Sales of alternative powered vehicles, while currently representing just 5% of all U.S. light-vehicle sales today, are expected to reach 45% by 2035, according to new SEMA Market Research.
Eighteen of the top 20 global automakers, which together represent around 90% of new car registrations worldwide in 2020, plan to widen their portfolio of alternative-power models and scale up their production of electric vehicles. However, three quarters of Americans still prefer gas or diesel and have concerns about charging infrastructure, driving range and price. Also, alternative-power vehicles remain a niche market for the specialty-equipment industry, accounting for just 1% of specialty-equipment retail sales in 2020.
Filled with an in-depth outlook on the landscape of alternative power and electrification in the United States, the “Emerging Trends: Electrification, Alternative Power and Advanced Technology” report helps companies understand potential implications for the specialty-equipment industry and how advanced technologies are becoming part of the new vehicle ecosystem. Key findings from the report include:
There are currently 4.1 million alternative-power vehicles on U.S. roads today. This represents 1% of light vehicles in operation.
While sales are starting to grow, significant hurdles remain, around range, changing, and electrical power generation, in the shift towards more electrified vehicles.
As sales of electric and other alternative energy vehicles increase in coming years, it will take a while for current vehicles to cycle out of operation. The average age of a vehicle today is just over 12 years.
Alternative power currently represents a very small share of the specialty-aftermarket sales but will be more important as their presence grows. In 2020, alternative power accounted for only 1% of specialty-equipment retail sales at $0.42 billion.
Automakers continue to integrate vehicles with advanced technology to increase safety and comfort on the road. This opens potential growth opportunities for the aftermarket industry in older vehicles.
While 58% of drivers want more safety features, 86% say they are afraid of fully autonomous vehicles. They cite safety and liability as their biggest concerns.
To learn more about SEMA’s outlook on electric vehicles and emerging trends and technology, download the new SEMA “Emerging Trends: Electrification, Alternative Power and Advanced Technology” report today at www.sema.org/research.
The 2021 SEMA Show will be held November 2–5 in Las Vegas.
The 2021 SEMA Show is about nine weeks away. Here’s a rundown of key deadlines, including early-bird and advance rates available for several booth services, as well as checklists to keep you on track and on budget.
The Deadlines Checklist provides a breakdown of all of the deadlines for booth orders, rentals, booth vehicle applications, celebrity appearance notifications and much more.
The budget checklist form allows you to keep track of all your costs and ensures that you are adequately prepared for your experience at the SEMA Show.
With exhibits included in the LVCC’s newly constructed West Hall,
the entire SEMA Show floorplan will be optimized and offers room
for new features and enhancements for an improved overall
attendee experience.
The 2021 SEMA Space Allocation process was completed in late June, with more than 1,700 companies selecting their booth locations at the Las Vegas Convention Center (LVCC). The LVCC's halls are nearly full of exhibits, but booth space is still being reserved, and more exhibitors are expected to secure space until the Show opens on November 2.
Attendees planning on joining the industry at the 2021 SEMA Show can see who's exhibiting and where through the updated floorplan. If you have not yet registered for the SEMA Show, taking place Tuesday-Friday, November 2-5, visit www.SEMAShow.com/attendee to register.
For 2021, the Show will include exhibit space in the Las Vegas Convention Center’s newly constructed West Hall, a 1.4-million-sq.-ft. facility completed in January. The new facility includes exhibitors from the Restyling & Car Care Accessories, Powersports & Utility Vehicles, and Truck, SUV & Off-Road sections.
Earlier in June, the visitors of the World of Concrete convention were the first to use the new hall, and the event marked the first large-scale convention and tradeshow to be held in Las Vegas in 15 months.
In addition to the new hall, the newly constructed Loop—a high-speed, people-mover system that runs 40 ft. under the LVCC—will transport visitors between South, Central and West Halls. The World of Concrete successfully used the system to shuttle visitors through the 200-acre convention center.
For more information on the 2021 SEMA Show, visit www.SEMAShow.com.
Register now for the following upcoming live webinars and stay tuned to SEMA eNews as additional sessions are announced throughout the year. For a comprehensive library of upcoming live and on-demand sessions that members can access anytime, visit www.sema.org/virtual-education.
Thursday, September 9 – Thriving From Day 1 to Day 365 Series: Perfecting Your Job Search, Powered by SBN Track: Industry Segments, Powered by SEMA Councils and Networks
Job seekers and those who recently completed their job search will learn how to prepare for day one of their new job, and how to succeed and thrive all the way up to day 365 in this live, interactive webinar. Automotive aftermarket professionals will learn how to prep for day one after accepting a new job and how to create a short-term plan to exceed goals for the first year. The session will also include a virtual breakout for participants.
Tuesday, September 14 – The Value of a Diverse Team Series: Team Management, Powered by SBN Track: Industry Segments, Powered by SEMA Councils and Networks
Having a diverse workforce brings new ideas, innovations and, ultimately, greater success to a team. Aftermarket managers will learn how individuals with disabilities can bring valuable diversity to the workplace, and how to support and respond when a direct report discloses that he or she has a disability. This webinar will provide managers with information that is not typically included in training for management positions.
Wednesday, September 15 – Emerging Trends: Electrification, Alternative Power and Advanced Technology Series: SEMA Industry Insights Track: Trends & Research
Vehicle electrification, alternative power and emerging technology continue to impact the future of automobiles. During this live webinar, the SEMA Market Research team will present an outlook and sales forecast for electric and other alternative energy vehicles, insight on the challenges and barriers to electric vehicle adoption, a look at the advanced safety technology being put in vehicles today, implications for the aftermarket and more.
Newly Added: Tuesday, September 28 – Network Your Way to Beneficial Connections Series: Sharpen Your Soft Skills, Powered by SBN Track: Industry Segments, Powered by SEMA Councils and Networks
Learn about the various networking channels and the ins and outs of different networking platforms during this webinar presented by the SEMA Businesswomen’s Network. Attendees will learn how proper networking can make all the difference in advancing one’s career, how to use networking to their advantage for job leads and ins, and how to stay connected over time once a relationship is established.
Allen Performance Resources (APR) has announced the hiring of Robert Sager as a senior account manager for Performance Steering Components (PSC), the manufacturer and distributor of power steering for motorsports applications. Sager’s role will be integral in helping facilitate, develop and grow sales opportunities for the PSC product lines, according to the company. With 45 years of automotive aftermarket experience, Sager was influenced by his grandfather who worked at Dodge and helped transform its parts numbering system and also helped create the Mitchell Manuals.
CTEK Creates Battery Kits for SEMA Show Builders
CTEK understands the frustration a dead battery can bring to car builders attending events like the SEMA Show. As the authorized battery charger sponsor for the 2021 Show, CTEK has created a trio of exclusive Battery Care Kits featuring a CTEK charger and accessories, including a static window cling and vinyl decal for show vehicles.
“Over the many years of attending the SEMA Show, CTEK has been approached by builders asking for help with their vehicle batteries. We understand it is just as important for the battery to be in top condition at this event as it is at your own workshop. CTEK is ready to be your solution. We have assembled ready-to-go kits for your battery needs,” said Bobbie DuMelle, executive vice president for CTEK North America.
Kit #1 uses the CTEK popular MXS 5.0, Kit #2 uses the Multi US 7002 and Kit #3 uses the professional level PRO25S. All three kits were designed with car builders in mind whose one-of-a-kind vehicles often include custom electronics and sophisticated audio systems.
Be sure to bring your CTEK charger to the 2021 SEMA Show to ensure your battery starts and your vehicle is able to participate in the SEMA Cruise at the completion of the SEMA Show. A special early-bird rate with fast free two-day shipping will be offered to builders through October 1.
To order, visit http://bit.ly/ctekbuilders.
Lisa Gill Joins the MBE Group
Lisa Gill
Marx Buscemi Eisbrenner Group (MBE Group) has promoted Lisa Gill to the role of vice president. Gill, who most recently served as account director, has been with MBE Group since 2017.
As vice president, Gill will further expand her role in leading client programs and mentoring team members, while also becoming more involved in the day-to-day operations, strategy and growth of the agency.
According to MBE Group, Gill is a seasoned PR and marketing executive, with nearly two decades of experience in automotive communications and public affairs. Throughout her time with MBE Group, she has led clients’ media relations, branding, social media, event coordination and crisis communications activities.
Ben Grueser
Permatex Promotes Ben Grueser to Associate Marketing Manager
Permatex has named Ben Grueser its new associate marketing manager. In his new role, Grueser will be responsible for the management of ITW’s Spray Nine and Fast Orange brands. He will initiate and coordinate the launch of new products, as well as manage profit improvement projects. Grueser is a current ITW Permatex employee and has been with the company since May 2018. He initially joined Permatex’s finance department as a staff accountant after a successful internship. In April 2019, he became a financial analyst for the company and was responsible for product and sales analysis, supporting accounting activities and internal data management.
Have some company news you would like to share? Let us know and the news may appear in an upcoming issue of SEMA eNews. Send your items for consideration to editors@sema.org.
With SEMA-member companies based in Louisiana and Mississippi, SEMA is working with the Automotive Aftermarket Charitable Foundation (AACF) to aid individuals and families in the industry who may have been adversely impacted by Hurricane Ida.
Founded in 1959, the AACF has been providing sustainable solutions to individuals in the industry who have fallen on hard times. The service is confidential and has helped struggling individuals who have exhausted other available resources.
SEMA members in need of assistance are encouraged to contact AACF directly at info@aacfi.org or visit www.aacfi.org.
Those interested in supporting AACF can make a tax-deductible donation at www.aacfi.org/donate-today by mail at P.O. Box 864520, Orlando, FL 32886, or by calling 772-286-5500.
As the only national nonprofit dedicated to serving more than 4.1 million employees of the automotive aftermarket, AACF provides emergency grant funding to aftermarket employees that lack sufficient means when they suffer catastrophic circumstances.
Available when you need them, where you need them—SEMA’s On-Demand Virtual Education library includes dozens of recorded sessions that SEMA members can access anytime, anywhere.
Below are newly added and popular recordings that are available. For a complete list of sessions and registration information for upcoming webinars, visit www.sema.org/virtual-education.
ARMO Builder Series
Episode Two: Interview with Steve Cook, Steve Cook Creations
In this video, Steve Cook, owner of founder of the automotive restoration shop Steve Cook Creations, sits down with Sabra Johnson of City Classic Cars to share the story of his company's legacy. Viewers will get to know Cook's insight on all things restoration, combining engineering with creativity, the importance of having the right team, and where the future of the industry is headed. Watch on-demand.
Episode Three: Heroes in the Shadows
Mentorship plays a huge role in the lives of many automotive aftermarket professionals. In fact, many -- if not all -- successful industry leaders will attest to having benefitted from some form of mentorship in their career along the way. This video features a passionate automotive student and his former high-school top shop teacher in a candid and inspirational story. Watch on-demand.
Industry Talks Track
YEN Live Chat with Bruce Piefke
Founder of High Octane Events Bruce Piefke shares his experience planning and organizing car shows—and turning them into recognized brands during this Facebook live chat recording. As owner of Caffeine and Octane, Piefke discusses the opportunities that building a car show creates, and the challenges of turning events into successful businesses. Watch on-demand.
ETTN Live Chat with Andrew Johnson
In this Facebook live chat recording, head of product at AutoAnything Andrew Johnson discusses useful business hacks and online tools, startup fundraising, and where he sees the future of small businesses and technology headed in the next 1 – 5 years. Watch on-demand.
Pricing Policies Series
Pricing Policies 101: The Truth About Pricing Policies
Learn the basics of pricing policies and why it’s important to consider one to avoid price erosion in the marketplace. In this on-demand webinar, Rich Barsamian of Advanced Clutch Technology shares what he has learned from more than 10 years of experience, writing, implementing and executing pricing policies in the automotive aftermarket. Watch on-demand.
Sharpen Your Soft Skills Series, Powered by SBN
Effectively Managing Conflict
When confronted with a challenge from a direct report, colleague or manager, knowing how to effectively handle the situation can save one from unnecessary work disruptions, decreased productivity, project failure and even termination. Watch this on-demand webinar to learn methods for how to handle challenging situations, whether it be manager to employee, employee to employee, manager to manager, or manager to supervisor. Watch on-demand.
Team Management Series, Powered by SBN
How to Keep Productivity at a Maximum
Learn how to identify priorities and increase your overall effectiveness in the workplace, from planning to implementation by watching this on-demand webinar. Viewers will learn tips and habits to increase productivity throughout the day, how to identify and avoid obstacles that impede productivity, and goal-setting methods for effectively managing time. Watch on-demand.
The Import-One-Stop-Shop (IOSS) is designed specifically
for the sale of “low-value” goods (not exceeding €150) from
outside the EU to buyers inside the EU. If the value of your
goods is higher than that, then you should follow other
traditional Import VAT rules. Photo courtesy: Shutterstock
U.S. suppliers selling over the internet to European consumers need to comply with new regulations regarding the collection, reporting and payment of value-added taxes (VAT). Starting this summer, sellers located outside the European Union (EU) and shipping orders to consumers located in any of the 27 EU states are required to collect and pay VAT taxes through a new platform known as the Import-One-Stop-Shop (IOSS). These new requirements cover all individual sales of up to €150 (approximately $178 USD) but do not include sales overseas suppliers make through third-party platforms, such as Amazon.
SEMA vice president of events Tom Gattuso recently answered questions about the 2021 SEMA Show’s health and safety plans. Read below for more details, or visit www.SEMAShow.com for the most up-to-date information about the SEMA Show.
Q: What is SEMA, AAPEX and Automotive Aftermarket Industry Week?
Tom Gattuso: The SEMA Show and AAPEX are two different shows that take place during the first week of November in Las Vegas each year. Together, they make up the automotive industry’s leading trade gathering—it’s an exciting weeklong event that we call Automotive Aftermarket Industry Week, or AAIW for short. Both events are B2B, and they help companies succeed and grow. They are conveniently co-located within a few miles of one another, and a single attendee registration allows access into both events; but, as mentioned earlier, the SEMA Show and AAPEX are two unique and different events.
AAPEX takes place Tuesday through Thursday at the Venetian Expo & Caesars Forum, and it features aftermarket replacements parts—the type of products that are required to keep your car or truck running.
The SEMA Show is a four-day show taking place Tuesday through Friday at the Las Vegas Convention Center, and it features products and services that enhance the performance, styling, comfort, convenience and safety of cars, trucks and SUVs. It’s where you’ll find the eye candy and discover the newest products available to modify and personalize your vehicle into a one-of-a-kind creation—from superchargers and performance brakes to seat covers and custom paint or bedliners. The SEMA Show covers ever market niche, so whether you work in racing and performance, off-road, restyling, mobile electronics or another segment, this is the place to discover the new trends and products, and to connect with other businesses in your segment.
Both events include seminars, meetings and events for the automotive industry, so businesses can get a lot accomplished while in Las Vegas during the week. It makes for a really busy week, but with the entire industry in attendance and so many activities taking place, it is the best place for businesses to be, and participation delivers the greatest ROI.
Q: If the two events share registrations, why are there two different health and safety policies (or strategies) in place? Wouldn’t it be easier to just have one policy that applies to both events?
TG: The COVID landscape is complicated, and organizations are making decisions and planning in their own ways. SEMA believes that we will serve our industry best by having the benefit of some time, which will give us more current and reliable decisions from state and local authorities for the event taking place in November. We’ve seen a lot change in the past few weeks, and we anticipate more changes to come. We’re working with Nevada authorities to understand what will be needed for the SEMA Show. We believe we will have a better read in the weeks ahead and will act accordingly.
Q: Is there a chance SEMA will implement the same measures AAPEX and other events are implementing, and require proof of vaccination in order to attend?
TG: It’s not possible to know with certainty today what the Nevada requirements will be in November. Rather than speculate on what may or may not be required, we are closely monitoring the COVID landscape and working with state and local authorities, and we will share details that the industry can rely on as soon as we can.
Q: How long will we have to wait until SEMA makes a decision?
TG: We don’t have a specific date at this time, but we can tell you that we are 100% committed to having the Show in November and helping the industry and our customers succeed. As soon as we learn the specific measures that will be required in November by state and local governments, we will share those details by posting them on our websites, in our social media channels, and emailing registered participants. We will do everything we can to notify our customers as soon as possible.
Q: It sounds like masks are required at all indoor events in Las Vegas. Should I be prepared to have to wear a mask all day long while at the SEMA Show?
TG: Currently (as of this September 1, 2021, interview), Nevada does require that masks be worn by everyone while indoors in Las Vegas, but that may change. We will have to assess the situation and the requirements that will be place, and it’s just a bit too early to make that determination. We’ll know more in the coming weeks. Also, there is more than a million square feet of outdoor activation space, including feature vehicles, displays, drifting and ride and drive experiences, where masks are not required.
Q: Doesn’t SEMA have an option to require proof of vaccinations from attendees, and then not require masks to be worn the entire time?
TG: That is not currently (as of September 1, 2021, interview) an option for events such as trade shows in Las Vegas. Nevada recently announced an option for fixed-seat event organizers—such as concerts and football games—to require proof of vaccination from attendees in Las Vegas, and not require masks be worn. It seems that many do not realize that this option does not apply to trade shows—the current requirement in Nevada is for masks to be worn by all individuals while indoors in Las Vegas regardless.
This is an example of the confusion that recent changes have created. We will have greater clarity about the November requirements for trade shows in the coming weeks, and will announce details at that time.
Q: Lots of people are saying they want proof of vaccination, masks, pre-event testing. Why not set those requirements now?
TG: The COVID-19 landscape is changing week to week. We need to rely on the health experts and believe that the safety measures that will make sense to the greatest number of people are the measures that Nevada health authorities will have in place after a few more weeks pass, and we get closer to our November Show dates.
Q: What are the other health and safety measures for the SEMA Show that are in place?
TG: The basics for a successful 2021 SEMA Show are already in place and we are prepared for the industry to reconnect in November. Inside the LVCC, there is an upgraded GBAC Star Certified Air System. This is a hospital-grade system and represents the highest standard for daily cleaning and sanitization. The new West Hall also provided us with higher ceilings and 25% more space, so we can spread out more and have wider aisles throughout the entire convention center and accommodate attendees to distance more freely. We will also have hand-sanitizing stations throughout the event, and daily cleaning in high-traffic areas.
We also know that, unlike a year ago, trade shows today are taking place successfully throughout the country. A year ago, gatherings were limited to no more than 250 people. At the Las Vegas Convention Center, 17 events are scheduled to take place between now and the SEMA Show.
The health and safety of those at the Show is important to us, and we are confident that the 2021 SEMA Show is going to be an amazing event that will provide the industry with the best opportunity to reconnect and do business. There is two years’ worth of pent-up demand from the industry to reconnect in person, and the 2021 SEMA Show will give the industry with the best opportunity to do that.
Spotting Emerging Trends to Stay Ahead of the Curve
By Fredy Ramirez
The F-150 Lightning is slated to be Ford’s first attempt
at a fully electric truck and is set to be released in 2022.
Photo courtesy: Ford
Solely based on the moves OEMs are making, electric vehicles (EVs) are the future of the industry. It would be difficult to find a car manufacturer that doesn’t feature at least one electric vehicle in its lineup or that isn’t planning to include one soon.
“From a Ford Motor Company perspective, electrification is huge to us,” Ford Performance Motorsport Supervisor Brian Novack said. “I think we are spending $11.5 billion over the next few years in improving our electric-vehicle lineup.”
Those in the aftermarket who begin to take advantage of the opportunities arising in the EV market are going to be ahead of the curve. However, the aftermarket industry isn’t there yet, so where are the opportunities?
As of now, the only viable way to make an electric car faster is to give it a bigger battery. Companies such as AEM-EV optimize the performance of the battery using advanced data gathering and control systems for EVs, but the performance is still limited by the power the battery supplies.
“The only way a Tesla will go faster than your neighbor’s Tesla is if you removed all the seats from it and try to lighten it up,” said Steve Huff of Huff Motorsports.
The options for the aftermarket as of now are limited until the next wave of electric cars or until the other available platforms become easily modifiable. The next step for EVs are trucks, which are still in a development stage. Providing an all-electric truck is more challenging because not only are trucks heavier vehicles, trucks tend to haul and tow heavier items. However, Magna International is developing a technology to assist with the transitioning of trucks with its eBeam technology.
The Ford E-Transit is looking to enhance customer efficiency
through a fully electric powertrain and next-level software.
Photo courtesy: Ford
“It is a bold endeavor to electrify pickup trucks, whose owners demand the towing and hauling capabilities they are currently used to, and we’ve accomplished it with our eBeam technology,” Magna Powertrain President Tom Rucker said. “We know axles are core elements of a truck’s strength, and we are excited to have developed the first significant improvement to the solid beam axle in more than 100 years.” The axle is being engineered to integrate hybrid or full battery electric powertrain systems with current truck designs without any change in the rest of the system. This should speed up the process as Rucker stated they are working with OEMs but couldn’t specify which ones.
As of now, the two most notable electric pickups on the way are Ford’s all-electric F-150 Lightning and Chevrolet’s all-electric Silverado. Their gas counterparts are some of the most heavily modified vehicles of any class, which bodes well for the aftermarket. “The F-150 Lightning is a massive moment for our Ford team. It’s quicker than a Raptor, with standard 4x4 and independent rear suspension; a power frunk, enough juice to run your house for three days or power an awesome tailgate; and it will forever improve with over-the-air updates,” said Ford President and CEO Jim Farley. Pickups have always been the aftermarket’s favorite vehicle class to modify, and it look like that should continue with this wave of electric vehicles.
Jeep is another major player that is becoming involved. It is on its way to developing a fully electric vehicle with its hybrid Wrangler 4xe, featuring a plug-in option.
Jeep recently announced its Wrangler 4xe Hybrid,
foreshadowing its future with electric vehicles. Photo
courtesy: Jeep
“Millions of vehicles were sold in California last year,” said EV West Owner Michael Bream. “To try to make all of those electric in 14 years during a time when the largest American electric car manufactured delivered 500,000 cars last year is going to be hard to do. There is going to be such a profound change and scaling.”
Trucks are where aftermarket companies are going to make their living, because they are the most modified vehicle class in the industry. In fact, there are already hints of electric-powered trucks that could use aftermarket support. For the first time in its history, King of the Hammers featured an electric-powered 4Runner.
Given how advanced all those vehicles will be, the aftermarket faces some admitted challenges. Still, as new technologies continue to emerge, this market segment also promises growth opportunities. At the very least, investing now in EV research and development can help companies diversify product lines and secure future profits.
Sources
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