With a name like Speedway Auto Parts, it's kind of a given that President Bob Joshlin would make performance parts one of
the company's "niches." Being located in Indianapolis doesn't hurt either.
"We have carried aftermarket performance parts since 1975, and I have one dedicated salesperson to call on the racing industry
and a special buyer for the performance side so we can stay on top of the market," says Joshlin, who just opened his sixth
location in the area.
He says today's customization market has become more bolt-on accessory and less performance oriented, possibly as a result
of increased emissions standards limiting what he can sell over the counter.
"When I was growing up, I was looking to throw headers, change valves and camshafts...Today, it's more about adding a spoiler
here, making the car noisier, adding neon lights," he offers. Some program groups see more of their members breaking into the specialty parts arena, whether it is with high-performance
components, bolt-on accessories or even shop extras. And with recent numbers from the Specialty Equipment Market Association
(SEMA) declaring more than $38 billion worth of specialty automotive products were sold in 2007, it seems to be a market worth
considering – if the timing is right.
Dan Freeman, president of Auto Parts Associates, Inc. says with today's economy, members are looking for opportunities in
niche markets.
"We have a lot of import members that dabble in the tuner cars, selling high performance exhaust systems, nitrous oxide kits,
ground effects, wheels and suspension products," he offers.
"Another important area that some of our members are involved with are some of the car clubs. A lot of people who have muscle
cars do a lot of conversions – changing drum brakes to disc brakes, for example. Our members that are in tune with that and
a lot of those products are available through traditional sources."
As industry consolidation continues, Freeman thinks there will be more one-stop-shop businesses in the marketplace.
"I think as more of the retailers take more and more of the bread and butter items, our members are going to have to get
a little more creative in what they carry and be a little more broad-based in their offerings," he says.
Steve Marks, senior vice president of marketing/advertising, Automotive Aftermarket Parts Alliance, says the group plans
to grow its import presence in the aftermarket in 2009, and has been actively expanding into the Mexico market as a way for
members to branch out into a non-core business.
"We have a few members that are into the specialty business with tools, performance parts, PBE markets," he says. "From a
corporate standpoint, we support these specialty markets although they are kind of involved in these groups on their own.
We do coordinate the efforts of about a dozen of our members who are actively involved in the PBE business."
Freeman says some of APA's members are also involved with the paint and body market. Members who sell paint and body equipment
find the guy who likes to go four-wheeling, bangs up his trailer and needs someone to paint it on the weekend.
"That's a good source of revenue for our members and other distributors if they keep their eyes open because a guy who's preparing
on a Friday night to go ride on the weekend doesn't have a lot of resources."
Customers can rely on auto parts stores for those last-minute items, such as a towing package with tie-downs for the weekend
camper, or auxiliary lighting kits to replace the light that was broken the weekend before.
Jeff Levine, president of Levine Auto & Truck Parts, is a firm believer in selling more product to existing customers, and
while the company doesn't sell an abundance of performance parts, they do sell a lot of specialty items.
"We push hand cleaner, paper towels, and any kind of consumable to be used in shops," he says. "We sell truck
parts, auto body and automotive parts. The guy who works for a fleet also has a passenger car that needs parts, so we carry
the full gamut of what someone might need for any vehicle on the road."
Levine, whose business is 75 percent wholesale, is interested in suppliers who offer broader product lines.
"We need to help our customers sell more to their existing customer base, even if it is a hybrid, which most people are probably
taking back to the dealer for repairs," he explains. "We need to help our customers get a piece of the action of future repairs
for all vehicles by carrying the parts needed. We also need to help in marketing and advertising of the repair."
