Founded in 1938 and headquartered in Torrance, California, Edelbrock is a well-known industry name. Recently the legacy brand entered into a merger with the Comp Performance Group, although the two companies continue to operate as separate entities. Chris Douglas, Edelbrock Group chief commercial officer, described the company’s current product mix as evenly split between motorsports, the street and hot-rod scene, and the industrial segment. The company also sells through all channels, from mass merchandisers to direct-to-consumer e-commerce. Like other businesses, the manufacturer saw signs of uncertainty this past March, followed by hopeful indicators as the industry and consumers adapted to the obstacles imposed by the COVID-19 pandemic.
While the specialty-equipment aftermarket has traditionally been a male-dominated profession, the demographic landscape has changed markedly in recent years, and nowhere more so than in the consumer sphere, where women make up a sizable plurality of purchasers. A 2014 study by United Parcel Service found that women account for some 40% of all online auto-parts sales, and a 2018 SEMA “Young Accessorizers Report” found that nearly one-third of accessorizers under age 25 are female, so women consumers clearly comprise a healthy market segment that specialty-equipment companies would be wise not to overlook.
The powersports UTV market seems to get better and better each year, not just in terms of the vehicles themselves but also in terms of the increasing number of consumers flocking to the side-by-side lifestyle. It’s a phenomenon that not even a pandemic can stop.
In January, General Motors (GM) grabbed headlines with the announcement that it planned to be carbon-neutral in both its global products and operations by 2040. A key part of that ambitious goal will be the elimination of tailpipe emissions from its light-duty vehicles by 2035. The automaker said it plans to accomplish that through a heavy $27 billion investment in electric and autonomous vehicles over the next five years. Additionally, GM is committed to offering 30 all-electric vehicle models by mid-decade, with Chevrolet especially at work on eCorvette and electric SUV designs.
There’s something about a pickup that sets it apart. No, we’re not talking about the obvious—the bed in back that lets you carry lots of stuff, or the solid axle that lets you tow a trailer. We’re talking about intangibles.
In 2020, most companies were forced to drastically alter their person-to-person business approach due to the COVID-19 pandemic. Industry shows, including the SEMA Show, were cancelled and replaced by virtual events, such as SEMA360. Racing events were cancelled or postponed. More people were working from home than ever before. Business meetings were conducted via Zoom. Seminars made way for webinars.
Annual business planning is a proven growth driver. Unfortunately, many small-business people may be tempted to skip that task for 2021, since traditional strategic planning often ties up time and resources. Plus, with COVID-19, who can predict the marketplace?
As automotive specialty-equipment businesses draw up their business plans for 2021, many undoubtedly face some degree of uncertainty. Will the pandemic fade into the rearview mirror? What was the economic impact on the industry? Will this year’s gains extend into 2021? To help answer those questions and more, SEMA Market Research has released an extensive and timely Fall 2020 “State of the Industry Report.”
Wheels and tires are more than essential vehicle components—they’re performance and style enhancers. Whether for street, track or trail, they’re among the easiest and most purposeful modifications an automotive enthusiast can undertake. With the right wheel-and-tire combo able to make all the difference for handling, confidence and ride enjoyment, it’s no wonder they have remained stalwart sellers for the aftermarket.
As aftermarket businesses enter the new year, the state of the American economy will be closely watched for sales and market planning. Fortunately, the latest SEMA research indicates considerable good news on the consumer front. In its recently released “State of the American Consumer” report, the SEMA market research department sees many positive signs that consumers are beginning to move past the COVID-19 hit the economy took in spring 2020.