the box to build what people want. Some want improved drivability with a classic look, while others want to make it look like their vehicle hasn’t been modified until you open the hood or look underneath the chassis.

Then there are those who want to enhance the function of their vehicle for a purpose, such as overlanding, rock crawling or off-roading. Taking those vehicles so far from what the OEM had in mind can destroy their value, but it’s okay because the clients have a vision in their mind of what they want to do with the car, Proffitt explained.

“When I talk to clients, I first find out their goals, what’s important to them, and their long-term vision for the vehicle,” he said. “Then I’ll take them to completely different directions through the build. So if somebody called me and said, ‘My dad bought this Land Cruiser new, and I want it to last another 50 years and continue to appreciate in value,’ then they say they put an LS3 in it, I’d say those two things don’t align. We’re going to take it one way or the other.”

Building Connections

Because automotive restoration is a tight-knit community, Foust believes that it’s easy to tell which companies attend shows to help support the industry, and he tries to use those companies whenever possible.

“From doing it for so many years, you learn what companies are good and what companies you don’t like to work with,” he said. “A lot of it is also internet research for certain things that may be outside the box.”

For Arme, sourcing parts is all about repetition. A culture is instilled in the company about how things are supposed to be done, such as using parts they know work so that they don’t have to see a car come back to the shop.

“Doing shows like SEMA, seeing new products released and vendors we use or have used in the past is really where we get some of our ideas,” Arme said. “We just try to use new or innovative products. Depending on what it is, it will push us in a different direction.

“We used to use a gauge company pretty exclusively, and another one came out with some products that we felt were a lot cooler, so we’re now pretty much using only them. I’m not afraid to give somebody a shot if it looks like an amazing product. You’ve just got to try it sometimes to know whether it’s any good or it just looks good.”

Forming business partnerships is a little tricky, according to Proffitt, who concedes that his company struggles with more vendors than those it has success with. Proffitt likes to work with people who know what their products do and how they fit and are willing to offer their support. He said that many of his best relationships were either initially developed and established at the SEMA Show or were nurtured there.

“The companies that think they’re doing us a favor by existing and don’t provide support, we just phase them out,” Proffitt said. “We use companies that are going to take care of us, show an interest in what we’re doing and want to provide both the parts and the service. If we reach out to a company and realize it’s going to be a lot of brain damage to work with and get stuff, we just don’t use it.”

Promoting the Business

Foust doesn’t advertise. Instead, Classic Restorations gets most of its clients via word of mouth and attending shows throughout the country.

According to Arme, his builds market themselves. American Legends Hot Rods has Facebook and Instagram pages to show its work, but having its builds win awards on a national level helps solidify that its cars are well built.

“It’s hard to do in this industry anymore, but we try to do stuff that hasn’t been done before—a different twist on something versus just pulling pages out of magazines and saying, ‘I want that and that and that and that,’ and then trying to puzzle-piece a car together,” Arme said. “A Mustang we did a while back wouldn’t be the first musclecar with a Ferrari engine in it, but stuff like that is more or less what we want to try to do to set us apart from the rest.”

The off-road automobile restoration community is a small world, according to Proffitt. Many clients hear about Proffitt’s Restoration Land Cruisers from chit-chat, either in-person or online, and not as a direct result of any money spent on advertising. The company has a YouTube series called “Proffitt’s Resurrection Land Cruisers TV.”

“It’s a show that we make along the same lines as any automotive restoration show you’d see on the Discovery Channel, except that there’s no deadlines or fake drama,” Proffitt said. “We get out in the shop, talk about the projects, feature the vehicles that we build, and talk to the techs. Almost every serious client I talk to leads off their conversation with, ‘I watched the last three episodes of your show, and now I’m ready to start the project.’ Even though it’s intended to be more entertainment, I think it’s a pretty key marketing element for us, because people get comfortable that we’re not going to steal their money and close up shop or go bankrupt like so many shops do.”

Looking to the Future

Foust believes that many OEMs will go electric within the next 10 years or so and questions how much longer the internal-combustion engine will last.

“I hope it lasts forever, but I can also see customers wanting to incorporate electric technology into these classic cars,” Foust said. “There are some companies that have already done it, but I can see it becoming more prevalent in the future. With electric motors, everything is instantaneous, and the performance is definitely there.”

He also believes that the biggest obstacle right now to going fully electric is battery technology and where to put them in older cars without losing an entire trunk. According to Foust, the technology will become more widespread once batteries become more compact, user-friendly and easier to change.

The future of restomodding can go many different ways, according to Arme, who also believes that electric cars and even hybrids could become more of a factor.

“We’re looking at doing a hybrid car just to be in on that trend if we need to be,” Arme said. “We don’t want to get left behind on any sort of thing, but the quality and amount of detail that those cars are getting seems to go up every year. The electronics are getting a little fancier as far as what they control, along with the amount of stuff that’s machined out of billet.”

American Legends Hot Rods utilizes 3-D printing, especially for prototyping and making interior components. Arme envisions that along with 3-D printing, CNC machining will also become more standard.

Restomodding will continue to grow, but it’s going to have to change and develop, according to Proffitt. For example, increasing the availability of electric motors and lowering their cost will help to achieve the goal of decreasing emissions; however, people are never going to stop wanting to customize their vehicles.

“The only real question is when are we going to run out of vehicles to build,” he said. “That’s going to be the only thing that could limit what businesses like ours are doing in the future—just finding good-quality, solid vehicles to build in the first place. I don’t think anybody’s going to restore an ’85 Oldsmobile Omega or an ’05 Toyota Camry. At some point, there’s not going to be as much to work on, but I don’t know if it’s going to be in my lifetime or my kids’ lifetimes.”

Proffitt also agrees that electric is the future of mass transit and may one day find its way into both drag and stock-car racing. The enthusiast market for diesel and gasoline engines is still going to be there, and there’s no reason to try to shut them down, according to Proffitt, but gas-powered classic restored vehicles are going to be a very small percentage of the vehicles on the road once there are fewer gas stations and more charging stations.

What’s In the Garage?

Tony Arme, American Legends Hot Rods: “One of the coolest cars we’re doing right now is a ’59 Chrysler 300, which is an extremely rare car. It’s a big old boat with large fins—a typical cruiser-style car—but we’re going to build more of a Pro Touring-style car. We’re removing much of the chrome and doing a lot of stuff that we would do to a high-end Pro Touring musclecar as far as flushing out glass and shaving bits and pieces and kind of refining the whole car. It’s going to be well over 1,000 hp, and it sits on a custom chassis. It’s pretty over the top.”

Dustin Foust, Classic Restorations: “The ’56 Thunderbird we’re working on is a complete factory restoration—all original. The Model T is basically a mechanical restoration. We went through the drivetrain, all the wiring, and put a new interior in it. We also did a 12-volt conversion and added new bearings. The ’39 Ford is a street rod. It’s got a ’11 Mustang drivetrain in it. We’re basically doing all the wiring and electronic stuff. We’ve also got a ’60 Ford Sunliner, which has been a several-year build. It’s got a fully custom twin-turbo Boss 9 engine. We’re actually building it to compete for the Autorama Ridler Award.”

Jeremiah Proffitt, Proffitt’s Resurrection Land Cruisers: “We’re cranking out probably 25 full body-off restorations a year. We have three Cummins R2.8 restomods that are leaving right now. They’re highly custom parts-intensive, set up to be respectable off-road and awesome on-road. Then we have an EMP-hardened FJ40 that we just built for fun. It’s a military-themed rig, but we decided to go overboard on the detail and have it be ‘military chic.’ Lots of yellow, zinc and gold on a tan and brown flat platform with a Cummins Tier 1 diesel and minimal electronics. We call it the EMP40, and it will be at the SEMA Show this year.

“The next one we’re building will set a record for the most expensive Land Cruiser we’ve ever built. It’s a 14-in.-stretched FJ40 with an industrial injection Cummins 4VT.

“One more project that I’m really excited about is a ’61 FJ28 four-door Land Cruiser wagon, of which there are only three in the world. It was restored very poorly, so we’re in the process of disassembling it and finding out all the horrible things that were done to it. But I want to make it something amazing—unlike anything else.”

Sources

American Legends Hot Rods
11002 N. 23rd Ave.
Phoenix, AZ 85029
623-213-7288
https://alhotrods.com
Owner: Tony Arme
Number of employees: 7
Specializes in building and restoring ’60s-era musclecars.

Classic Restorations
6225 Highway 150
Floyds Knobs, IN 47119
812-923-0129
www.classicrestorations-online.com
Owner: Dustin Foust
Number of employees: 3
Specializes in restoring and customizing ’72 and older domestic vehicles.

Proffitt’s Resurrection Land Cruisers
21474 Austin Rd.
Austin, CO 81410
970-596-7363
www.resurrectionlandcruisers.com
Owner: Jeremiah Proffitt
Number of employees: 19
Specializes in building and restoring Toyota Land Cruisers.