NEWS NUGGETS

PRO STOCK MOTORCYCLE 2008 SEASON READY TO OPEN AT GATORNATIONALS: In a little more than a week the NHRA POWERade Series will return to Gainesville for the 39th annual ACDelco NHRA Gatornationals. The return to the Gatornationals means one thing: the beginning of the 2008 season for Pro Stock Motorcycle. This highly competitive, 190 mph-plus category will begin its 2008 Countdown to the Championship with a 12-race regular season and five-race playoff, eight races less than Top Fuel, Funny Car and Pro Stock. For many riders, this leaves little room for mistakes.
    “Unfortunately, this class is not like Pro Stock car, where the people who work the hardest and smartest and drive the best win the race,” Snap-On Tools Suzuki rider Steve Johnson said. “We’re still scratching our heads why we didn’t win a race last year.”
    Many of the riders in Pro Stock Motorcycle will be returning for the 2008 season with new teams and new sponsors. Some changes to keep an eye on at this year's Gatornationals are: defending world champion Matt Smith driving the NitroFish Wear Buell, sponsored by Pro Stock driver Kenny Koretsky; three-time world champion Angelle Sampey moving from a Suzuki to a Buell as she is reunited with crew chief George Bryce to drive the Rush Racing Products Buell for Karl and Kim Klement; and 2007 third-place finisher Chip Ellis stepping under the Schumacher umbrella to drive the Schumacher Electric Suzuki tuned by Steve Tartaglia.

TOP FUEL’S BROWN TO VISIT WITH INDIANA STATE UNIVERSITY STUDENTS: Matco Tools Top Fuel driver Antron Brown is ready to step out of the cockpit for the day and into the classroom as he prepares to visit Indiana State University on March 5. Brown will speak to students about careers in motorsports, with a question-and-answer session following his appearance.
    The visit supports the ISU’s Team Sycamore Racing (TSR) program launched in 2007 to give students affiliated with the race team experience in operating, managing and driving the TSR Super Comp dragster.
    “It feels good to give back and mentor these future racing professionals,” Brown said. “I never experienced anything like this in my younger days. I hope I can offer up some useful advice.”
    Brown will speak in the auditorium of the John T. Meyers Building at 5:00 p.m. (EST). The presentation is free and open to the public.

FORCE FOLLOWS IN SISTER’S FOOTSTEPS; COMPLETES A/FD LICENSE: Posting a solid run of 5.59 seconds at 262 mph, 21-year old Brittany Force, daughter of 14-time Funny Car champion John Force, completed the requirements needed for her A-Fuel license. Brittany, along with younger sister Courtney, will split duties between the John Force Racing A-Fuel dragster for the 2008 NHRA Lucas Oil Series season. Both are following closely the path older sister and Funny Car driver Ashley Force made before moving to the POWERade Series in 2007.
    "My dad is excited to have us all licensed,” Brittany said. “I am excited to have my A-Fuel license since now we can continue to move forward.”

JEGS ProMod CHALLENGE EXHIBITIONS SET FOR 10 NHRA NATIONAL EVENTS: Fans will have the opportunity to see the Jegs ProMod Challenge exhibitions, scheduled to be held at 10 NHRA national events in 2008. The ProMod Challenge will begin at the ACDelco NHRA Gatornationals in Gainesville. Other events scheduled for the Challenge include Houston, Atlanta, St. Louis, Bristol, Englishtown, Indianapolis, Dallas, Richmond and Las Vegas.

COMING ATTRACTIONS

ACDELCO NHRA GATORNATIONALS, GAINESVILLE RACEWAY, MARCH 13–16: The Pro Stock Motorcycle category opens its 2008 season at the Gatornationals, annually one of the most popular stops on the NHRA POWERade Series tour. Defending event winners include Tony Schumacher (Top Fuel); Ron Capps (Funny Car); Greg Anderson (Pro Stock); and Karen Stoffer (Pro Stock Motorcycle).

O’REILLY NHRA SPRING NATIONALS, HOUSTON RACEWAY PARK, MARCH 28–30: Drivers in all four categories in the POWERade Drag Racing Series will duel it out for a Texas win (at this fourth race in the regular season). Defending event winners include: J.R. Todd (Top Fuel); Ron Capps (Funny Car); Jason Line (Pro Stock); and Angelle Sampey (Pro Stock Motorcycle).

SUMMITRACING.COM NHRA NATIONALS, THE STRIP AT LAS VEGAS MOTOR SPEEDWAY, APRIL 10–13: The NHRA POWERade series travels to the city that never sleeps for the fifth event of the 2008 season. Defending event winners include: Brandon Bernstein (Top Fuel); Robert Hight (Funny Car);  and Greg Anderson (Pro Stock).

HE SAID, SHE SAID

THAT NEW CAR SMELL: While teammate Greg Anderson has been setting track records and collecting wins in his new Pontiac GXP, 2006 Pro Stock world champion Jason Line has patiently waited for his new ride to come in. At the 39th annual NHRA Gatornationals, March 13–16, Line will get that chance, trading in his Pontiac GTO for the newer Pontiac GXP model.
    “The car is good, and everybody did a good job as far as the rest of the package goes,” Line said. “Is it better than the GTO? I don’t know if it’s better, but it’s every bit as good.”

INSIDE THE NUMBERS

23: The number of riders on the Pro Stock Motorcycle entry list for the 39th annual ACDelco NHRA Gatornationals, the opening event for Pro Stock Motorcycle.

DRIVERS TELL ALL

SUPPORTING THOSE THAT PROTECT US: With a three-week break between the Checker Schuck’s Kragen NHRA Nationals in Phoenix and the upcoming ACDelco NHRA Gatornationals in Florida, most drivers caught a quick flight home to spend time with family and friends. Top Fuel driver Hillary Will instead opted for a 12-hour flight from the United States to Iraq. Will is spending her short down time touring the U.S. military bases in Iraq, Afghanistan and Kuwait, to visit with the U.S. troops stationed in each area.
    “I don’t think they care what kind of car I drive or how fast,” Will said on her NHRA blog. “They are just appreciative to have people from the United States coming to visit them.”
    To follow Will’s travels, visit her blog at http://blogs.nhra.com/nhrablogs.asp?blog=will.  

For more information, visit www.nhra.com.

Speedway Motors founder and owner “Speedy” Bill Smith was honored with a Lifetime Achievement Award from Darryl Starbird’s National Rod & Custom Car Hall of Fame Museum. He joins pioneers such as Robert Petersen and George Barris in receiving the award. Smith said he was honored to be recognized by his peers in the rodding community, and he reflected on the significant growth of the hobby that he has witnessed since starting Speedway Motors more than 56 years ago: “Street rodding is alive and prospering and growing faster than any other hobby and has become what I have always known it would be—one of the biggest pastimes in the country.”  

Bill Smith (right)

Modern Tire Dealer (MTD) magazine is now accepting nominations for its 2008 Tire Dealer of the Year award. One dealer is chosen each year from a pool of 26,000 eligible independent tire dealers throughout North America that are evaluated in five key categories: business success, marketing skill, management skill, industry knowledge and community involvement.
    To nominate a candidate for this year’s Tire Dealer of the Year award, visit www.moderntiredealer.com, or fill out the nomination form found in issues of Modern Tire Dealer. The 2008 Tire Dealer of the Year will be announced and the recipient featured in the September 2008 issue of the magazine. MTD directly donates $1,000 to a charity or charities selected by the winner along with additional money from the award’s sponsors.
    The Dealer of the Year program has enabled MTD—in conjunction with many tire manufacturers and other companies that support the program—to donate more than $120,000 to a wide variety of charities.

The Off-Road Motorsports Hall of Fame (ORMHOF) is currently accepting nominations for induction in the Class of 2008. Nominations will be accepted from the public and industry members through the nomination packet available as a free download from the ORMHOF website, www.ormhof.org. ORMHOF is searching for individuals who have made exceptional contributions to the development of off-road motorsports. Those who will be considered must have been involved in off-road motorsports for fifteen years or longer. Their contribution or impact might be as outstanding competitors, or as leaders in the recreational field who have helped shape the sport, or as pioneers in the industrial and technological development of off-road motorsports.
    The 2007 Class of 8 inductees included Edo Ansaloni, Italian off-road competitor and innovator in the Pioneer: Advocate category, William A. Bryan, founder of the California Association of 4WD Clubs in the Recreation: Four Wheeling category, Gil George, fabricator, innovator, and Founder of Funco Motorsports in the Pioneer: Industry category, Sue Mead, in the Pioneer: Journalism category, and in the Competition: Off-Road Racing category were Dick Landfield, Founder of Enduro Racing, Walt Lott, Founder of HDRA, Mickey Thompson, a motorsports legend, and Frank, (Scoop) Vessels, multiple champion and business leader. 
    Nomination packets will be accepted by ORMHOF until March 15, 2008. The nominations will be reviewed by the voting committee in April. The 2008 Induction Ceremony will take place in August at ORMHOF’s home in the National Automobile Museum in Reno, Nevada. If you have any questions after reviewing the Nomination Packet on the website, contact Executive Director Bob Bower at bbower@ormhof.org.

California Tire Dealer Association - South Director Ed Cohn, was honored with a banquet in January in Los Angeles. Event underwriter, Billy Eordekian spoke of how industry associations, such as SEMA, TIA, as well as state-level tire dealer associations are vital to business success—especially for the independent tire dealer.
    Among the attendees honoring Cohn for his contribution to the tire industry were Firestone dealer and past president of the National Tire Dealers Association (NTDRA) Paul Bobzin, past member of the Executive Board and former Goodyear dealer Don Farquhar, as well as tire industry stalwart Jay Goldberg.

Ed Cohn (middle)

Agri-Cover Inc. hired Russ Kiefer as national sales manager for the company’s Ag Division. Kiefer is responsible for growing accounts in the U.S. market. He brings six years of experience building dealer networks in the United States and international markets and more than 20 years of sales and marketing experience.

 
Russ Kiefer

Woodhouse Performance announced that it will return to the SCCA Pro Racing SPEED World Challenge GT Championship with driver Jeff Courtney. “2007 was a great year for Woodhouse Performance and it is exciting to be back in 2008,” Courtney said. “We have created some dynamic team synergy that I look forward to refining this year. We intend to prove the viability of the Dodge Viper in this series, while several other teams from last year have now opted for other cars.”

Jeff Courtney's Dodge Viper

Grant Brothers Sales Quebec Business Unit hired Karl Clement as district manager, Quebec. Clement will be based in the Montreal region and is responsible for Heavy Duty Fleets. He will also have some automotive responsibility in the Montreal North Shore region.

Karl Clement

Firestone Industrial Products announced that Sean Fowler joined the company as strategic account executive in Firestone's Ride-Rite division. He is responsible for developing and executing business strategies to expand Ride-Rite distribution to national retail parts chains, as well as other prominent national accounts.  Prior to joining Firestone Industrial Products, Fowler was employed at American Racing Equipment, where he handled National Accounts. 

Sean Fowler

Century Truck Caps, a division of the Truck Accessories Group LLC (TAG), announced its top 10 dealers for 2007. Its 2007 “Passion For Partnership” campaign focused on developing Century into the preferred, full-line fiberglass and aluminum truck cap supplier.
    The top 10 Century dealers: Yankee Custom Caps of Massachusetts, New Hampshire and Maine (five locations); Fibertech of Utah, Arizona and Nevada; Midwest Truck with three stores in Michigan; Camper City, with six locations covering Mississippi, Alabama and Tennessee; Stellar with eight stores throughout Georgia and Florida; Tri County Truck Tops of Illinois (four locations); Radco Industries with a total of nine stores in South Dakota, Minnesota and Nebraska; Arrow Toppers of Florida; Continental Fiberglass in Kansas; and Texas Tops in Texas.

For the second consecutive year, GoldenWest Lubricants and its Prolong brand is the title sponsor for the Prolong Twilight Cruise Nights at the Wally Parks NHRA Motorsports Museum, presented by the Automobile Club of Southern California.
    Beginning on April 2, the Prolong Twilight Cruise Nights are held on the first Wednesday night of each month through December (except that there are two cruises in August and none in September due to the Los Angeles County Fair). The popular events feature free admission to the Museum, and a chance to see hundreds of street rods, hot rods and musclecars in the parking lots.

StreetSideAuto.com launched its automotive specialty parts and accessories website featuring over 100,000 parts in 115 brands. Rob Eberhart, a 15-year veteran of the specialty parts industry will lead the effort. StreetSideAuto.com was founded in 2007 with roots in the automotive distribution business for over 50 years, and has over 10 years of Internet retailing experience in the auto parts aftermarket.

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Despite ever-decreasing new light-truck sales, the specialty-equipment industry continues to put out a growing number of new products for these vehicles each year. Over the past three years, for example, there were 29% more products entered in the “Best New Van/Pickup/Sport-Utility Product” category within the SEMA Show's New Products Showcase.

The 2007 SEMA Show showcased 137 new products in this category, compared to the 108 and 106 entered in 2006 and 2005, respectively.

Topping the list in 2007 were suspension parts (16%), including springs, spindles and full lowering kits. Air filter kits came in second, representing 9% of new products in this category, while truck bed accessories (6%, including tie-downs, bedliners, etc.) and exhausts kits (5%) came in third and fourth. While a number of these products were designed for both pickup and SUV applications, 45% of all the products in this category were made solely for pickups, an increase from the 40% in 2006.

These vehicles continue to be a target for innovative new specialty-equipment products for a good reason: They consistently top the list of new light-trucks sold in the United States, as shown in the chart below. Despite drops in sales—a likely side effect of escalating gasoline prices—consumers demonstrate a continued need for pickups in their daily lives.
 

Source: SEMA Research & Information Center

Consumers are feeling a little more confident about spending money on their vehicles, according to new SEMA research data. Despite a substantial drop in January, SEMA's Performance Parts and Accessories Demand Index (PADI), a gauge of consumer interest in vehicle customization, gained 27 points (50%), jumping from 54 to 81 in February. Currently 22% of adult American drivers (more than 22 million households) intend to purchase specialty equipment in the next three months.

The charts below show both the index values (black line, values on the left of graph) and the percentage of consumers that plan to purchase specialty equipment in the next three months (blue-dashed line, values on the right of graph).

Methodology

Although similar to economic indexes, the SEMA PADI is not designed to report past activity, but rather consumer expectations of future specialty-equipment purchases. The indices track consumer plans to purchase performance parts and/or accessories within the next three months after each respective survey. This helps provide a rough forecast for demand of specialty equipment in the near future.

The PADI, and each of the three sub-indices, is a weighted composite index computed relative to its own baseline value, calculated by taking an average of January through March 2007 raw percentages. This average is then set to 100, and each month’s index is computed relative to the change from its baseline. The indices and their movements are projectable to the national market for specialty-equipment products, which consists of more than 114 million U.S. households.

SEMA has contracted with market research firm TechnoMetrica to gather the data used in building and maintaining the PADI. Each month TechnoMetrica uses a random digit dial telephone survey to collect the data in order to provide a nationally representative sample of U.S. consumers. Responses typically total between 850 and 1,000 in any given month. The margin of error is normally within the plus or minus 3%–4% range.

Although the PADI is not a precise measure of absolute future purchasing activity, it is nonetheless a tool for understanding and predicting industry sales. There are two ways of interpreting the PADI. First, its "direction," whether the index is rising or falling. Second, the values themselves provide a guide as to the degree of change in consumer expectations for purchasing industry products.

PADI In-Depth
By product segment, wheels/tires/suspension components were the most popular specialty-equipment products consumers were likely to purchase (8% or about 8 million households), followed by racing and performance products (7% or about 7 million households) and accessory/appearance products (5% or about 5 million households). Looking at how this translates to index values for each segment, wheels/tires/suspension products dipped down to 39:

Accessory/appearance products fell to 61:



 
Racing and performance jumped to a reading of 76.

Over the last three months on average, midsize cars (20%) and pickups (19%) were the most common target vehicles for personalization, followed by fullsize cars (16%) and large SUVs (13%). While it may be shocking to consider that consumers want to customize SUVs during times of rising gas prices, the increase in plans to buy performance parts coincides with the idea that these drivers desire improvements in fuel economy, which parts like air intakes, throttle bodies and tuned ECUs can offer for the SUVs purchased when gas prices drained less of their wallets.

Over the last three months on average, car dealerships and chain auto parts stores were the most popular places to buy parts and accessories (22% of consumers bought from one of the two), followed by independent parts stores (16%) and performance specialty shops (11%). Mainstream consumers still prefer to accessorize their vehicles at dealerships. In fact, sales of specialty equipment at the dealership level have grown by 11% per year on average since 2004.

When specialty-equipment buyers were asked in January what form their vehicle would take after customization, the most common answer was “general personalization” or restyling (49%), followed distantly by “restoration” (13%), “street performance” (10%) and “compact performance” (8%). One of the most common reasons consumers say they customize their vehicles is to differentiate them from the other similar ones on the road. Mainstream consumers often associate this with simply restyling their vehicle.

Several factors contribute to fluctuations in mainstream demand for specialty-equipment parts and accessories. Economic optimism improved in February, picking up 1.3 points (3%) to reach 44.5, as noted by Technometrica’s TIPP Economic Optimism Index. This monthly economic survey—sent to consumers in order to gauge their attitudes toward economic prosperity—saw a steady decline in consumer confidence in 2007, but is slowly rebounding to a more optimistic level. 

As we can see from the jumps in all three subsegments of the PADI, consumers are now feeling the itch to spend money on their vehicles. Part of this could result from consumers holding on to their vehicles longer and thinking more about enhancing the styling and performance of their aging vehicles.



Source: SEMA Research & Information Center

In the specialty-equipment market, we can talk about racing and performance products in a number of ways. The specialty-equipment market is broken up into nine different niches: Light Truck; Off-Road; Street Performance; Racing; Restoration; Restyling; Street Rod & Custom; Compact Performance; and Other. 

For the purposes of SEMA's Racing and Performance Report, the Street Performance and Racing niches are the most important. Each of the nine niches, however, is broken up into three categories: Specialty Accessories and Appearance Products ("Accessories"); Racing and Performance ("Performance"); and Wheels, Tires and Suspension Components ("Suspension").

For the remaining niches, we must also look at the Performance category. Combining all of this data gives us a good picture of what the aftermarket looks like for racing and performance products.
   
The following chart shows what the Racing niche has experienced in the last 13 years. The chart indicates that this niche has seen overall growth since 1993. The only year in which manufacturer sales declined was 2001. We do not have any indicators as to why the data shows this.

Most importantly, manufacturer sales have grown for each of the three segments. Racing and Performance products experienced a 102% increase from 1993 through 2006. Wheels, Tires and Suspension sales increased 101% in the same period. Finally, Appearance and Accessory products experienced a 119% increase. Each of these segments grew 6% from 2005 to 2006.  Total manufacturer sales for this niche reached $343 million in 2006.

This is just a sample of SEMA’s Racing and Performance Report which will be available on www.sema.org/research in April. The report includes data gathered from various sanctioning bodies, as well as from a survey that SEMA conducted with Foresight Research, which asked respondents about their interests in different types of racing.

Source: SEMA Research & Information Center

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