Global Thinkers - GAAS Board emphasizes worldview for the entire aftermarket - Aftermarket Business - Wholesaler, retailer automotive parts
Global ThinkersGAAS Board emphasizes worldview for the entire aftermarket

Source: Aftermarket Business



GAAS Board of Directors: Front Row (l to r): Mort Schwartz, Jack Creamer Middle Row (l to r): Kathleen Schmatz, Brian Cruickshank, David Caracci Back Row (l to r); Steve Handschuh, Marc Brazeau, Pete Kornafel, Tim Sturdevant
Globalization, technology, high gas prices and education — for industry insiders as well as consumers — are dominant issues within the aftermarket today, say industry experts. And not only are these issues front and center in everybody's mind, they are the talk of the industry whenever a group gathers. Such was the case at this year's Global Automotive Aftermarket Symposium (GAAS), where manufacturers, distributors, shop owners and other industry power players gathered to discuss these and other topics relevant to today's automotive aftermarket in both the United States and overseas. The event's Board of Directors weighed in on these and other challenges the industry faces.

Bringing a global perspective to the aftermarket industry

Mort Schwartz, director-at-large and chairman emeritus of GAAS, calls this year's symposium "truly global" in scope. As someone who is committed to making each year's GAAS program better than the last, Schwartz feels that the challenge is well worth the undertaking — as it reflects the changing face of the aftermarket today.

"This year has had a truly global effect, with presentations from visitors from Germany and China," he says. "We will continue to bring in people from all over the world to continuously improve the GAAS program."

The decision to invite more global guests to the symposium was a conscious one, says David Caracci, GAAS chairman and chairman of the University of the Aftermarket Foundation.

"That's the way the industry is going," Caracci explains. "There isn't a supplier, or even a vendor, at this event who isn't looking at markets around the world as well as the competition coming into North America from around the globe."

Pete Kornafel, GAAS scholarship committee chairman and vice chairman of CARQUEST, says the biggest global opportunity the U.S. market faces is that it will continue to become a smaller percentage of the global automotive aftermarket as China, India and other emerging countries increase their vehicle parc.

"It will take years for these countries' aftermarket industry to rival ours, but they are gaining ground very quickly," he adds. "We all may have to look beyond our borders for long-term growth."

Globalization for the sake of globalization isn't necessarily a good thing, says Steve Handschuh, president and chief operating officer of the Automotive Aftermarket Suppliers Association (AASA). Instead, Handschuh is a fan of "responsible" globalization, which he says involves all members of the supply chain being informed about their companies' global strategies and being able to feel confident in the way these strategies are being executed.

Brian Cruickshank, director of the University of the Aftermarket at Northwood University, adds that the continued globalization of the market is one of the most pressing issues facing the aftermarket today. But although this poses many challenges, Cruickshank says it also offers great opportunities.

"There are opportunities for just about everyone in the supply channel, from jobbers to WDs and program groups, and of course, manufacturers," he says. "Smart, well-thought out strategies will help domestic aftermarket companies survive in a global marketplace."

Pain at the pump means new opportunities in the shop

But can the aftermarket survive with the cost of gas skyrocketing to almost unheard of levels? Surprisingly, the answer is yes.

"Many of our manufacturer members are struggling as the cost of raw materials and energy continues to rise," says Kathleen Schmatz, president and chief executive officer of the Automotive Aftermarket Industry Association (AAIA). "But our repair shop members are still busy, even though our research would say that Americans are considering driving significantly less."


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