From SEMA eNews
DIAMOND BAR, CA — Over the past eight years, appearance/body accessory products have shown the largest growth of any product group in the industry, increasing 96.4 percent. Following closely is custom wheels, with performance chemicals in third place.
Some of the reasons behind the product growth numbers are rather self-evident. OBD and the increased complexity of production vehicles have hindered the expansion of several product groups, such as engine products, carburetor and fuel systems, drive train products and cooling products.
Another factor hindering the growth of some product groups is the warranty denial issue. Many new-vehicle dealers take a blanket approach to warranty claims that say, “if there are aftermarket parts present, the vehicle warranty has been voided.” This is unfortunate because consumers are not only curtailing their purchases of aftermarket products, but they are also changing vehicle brands because of the treatment they receive (particularly younger vehicle owners).
Leasing also plays a part in determining which product groups grow and which do not. As leasing became increasingly prevalent, consumers were more selective in the specialty automotive products they added to their vehicles. In many cases, where the aftermarket additions have been residualized, the consumer typically will add more products than otherwise.
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