Several U.S. Association heads such as SEMA’s Chris Kersting, MEMA’s Bob McKenna and Bill Gager of APRA attended PAACE this year.

Last week, many North American automotive aftermarket professionals -- including myself -- packed their bags for Mexico City and the annual PAACE Automechanika trade show. The show this year drew more than 550 exhibitors and 19,000 attendees.

In recent years, the show has started to become known as a place for U.S. companies to explore expansion plans into Mexico and South America. The show is sponsored Mexico’s Industria Nacional de Autopartes (INA) along with U.S. industry association heavyweights: the Automotive Aftermarket Industry Association (AAIA), the Motor Equipment Manufacturer’s Association (MEMA), the Automotive Parts Rebuilder Association (APRA) and the Specialty Equipment Manufacturers Association (SEMA).

Whether you are a first-time attendee or veteran of the show, PAACE Automechanika always manages to amaze and educate about this growing market. According to a 2005 study by the Mexican Ministry of Economy and the INA, the Mexican aftermarket employs more than half a million people at almost 40,000 automotive parts stores and more than 146,000 repair facilities.

The Buzz on the Floor

At left: Many “Distribuidors” or “Grupos” proudly display the logos of the brands they sell at their booths.

What is it like being on the floor at a Mexican aftermarket automotive trade show? It is a lot like any tradeshow, with just one small difference -- just about everyone speaks Spanish. But don’t worry, most booths have translators. Whether you are walking the floor or stuck in a booth, you will always find a way to communicate.

The majority of the booth traffic is comprised of technicians, shop owners and parts store employees. They give the show floor an air of excitement and enthusiasm. Compared to the typical AAPEX or SEMA show attendee, it is amazing what they will do for a T-shirt or trinket. The tasks ranged from just standing in line to shouting the virtues of a brand at the tops of their lungs.

As for the exhibitors, the booths spaces filled with manufacturers, importers and exporters. But, what makes this show unique when compared to AAPEX or SEMA is the “Distribuidors” or “Grupos.” In English, the rough translation is warehouse distributors or jobbers.

Many of distribuidors or grupos have large and complex booths. But, what really sets them apart from their U.S. counterparts is how they display different brand logos. It puts NASCAR Nextel Cup cars to shame. Also, it was very hard to find a white box or private label part in these booths.

Recommendations

The show hours are from 2-9 p.m. Yes, you read that right. If you get a chance, take a morning to visit local shops and parts stores. It is a great chance to get a ground-level view of the Mexican aftermarket. Also, in Mexico City, it is common for many shops or parts stores to be clustered together in one area, so it is possible to visit many shops in a short period of time. While going to and from the show, take a look at what people are driving. The vehicle population of the country is 20.6 million and includes many European makes like Citroen, Renault and Peugeot.

When it comes to choosing accommodations for the show, it is just like Industry Week in Las Vegas, where it’s all about “location, location, location.” The main hotel for American visitors is the Presidente Inter-Continental Ciudad de Mexico. But there are a number of other hotels located right next door, in a nice and safe neighborhood of Mexico City. The hotels are about 30 minutes away from the airport and exhibition hall. The hotels can arrange for a driver to pick you up at the airport and offer bus service to and from the exhibition hall every half-hour.

Take time to explore the neighborhood around the hotels. There are two Starbucks within walking distance, and the hotel’s front desk is more than willing to recommend nearby restaurants that can suit any taste.

Is it Worth?

With travel budgets coming under increased scrutiny, you may think justifying a trip to Mexico may be difficult. From my experience, it is not that expensive and the show is full of opportunities to learn about the market and grow your business.

The only language barrier you may encounter is ordering at a restaurant. Typically, the majority of booths have an English speakers or translators. Like many countries, English is the language of business.

I also have to say that it's one of the friendlier trade shows in the aftermarket. If one person can’t help you, chances are they know someone who can and they are more than willing to introduce you. They know the value of creating a “win-win” for everybody.

In my opinion, it is safe to travel to Mexico City. There are just two simple rules to follow. First, never hail a cab off the street. Let the hotel or restaurant call a cab for you. Second, be aware of your surroundings. Like in any big city there are places that you shouldn't go after dark.