SEMA News - December 2009

By Dan Frio

Capitalizing on Opportunity

	Tire-smoking action and total disregard for slip angle make Formula Drift one of the most popular spectator motorsports with young enthusiasts. Courtesy Formula Drift

Not so, say some marketers. For companies that can stomach the risk, downturns provide an opportunity to capture market share at the expense of cautious rivals.

“Motorsports is a very important avenue for us,” said Nick Fousekis, Falken Tire senior manager for consumer marketing. “It’s another opportunity to get in front of people who already know—or may not know—our brand. They can see that we’re not just a tire manufacturer peddling black, round objects. We’re out there. We’re active.”

As 2009 opened, the motorsports headlines were not encouraging. NASCAR entered the year missing major sponsors, including Home Depot, Kodak, Enterprise and Domino’s Pizza, leaving the series with 10 fewer partners than it had three years ago, according to the Sports Business Journal. Motor Trend reported that Chrysler would reduce its NASCAR spending by 30%, and the Indy Racing League cancelled the Detroit Grand Prix. Audi and Porsche pulled out of American Le Mans, while Subaru—the brand that practically defined the World Rally Championship—withdrew from that series. Even the rarified air of Formula 1 suffered the exit of Honda’s factory team and key sponsorships from global financial institutions.

But for a company and brand such as NOS Energy Drink, motorsports marketing is a no-brainer.

“Everything we do goes into motorsports,” said Tutul Rahman, brand manager for NOS Energy Drink. “The only way we grow the brand is by increasing our investment.”

NOS Energy Drink has upped its motorsports exposure by forming a coalition of drivers from NASCAR, drift and rally, including Kyle Busch, Chris Forsberg and Andrew Comrie-Picard. Rahman said that the motorsports presence helped grow the brand more than 50% in 2008. Launched in 2005 through a licensing partnership between Fuze Beverage and Holley Performance Products, owners of Nitrous Oxide Systems, NOS Energy Drink had become the sixth-best-selling energy drink in the United States, according to 2008 Nielsen data.

That growth has made the drink maker, now a subsidiary of Coca-Cola, solvent enough to expand into NASCAR sponsorships. For 2009, the company is sponsoring driver Kyle Busch along with other drivers in other disciplines under a group banner called Team NOS. The Busch sponsorship includes a 22-oz. plastic bottle dubbed the Rowdy Can that is trimmed in the brand’s blue and orange colors and mimics the look of a nitrous-oxide bottle.

Team NOS also includes Formula Drift pilot Forsberg and rally driver Comrie-Picard. Even the popular Chicago-area Mitsubishi tuning shop AMS receives project support from NOS Energy Drink. The AMS crew intends to build a record-breaking Evolution IX for the Bonneville Salt Flats.

The consistent thread through all of the brand’s sponsorships, said Marketing and Lifestyle Manager Ernie Manasala, is a commitment to the brand’s core value: maximum performance. The NASCAR involvement, however, is a new step forward for NOS Energy Drink.

“[NASCAR sponsorship] is really an evolution of the brand,” Rahman said. “We started out very core and grassroots with Hot Import Nights and Formula D. As the brand grows, our motorsports sponsorships expand as well. Now we’re going into NASCAR and touching millions of people that way.”

And where NASCAR represents an opportunity for NOS Energy Drink to reach mass eyeballs, a smaller series such as Formula Drift can offer marketers a more targeted and qualified audience. While Formula Drift might feel the pain of sponsor withdrawals more acutely than NASCAR or the Indy Racing League, they’re a good sell for brands that want to capitalize on the absence of a competitor.

Falken brings a full spread to its motorsports events, including two rigs that facilitate a pit, entertainment/activation and VIP areas. Courtesy Falken

If industry research is any indication, Fousekis is on the right path.

A study released by Foresight Research earlier this year probed the depth of motorsports influence on purchasing decisions. According to the study, 43% of new-car and new-truck buyers had watched at least one motorsports event in the past year. Fourteen percent had attended an event, and 23% said that motorsports had at least some influence on their buying decisions.

Additionally, 67% of those influenced by motorsports said that power and performance were key messages. And 59% of those who’d attended a motorsports event learned about a specific make and model from visiting a manufacturer’s display at the event.

The Foresight Research study also found the pervasive influence of “shouters,” motorsports fans who influence the purchase decisions of others. This group reported giving an average of 10 new-vehicle recommendations per year to other people.

“With proper activation, motorsport sponsorships offer a great opportunity for communicating to shoppers in an emotional and rational way,” said Foresight chief executive officer Steve Bruyn, “and don’t lose sight of the word-of-mouth recommendations by these shouters.”

The message is clear: Motorsports marketing still sells cars and parts.

Even with industry research behind him and other like-minded marketers, Fousekis also has a slight advantage when making his marketing budget case. Racing is in Falken’s roots, he said. Whether testing at Nürburgring or competing in Japan’s Super Taikyu endurance series, company management recognizes the marketing and R&D importance of going racing. This doesn’t make it an automatic sell with the executives, but they do understand it and appreciate it, Fousekis said.

In addition to Formula Drift, Falken is also in the American Le Mans Series for its second season. The company sponsored a privateer team last year and has brought the program in-house this year for an abbreviated three-race schedule, with a Porsche 911 RS-R in preparation for a full season in 2010.

“Formula D is definitely growing,” Fousekis said. “It’s not just that core group of tuners anymore. That’ll help continue its growth, the way it’s been going. And bang for the buck—the exposure, the TV program, the fan base that turns out for each event—it’s still a fairly affordable series to get some great marketing opportunities.”

Jim Liaw, founder and president of Formula Drift, knows that it’s natural for companies to buckle down and cut budgets. Liaw has seen a former major sponsor, Circuit City, file for Chapter 11, and he’s watched other endemic companies scale back sponsorships. Still, he’s confident that his series delivers an audience uniquely receptive to performance brands.

“Even with some of our endemic companies that have pulled back, they’re not pulling out,” Liaw said. “They know they need to keep at least one foot in the door and not completely disappear from the scene.”

And some sponsors, such as Falken and NOS Energy Drink, have increased their commitment to the series.

“We’re reaching an audience that most motorsports and events are not reaching,” Liaw said. “It’s more targeted, a quality audience, and a younger audience that [companies] are building a brand with. What we lose to [larger race series], we gain in uniqueness of audience.”

It’s an audience that guys like Fousekis are eager to reach. And he believes that his fellow marketers need to play a collective part in reaching this group, supporting these events, to help pull out of the economic tailspin.

“Now is the time when everyone in this industry needs to help continue growth and reignite things, whether that’s doing more motorsports activities or getting grassroots proactive, doing small meets. We need to keep the interest there. Otherwise, it may be a different world five, 10 years down the road.”

SEMA News - December 2009

By Dan Frio

Capitalizing on Opportunity

	Tire-smoking action and total disregard for slip angle make Formula Drift one of the most popular spectator motorsports with young enthusiasts. Courtesy Formula Drift

Not so, say some marketers. For companies that can stomach the risk, downturns provide an opportunity to capture market share at the expense of cautious rivals.

“Motorsports is a very important avenue for us,” said Nick Fousekis, Falken Tire senior manager for consumer marketing. “It’s another opportunity to get in front of people who already know—or may not know—our brand. They can see that we’re not just a tire manufacturer peddling black, round objects. We’re out there. We’re active.”

As 2009 opened, the motorsports headlines were not encouraging. NASCAR entered the year missing major sponsors, including Home Depot, Kodak, Enterprise and Domino’s Pizza, leaving the series with 10 fewer partners than it had three years ago, according to the Sports Business Journal. Motor Trend reported that Chrysler would reduce its NASCAR spending by 30%, and the Indy Racing League cancelled the Detroit Grand Prix. Audi and Porsche pulled out of American Le Mans, while Subaru—the brand that practically defined the World Rally Championship—withdrew from that series. Even the rarified air of Formula 1 suffered the exit of Honda’s factory team and key sponsorships from global financial institutions.

But for a company and brand such as NOS Energy Drink, motorsports marketing is a no-brainer.

“Everything we do goes into motorsports,” said Tutul Rahman, brand manager for NOS Energy Drink. “The only way we grow the brand is by increasing our investment.”

NOS Energy Drink has upped its motorsports exposure by forming a coalition of drivers from NASCAR, drift and rally, including Kyle Busch, Chris Forsberg and Andrew Comrie-Picard. Rahman said that the motorsports presence helped grow the brand more than 50% in 2008. Launched in 2005 through a licensing partnership between Fuze Beverage and Holley Performance Products, owners of Nitrous Oxide Systems, NOS Energy Drink had become the sixth-best-selling energy drink in the United States, according to 2008 Nielsen data.

That growth has made the drink maker, now a subsidiary of Coca-Cola, solvent enough to expand into NASCAR sponsorships. For 2009, the company is sponsoring driver Kyle Busch along with other drivers in other disciplines under a group banner called Team NOS. The Busch sponsorship includes a 22-oz. plastic bottle dubbed the Rowdy Can that is trimmed in the brand’s blue and orange colors and mimics the look of a nitrous-oxide bottle.

Team NOS also includes Formula Drift pilot Forsberg and rally driver Comrie-Picard. Even the popular Chicago-area Mitsubishi tuning shop AMS receives project support from NOS Energy Drink. The AMS crew intends to build a record-breaking Evolution IX for the Bonneville Salt Flats.

The consistent thread through all of the brand’s sponsorships, said Marketing and Lifestyle Manager Ernie Manasala, is a commitment to the brand’s core value: maximum performance. The NASCAR involvement, however, is a new step forward for NOS Energy Drink.

“[NASCAR sponsorship] is really an evolution of the brand,” Rahman said. “We started out very core and grassroots with Hot Import Nights and Formula D. As the brand grows, our motorsports sponsorships expand as well. Now we’re going into NASCAR and touching millions of people that way.”

And where NASCAR represents an opportunity for NOS Energy Drink to reach mass eyeballs, a smaller series such as Formula Drift can offer marketers a more targeted and qualified audience. While Formula Drift might feel the pain of sponsor withdrawals more acutely than NASCAR or the Indy Racing League, they’re a good sell for brands that want to capitalize on the absence of a competitor.

Falken brings a full spread to its motorsports events, including two rigs that facilitate a pit, entertainment/activation and VIP areas. Courtesy Falken

If industry research is any indication, Fousekis is on the right path.

A study released by Foresight Research earlier this year probed the depth of motorsports influence on purchasing decisions. According to the study, 43% of new-car and new-truck buyers had watched at least one motorsports event in the past year. Fourteen percent had attended an event, and 23% said that motorsports had at least some influence on their buying decisions.

Additionally, 67% of those influenced by motorsports said that power and performance were key messages. And 59% of those who’d attended a motorsports event learned about a specific make and model from visiting a manufacturer’s display at the event.

The Foresight Research study also found the pervasive influence of “shouters,” motorsports fans who influence the purchase decisions of others. This group reported giving an average of 10 new-vehicle recommendations per year to other people.

“With proper activation, motorsport sponsorships offer a great opportunity for communicating to shoppers in an emotional and rational way,” said Foresight chief executive officer Steve Bruyn, “and don’t lose sight of the word-of-mouth recommendations by these shouters.”

The message is clear: Motorsports marketing still sells cars and parts.

Even with industry research behind him and other like-minded marketers, Fousekis also has a slight advantage when making his marketing budget case. Racing is in Falken’s roots, he said. Whether testing at Nürburgring or competing in Japan’s Super Taikyu endurance series, company management recognizes the marketing and R&D importance of going racing. This doesn’t make it an automatic sell with the executives, but they do understand it and appreciate it, Fousekis said.

In addition to Formula Drift, Falken is also in the American Le Mans Series for its second season. The company sponsored a privateer team last year and has brought the program in-house this year for an abbreviated three-race schedule, with a Porsche 911 RS-R in preparation for a full season in 2010.

“Formula D is definitely growing,” Fousekis said. “It’s not just that core group of tuners anymore. That’ll help continue its growth, the way it’s been going. And bang for the buck—the exposure, the TV program, the fan base that turns out for each event—it’s still a fairly affordable series to get some great marketing opportunities.”

Jim Liaw, founder and president of Formula Drift, knows that it’s natural for companies to buckle down and cut budgets. Liaw has seen a former major sponsor, Circuit City, file for Chapter 11, and he’s watched other endemic companies scale back sponsorships. Still, he’s confident that his series delivers an audience uniquely receptive to performance brands.

“Even with some of our endemic companies that have pulled back, they’re not pulling out,” Liaw said. “They know they need to keep at least one foot in the door and not completely disappear from the scene.”

And some sponsors, such as Falken and NOS Energy Drink, have increased their commitment to the series.

“We’re reaching an audience that most motorsports and events are not reaching,” Liaw said. “It’s more targeted, a quality audience, and a younger audience that [companies] are building a brand with. What we lose to [larger race series], we gain in uniqueness of audience.”

It’s an audience that guys like Fousekis are eager to reach. And he believes that his fellow marketers need to play a collective part in reaching this group, supporting these events, to help pull out of the economic tailspin.

“Now is the time when everyone in this industry needs to help continue growth and reignite things, whether that’s doing more motorsports activities or getting grassroots proactive, doing small meets. We need to keep the interest there. Otherwise, it may be a different world five, 10 years down the road.”

SEMA News - December 2009

By Annie Kang

Online Communication Tool Provides Platform for Growth and Innovation

SEMA is continuing in its goal to help the specialty-equipment industry pave the way forward with a recently added member benefit: MySEMA, a social networking tool available on the SEMA website. MySEMA provides a platform for members to stay connected with their peers as well as receive the latest news and information about the industry.

MySEMA went live in late March of 2009, and while non-SEMA members can access certain features, such as the membership directory, to benefit from the full list of services, users must be logged in as an association member. With MySEMA, members may create and post individual profiles, including their contact information, onto the SEMA website. They can view other members’ profiles, including those of SEMA staff, and send and receive messages. Member companies can also post announcements under their profiles. In addition, members may join discussion forums where they can share the latest news and technology and open up topics for new ideas and innovation.

“SEMA recognized the need and importance of peer-to-peer communication, information sharing and networking,” said Tom Myroniak, SEMA vice president of marketing and market research. “We integrated community features into the website to enable members to communicate with other members.”

Members may search profiles by employees, groups or companies. The online directory allows members to find companies through product searches.

Members can personalize their MySEMA profiles by subscribing to a SEMA Interest. SEMA Interests are updates of the latest relevant news, events, resources and discussions from the SEMA community based on the member’s choice of query or topic. SEMA Interests allow members to monitor a developing SEMA eNews story, stay updated with news and events or keep up with a forum discussion—all filtered to the member’s personalized needs. Media information about government affairs, motorsports, educational opportunities and other sources can also be channeled to members based on their preferences.

MySEMA has been designed to improve the user capabilities of the individual on the SEMA website. Previously, the site was geared to the needs of companies at large, but now individual employees of a company create and manage their own profiles.

“MySEMA was designed to help individuals solve problems and find resources as efficiently as possible,” said Myroniak. “It was an answer to the complex diversity of our industry’s constituents. With the wide variety of programs and services SEMA offers, it’s become more difficult to deliver them to the right person at the right time.”

With MySEMA, members may access all educational content, including webinar downloads, free of charge. Market research reports and technology content are also available for free.

Members can access all the benefits of MySEMA by logging in with their SEMA user identification and password. Members who are not in SEMA’s database may register online.

“We’ve received a considerable amount of feedback. Members have shown an appreciation for the tools and changes we’ve implemented,” said Myroniak. “We’ve also received suggestions for improvement. As this is an innovative and collaborative process, we encourage members to give feedback so that SEMA.org can continue to deliver as many benefits as possible.”

For more information on MySEMA, e-mail Tom Myroniak at or visit http://my.sema.org.

SEMA News - December 2009

By Annie Kang

Online Communication Tool Provides Platform for Growth and Innovation

SEMA is continuing in its goal to help the specialty-equipment industry pave the way forward with a recently added member benefit: MySEMA, a social networking tool available on the SEMA website. MySEMA provides a platform for members to stay connected with their peers as well as receive the latest news and information about the industry.

MySEMA went live in late March of 2009, and while non-SEMA members can access certain features, such as the membership directory, to benefit from the full list of services, users must be logged in as an association member. With MySEMA, members may create and post individual profiles, including their contact information, onto the SEMA website. They can view other members’ profiles, including those of SEMA staff, and send and receive messages. Member companies can also post announcements under their profiles. In addition, members may join discussion forums where they can share the latest news and technology and open up topics for new ideas and innovation.

“SEMA recognized the need and importance of peer-to-peer communication, information sharing and networking,” said Tom Myroniak, SEMA vice president of marketing and market research. “We integrated community features into the website to enable members to communicate with other members.”

Members may search profiles by employees, groups or companies. The online directory allows members to find companies through product searches.

Members can personalize their MySEMA profiles by subscribing to a SEMA Interest. SEMA Interests are updates of the latest relevant news, events, resources and discussions from the SEMA community based on the member’s choice of query or topic. SEMA Interests allow members to monitor a developing SEMA eNews story, stay updated with news and events or keep up with a forum discussion—all filtered to the member’s personalized needs. Media information about government affairs, motorsports, educational opportunities and other sources can also be channeled to members based on their preferences.

MySEMA has been designed to improve the user capabilities of the individual on the SEMA website. Previously, the site was geared to the needs of companies at large, but now individual employees of a company create and manage their own profiles.

“MySEMA was designed to help individuals solve problems and find resources as efficiently as possible,” said Myroniak. “It was an answer to the complex diversity of our industry’s constituents. With the wide variety of programs and services SEMA offers, it’s become more difficult to deliver them to the right person at the right time.”

With MySEMA, members may access all educational content, including webinar downloads, free of charge. Market research reports and technology content are also available for free.

Members can access all the benefits of MySEMA by logging in with their SEMA user identification and password. Members who are not in SEMA’s database may register online.

“We’ve received a considerable amount of feedback. Members have shown an appreciation for the tools and changes we’ve implemented,” said Myroniak. “We’ve also received suggestions for improvement. As this is an innovative and collaborative process, we encourage members to give feedback so that SEMA.org can continue to deliver as many benefits as possible.”

For more information on MySEMA, e-mail Tom Myroniak at or visit http://my.sema.org.

SEMA News - December 2009

By Annie Kang

Online Communication Tool Provides Platform for Growth and Innovation

SEMA is continuing in its goal to help the specialty-equipment industry pave the way forward with a recently added member benefit: MySEMA, a social networking tool available on the SEMA website. MySEMA provides a platform for members to stay connected with their peers as well as receive the latest news and information about the industry.

MySEMA went live in late March of 2009, and while non-SEMA members can access certain features, such as the membership directory, to benefit from the full list of services, users must be logged in as an association member. With MySEMA, members may create and post individual profiles, including their contact information, onto the SEMA website. They can view other members’ profiles, including those of SEMA staff, and send and receive messages. Member companies can also post announcements under their profiles. In addition, members may join discussion forums where they can share the latest news and technology and open up topics for new ideas and innovation.

“SEMA recognized the need and importance of peer-to-peer communication, information sharing and networking,” said Tom Myroniak, SEMA vice president of marketing and market research. “We integrated community features into the website to enable members to communicate with other members.”

Members may search profiles by employees, groups or companies. The online directory allows members to find companies through product searches.

Members can personalize their MySEMA profiles by subscribing to a SEMA Interest. SEMA Interests are updates of the latest relevant news, events, resources and discussions from the SEMA community based on the member’s choice of query or topic. SEMA Interests allow members to monitor a developing SEMA eNews story, stay updated with news and events or keep up with a forum discussion—all filtered to the member’s personalized needs. Media information about government affairs, motorsports, educational opportunities and other sources can also be channeled to members based on their preferences.

MySEMA has been designed to improve the user capabilities of the individual on the SEMA website. Previously, the site was geared to the needs of companies at large, but now individual employees of a company create and manage their own profiles.

“MySEMA was designed to help individuals solve problems and find resources as efficiently as possible,” said Myroniak. “It was an answer to the complex diversity of our industry’s constituents. With the wide variety of programs and services SEMA offers, it’s become more difficult to deliver them to the right person at the right time.”

With MySEMA, members may access all educational content, including webinar downloads, free of charge. Market research reports and technology content are also available for free.

Members can access all the benefits of MySEMA by logging in with their SEMA user identification and password. Members who are not in SEMA’s database may register online.

“We’ve received a considerable amount of feedback. Members have shown an appreciation for the tools and changes we’ve implemented,” said Myroniak. “We’ve also received suggestions for improvement. As this is an innovative and collaborative process, we encourage members to give feedback so that SEMA.org can continue to deliver as many benefits as possible.”

For more information on MySEMA, e-mail Tom Myroniak at or visit http://my.sema.org.

SEMA News - December 2009

By Annie Kang

Online Communication Tool Provides Platform for Growth and Innovation

SEMA is continuing in its goal to help the specialty-equipment industry pave the way forward with a recently added member benefit: MySEMA, a social networking tool available on the SEMA website. MySEMA provides a platform for members to stay connected with their peers as well as receive the latest news and information about the industry.

MySEMA went live in late March of 2009, and while non-SEMA members can access certain features, such as the membership directory, to benefit from the full list of services, users must be logged in as an association member. With MySEMA, members may create and post individual profiles, including their contact information, onto the SEMA website. They can view other members’ profiles, including those of SEMA staff, and send and receive messages. Member companies can also post announcements under their profiles. In addition, members may join discussion forums where they can share the latest news and technology and open up topics for new ideas and innovation.

“SEMA recognized the need and importance of peer-to-peer communication, information sharing and networking,” said Tom Myroniak, SEMA vice president of marketing and market research. “We integrated community features into the website to enable members to communicate with other members.”

Members may search profiles by employees, groups or companies. The online directory allows members to find companies through product searches.

Members can personalize their MySEMA profiles by subscribing to a SEMA Interest. SEMA Interests are updates of the latest relevant news, events, resources and discussions from the SEMA community based on the member’s choice of query or topic. SEMA Interests allow members to monitor a developing SEMA eNews story, stay updated with news and events or keep up with a forum discussion—all filtered to the member’s personalized needs. Media information about government affairs, motorsports, educational opportunities and other sources can also be channeled to members based on their preferences.

MySEMA has been designed to improve the user capabilities of the individual on the SEMA website. Previously, the site was geared to the needs of companies at large, but now individual employees of a company create and manage their own profiles.

“MySEMA was designed to help individuals solve problems and find resources as efficiently as possible,” said Myroniak. “It was an answer to the complex diversity of our industry’s constituents. With the wide variety of programs and services SEMA offers, it’s become more difficult to deliver them to the right person at the right time.”

With MySEMA, members may access all educational content, including webinar downloads, free of charge. Market research reports and technology content are also available for free.

Members can access all the benefits of MySEMA by logging in with their SEMA user identification and password. Members who are not in SEMA’s database may register online.

“We’ve received a considerable amount of feedback. Members have shown an appreciation for the tools and changes we’ve implemented,” said Myroniak. “We’ve also received suggestions for improvement. As this is an innovative and collaborative process, we encourage members to give feedback so that SEMA.org can continue to deliver as many benefits as possible.”

For more information on MySEMA, e-mail Tom Myroniak at or visit http://my.sema.org.

SEMA News - December 2009

By Annie Kang

Online Communication Tool Provides Platform for Growth and Innovation

SEMA is continuing in its goal to help the specialty-equipment industry pave the way forward with a recently added member benefit: MySEMA, a social networking tool available on the SEMA website. MySEMA provides a platform for members to stay connected with their peers as well as receive the latest news and information about the industry.

MySEMA went live in late March of 2009, and while non-SEMA members can access certain features, such as the membership directory, to benefit from the full list of services, users must be logged in as an association member. With MySEMA, members may create and post individual profiles, including their contact information, onto the SEMA website. They can view other members’ profiles, including those of SEMA staff, and send and receive messages. Member companies can also post announcements under their profiles. In addition, members may join discussion forums where they can share the latest news and technology and open up topics for new ideas and innovation.

“SEMA recognized the need and importance of peer-to-peer communication, information sharing and networking,” said Tom Myroniak, SEMA vice president of marketing and market research. “We integrated community features into the website to enable members to communicate with other members.”

Members may search profiles by employees, groups or companies. The online directory allows members to find companies through product searches.

Members can personalize their MySEMA profiles by subscribing to a SEMA Interest. SEMA Interests are updates of the latest relevant news, events, resources and discussions from the SEMA community based on the member’s choice of query or topic. SEMA Interests allow members to monitor a developing SEMA eNews story, stay updated with news and events or keep up with a forum discussion—all filtered to the member’s personalized needs. Media information about government affairs, motorsports, educational opportunities and other sources can also be channeled to members based on their preferences.

MySEMA has been designed to improve the user capabilities of the individual on the SEMA website. Previously, the site was geared to the needs of companies at large, but now individual employees of a company create and manage their own profiles.

“MySEMA was designed to help individuals solve problems and find resources as efficiently as possible,” said Myroniak. “It was an answer to the complex diversity of our industry’s constituents. With the wide variety of programs and services SEMA offers, it’s become more difficult to deliver them to the right person at the right time.”

With MySEMA, members may access all educational content, including webinar downloads, free of charge. Market research reports and technology content are also available for free.

Members can access all the benefits of MySEMA by logging in with their SEMA user identification and password. Members who are not in SEMA’s database may register online.

“We’ve received a considerable amount of feedback. Members have shown an appreciation for the tools and changes we’ve implemented,” said Myroniak. “We’ve also received suggestions for improvement. As this is an innovative and collaborative process, we encourage members to give feedback so that SEMA.org can continue to deliver as many benefits as possible.”

For more information on MySEMA, e-mail Tom Myroniak at or visit http://my.sema.org.

SEMA News - December 2009

By Megan McKernan

Market Update

Other than powertrain components that have to coexist with vehicle on-board computers, mobile-electronics components can often be the most complex specialty-equipment accessories added to a vehicle. The key to success in this market is the ability to convince enthusiasts and consumers alike that they have to have these cool products on their vehicles.

Market for Mobile Electronics

As of the end of the first quarter of 2009, there were a total of 241 million vehicles registered in the United States. This presents countless opportunities for not only the mobile-electronics market, but for the specialty-equipment market as a whole. The task is not often easy, as automobile manufacturers have been producing cars with more sophisticated options than ever before. Built-in navigation systems, backup cameras, heated seats and luxury stereo systems are just a few examples of accessories that consumers now have the option to purchase for their vehicles directly from car and truck manufacturers. In order to get an idea of the opportunity for mobile-electronics manufacturers and installers, it’s important to look at what is actually being offered by the automakers themselves.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America. This is not the complete picture of the potential market for mobile-electronics products, as the data does not include vehicles produced outside of North America, but it definitely provides a good starting point.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America.

The market for mobile electronics has been described as one of change. Kevin Campbell of Stillwater Designs, most commonly referred to as Kicker, had some great insight into this market as both a SEMA member and a manufacturer. He said that the desire of consumers to take their music with them has made iPod and MP3 connectivity more important and head units in vehicles passé. With many consumers making the decision to hold on to their vehicles longer in the slow economy, the hope is that more upgrades will be made to vehicles, including audio components.

“In terms of system trends, consumers respond most to simple, inexpensive upgrades that enable them full use of their MP3 players and the players’ features,” Campbell said. “Navigation and hands-free phone capability are big priorities as well. Full audio-system upgrades are rare in this current economy.”

	Table 3: SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles.

Enthusiast Preferences

SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles. The most popular accessories already purchased for vehicles are stereo-system components, followed by GPS navigation systems and satellite radio (see Table 3 for complete results).

Enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle. Seven percent indicated that accessories were purchased at the time of vehicle purchase, while 14% said that accessories were purchased anywhere between one and three weeks after vehicle purchase (see Table 4). The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores. At the bottom of the list were newspaper classifieds and retail department stores (see Table 5).

When marketing to consumers and enthusiasts, retailers and manufacturers should know what factors a purchaser considers before buying a product. Some people rely on advice from friends, while others look at brand names. Table 6 ranks the factor choices that were included in the survey by importance. An overwhelming majority—87%—believed that quality was very important. Keep in mind that respondents were able to weigh in on each of the decision factors.

Mobile-Electronics Sales

Retail sales of mobile electronics grew nearly 4% between 2007 and 2008, due in large part to increases in two categories: video entertainment and navigation systems, and cellular, iPod, MP3, PDA docks and accessories. In five years, from 2004 to 2009, the mobile-electronics segment of the specialty-equipment market rose 25%. Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market (see Chart 1).

Table 4: Surveyed enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle.	Table 5: The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores.	Table 6: Factor choices were ranked in the survey by importance. An overwhelming majority—87%—believed that quality was very important.

	Chart 1: Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market.

With long commutes and active lifestyles, Americans spend a good part of their lives in their vehicles. The ability to listen to favorite music from an iPod through an awesome stereo system while at the same time arriving at a destination without getting lost thanks to a navigation system can mean the difference between simply making a car trip and having a memorable driving experience. For this industry, vehicles are not simply modes of transportation. They are reflections of the enthusiasts who drive them.

SEMA News - December 2009

By Megan McKernan

Market Update

Other than powertrain components that have to coexist with vehicle on-board computers, mobile-electronics components can often be the most complex specialty-equipment accessories added to a vehicle. The key to success in this market is the ability to convince enthusiasts and consumers alike that they have to have these cool products on their vehicles.

Market for Mobile Electronics

As of the end of the first quarter of 2009, there were a total of 241 million vehicles registered in the United States. This presents countless opportunities for not only the mobile-electronics market, but for the specialty-equipment market as a whole. The task is not often easy, as automobile manufacturers have been producing cars with more sophisticated options than ever before. Built-in navigation systems, backup cameras, heated seats and luxury stereo systems are just a few examples of accessories that consumers now have the option to purchase for their vehicles directly from car and truck manufacturers. In order to get an idea of the opportunity for mobile-electronics manufacturers and installers, it’s important to look at what is actually being offered by the automakers themselves.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America. This is not the complete picture of the potential market for mobile-electronics products, as the data does not include vehicles produced outside of North America, but it definitely provides a good starting point.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America.

The market for mobile electronics has been described as one of change. Kevin Campbell of Stillwater Designs, most commonly referred to as Kicker, had some great insight into this market as both a SEMA member and a manufacturer. He said that the desire of consumers to take their music with them has made iPod and MP3 connectivity more important and head units in vehicles passé. With many consumers making the decision to hold on to their vehicles longer in the slow economy, the hope is that more upgrades will be made to vehicles, including audio components.

“In terms of system trends, consumers respond most to simple, inexpensive upgrades that enable them full use of their MP3 players and the players’ features,” Campbell said. “Navigation and hands-free phone capability are big priorities as well. Full audio-system upgrades are rare in this current economy.”

	Table 3: SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles.

Enthusiast Preferences

SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles. The most popular accessories already purchased for vehicles are stereo-system components, followed by GPS navigation systems and satellite radio (see Table 3 for complete results).

Enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle. Seven percent indicated that accessories were purchased at the time of vehicle purchase, while 14% said that accessories were purchased anywhere between one and three weeks after vehicle purchase (see Table 4). The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores. At the bottom of the list were newspaper classifieds and retail department stores (see Table 5).

When marketing to consumers and enthusiasts, retailers and manufacturers should know what factors a purchaser considers before buying a product. Some people rely on advice from friends, while others look at brand names. Table 6 ranks the factor choices that were included in the survey by importance. An overwhelming majority—87%—believed that quality was very important. Keep in mind that respondents were able to weigh in on each of the decision factors.

Mobile-Electronics Sales

Retail sales of mobile electronics grew nearly 4% between 2007 and 2008, due in large part to increases in two categories: video entertainment and navigation systems, and cellular, iPod, MP3, PDA docks and accessories. In five years, from 2004 to 2009, the mobile-electronics segment of the specialty-equipment market rose 25%. Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market (see Chart 1).

Table 4: Surveyed enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle.	Table 5: The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores.	Table 6: Factor choices were ranked in the survey by importance. An overwhelming majority—87%—believed that quality was very important.

	Chart 1: Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market.

With long commutes and active lifestyles, Americans spend a good part of their lives in their vehicles. The ability to listen to favorite music from an iPod through an awesome stereo system while at the same time arriving at a destination without getting lost thanks to a navigation system can mean the difference between simply making a car trip and having a memorable driving experience. For this industry, vehicles are not simply modes of transportation. They are reflections of the enthusiasts who drive them.

SEMA News - December 2009

By Megan McKernan

Market Update

Other than powertrain components that have to coexist with vehicle on-board computers, mobile-electronics components can often be the most complex specialty-equipment accessories added to a vehicle. The key to success in this market is the ability to convince enthusiasts and consumers alike that they have to have these cool products on their vehicles.

Market for Mobile Electronics

As of the end of the first quarter of 2009, there were a total of 241 million vehicles registered in the United States. This presents countless opportunities for not only the mobile-electronics market, but for the specialty-equipment market as a whole. The task is not often easy, as automobile manufacturers have been producing cars with more sophisticated options than ever before. Built-in navigation systems, backup cameras, heated seats and luxury stereo systems are just a few examples of accessories that consumers now have the option to purchase for their vehicles directly from car and truck manufacturers. In order to get an idea of the opportunity for mobile-electronics manufacturers and installers, it’s important to look at what is actually being offered by the automakers themselves.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America. This is not the complete picture of the potential market for mobile-electronics products, as the data does not include vehicles produced outside of North America, but it definitely provides a good starting point.

Tables 1 and 2 list factory-installed products on 2009 model-year cars and trucks produced in North America.

The market for mobile electronics has been described as one of change. Kevin Campbell of Stillwater Designs, most commonly referred to as Kicker, had some great insight into this market as both a SEMA member and a manufacturer. He said that the desire of consumers to take their music with them has made iPod and MP3 connectivity more important and head units in vehicles passé. With many consumers making the decision to hold on to their vehicles longer in the slow economy, the hope is that more upgrades will be made to vehicles, including audio components.

“In terms of system trends, consumers respond most to simple, inexpensive upgrades that enable them full use of their MP3 players and the players’ features,” Campbell said. “Navigation and hands-free phone capability are big priorities as well. Full audio-system upgrades are rare in this current economy.”

	Table 3: SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles.

Enthusiast Preferences

SEMA’s 2008 Automotive Lifestyles Survey results provide a great picture of the types of mobile-electronics products that enthusiasts have purchased or plan to purchase for their vehicles. The most popular accessories already purchased for vehicles are stereo-system components, followed by GPS navigation systems and satellite radio (see Table 3 for complete results).

Enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle. Seven percent indicated that accessories were purchased at the time of vehicle purchase, while 14% said that accessories were purchased anywhere between one and three weeks after vehicle purchase (see Table 4). The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores. At the bottom of the list were newspaper classifieds and retail department stores (see Table 5).

When marketing to consumers and enthusiasts, retailers and manufacturers should know what factors a purchaser considers before buying a product. Some people rely on advice from friends, while others look at brand names. Table 6 ranks the factor choices that were included in the survey by importance. An overwhelming majority—87%—believed that quality was very important. Keep in mind that respondents were able to weigh in on each of the decision factors.

Mobile-Electronics Sales

Retail sales of mobile electronics grew nearly 4% between 2007 and 2008, due in large part to increases in two categories: video entertainment and navigation systems, and cellular, iPod, MP3, PDA docks and accessories. In five years, from 2004 to 2009, the mobile-electronics segment of the specialty-equipment market rose 25%. Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market (see Chart 1).

Table 4: Surveyed enthusiasts were asked when accessories were purchased relative to the purchase of the vehicle.	Table 5: The most popular place-of-purchase choices by respondents were mail-order catalogs followed by chain auto-parts stores.	Table 6: Factor choices were ranked in the survey by importance. An overwhelming majority—87%—believed that quality was very important.

	Chart 1: Despite the growth in entertainment and navigation systems, audio and sound products continued to make up the largest portion of the mobile-electronics market.

With long commutes and active lifestyles, Americans spend a good part of their lives in their vehicles. The ability to listen to favorite music from an iPod through an awesome stereo system while at the same time arriving at a destination without getting lost thanks to a navigation system can mean the difference between simply making a car trip and having a memorable driving experience. For this industry, vehicles are not simply modes of transportation. They are reflections of the enthusiasts who drive them.