Market Forces and Technology May Change the Shape of the Industry
The wheel and tire market has improved over the past year, according to a widely held consensus among professionals in the automotive specialty-equipment industry. New offerings, technology and an improving economy bode well for sales in 2015, but there are also impediments that may deflate some of the optimism.
The Los Angeles Auto Show has developed a reputation as a “green” show that strongly focuses on alternative fuels and novel forms of propulsion. This may have been the case in prior years, but the 2014 Los Angeles Auto Show had more to offer enthusiasts than in recent years, as a burst of “track-ready” performance cars and creative variants on existing platforms came to light. That made it more like the SEMA Show—an optimistic environment in which OEM exhibitors launched fun-to-drive new models and showed off interesting concept cars that may very well enter production. Among them were several vehicles that could be of special relevance to SEMA members.
Demand Is Strong; Will Laws Be Updated Soon?
Seventeen SEMA-member companies presented their products in a two-city visit to China during the September 2014 SEMA China Business Development tour. The SEMA delegation had the opportunity to exhibit both in Beijing and Shanghai. The group was briefed by the U.S. Embassy and participated in networking events in both cities, where members had the chance to meet with buyers from throughout the country. Buyers attended the SEMA events from 23 provinces located throughout China.
A Look to the Future With SEMA Council Leaders
SEMA News annually turns to the leaders of the association’s councils and networks for the January issue to seek their views about how the industry is shaping up for the coming year. The chairs of each group provide responses based on what their organizations and companies are seeing within their marketplaces. Their responses provide helpful insights for businesses in every segment of the marketplace.
Each year, during the first week of November, manufacturers of automotive parts and accessories gather in Las Vegas to debut their new products and connect with buyers and media. As the largest annual gathering of small businesses, the SEMA Show provides these manufacturers with a venue for which to do business. They spend months in advance preparing their booths and securing meetings, and they work nonstop during the Show to connect with buyers who are seeking the hottest, newest products to fill their store shelves.
The New Products Showcase at the SEMA Show is a hotbed of creativity each year. Attendees flock to the display cases to learn about the latest developments in everything from street-performance, racing and off-roading to mobile-electronics, interior and exterior products. The cases are stocked before the Show opens, and a widely diverse panel of automotive professionals scrutinizes each offering before selecting a chosen few for industry honors.
New products shape the automotive specialty-equipment industry, and companies that get their innovations to market earliest have the best chance for success. Millions of dollars are spent each year to research, design, develop and produce prototypes that are eventually honed into the finished parts that reach consumers’ vehicles. Until recently, that process has been time consuming and expensive—especially for smaller manufacturers that don’t have huge budgets. But technology is changing the R&D process.
Offering Access to Hard-to-Obtain Vehicles What do a Toyota HiLux, a Ford Ranger T6, an UAZ Hunter and a Mitsubishi L200 have in common? For one thing these vehicles are known for being aftermarket-accessory friendly, are extremely popular with enthusiasts and are typically upgraded by owners who seek to take them off-roading. Another thing they have in common is that none of these vehicles are sold in the United States, but being very popular throughout the much of the rest of the world, they offer export marketing potential for U.S. companies.
An Exclusive Progress Report on the SEMA Data Co-op
When SEMA launched the SEMA Data Co-op (SDC) a little over two years ago, the goal was admittedly ambitious: to revolutionize the way automotive specialty-equipment manufacturers (data suppliers) convey product information to warehouse distributors and resellers (data receivers) for the benefit of all. Now, according to Jon Wyly, the co-op’s CEO, the SDC is delivering thousands of data sets a week, representing millions of part numbers and tens of millions of vehicle applications, through a database that continues to grow by leaps and bounds daily.
As a trade association, SEMA is governed by a Board of Directors, which is elected by the SEMA membership at large. Board members serve three-year terms, with the chairman-elect automatically assuming the role of Board chairman after completing his or her two-year term.
“The SEMA Board of Directors is vital for setting our priorities and addressing issues that promote growth for all the association’s member businesses,” said SEMA President and CEO Chris Kersting. “Our directors represent the breadth and depth of the $33-billion specialty-equipment industry, and we appreciate their spirit of volunteerism, along with the considerable industry experience and insight they bring to their leadership role.”