By SEMA News Editors

The automotive specialty-equipment industry is showing signs of resilience and strength amidst the recovering U.S. economy and is poised for growth in 2024 and beyond, according to the new "2024 SEMA Future Trends Report."

Sales of automotive specialty-equipment parts are projected to have increased about 1% in 2023. With the economy showing signs of strength and improvement towards the year's end, SEMA anticipates a similar stable growth trend heading into 2024, with a full return to normal annual sales growth of 3%-4% projected for 2025.

The "2024 SEMA Future Trends Report" is the association's latest study that recaps the issues and outcomes that affected the industry in 2023 and how these areas are likely to affect the market in 2024 and beyond. 

"While challenges persist, SEMA's research found several indicators suggesting that the market will continue to strengthen as it returns to normal growth," said SEMA Director of Market Research Gavin Knapp. "The report offers valuable insight into our latest forecast for industry growth. It also highlights key factors influencing consumer spending and business outcomes to help companies stay ahead of the curve."

Additional report highlights include: 

• Even with some conflicting indicators, the U.S. economy is currently growing while showing strong employment and spending trends.
• With inflation dropping, the Federal Reserve System should begin reducing interest rates in 2024, which will further lower the total cost for financed goods, like automobiles.
• New- and used-vehicle prices leveled out in 2023 as the supply chain stabilized, though costs are still high for consumers. 
• While electric vehicle (EV) sales will continue to grow, most companies have slowed their production forecasts for electrics.
• Motor vehicle insurance, along with vehicle maintenance/repair, saw some of the largest price increases in 2023, making transportation a significant cost in daily life. 
• Cars are becoming more advanced with advanced driver assistance systems (ADAS) installation rates rising every year. More than 91% of new vehicles sold had collision warning or collision mitigation built in by original equipment manufacturers (OEMs). 

Despite some uncertainty, most companies within the specialty-equipment industry are optimistic and expect sales to remain level or grow over the next year. A 23% growth in 2023 SEMA Show attendance over 2022 is a strong indicator that the industry is committed to introducing new products and expecting robust sales in the market.

SEMA Business Members can download the "2024 SEMA Future Trends Report" for free at sema.org/research.

The report is the focus of the webinar "SEMA Future Trends: Outlook for 2024 and Beyond," taking place on March 19, at 11:00 a.m. (PDT). Register for the webinar here.

By Ashley Reyes

Aspiring leaders in the automotive aftermarket industry have until Wednesday, March 13, to apply for the SEMA Future Leaders Network (FLN) Professional Development Program, taking place May 16-17, at the SEMA Garage in Detroit. The two-day program will be held in partnership with the world-renowned Dale Carnegie Training and teach participants essential communication skills for reaching greater levels of career success. Apply here.

The two-day program will teach participants essential communication skills for reaching greater levels of career success.

Unlike other programs, the FLN PDP is tailored specifically for individuals aged 39 and under in the automotive specialty-equipment industry. Participants will join together in a dynamic learning environment to share their unique experiences, connect with like-minded individuals, and establish friendships with those who have similar passions and goals. 

Learning outcomes include: 

• How to communicate professionally and confidently in business situations.
• How to engage others by building rapport, asking pertinent questions and listening.
• How to build relationships and deal effectively with people in a multitude of scenarios.
• How to gain cooperation and influence people.
• How to use emotional controls to sustain success.

The program, scheduled for May 16-17, at the SEMA Garage in Detroit, is open to 25 FLN members.

For years, Dale Carnegie's books and seminars have been the go-to resource for individuals and organizations seeking personal and professional growth. The book "How to Win Friends and Influence People" set a standard for interpersonal effectiveness, and the principles taught continue to be as valid today as ever. The methods learned in the program will help FLN members gain the tools needed to drive results in their careers and companies.

The program is open to 25 FLN members. Selected participants will receive a 50% discount (an $800 savings) on the original Dale Carnegie price ($1,600) and receive meals and housing for three days. Learn more and apply by the March 13 deadline at www.sema.org/fln-pdp.

By SEMA Washington, D.C., office

Attention all SEMA members in Pennsylvania: Get ready to hit the road for the SEMA Pennsylvania Rally in Harrisburg on June 11. This is your opportunity to amplify your voice and stand up for the future of the automotive specialty-equipment industry alongside fellow leaders, engaging directly with key lawmakers in Pennsylvania. 

Ensure you seize this chance to steer the conversation and advocate for policies that strengthen your business and drive the industry forward. Join us as we tackle vital issues such as supporting emerging vehicle technologies, navigating small-business issues and ensuring the ongoing importance of internal combustion engines. 

The rally offers a special platform to connect with other SEMA members, establish valuable relationships with lawmakers and collaborate to foster innovation within Pennsylvania's automotive specialty-equipment community. 

Don't miss out! Register now at sema.org/parally to reserve your spot. 

For more information, contact Christian Robinson at christianr@sema.org.  

By the SEMA Washington, D.C., office

In a win for the automotive specialty-equipment industry, the Connecticut legislature has shelved plans to adopt California's ban on the sale of new gasoline-powered vehicles by 2035. This decision comes amid concerns about the feasibility of such a drastic transition, particularly regarding the readiness of the state's electric grid and charging infrastructure.

In late 2023, Connecticut Governor Ned Lamont withdrew a SEMA-opposed regulation requiring the state to adopt California's strict motor-vehicle emissions laws and outlaw the sale of new gas- and diesel-powered cars beginning in 2035.

The move to withdraw the regulation came after bipartisan opposition from state lawmakers, with the governor acknowledging that the proposal lacked sufficient support to pass the legislature's Regulation Review Committee. Unlike the Democratic-controlled legislature, the committee is evenly divided between Democrats and Republicans.

As a result, lawmakers had hoped to find a solution during a special session in early 2024 and then again during this year's regular legislative session. However, they could not reach a consensus about how to move forward.

While Democratic lawmakers have abandoned plans to push the ban forward, they will continue to focus on establishing a commission to address infrastructure challenges.

A recent poll commissioned by SEMA revealed that 59% of registered voters in Connecticut oppose a ban on the sale of new gas-and diesel-powered vehicles. Rising living costs and the potential financial burden on low-income families were cited as major concerns. Additionally, the poll found that 67% of voters believe electric vehicles pose environmental concerns related to battery production.

Before this policy shift, SEMA aired a statewide and online advertisement in Connecticut highlighting the industry's commitment to innovation and alternative fuel solutions. The ad showcased the industry's leadership in developing cleaner technologies and converting existing gasoline and diesel vehicles to electric, hydrogen and other alternative fuels. SEMA emphasized that encouraging free-market innovation, not mandates, is crucial for achieving meaningful emission reduction goals.

For more information, contact Christian Robinson at christianr@sema.org.

By the SEMA Washington, D.C., office

In a win for the automotive specialty-equipment industry, the Connecticut legislature has shelved plans to adopt California's ban on the sale of new gasoline-powered vehicles by 2035. This decision comes amid concerns about the feasibility of such a drastic transition, particularly regarding the readiness of the state's electric grid and charging infrastructure.

In late 2023, Connecticut Governor Ned Lamont withdrew a SEMA-opposed regulation requiring the state to adopt California's strict motor-vehicle emissions laws and outlaw the sale of new gas- and diesel-powered cars beginning in 2035.

The move to withdraw the regulation came after bipartisan opposition from state lawmakers, with the governor acknowledging that the proposal lacked sufficient support to pass the legislature's Regulation Review Committee. Unlike the Democratic-controlled legislature, the committee is evenly divided between Democrats and Republicans.

As a result, lawmakers had hoped to find a solution during a special session in early 2024 and then again during this year's regular legislative session. However, they could not reach a consensus about how to move forward.

While Democratic lawmakers have abandoned plans to push the ban forward, they will continue to focus on establishing a commission to address infrastructure challenges.

A recent poll commissioned by SEMA revealed that 59% of registered voters in Connecticut oppose a ban on the sale of new gas-and diesel-powered vehicles. Rising living costs and the potential financial burden on low-income families were cited as major concerns. Additionally, the poll found that 67% of voters believe electric vehicles pose environmental concerns related to battery production.

Before this policy shift, SEMA aired a statewide and online advertisement in Connecticut highlighting the industry's commitment to innovation and alternative fuel solutions. The ad showcased the industry's leadership in developing cleaner technologies and converting existing gasoline and diesel vehicles to electric, hydrogen and other alternative fuels. SEMA emphasized that encouraging free-market innovation, not mandates, is crucial for achieving meaningful emission reduction goals.

For more information, contact Christian Robinson at christianr@sema.org.

By Ashley Reyes

The SEMA Wheel, Tire, Suspension & Brake Council (WTSBC) will host a virtual Coffee and Conversation networking event on Thursday, March 7, at 9:00 a.m. PST. 

The council's rebrand has opened up new opportunities for members to learn about issues facing the wheel, tire, suspension and brake markets. During the discussion, participants will share their expertise on challenges impacting their business, grow their network and create valuable business connections.

"WTSBC Coffee and Conversation events are excellent and useful time invested," said past participant Kelly Austin of 9six9 Wheels. "The discussion is short and packed with nuggets to help mostly anyone stay connected in the business." 

Discussion topics will be available to start the conversation, but attendees are encouraged to also bring a topic that impacts their business. Past topics have included advanced driver assistance systems (ADAS), legislative changes, new vehicle technology and more. 

Sign up now to start growing your network.

If you have topics that you would like to have covered, email them to WTSBC Council Director Nicole Bradle at NicoleB@sema.org.

By Ashley Reyes

SEMA Future Leaders Network (FLN) members can learn about resources to grow their careers by attending the network's online General Membership Meeting on Thursday, March 7, at 10:00 a.m. PST/1:00 p.m. EST.

Open to FLN members and aftermarket professionals aged 39 and under at no cost, the meeting will be the ideal time to hear about FLN's current priorities for members, which include upcoming networking events, member resources and the 2024 Professional Development Program. Attendees will connect with the select committee, discover volunteer opportunities and walk away with new ways to grow their network.

All current and prospective members are encouraged to attend, as it's a great way to connect with a thriving network and explore opportunities for career advancement.

Register here.

By Ashley Reyes

The SEMA Professional Restylers Organization (PRO) is hosting an online General Membership Meeting on Friday, March 22, 2024, at 9:00 a.m. PDT/12:00 p.m. EDT.

Automotive restylers and accessory professionals are invited to attend the event to receive new and exciting updates from the council's leadership. Attendees will discover resources for helping automotive restylers succeed in the marketplace and learn how to get more involved with PRO through volunteering.

A Q&A with the PRO Select Committee will follow the meeting, offering members an opportunity to provide feedback and ask questions. All current and prospective members are encouraged to attend, as it's a great way to connect with a powerful group of business leaders dedicated to enhancing the automotive restyling market.

Register here.

By SEMA News Editors

In partnership with Toyota and Lexus, the SEMA Garage has announced a measuring session for the all-new '24 Toyota Land Cruiser and '24 Lexus GX. 

SEMA members will have the opportunity to test-fit prototypes, 3D scan, measure and have a close-up experience ahead of the vehicle's public release. Take advantage of this exclusive event, scheduled for March 12-13, at the SEMA Garage in Diamond Bar, California.

'24 Toyota Land Cruiser and '24 Lexus GX Measuring Session 

March 12-13, 2024

SEMA Garage Diamond Bar, CA

1577 Valley Vista Dr

Diamond Bar, CA 91765

View on Google Maps

Click to RSVP!

Spots are limited for this exclusive event; sign up today! For more information, visit the RSVP link or contact measuringsessions@sema.org. 

SEMA Data’s Next Evolution

Since its launch in 2012, SEMA Data has become a crucial resource for SEMA members and the industry at large. Originally called the SEMA Data Co-op, SEMA Data’s mission has been simple and unchanged: to facilitate the exchange of clean, reliable product data between manufacturers and resellers, boosting sales to our industry’s consumers. Today, SEMA Data serves more than 500 brands, making about 4.5 million SKUs available to more than 3,500 retailers in various export formats, from industry-standardized ACES and PIES to custom-configured.

The mission may be simple, but the needs of SEMA Data members are varied, and the world of product data has grown increasingly sophisticated over the past decade. For example, online sales points such as Amazon are demanding ever more robust data. For manufacturers, this means that maintaining and regularly updating a high-quality dataset is critical for ongoing engagement with resellers and consumers.

SEMA Data has risen to meet the challenges of a fast-changing marketplace, launching tools and services for manufacturers and resellers to make managing and utilizing all the product data easier and more efficient.

As of February 1, SEMA Data released an update to its Data Scorecard program to keep pace with these heightened data expectations. The familiar bronze, silver, gold and platinum levels are still there, but the requirements for each are more delineated. Of course, the SEMA Data team remains committed to helping each brand meet its data excellence goals. That individual attention to member service has been the hallmark of SEMA Data from the very beginning—and something we’re especially proud of.

But there’s even bigger news to report. As this magazine goes to press, SEMA Data is preparing to launch a new SEMA Data Marketplace to connect product brands more directly with the more than 3,500 resellers currently in the SEMA Data network, including nearly all the big resellers and warehouses. The new Marketplace website will enable a reseller to log in, search for items they wish to sell, and request the appropriate product datasets. Manufacturers will also be able to communicate specials, featured products and news directly with these resellers.

This is an evolutionary next step for SEMA Data. Previously, it was simply a member-to-member data exchange. While that aspect of the program remains, the Marketplace goes beyond the exchange of product data to being a virtual central catalog of companies, brands, products and their unique selling propositions. It aims to forge a more immediate and direct relationship between qualified resellers and our industry’s many manufacturers of every type and size. In short,
it promises to better inform resellers about who our industry is and what its manufacturers do to ultimately speed more products to a demanding market. (Keep an eye out for more SEMA communications on this topic.)

This is just the beginning of a much bolder strategic plan. We envision the SEMA Data Marketplace’s future to include deeper integration with other SEMA programs, most notably our Shows, where so many new products are launched. Through the Marketplace, products introduced and
displayed at such events will achieve greater, year-round attention and promotion. It’s all a part of our association’s mission to keep our industry growing, succeeding and prospering.