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October 2017 Talk shop anytime

The leading source for market trends & analysis Vol. 126, No. 2

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TrakMotive CV Axles TrakMotive® is the aftermarket’s leading manufacturer and supplier of new CV Axles, with more than 2,000 skus. TrakMotive® has the best market coverage in North America. A.I.T., the parent company for TrakMotive® brands, is also launching a complete line of window lift regulators that will include 2,500 skus of one piece window regulator assemblies as well as replacement parts. Come by and visit us at booth 6330 at AAPEX. TrakMotive www.trakmotive.com AAPEX Booth 6330 www.aftermarketbusiness.com COMMITMENT TO TRAINING 4

October 2017 Talk shop anytime

Vol. 126, No. 2 The leading source for market trends & analysis

COMMUNITY PRODUCTS PRODUCT SUPPLIER OPENS DETAILING FRANCHISE FALL PRODUCT REVIEW Chemical Guys is expanding through Detail Garage retail franchises Some of the latest tools and resources

OPERATORS EMBRACE FLEET MANAGEMENT

ATLANTA

LEARN ABOUT THE TRENDING RESEARCH 2018 EVENT NOW GIVING BACK CONSUMER Sign up for updates and Retired executives help bring ATTITUDE STUDY information on NACE affordable cars to Kenya Brand names, recommendations Automechanika Atlanta and most infl uence consumer purchases grow your business

OCTOBER 2017 Vol.126,, No. 2 24950 Country Club Blvd., Suite 200 North Olmsted, OH 44070 Fax: (440) 891-2675 Talk shop www.aftermarketbusiness.com anytime Aftermarket Business World

EDITORIAL STAFF Group Content Director Mike Willins, COMMUNITY [email protected] (440) 891-2604 Managing Editor Solving the training puzzle Bruce Adams, 6 [email protected], Why can't we get shops to train (440) 891-2617 employees? The training that the shops Technical Editor know they need becomes secondary to their Peter F. Meier, [email protected] (813) 909-3803 immediate problems at hand.

COLUMNISTS Automotive Aftermarket Suppliers Association/OAC House moves forward [email protected] 7 Stephen Barlas Product supplier expands to with AV legislation [email protected] 4 Detail Garage franchisor The big issue for the aftermarket is Scott Luckett [email protected] Chemical Guys is expanding its global reach whether suppliers can also test AV John Shoemaker through Detail Garage retail franchises aimed at components the same way auto [email protected] Mark Smith imparting detailing knowledge to a walk-in car- manufacturers can test vehicles. The [email protected] buffi ng customer base. House bill establishes that authority.

News Correspondent James E. Guyette [email protected] TRENDING Contributors Brian Albright [email protected] Andy Adams [email protected] Art Director Steph Benz Senior Designer Stalin Annadurai Band Manager James Hwang OPERATORS [email protected], (714) 513-8473

SUBSCRIPTION CHANGES/ CUSTOMER SERVICE (888) 527-7008, (218) 740-6395 EMBRACE FLEET

BUSINESS STAFF Vice President General Manager Jim Savas MANAGEMENT Group Publisher Terri McMenamin [email protected] (610) 397-1667 8 Commercial Finance Partner David Pasquill Business Analyst EFFICIENCY, NEW TECHNOLOGY, COMPLIANCE DRIVE GROWTH IN FLEET SOLUTIONS Sofi a Renteria Sales Coordinator Jillene Williams TECHNOLOGY INTERNATIONAL MARKETS Sr. Production Manager Karen Lenzen, (218) 740-6371 PROTECTING GIVING BACK Circulation Director BY JAMES E. GUYETTE | NEWS CORRESPONDENT Anne Brugman CONNECTED CARS BY BRIAN ALBRIGHT | NEWS CORRESPONDENT Retired auto executives help bring Circulation Manager 14affordable cars to Kenya. Tracy White, (218) 740-6540 Telecom, auto industries need to Marketing Director 10collaborate on cybersecurity. Boris Chernin [email protected], (310) 857-7632 INTERNATIONAL VENDORS PARTNERSHIPS CRUCIAL FOR AUTONOMOUS VEHICLES BY JAMES E. GUYETTE | NEWS CORRESPONDENT OEMs, aftermarket companies save development time, resources and money when they 12join forces on a common goal.

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That describes our new way of handling your inquiries about SALES STAFF advertisements and product releases. You may go to www. Midwest & Western States IT’S QUICK! motorage.com/readerservice and fill out a short form and we’ll Michael Parra, Regional Sales Manager send your request immediately (electronically) and directly to the Tel: (704) 919-1931, AD INDEX IT’S EASY! respective manufacturers who have the information you want. [email protected] You may also check the items you are interested in and fax the Illinois, Eastern & Southern States IT’S DIRECT ! sheet to us at (416) 620-9790 to get more information on the Paul A. Ropski, Regional Sales Manager products of interest. Like we said — quick, easy, direct. Tel: (312) 566-9885, Fax: (312) 566-9884 [email protected] Ohio, Michigan & California Lisa Mend, Regional Sales Manager ADVERTISING AND EDITORIAL PRODUCT INDEX Tel: (773) 866-1514, Fax: (773) 866-1314 [email protected] Inside Sales/Classifi ed Sales/ Recruitment ADVERTISER INDEX...... PAGE ☐ RAYBESTOS BRAKES ...... CVTIP1 Keith Havemann, Sales Representative ☐ RAYBESTOS BRAKES ...... 3 Tel: (310) 857-7634, Fax: (310) 943-1465 ☐ ADVANCED INNOVATIVE TECHNOLOGY CORP...... CVTIP2 ☐ SCHAEFFLER GROUP USA INC ...... 48 [email protected] ☐ ARNOTT INC ...... 35 ☐ STANDARD MOTOR PRODUCTS ...... 41 List Rental Sales ☐ ASC INDUSTRIES INC ...... 13 ☐ STANT CORPORATION ...... CVTIP1 Tamra phillips ☐ AUTOLOGUE COMPUTER SYS INC ...... 24-25 ☐ THE GROUP ...... 17 [email protected], (440) 891-2773 ☐ DANA ...... CV2 ☐ WIRTHCO ENGINEERING INC ...... 23 Permissions/International Licensing ☐ EAST PENN MFG CO INC ...... 21 ☐ WIRTHCO ENGINEERING INC ...... 33 Maureen Cannon ☐ FEDERAL MOGUL CORP ...... 45 (440) 891-2742 ☐ FEDERAL MOGUL CORP ...... 31 EDITORIAL PRODUCTS ...... PAGE Reprint Services ☐ FEDERAL MOGUL CORP ...... 37 877-652-5295, ext 121 ☐ FEDERAL MOGUL CORP ...... 29 ☐ Philips bulb look up ...... 46 [email protected] ☐ FEDERAL MOGUL CORP ...... 27 ☐ Philips Ultinon LED lights ...... 46 Outside U.S. dial 281-419-5725 Ext. 121 ☐ FOUR SEASONS ...... CVTIP1 ☐ MPA hubs, bearings ...... 46 Marketing ☐ INTERCOMP ...... 5 ☐ MPA starters, alternators ...... 46 Boris Chernin, ☐ MESSE FRANKFURT (SHANGHAI) CO LTD...... CV3 ☐ Autologue ECMA rewards ...... 46 Marketing Manager ☐ ☐ Autologue eSales BI/CRM ...... 46 Tel: (310) 857-7632, Fax: (310) 943-1465 MOTORCAR PARTS AND ACCESS ...... 39 [email protected] ☐ MOTORCAR PARTS AND ACCESS ...... 43 ☐ Raybestos Element3 brake pads ...... 48 AD DEADLINES: ☐ NINGBO AIDO WIPER ...... CV4 ☐ Snap-on intelligent diagnostics guide ...... 48 ☐ Insertion orders–1st of month preceding ☐ PHILIPS AUTOMOTIVE LIGHTING ...... 19 Gates timing kit ...... 48 issue date. ☐ RAYBESTOS BRAKES ...... CVTIP1 ☐ Meguiar's polishing wax ...... 48 Ad materials–5th of month preceding issue date. To subscribe, call toll-free 888-527-7008. Outside the U.S. call 218-740-6477.

2 OCTOBER 2017 AftermarketBusiness.com Sixty years ago, Raybestos® began its long racing tradition by partnering with Indy 500 drivers to sponsor the Safety in Speed award. Ever since, drivers have relied on Raybestos® for safety in speed. Not for street use. Designed for track racing only.

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www.raybestos.com ©2017 Brake Parts Inc LLC. All rights reserved. RAYBESTOS, THE BEST IN BRAKES and the Flying R are among the registered trademarks and trademarks of BPI Holdings International, Inc. ATLANTA PRODUCT SUPPLIER EXPANDS TO DETAIL GARAGE FRANCHISOR

near because what you have is not a cessful results of our product testing BY JAMES E. GUYETTE brand – it’s a lifestyle,” explains Paul and research.” NEWS CORRESPONDENT Schneider, the co-founder of Chemical A $25,000 Detail Garage franchise Guys – and its proprietary Smartwax fee includes the $4,000 tuition for two any trainers will tell you that Torq, Hex-Logic and Detail Garage people to attend a weeklong, certifi ca- it’s all in the details, and this lines – along with David Knotek. Each tion-granting Master Training Course adage is especially true when store “brings together the perfect at Smart Detailing University (SDU). Mlearning how to detail a blend of products, tools, accessories SDU’s curriculum encompasses vehicle. and education combined with pas- overall detailing procedures, high- Chemical Guys, a Gardena, Calif.- sionate people that show the world speed buffi ng and polishing, proper based supplier in a 300,000-square- how to shine.” use of chemicals, headlight restora- foot facility hosting its own Smart “It’s a gathering place in your com- tion, windshield repair and sales & Detailing University, specializes in munity where people go for expert marketing strategies that help entre- providing a complete educational advice,” adds National Franchising preneurs interested in opening a de- program for professional detailers Manager Chad Zani. tailing and reconditioning service. along with marketing its line of car Additional franchisees are being “Any franchisee in the course gets care products. actively recruited, including those a slightly altered program,” says Zani, The company is further expanding who are interested in opening over- “because they’re operating a busi- its global reach through Detail Garage seas locations. ness” that requires enhanced retail retail franchises aimed at imparting “We already have international dis- management expertise and customer detailing knowledge to a walk-in car- tributors for our products, and a lot relations skills. buffi ng customer base. of them are wanting to get on board No more than six students are en- Established in 2008, more than a with a Detail Garage,” says Zani. rolled in each class to offer individual- dozen Detail Garages are up and rub- Echoing Schneider, Zani points out ized attention; customized courses for bing in California, Utah, Hawaii and that for franchising candidates under specifi c clients are available as well. Florida, with locations pending in Las consideration “the biggest qualifi ca- SDU/Chemical Guys also hosts 700 Vegas, Houston and Charlotte, N.C. tion is passion – you have to be pas- instructional clips on YouTube. “Peo- Appearance-obsessed owners of sionate about all things car care.” ple can learn a lot by looking at the new and used cars are patronizing The company said it offers franchi- YouTube videos, but there’s nothing the establishments to glean the latest sees exclusive territories, marketing like hands-on experience” to learn DIY detailing techniques while pur- & advertising guidance and support, the fi ner points of professional detail- chasing the necessary materials for brand recognition, industry research ing and product retailing, he notes. maintaining their prized vehicles in & trend reports, comprehensive ini- showroom condition. tial and ongoing product & industry Focus on the products “Detail Garage is built under the training, plus sales tools & manage- “You can go into any auto parts store premise that when you create a des- ment plans originating from “our in America and be left to fend for tination people will come from far and proven business model and the suc- yourself,” says Zani, emphasizing that meeting and greeting each cus- COMMITMENT TO TRAINING SUPPORTERS tomer and offering advice in a friendly manner are important components along with conducting in-house prod- uct demonstrations and instructional sessions amid a relaxed atmosphere. Yet ringing up car care product sales is the overriding goal. “It’s exclusively

4 OCTOBER 2017 AftermarketBusiness.com COUNTDOWN TO NAMA 2018 ESTABLISHED IN 2008, MORE THAN A DOZEN DETAIL GA- RAGES ARE UP AND RUNNING IN CALIFORNIA, UTAH, HAWAII MONTHS WEEKS AND FLORIDA, WITH LOCATIONS PENDING IN LAS VEGAS, HOUSTON AND CHARLOTTE, N.C. 1 0 0 0

car care products,” he says. “There are “Part of my role in supporting the to help local car owners take better no wiper blades or engine oil.” franchisees is supporting them in care of their vehicles. Carrying merchandise outside of selecting the facilities,” Zani says. The sites need to be in well-popu- the Chemical Guys family is a pos- “The key for us is that the building lated communities possessing suit- sibility if the proffer meets the com- has adequate parking, and the park- able economic demographics, as in pany’s standards. “We have our own ing lot allows us to do events.” “Show people who own nice vehicles and are manufacturer in China that we have ‘n’ Shine” and “Cars ‘n’ Coffee” are willing to spend some money to keep an exclusive agreement with, but among the out-front activities. them looking that way. some of the products we sell are not One such event at Detail Garage “We have potential franchisees manufactured by us.” If a product Los Angeles in Gardena was an All- who operate body shops who want pitch seems promising, “we would Toyota Detailing Tech Day and Car to dedicate half of their space for a test it, and if we think it looks good it Meet. “It was an awesome turnout of Detail Garage,” Zani says. Accep- would get the green light.” Toyota and Lexus owners who came tance of these proposals depends Averaging 2,500 square feet, with out to learn about the best tips and on the attractiveness of the site and the smallest measuring 1,600 square tricks at keeping their car looking its ownership’s willingness to devote feet, the stores are gleaming and the best. Tech Days at Detail Garage are the proper amount of resources to employees present a neat appearance. great because not only do you get to hands-on, customer-centric car care Locations are positioned in high-traf- meet with other auto enthusiasts, but retailing. fi c, retail-oriented “community cen- you also get some tips and detailing Existing detailing shops are less ters” rather than sited in industrial knowledge while you attend.” likely to be awarded a franchise. “We areas of town where rugged repair Twice a month each store teaches a want franchisees to focus on the prod- shops tend to reside. basic course and an advanced course ucts, not detailing cars,” he says.  COMMUNITY SHOP INSIGHT JOHN SHOEMAKER Business Development Manager, BASF [email protected] SOLVING THE TRAINING PUZZLE Service, collision training opportunities abound

raining helps shops improve their ferent categories. Refinish, Body processes, but training also takes Repair, Operations Management and employees away from their shop. Estimating. The courses provide train- TOften people are too busy han- ing in short video tracks that you can dling issues to break away to train. watch during a lunch hour. Training, in most cases, will help alle- Collision Hub’s Repair University viate those issues, at the very least, it Live is a subscription based monthly How do we change helps manage the stress that most col- training presentation covering subjects lision center employees face. like; Scanning vs. Calibration, OEM shop owners’ minds So why can’t we get shops to train? Repair Requirements, Understanding to give training the That is where the conundrum comes Estimating and the Guides and in – the training they know they need Structural Anchoring and Measuring same importance becomes secondary to the immediate to name a few. problem at hand. The Automotive Management as their immediate As I write this I know there are Institute (AMi) offers courses in shops that have procrastinated on Leadership, Financial Management, problem? their I-CAR and OEM certifications and Operational Management, Sales are trying to figure out how to get all and Marketing, Human Resources the training they need crammed into & Personnel Development, Risk for training opportunities, the Alliance the last quarter of the year. Management and IT Management of Automotive Service Providers/New So how do we change shop own- through the institute’s online educa- Jersey also has a conference that pro- ers’ minds to give training the same tion program. vides training. This Northeast confer- importance as their immediate prob- If you prefer instructor-led programs, ence has training available through a lem? I would say we could help them AMi has courses such as Financial variety of providers to include I-CAR, handle those problems, but that Management, Human Resources MEA, AMi, and ASE as well as free would require training. & Personnel Management, Risk training opportunities. Generally, shop owners say that Management, Leadership, Operational In addition to everything I have men- they can’t afford to lose people to train- Management and Sales & Marketing tioned, paint manufacturers, repair ing. My answer is to show them the available. product manufacturers, distribution different opportunities and ways to get National conferences such as NACE partners, auto body associations, tool the training they need to improve their Automechanika offer a large variety and supply vendors, and various other operation without sacrificing the time of service and collision repair courses entities provide training throughout they need to spend at their shop. under one roof that allow you to maxi- the year. I-CAR has removed obstacles and mize the time away from your shop. In While training might not be conve- excuses for not training by adapting most cases, you can take four to five nient, it is a necessity in the evolving their training to meet not only the courses in a day in multiple disciplines. collision repair industry. Vehicles are increasing vehicle complexity require- SEMA is one of the largest automo- becoming more complex; the repair ments but also to meet their custom- tive conventions in North America methods are more specific and you er’s needs. Through I-CAR’s hands-on, and it has five full days of training must learn or be left behind. virtual and on-line education choices, courses available through the Society I think Tom Hopkins said it best: you can take the courses you need of Collision Repair Specialists Repairer “You are your greatest asset. Put your when they fit your schedule. Driven Education series. time, effort and money into training, Collision Hub’s Repair University If NACE Automechanika and SEMA grooming and encouraging your great- has courses available in four dif- are not enough to get you out the door est asset.” 

6 OCTOBER 2017 AftermarketBusiness.com COMMUNITY WASHINGTON INSIDER STEPHEN BARLAS Washington Correspondent [email protected] HOUSE MOVES ON AV LEGISLATION

elf-driving legislation is on the ment, among other areas traditionally road and moving through the regulated by states, is preserved. House. The House Energy & As the House committee worked SCommerce Committee passed a through drafting the bill, members of far-ranging bill on July 27. The bill is both parties recognized the importance called the Safely Ensuring Lives Future of ensuring AVs tested and deployed Deployment and Research in Vehicle are safe. The bill addresses that con- Evolution Act or the SELF DRIVE Act. cern by requiring manufacturers to It passed the committee by a vote of provide the National Highway Traffic 54-0 which, theoretically, means the bill Safety Administration (NHTSA) with will pass the full House. No companion safety assessment letters based on The vote bodes well bill has been introduced in the Senate. requirements the agency will establish. But the unanimous House committee The rule establishing the standard for the passage of vote was impressive given the enmity for what letters must include would between Republicans and Democrats have to be published within two years some autonomous on Capitol Hill. The vote bodes well of the bill’s passage. But prior to that vehicle legislation for the passage of some autonomous final rule, suppliers and manufacturers vehicle (AV) legislation this year. would have to submit safety assess- this year. Frederick Hill, spokesman for Sen. ment letters based on the guidelines John Thune (R-SD), chairman of contained in the Federal Automated the Senate Commerce, Science and Vehicles Policy issued by NHTSA in “as necessary” implies NHTSA could Transportation Committee, says he September 2016. decide an AV standard is not needed. doesn’t know whether Thune, through The legislation appears to view safe- Also, the term Federal Motor Vehicle whose committee a companion to the ty assessment letters as a temporary Safety Standard is nowhere in the bill. SELF DRIVE Act must move, has com- requirement until NHTSA takes a more Another key issue will be the House mented on the House bill. “There is a thorough rulemaking stance on AV bill’s expansion in the number of AVs Senate bill in the works,” Hill adds. testing and safety. Democrats on the a manufacturer can test after receiv- The big issue for the aftermarket is House Energy & Commerce Committee ing an exemption. Those exemptions that this bill establishes the authority had advocated for a requirement that are needed because FMVSSs require for suppliers to test AV components the NHTSA establish a federal motor vehi- autos to have various equipment, such same way auto manufacturers do. cle safety standard (FMVSS) for autono- as a steering wheel, which AVs will not “The top priority for us was insuring mous vehicles. Rep. Jan Schakowsky, have. The current exemption ceiling is that suppliers can test components on top Democrat on the House Digital 2,500 autos annually. The House bill public roads, and the bill allows us to do Commerce and Consumer Protection bumps that to 100,000 over four years. that,” says Tom Lehner, vice president, subcommittee, noted at hearings in The National Governors Association public policy, Motor and Equipment that subcommittee in June that none says: “Based on the scope of devel- Manufacturers Association. The sec- of the raft of draft bills discussed that opment and field evaluation of a new ond priority was making sure there is day, prior to the SELF DRIVE Act being motor vehicle safety feature, we are clarification and a distinction between introduced, established a requirement concerned that this 40-fold increase state and federal regulatory roles. The for a unique, AV standard. in the exemption threshold could be bill also establishes that separation. The language in the SELF DRIVE bill excessive or present potential safety The bill prohibits states and localities says NHTSA has to establish a prior- risks to the motoring public.” from regulating the design, construc- ity plan for a rulemaking “as necessary It is likely that the Senate bill will tion or performance of highly autono- to accommodate the development and attempt to clarify some of these issues. mous vehicles, presumably levels 3-5, deployment of highly automated vehi- This is a technology Congress does though the bill does not specify that. cles and to ensure the safety and secu- not want the U.S. to “lose” to another The ability for states to regulate licens- rity of highly automated vehicles and country. Expect legislation boosting AV ing, liability and congestion manage- motor vehicles.” The use of the term developing to pass in 2017 or 2018. 

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COVERSTORY

OPERATORS EMBRACE FLEET MANAGEMENT

EFFICIENCY, NEW TECHNOLOGY, COMPLIANCE DRIVE GROWTH IN FLEET SOLUTIONS BY BRIAN ALBRIGHT | CONTRIBUTING EDITOR

operations have In Latin America, the number of compliance is an important driver in become more chal- active fleet management systems will North America, along with advanced lenging. Costs are increase from 2.5 million in 2016 to 4.7 technology. rising, shippers are under increasing million in 2021, a compound annual “The traditional market drivers such pressure to deliver goods faster, and growth rate of 12.9 percent. as increased efficiency, security, envi- there is a shortage of qualified truck “There are several key growth driv- ronmental performance and control of drivers in the U.S. As a result, interest ers for fleet management telematics, fleets are still very much relevant, espe- in fleet management solutions is grow- including new dongle technologies that cially for companies which have not yet ing rapidly as firms look for ways to have reduced the initial cost and elimi- adopted fleet management solutions or reduce costs and provide higher levels nated installation charges; government fleets which have previously opted for of service with fewer resources. regulations in the form of requirements basic systems with limited functional- According to Berg Insight’s “Fleet for [electronic logging device] ELD sys- ity in terms of performance enhance- Management in the Americas 2017” tems to be implemented by December ments,” Andersson says. report, the number of active fleet man- 2017; and enhanced OBD communica- The leading fleet management ven- agement systems deployed in commer- tions that offer faster diagnosis and dor in the region is wireless carrier cial fleets in North America reached 6.7 repair, significantly reducing down Verizon, which acquired Telogis and million in the fourth quarter of 2016. time,” says Mike Fitzgerald, executive Fleetmatics, adding their capabilities The market is expanding with a com- vice president and general manager of to its own Networkfleet offering. The pound annual growth rate of 15 per- Innova Telematics Solutions. company’s installed base outnumbers cent, and the total number of deployed Rickard Andersson, senior analyst its closest competitor by a factor of systems will reach 13.5 million by 2021. at Berg Insight, agrees that regulatory three, according to the Berg report.

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REGULATORY COMPLIANCE IS AN IMPORTANT DRIVER OF FLEET MANAGEMENT SYSTEMS GROWTH IN NORTH AMERICA.

Trimble, Geotab and Omnitracs have “Several OEMs have extended their barriers. “However, overcoming these all surpassed 500,000 active fleet sub- remote diagnostics offerings in recent stumbling blocks is not difficult with scribers in the Americas. years and integration with aftermarket a system that provides a quick return Andersson says that all the major systems has become increasingly com- on investment; is quick and simple to wireless carriers now offer their own mon,” Andersson says. “The market install and implement; and provides fleet management solutions, and has seen an increasing number of part- data in a clear format that is easy to Verizon has provided a template for nerships between vehicle OEMs and understand,” he says. expanding that business. established telematics providers. Such Fitzgerald adds that companies “While other operators offer solutions partnerships are often initially focused often underestimate the value of the from independent telematics partners on the introduction of truck-centric fea- data provided by these systems and (in many cases branded white-label tures, such as remote diagnostics func- focus primarily on location tracking or solutions), and are primarily expected tionality for a truck brand powered by a driver behavior. to continue using this partnering strat- third-party aftermarket provider’s hard- “That is only part of the story,” he egy, it is also possible that other opera- ware or software solutions.” says. “By reviewing the complete set tors may follow suit if Verizon’s active Technology improvements also are of data provided allows fleet managers participation in the fleet management helping drive this growth. Hardware to have better insight into the overall industry turns out to be a successful costs have fallen, and deployment is management of their vehicles, includ- strategy,” Andersson says. much easier thanks to cloud-based or ing required and anticipated service Growth in this sector also has been web-based options. Fleet Complete, as information that helps reduce unex- fueled by agreements between vehicle an example, now offers a web-based pected, costly downtime and repairs. OEMs and solution providers to offer platform that includes vehicle tracking, There can be a lack of understanding fleet telematics systems as a standard driver performance, big data analyt- on how to access and manage all the option in their vehicles. For example, ics, and crash detection via the cloud. data available to implement meaning- Telogis works with Ford, Volvo Trucks, Managers can access fleet data from ful changes to fleet and driver manage- Mack, GM, Isuzu and others. anywhere, as well as business intelli- ment, so that is why it is important to According to the report: “The OEM gence and analytics tools. implement a system with a dashboard telematics initiatives in the Americas There is, however, a growing gap of data that is easy to understand.” have intensified in recent years. Large between the capabilities of fleet solu- installed bases of OEM telematics tions and the technology available on Shift in focus in Latin America systems are now found on the North the vehicles themselves. In Latin America, asset tracking and American market, not the least for sys- “Most [fleet solutions] still only security are far more important drivers tems powered by established aftermar- check the powertrain computer when of growth, although implementation ket fleet management solution provid- many vehicles have as many as 70 dif- is often slowed by the steep learning ers. The volumes are so far substantially ferent computers,” Fitzgerald says. “By curve required there. smaller in Latin America. The adoption not checking ABS, SRS, TPMS, and so “As many countries in the region are is however expected to take off also in on, these very limited software sys- continuously plagued by alarming lev- this region. Solutions supplied by the tems deliver an incomplete picture of els of theft, the primary focus among OEMs are anticipated to increase in the status of the vehicle. Eventually, a many adopters of fleet monitoring solu- importance across both continents in network test where all vehicle comput- tions has been on risk management the Americas in the coming years.” ers are checked for codes will become a and security measures,” Andersson OEMs also have developed their basic requirement of fleet management says. “Basic track and trace solutions own in-house telematics systems, but telematics systems.” are common in the region, with special Andersson says that partner strategies Andersson says that limited IT expe- features such as panic buttons and will likely overtake those efforts. rience and undercapitalization remain remote immobilizers.” Other types of partnerships also barriers to adoption in this market, When it comes to more advanced are developing. TMW Systems, for particularly for smaller fleets. “SaaS systems, there tends to be a steep example, has integrated with service offerings with low or no upfront capital learning curve. relationship management software costs and significantly easier deploy- “An educational process is often provider Decisiv Inc. to offer real-time ment processes – including self-install needed in order to extend the percep- industrial asset service management. plug-and-play solutions coupled with tion of fleet management beyond secu- Users of TMW’s fleet maintenance web-based back-office access charged rity-related aspects,” Andersson says. management software can improve vis- only by recurring fees – have become “The Latin American fleet market has ibility of external service events. increasingly common, thus lowering started to evolve from the traditional Remote diagnostics capabilities are the barriers to adoption for fleet cus- emphasis on security to also focus on an important part of the OEM-based tomers of all sizes,” Andersson says. optimization of fleet operations through solutions and those developed with Fitzgerald cites new technology, cost management of logistics processes and fleet management partners. and data management as potential improvement of driver behavior.” 

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TRENDING THE EMERGING MARKETS TECHNOLOGY SOLUTIONS

TECHNOLOGY SOLUTIONS PROTECTING NEWSMAKER CONNECTED CARS Q A TELECOM, AUTO INDUSTRIES NEED TO COLLABORATE JIM BRANNEN ON CYBERSECURITY VP of E-commerce BuyAutoParts.com BY BRIAN ALBRIGHT | CONTRIBUTING EDITOR HOW DO GOOGLE s the number of connected vehicles cations technology (ICT) companies ADWORDS TIE INTO expands, auto-related cybersecu- are working together to proactively YOUR E-COMMERCE rity has received more attention address these threats. from both OEMs and the federal “The network reaches into new fron- STRATEGY? government. tiers as it provides vehicle connectivity In August, the Alliance for for advanced applications and data col- The number-one key is Telecommunications Industry lection,” says ATIS President and CEO to understand what your Solutions (ATIS) released a new report, Susan Miller. “This new report posi- customer needs and what “Improving Vehicle Cybersecurity: ICT tions both the ICT industry and vehicle they are thinking as best Industry Experience & Perspectives,” OEMs to work collaboratively to secure you can, and then try to react to that that outlines the top threats to connect- the network and block cyber attacks or and serve the needs they have. You ed car security, as well as recommen- malware events. ATIS believes that can align your advertising, titles and dations on how to better protect those the connected vehicle’s potential will descriptions to what you believe your systems from hackers and malware. be maximized through this industry-to- customer is thinking. They are trying to industry collaboration.” solve a problem, so you want to get in ANALYSIS According to the paper, there are a front of them and align your message TRENDS & MARKET number of top cyber threats when it and advertising with their need. That’s comes to vehicles including: where we really succeed. We’re also a Vehicles will be connected via a • Privacy/Security: Data about the partner with ROI Revolution, and they’ve variety of wireless systems, including vehicle, its performance, or the driver been helpful in implementing a lot of our dedicated short-range communication could be compromised by a hacker. advertising and marketing strategies, (DSRC), Bluetooth, Wi-Fi and cellular • Commercial Transactions: and working with Google AdWords. networks. Within the vehicle, a num- Hackers could conduct unwanted or Q: How has your inventory man- ber of different systems may commu- unauthorized transactions by access- agement technology infra- nicate over these networks, including ing toll pass systems, VIN or other structure changed over time? telematics, infotainment, navigation identification data, or mobile payment A: Initially we sold or advertised almost and other solutions. Some of these sys- technology that is linked between the strictly inventory that we had on hand tems may be managed by the OEMs driver’s phone and vehicle. in our warehouse. That limited our themselves (like GM’s OnStar), while • Operational Interference (Non- addressable market. Over time we put others are provided by third-party tech Safety): Remotely accessing and con- in tools to know what parts we have in companies like Apple or Google. trolling vehicle systems such as electric the warehouse, what parts we have in Vehicles will increasingly also receive seat controls or temperature controls. external but owned warehouse stock, firmware and software upgrades over • Operational Interference (Safety): and what parts we have available at the air (OTA), creating additional access Control or compromising of critical drop-ship partners or vendor ware- points and vulnerabilities. vehicle systems, including brakes, houses. It’s been an evolution. Tech companies and auto compa- steering etc. nies rarely collaborated on security While vehicle hacking has been rare, “There haven’t been a lot of mali- issues in the past, but that is changing. all the above types of threats have cious attacks so far,” says Tom According to ATIS, vehicle manufactur- been proven feasible in tests and dem- Gage, CEO and managing director of ers and information and telecommuni- onstrations. Marconi Pacific. Gage chairs the ATIS

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VEHICLES WILL INCREASINGLY RECEIVE FIRMWARE AND SOFTWARE UPGRADES OVER THE AIR, CREATING ADDITIONAL ACCESS POINTS AND VULNERABILITIES.

Connected Car Cybersecurity Ad Hoc “Connected vehicle security nents involved in vehicle connectivity, Group. “Hacking an individual vehicle requires an ecosystem of end-to-end a centralized security model could be is risky, but a larger risk is to a whole players to address security threats. a good approach. “All communica- class of vehicles. If all Fords or Volvos Telecommunications carriers play a tion links would go through a central were made vulnerable because of a critical role. But we can’t do it alone. security module, whether that’s a software deficiency, for example.” This white paper shows how our physical link through a dongle or over “The thing to watch is how hackers industry and automobile manufactur- the air link through the mobile net- can make money from hacking cars,” ers can work together to provide the work,” Gage says. “Everything would says Jim McEachern, senior technol- most secure solutions possible for cycle through this one module, which ogy consultant at ATIS. “Ransomware connected vehicles,” adds Cameron would be updated constantly to iden- or some version of that could be a pos- Coursey, vice president, Internet of tify risks.” sibility. Most of these attacks are moti- Things Solutions, AT&T. What makes this challenging in auto- vated by making money.” This collaborative strategy will motive is that there a number entry Cars also may be accidentally tar- require what ATIS calls a Connected points, and there may be multiple net- geted. For example, connected medi- Vehicle Security Framework that works involved – passengers and the cal devices sometimes are affected by takes an end-to-end approach. This vehicle may be using several different malware because hackers are scan- would encompass the connected wireless networks at the same time. ning for all ports looking for comput- vehicle domain, network domain and ATIS also outlined a proposed ers. A medical device or car that isn’t cloud domain (back-end systems). engagement model between automo- secure could be infected in a way that Security models must also be able tive and telecommunications compa- affects operational systems. to be updated and flexible. Systems nies. Those steps would include: As cars become more connected, should be able to receive over the • Create a sub-committee of the the pathways into the vehicle systems air updates to address new security Automotive Information Sharing and are increasing. Those include internal threats as they emerge. Analysis Center (Auto-ISAC) includ- paths (via connections to personal Among the approaches and best ing telecom, OEM and other supplier mobile devices), connected to other practices ATIS recommends: members to address cybersecurity and vehicles, external wireless networks, • Virtual Private Networks (VPNs) define connected vehicle use cases. satellite connections and cloud access that can provide secure dedicated • ATIS could expand its cybersecu- connections. transmission capabilities, and ensure rity working group to engage vehicle Some of these connections are man- that all traffic is encrypted end to end. OEMs and share best practices. Those aged (such as those provided by wire- • The Universal Integrated Circuit could include establishing ongoing less carriers or OEMs), while other are Card (UICC), which allows for bi-direc- monitoring of vehicle connectivity by unmanaged (such as a connected per- tional authentication between the end- carriers, providing fully managed vehi- sonal tablet to the vehicle). point and the network. cle connections, and ensure secure, • Secure boot capabilities to protect guaranteed delivery of content to Comprehensive security against malware corrupting the operat- vehicles. Because of the large number of com- ing system. • ATIS and Auto-ISAC could reach panies involved in providing in-vehicle • Firmware verification using out to other industry groups to share technology systems – OEMs, suppli- encryption. best practices. Such groups could ers, component manufacturers, third- • Deep Packet Inspection (DPI) secu- include the 5G Automotive Association, party tech firms, etc. – having security rity to identify malicious content before European Union Agency for Network established at a very high level will be it reaches the vehicle. and Information Security, etc. important. That means wireless carri- • Following the “rule of least privi- Gage says that the federal gov- ers will play an important role in secur- lege” to ensure that each entity only ernment can play a role by conduct- ing access to vehicle systems. has access to the minimum informa- ing more research and encouraging “There needs to be end-to-end tion and resources needed to perform adoption of industry best practices. security, which means everything its function. He points to NHTSA’s role in working from the server that the application • Establishing secure vehicle app with industry to accelerate the adop- resides on remotely into the net- stores. tion of automatic braking systems as a work, through devices, and into the • Providing secure storage in the good example. vehicle,” Gage says. “OEMs have a vehicle to protect keys, firmware “If we wait for studies to be con- responsibility to work with their sup- updates, certificates and other infor- cluded and data to be certified, we pliers to be sure there is an integrated mation. run the risk that we’ll wait too long,” security solution.” Because there are so many compo- Gage says. 

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TRENDING INTERNATIONAL MARKETS VENDORS PARTNERSHIPS CRUCIAL FOR AUTONOMOUS VEHICLES OEMS, AFTERMARKET COMPANIES SAVE DEVELOPMENT TIME, RESOURCES AND MONEY

BY JAMES E. GUYETTE | NEWS CORRESPONDENT

issan is among many global and make sure everyone has access Now there’s a third choice to partner; automotive operations that to the latest technologies and services you don’t have to buy or merge. You have been displaying and that bring value to their lives.” can just learn and share. Maybe you’ll exploring the latest technologi- Building on Ghosn’s goal of wide- have a relationship that will allow you cal innovations at the Consumer spread autonomous vehicle adaptation, to acquire them, but in the meantime Electronics Show (CES) held each several Nissan executives explored the they’re giving you value that would January in Las Vegas. CES 2018 is prospects of ongoing cooperative part- otherwise take you years to develop. Jan. 9-12. nerships in a Q&A forum with Gary Q: What do you see as the keys to Some 60,000 attendees from out- Shapiro, president and CEO of the the future development and adoption of side the United States, representing Consumer Technology Association, autonomous vehicles and technology? 158 countries, regions and territories, which produces CES. Shapiro shares A: The history of technology shows were walking the aisles at CES 2017, his insights on the forum here. consumers very often don’t know what absorbing and pondering the offerings Q: Partnerships are a big part of they want until they have it. If you of 4,015 exhibitors. CES. What’s different about how com- asked consumers 120 years ago what During his keynote address at the panies partner today versus 10, 20 or they wanted in terms of transporta- 2017 edition of the event, Nissan’s even 30 years ago? tion, they wanted horses that were Carlos Ghosn, chairman of the board A: There’s been a huge change, faster and ate less. The self-driving and CEO, announced several new even compared with two or three car is a huge story. About 35,000 peo- “breakthrough technologies,” including years ago. I’ve had discussions with ple die in the U.S. each year because SAM – Seamless Autonomous Mobility. major CEOs about this. Their whole of car accidents, and 1.25 million die attitude has changed. It used to be worldwide – self-driving vehicles ANALYSIS that you created a company and part- have the potential to eliminate human TRENDS & MARKET nering was thought to be nice but it error, which is blamed for 94 percent wasn’t a big deal. There were not a of crashes. Originating with engineering devel- lot of people focused on it. Then the We asked consumers whether they oped by NASA, SAM “partners in- internet came along and partnerships would want to live a safer life with vehicle artificial intelligence (AI) with became much more important. protection against drunk driving and human support to help autonomous When I’m talking with major compa- whether they would be interested in a vehicles make decisions in unpredict- nies, you can now find a corporate phi- test drive in a self-driving car. Almost able situations and build the knowl- losophy where they say, “We have to three-quarters of consumers say they edge of in-vehicle AI.” partner with small companies.” No one are excited about self-driving tech- As part of Nissan Intelligent company has all the answers anymore. nology and almost two-thirds want Integration initiative, SAM “could Q: You say no one company has all to trade their current cars for driver- potentially enable millions of driver- the answers. What brought about the less cars. less cars to co-exist with human driv- change? Q: What do you see as the biggest ers in an accelerated timeline,” accord- A: Part of it is the technology, obstacle? ing to Ghosn, enlisting other firms to because of the app economy, and part A: The change to self-driving tech- participate in the endeavor. is that no company is good at every- nology alters so many business mod- “We invite others to join us,” he thing anymore. Even companies like els for people that there will be a said, “from tech partners to e-com- Apple, Sony and Samsung are doing natural urge to try and slow it down merce companies, ride-hailing and car- partnerships because they have to. until the system is perfect. There’s a sharing platforms, and social entre- It used to be that there was just a whole business world that focuses on preneurs who can help us to test and make-or-buy decision; you either made people getting hurt and dying in car develop new vehicles and services, something yourself or you acquired it. accidents, and they’ll come up with

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“IT USED TO BE THAT THERE WAS JUST A MAKE-OR-BUY DECISION; YOU EITHER MADE SOMETHING YOURSELF OR YOU ACQUIRED IT. NOW THERE’S A THIRD CHOICE.” -GARY SHAPIRO , CONSUMER TECHNOLOGY ASSOCIATION ways to say that it’s not of us grew up watching “The Jetsons” and a lot of people perfect. My concern is will want self-driving cars or cars that will fly. These are that the perfect should not things that people will buy if they have the opportunity to be the enemy of the great. get them at good prices. Rather than have 35,000 Q: What else gets you the most excited about tech die each year, I want to nowadays? get self-driving and more A: I thought 3D printing would take off sooner, but I’m advanced driver-assist still excited about it and think it will evolve. Food and bio- technology on roads as logics have the potential to do amazingly well. And I’m as soon as reasonably pos- big as anyone on what the smartphone can do; it keeps sible – including having a getting better all the time. Other things include voice rec- robust aftermarket so that ognition, which is absolutely huge. I’ve written two books, cars can be retrofitted. Gary Shapiro mostly by dictation. It’s getting easier and easier. I’m also Q: Can you talk about excited about the potential of the Internet of Things (IoT) the broadening participation at CES and how different because it comprises so much. industries are coming together in many ways – given how Also, as we get older, there are all sorts of uses for pre- technology has evolved in the last few years? dictive intelligence and deep data mining that will keep us A: We figured out about a dozen years ago that CES healthy. I think a lot of problems that have plagued mankind wouldn’t survive if we kept it constrained to the audio, around the world, that are killing people or shortening their video and gaming world. We saw a convergence and want- lives, will go away. It won’t solve war, but in terms of improv- ed to be the home for that convergence as it affected differ- ing the human condition, we’re in the midst of a phenomenal ent industries. That was especially true for the automobile technology transition and this is just the beginning.  sector as people started to look at the technology that was going into cars as much as they used to care about horse- power. We have now had an auto keynote every year since 2008 – except for 2013. And as you know we had one this year with Carlos Ghosn from Nissan. Auto companies tell us that CES is one of their most important trade shows. It’s not like the auto shows, which are designed for reaching the public and showing cars that they can buy in the next year. CES is more impor- HOW MUCH HIGHER HAVE WE tant for the deals and partnerships companies can do and for allowing them to get a view of technology that might RAISED THE BAR? still be a couple of years out. We have every part of the automobile ecosystem represented here. PRODUCT MANUFACTURING PRODUCT Q: How does a new technology reach a tipping point of DEVELOPMENT EXCELLENCE QUALITY ubiquity where it becomes a part of our everyday lives? A: Innovation is important but so is timing. Sometimes the timing is wrong or the public’s not there, or frankly, the technology is not ready. For example, think back to the late 1990s when the Internet began to grow in popularity EXCELLENCE and use. You had all these companies that just assumed broadband penetration would be there. It wasn’t and they COMPREHENSIVE CUSTOMER went under. COVERAGE SERVICE Acquiring a critical mass is also key. And that’s why you come to CES. You get a critical mass of companies together and they’re more likely to be covered by the press and more likely to have retailers confident that there’s a real category there. Q: Any esoteric technologies that you are watching now that you think may become mainstream in the near future? A: We know that robotics will be there in the future. We FIND OUT AT AAPEX 2017 BOOTH # 1843 also believe there will be “implantables” in humans. Drones are another thing where we see a tremendous need. A lot OCT. 31 NOV. 2 SANDS EXPO IN LAS VEGAS

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TRENDING INTERNATIONAL MARKETS VENDORS

INTERNATIONAL GIVING BACK NEWSMAKER RETIRED EXECS HELP BRING AFFORDABLE CARS TO KENYA BY JAMES E. GUYETTE | NEWS CORRESPONDENT Q A everal retired American auto- High tariffs have been a prevalent CHAD ZANI motive industry executives are obstacle to widespread sales of new National franchising donating their engineering and imports. A Toyota selling for a base manager, Detail Garage design skills to create a no-frills price of $12,000 in the United States vehicle capable of traversing can cost $24,000 in Kenya, well beyond East Africa’s ultra-rough roads while what most people can afford and thus HOW MUCH SHOULD A remaining affordable for a population pushing the populace toward previ- with limited income. ously owned models. DETAILER CHARGE FOR “There are so many emerging mar- Kenya’s car parc stands at roughly A COMPLETE DETAIL? kets around the world where trans- 1.3 million units among a population portation is also emerging,” says of 44 million. Ownership amounts to Prices will vary depend- Greg Bellopatrick, a General Motors just under 30 vehicles per 1,000 peo- ing on the job. It is always retiree serving on the advisory board ple, and about 80 percent of these are important to explain to your of Kenya’s Mobius Motors, which is in used vehicles of sometimes-question- customer what services the process of ramping up production able quality and condition brought in are available. A wash followed by a clay of a stripped-down, lightweight SUV- from abroad. and polish has a countrywide average like model specifically designed to be And the roads are rife with ruts and between $140-$220 for a retail client, rugged, reliable and economical. potholes that further drive demand for and $75-$105 for a wholesale detail for “Mobius is re-imagining the car for repairs. a high-volume used-car dealer. Be pre- Africa’s mass market,” reports British A proliferation of shade tree pared to charge a lot more depending entrepreneur Joel Jackson, the compa- mechanic-type shops and substan- on the condition of the paint and the ny’s founder and CEO, extolling confi- dard, unsafe outcomes are a consis- amount of time required. If the final steps dence in “the social and commercial tent problem despite efforts by the require a sealant or a high-gloss paste potential of our products across the 100-plus members of the Kenya Motor wax the prices will be much higher. continent.” Repairers Association (KEMRA) and Q: How often should a car be detailed? other industry and governmental orga- A: We recommend that a vehicle be TRENDS & MARKET ANALYSIS nizations to implement and enforce detailed at least three times per year due nationwide standards of performance to the harsh outdoor elements. Many cli- and professionalism. A large presence ents detail their car every weekend. “It was the humanitarian portion of counterfeit parts additionally aggra- of what Joel wanted to do,” says vates compliance difficulties. Q: What makes a Detail Garage fran- Bellopatrick when explaining his Kenya, Tanzania and Ethiopia are chise a viable investment? What makes involvement with the project, “which is posting the most regional parts-pur- it unique? to bring transportation to the masses.” chases amid a continental marketplace A: There are many reasons I feel our “Joel reached out to me and that is annually expanding by 11 per- opportunity is unique, but keeping it to other retired executives,” he notes. cent, according to Max Lewis, sales three simple points: 1. Our brands, such “There’s no financial reward out of director for the upcoming May 17-19 as Chemical Guys, Smartwax, Torq, this. It’s pretty much a freebie – it’s a Autoexpo Kenya 2018 at the Kenyatta Hex-Logic and other exclusive prod- feel-good thing.” International Conference Centre in ucts and accessories, have a massive While still struggling with wide- Nairobi. Exhibitors from more than 30 online following and globally growing spread income disparities, govern- nations displayed their wares at the fan base. 2. Our affordable franchise mental disarray, civic unrest and other 2017 edition of the event. fee and retail concept are designed to societal ills, historically impoverished “There is a huge growth potential generate a higher return-on-investment. East African nations such as Ethiopia, for the African automotive aftermar- 3. Our “family” based values and team- Tanzania and Kenya are seeing a ris- ket,” Lewis says. “With close to 25 work. Twice a month, each store will ing middle class eager to get behind million vehicles on the road in Africa do a basic course and an advanced the wheel. today, there is a demand for over $8

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HIGH TARIFFS IN KENYA HAVE BEEN A PREVALENT OBSTACLE TO WIDESPREAD SALES OF NEW IMPORTS.

that we are purchasing parts from,” with “large-bucket suppliers” able to course to help their local community says Bellopatrick, the retired GM economically ship the necessary num- of car owners take better care of their executive taking part in designing the bers of components into Kenya. vehicles. Mobius, named for German mathema- Because precise infrastructural Q. What qualities do you look for when tician August Ferdinand Mobius and details were difficult to obtain, “We recruiting a Detail Garage franchisee? his exploration of complex no-bound- made some assumptions and made A. Someone who is passionate about aries algebraic theories. an accelerated road test,” he recounts. car care, and all things auto; the sort “It’s a very delicate balance – there’s “It is a very innovative solution to of person who admires many different a lot of concern associated with costs. bringing transportation to Kenya,” makes and models, but most likely has We wanted to be able to come up with Bellopatrick points out. “It will provide their favorite car, motorbike and boat a vehicle with an $8,000 price point in affordable transportation to the local models. They need to be a people- U.S. dollars,” Bellopatrick says. market there.” person and have a strong desire to “We used existing components and be a positive contributor to their local incorporated them into the vehicle. We Promising Kenyan market community. They are the kind of person had to make revisions to the vehicle to Mindful of East Africa’s expand- who has always had the best-looking accommodate the components’ designs ing middle class and its purchasing car on their street. rather than start with a blank sheet.” potential, mainstream automakers Q: How does a vehicle’s finish become Aimed to serve individuals and have been setting up operations in oxidized? small-business owners traveling Kenya as well. GM, Toyota, Peugeot A: Oxidation occurs for many reasons. across vast territories throughout a and Daimler Trucks Asia have a pres- Airborne contaminants like tree sap, severely degraded infrastructure, “It ence, and Volkswagen, which had rail dust, airplane fallout, exhaust pollu- has significant road-clearance associ- produced Beetles in Kenya during the tion, catalytic converter resin, bugs and ated with it,” he says. 1960s, has returned with a new plant other airborne contaminants get stuck The resulting price tag of $9,500 is that began making Polo Vivo models into your paint. Simply leaving a car in a about the same as buying a seven- this past December. highly polluted area or driving on regu- year-old sedan that lacks the crucial “We are taking the successful Polo lar roads can greatly impact your paint. off-roading ability and other aspects of Vivo from South Africa to Kenya to importance to Kenya’s motorists. leverage the enormous growth poten- Devoid of an automatic transmis- tial of the African automobile market billion worth of spares and accesso- sion, power steering, air conditioning, and participate in its positive develop- ries each year.” He anticipates that interior enhancements and other com- ment,” says Thomas Schäfer, managing the continent’s aftermarket will reach forts, a hefty load capacity anchored director of Volkswagen South Africa. a value of $15.3 billion by 2020. by a fuel-efficient 4-cylinder gasoline “This compact model is the best- The U.S. Commercial Service is engine means the Mobius can carry selling car in the Sub-Saharan region available to assist American firms the equivalent of nine bags of corn, six – so it is the ideal entry model for the interested in selling auto parts to sacks of potatoes, 50 cooking-gas cyl- promising Kenyan market,” he adds. Kenya. The agency maintains a list of inders and several crates of beverages. “With this move, we are strength- experienced Kenyan lawyers, strongly “Our design has really been focused ening the brand’s overall position in recommending that you retain such on the body of the vehicle,” says Africa and taking an important step services before venturing into the Bellopatrick, referring to the alumi- towards expanding our commitment country’s regulatory environment and num and composite construction. “The in the region.” its accompanying business and cul- road conditions that the vehicle will VW is implementing a training cen- tural idiosyncrasies. be operated in are very extreme. The ter to ensure a qualified workforce. body has to absorb those loads.” Additional plans include educational A delicate balance The contingent of retired executives opportunities focused on imparting Equipped with a Renault powertrain from GM, Ford and other OEMs con- generalized industrial skills to augment and engineered to require reduced tributing to the project worked mostly job opportunities for Kenya’s large pop- maintenance needs, the Mobius is pro- from their homes in cooperation with ulation of unemployed young people, duced at Thika-based Kenya Vehicle CEO Jackson and others on the ground according to CEO Dr. Herbert Diess. Manufacturers (KVM). Established in in Kenya. “After over 60 years of Volkswagen 1976, KVM’s other assembly contracts Online forums and video conferenc- vehicle production in South and North include Nissan trucks, Hino trucks ing were employed during the engi- Africa, I am delighted to now have a and buses, Hyundai trucks and Ashok neering process. “It was being done further site in Kenya,” he says. “We Leyland trucks along with a selection in Kenya with support from Detroit. will systematically continue to devel- of car and big-rig truck trailers. We’ve been staffing our own engineer- op our position in the fast-growing “There are a number of suppliers ing staff,” Bellopatrick says, working African car market.” 

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CONSUMER ATTITUDE STUDY BRANDING MATTERS CONSUMERS BUYING AUTO PARTS MOST INFLUENCED BY BRAND, RECOMMENDATIONS; NOT LOW PRICES

BY BRUCE ADAMS | MANAGING EDITOR

who purchase auto parts Lowest price was a distant third cited by only 14 per- and products are highly cent of those responding to the survey. Performance claim likely to compare prices of was fourth at 11 percent. Other categories that influenced those items before buying, but they are not influenced to buy consumers to purchase items were in-store displays and by the lowest price available, according to the Aftermarket coupons/rebates. Business World 2017 Consumer Attitude Study. In 12 of the 13 categories surveyed, consumers said auto On average, three out of four consumers surveyed said parts chain stores were their primary purchase location. they compared prices before buying 13 different parts and Auto parts chain stores came in second to dealerships as products, according to the study. Consumers said they were the primary purchase location for gaskets. In addition to most likely to compare prices when buying auxiliary lighting those two locations, consumers most often cited discount (89 percent), turbochargers (88 percent), gaskets (87 percent) stores, independent repair shops and independent auto and battery chargers (85 percent). stores as their primary purchase location. Consumers were least likely to compare prices when pur- Methodology: The survey sampling for the 2017 chasing motor oil, as only 33 percent said they did so before Aftermarket Business World Consumer Attitude Study making their purchase. The other items that were not price consisted of a consumer-sampling panel via email. Of the compared as often as the average include wipers (55 per- 21,055 invitations sent, 1,768 responses were received for a cent), starters and alternators (64 percent) and batteries (73 response rate of 8.4 percent and a +/– 2.1 percent margin of percent). The other five items surveyed fell between a 75 error at the 95 percent confidence level.  percent likelihood and 83 percent likelihood of being com- pared by price before being purchased. CONTENTS Despite this awareness and tendency to compare prices, consumers report that they are not influenced to make their purchases simply by the lowest price. In fact, low price was a 18 Auxiliary Lighting 34 Shocks & Struts distant third and several times fourth most important reason 20 Batteries 36 Spark Plugs that consumers cited when they were asked for their top 22 Battery Chargers 38 Starters/Alternators five reasons for purchasing a particular auto part or product. 26 Brakes 40 Turbochargers Brand name and recommendation were the two reasons cited by most consumers for purchasing a particular auto 28 Chassis 42 Wheel Bearings part or product. On average, brand was cited by 28 percent 30 Gaskets 44 Wipers of respondents as being the top reason for purchasing, while 32 Motor Oil recommendation was at 27 percent. Photo: Shutterstock.com / alexmillos / Shutterstock.com Photo:

16 OCTOBER 2017 AftermarketBusiness.com The Power of Collaboration

With thousands of locations across North America, the Automotive Parts Services Group is stronger together, sharing resources in areas that benefit all in the supply chain, such as IT and data management, electronic catalog and Co-Man warehouse. These combined efforts help The Group excel at providing all customers with high-quality service and name brand quality parts from leading manufacturers. While Federated and Pronto members continue to focus on building their local businesses, The Group's national footprint has enabled these members to serve national accounts that were previously out of reach. Global collaboration is being developed and enhanced through Federated and Pronto agreements with 1Parts. The Group is working on innovative technology solutions to enhance efficiency and accuracy as well as telematics systems that allow for seamless communication from consumers to repair outlets to parts providers. Integrated technology is the key to the future and The Group is leading the way, delivering so much more than parts to its customers. That’s the power of collaboration.

Together Strong

www.TheGroupAPSG.com STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS AUXILIARY LIGHTING

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of auxiliary lighting: 35% of consumers Brand name 32% personally installed the Performance claim/warranty 10% product they purchased. Recommendation 26% Lowest price 11`% In-store display/packaging 14%

◾ Outstanding 41% ◾ Great 25% Primary purchase intent: Likelihood to repurchase product ◾ Good 22% based on performance: ◾ Poor 9% Replace damaged lighting 54% Highly likely 43% ◾ Terrible 1% Likely 36% Upgrade lighting 36% ◾ Didn’t receive 2% Somewhat likely 14% For a custom application 10% Somewhat unlikely/not at all likely 8%

Likelihood of returning to Other 0% purchase location: Vehicle age: The top five advertising channels: < 1 year 26% Radio 20%

Television 46% 2-5 years 45%

Newspaper 27% 6-9 years 19%

Direct mail 20% 10+ years 11%

Online/Internet 41% Other work done: ◾ Highly likely 58% Primary purchase location: None 32% ◾ Likely 27% Auto chain 31% ◾ Somewhat likely 12% Oil change 45% Discount/Department store 25% ◾ Somewhat unlikely 1% Collision/body repair 27% Independent auto store 9% ◾ Not at all likely 2% Independent repair shop 11% Tune up 22%

Dealership 14% Tire rotation/replacement 14%

89% of consumers compared *Includes DIY and DIFM purchases Other 1% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

18 OCTOBER 2017 AftermarketBusiness.com Take your customer’s HIDs to the next level

Upgrade your customer’s Xenon HID headlights with the new Philips Xenon CrystalVision ultra HIDs. With up to 5000K brighter and whiter light, they’ll get a high-tech look that will definitely turn heads. www.philips.com/automotive

New!

Xenon CrystalVision ultra SeeSee us at AAPEX Booth 2826 STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS BATTERIES

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of battery: 38% of consumers Brand name 23% personally installed the Performance claim 20% product they purchased. Recommendation 26% Lowest price 19% In-store display 5%

◾ Outstanding 38% ◾ Great 32% Primary purchase intent: Likelihood to repurchase product ◾ Good 21% based on performance: ◾ Poor 3% Battery was dead 53% Highly likely 53% ◾ Terrible 2% Likely 33% Weakened Performance 26% ◾ Didn’t receive 4% Somewhat likely 12% Reached designated lifecycle 9% Somewhat unlikely/not at all likely 2%

Likelihood of returning to Mechanic recommended 11% purchase location: Vehicle age: The top five advertising channels: < 1 year 11% Saw/heard no ads 46%

Television 22% 2-5 years 22%

Newspaper 14% 6-9 years 38%

Radio 11% 10+ years 29%

Internet/email 27% Other work done: ◾ Highly likely 56% Primary purchase location: None 30% ◾ Likely 29% Auto chain 54% ◾ Somewhat likely 11% Oil change 53% Discount/Department store 17% ◾ Somewhat unlikely 2% Checked/filled fluids 34% Independent auto store 8% ◾ Not at all likely 2% Independent repair shop 11% Checked filters 31%

Dealership 5% Checked tire pressure 33%

73% of consumers compared *Includes DIY and DIFM purchases Checked belts and hoses 27% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

20 OCTOBER 2017 AftermarketBusiness.com BREAKING THE HEAT WAVE With A Breakthrough Battery Design

East Penn’s breakthrough new Fahrenheit® Group 31 AGM battery utilizes an exclusive Thermal Shielding Technology to extend battery life under today’s ever-increasing battery box temperatures. Exclusive Fahrenheit® Thermal Shielding Technology • Cycles 50% longer than standard AGM in extreme high heat tests • Utilizes a Heat Reduction Catalyst that protects against thermal runaway • Shielded by a Thermal Resistant Case that optimizes high heat AGM performance

Protect your batteries. Protect your vehicle. Protect your investment.

www.eastpennmanufacturing.com See us at AAPEX booth #4016 STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS BATTERY CHARGERS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of battery charger: 46% of consumers Brand name 32% personally used the product Performance claim 10% they purchased. Recommendation 28% Lowest price 14% In-store display 10%

◾ Outstanding 41% ◾ Great 25% Primary purchase intent: Likelihood to repurchase product ◾ Good 24% based on performance: ◾ Poor 3% Battery was dead/no charge 39% Highly likely 51% ◾ Terrible 2% Likely 34% Battery seemed low 25% ◾ Didn’t receive 5% Somewhat likely 12% To have in case battery runs low 19% Somewhat unlikely/not at all likely 3%

Likelihood of returning to To improve performance 15% purchase location: Vehicle age: The top five advertising channels: < 1 year 15% Saw/heard no ads 25%

Television 23% 2-5 years 18%

Newspaper 14% 6-9 years 55%

Magazine 16% 10+ years 12%

Internet/email 25% Other products/parts purchased: ◾ Highly likely 56% Primary purchase location: None 17% ◾ Likely 27% Auto chain 34% ◾ Somewhat likely 13% Battery test equipment 39% Discount store 32% ◾ Somewhat unlikely 2% Battery 43% Independent auto store 8% ◾ Not at all likely 2% Online/Internet 8% Jumper cable 24%

Dealership 7% Battery terminal brush 18%

85% of consumers compared *Includes DIY and DIFM purchases Battery cables 20% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

22 OCTOBER 2017 AftermarketBusiness.com Ver. 4/2017

FOR TOP POST BATTERIES

Switches recommended to mount on negative battery post to disconnect ground and battery. Easy to reach and operate.

• Stop Unwanted Battery Drain • Help Prevent Theft, Tamping, and Unauthorized Use • Improve Safety and Security of Stored Vehicles, RVs, and Seasonal Equipment

#20138

STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS BRAKES

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of brake products: 32% of consumers Brand name 19% personally installed the Performance claim 22% product they purchased. Recommendation 24% Lowest price 22% In-store display 4%

◾ Outstanding 43% ◾ Great 25% Primary purchase intent: Likelihood to repurchase product ◾ Good 26% based on performance: ◾ Poor 1% Pedal pulsating/grinding 20% Highly likely 57% ◾ Terrible 1% Likely 27% Making noise 28% ◾ Didn’t receive 4% Somewhat likely 10% Mechanic recommended 17% Somewhat unlikely/not at all likely 6%

Likelihood of returning to Worn out brakes 28% purchase location: Vehicle age: The top five advertising channels: < 1 year 15% Saw/heard no ads 34%

Television 38% 2-5 years 23%

Newspaper 14% 6-9 years 39%

Direct mail 15% 10+ years 23%

Internet/email 34% Other work done: ◾ Highly likely 57% Primary purchase location: None 39% ◾ Likely 31% Auto chain 56% ◾ Somewhat likely 9% Steering, suspension maintenance 14% Online/Internet 4% ◾ Somewhat unlikely 2% Shocks/struts 14% Independent auto store 7% ◾ Not at all likely 1% Independent repair shop 13% Tire rotation 41%

Dealership 11% Transmission service 12%

79% of consumers compared *Includes DIY and DIFM purchases Other 4% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

26 OCTOBER 2017 AftermarketBusiness.com THE STRONG, SILENT TYPE

We may have given Wagner® ThermoQuiet ® brake pads a shorter name but they haven’t lost a thing when it comes to performance. With an innovative “one-piece” design which integrates the friction, shim and backing plate for greater strength, Wagner TQ is still your go-to choice for quieter, more reliable braking. Find out more at wagnerbrake.com.

#partsmatter

©2017 Federal-Mogul Motorparts LLC. All trademarks shown are owned by Federal-Mogul LLC, or one or more of its subsidiaries, in one or more countries. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS CHASSIS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of chassis parts: 30% of consumers Brand name 20% personally installed the Performance Claim 16% product they purchased. Recommendation 25% Lowest price 16% Coupon/rebate 7%

◾ Outstanding 38% ◾ Great 20% Primary purchase intent: Likelihood to repurchase product ◾ Good 34% based on performance: ◾ Poor 5% Heard noises, rattles in front 18% Highly likely 39% ◾ Terrible 1% Likely 33% To upgrade 21% ◾ Didn’t receive 2% Somewhat likely 23% Mechanic’s recommendation 16% Somewhat unlikely/not at all likely 5%

Likelihood of returning to Damaged in accident 25% purchase location: Vehicle age: The top five advertising channels: < 1 year 16% Saw/heard no ads 30%

Television 30% 2-5 years 41%

Newspaper 21% 6-9 years 13%

Magazine 18% 10+ years 30%

Internet/email 24% Other work done: ◾ Highly likely 50% Primary purchase location: None 16% ◾ Likely 30% Auto chain 31% ◾ Somewhat likely 13% Alignment 54% Discount/Department store 31% ◾ Somewhat unlikely 7% Tires rotated/replaced 43% Online/Internet 7% ◾ Not at all likely 0% Independent repair shop 12% Brake repair 25%

Dealership 8% Steering/suspension maintenance 11%

83% of consumers compared *Includes DIY and DIFM purchases Other 6% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

28 OCTOBER 2017 AftermarketBusiness.com MOOG® ball joints outperform the competition BY MORE THAN *

Ford® F-150 Chevy® Silverado Toyota® Camry Durability Testing Durability Testing Durability Testing KEEPS GOING 5X+ KEEPS GOING 5X+ KEEPS GOING 5X+

MAS BALL STUD BROKE MAS BALL STUD BROKE MAS BALL STUD BROKE

Centric BALL STUD BROKE Centric BALL STUD BROKE Centric * Mevotech Supreme BALL STUD BROKE Mevotech Supreme BALL STUD BROKE Mevotech Supreme BALL STUD BROKE

* Centric part not available for testing.

Independent testing shows that MOOG ball joints outperform the competition by more than 5X. It’s proof that when it comes to durability, our competitors simply don’t measure up. And that won’t surprise professional technicians — they prefer MOOG more than all other chassis brands combined†. They know that when their reputation is on the line, MOOG always goes the extra mile.

#partsmatter

* The results shown are based on independent testing conducted by B83 Testing & Engineering, Inc. on ball joints for a 2007 Toyota Camry, 2013 Ford F-150 and 2007 Chevrolet Silverado. Testing was performed on a Multi-Axial Durability Suspension Simulator to simulate ball joint service life on a vehicle. †IMR Research Study 2015

©2017 Federal-Mogul Motorparts LLC. MOOG and MOOG Go The Extra Mile are trademarks owned by Federal-Mogul LLC, or one or more of its subsidiaries, in one or more countries. All other trademarks shown are the property of their respective owners. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS GASKETS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of gasket: 35% of consumers Brand name 28% personally installed the In-store display 8% product they purchased. Recommendation 31% Lowest price 13% Coupon/rebate 10%

◾ Outstanding 47% ◾ Great 17% Primary purchase intent: Likelihood to repurchase product ◾ Good 25% based on performance: ◾ Poor 11% Mechanic recommended 49% Highly likely 52% ◾ Terrible 0% Likely 27% Stop fluid leak 21% ◾ Didn’t receive 0% Somewhat likely 16% Part of a larger repair 28% Somewhat unlikely/not at all likely 5%

Likelihood of returning to Performance/custom work 2% purchase location: Vehicle age: The top five advertising channels: < 1 year 18% Saw/heard no ads 18%

Television 31% 2-5 years 5%

Newspaper 26% 6-9 years 56%

Direct mail 23% 10+ years 21%

Magazine 23% Other work done: ◾ Highly likely 46% Primary purchase location: None 28% ◾ Likely 29% Auto chain 25% ◾ Somewhat likely 14% Preventative maintenance, repair 33% Online/Internet 8% ◾ Somewhat unlikely 9% Engine repair 21% Independent auto store 6% ◾ Not at all likely 2% Independent repair shop 14% Performance/custom work 18%

Dealership 28% Check engine light diagnostics 18%

87% of consumers compared *Includes DIY and DIFM purchases Performance/custom work 18% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

30 OCTOBER 2017 AftermarketBusiness.com “I need more than just a gasket.”

Tony Portillo | Owner | Don’s Auto Parts & Machine Shop Fel-Pro Only since 1990 FelPro.com #PartsMatter

“ONLY FEL-PRO® focuses strictly on the repair environment, with technologies designed to face the unique challenges each engine brings to my shop. ”

Regardless of the application, Fel-Pro® gaskets are specifically engineered to solve the toughest sealing challenges in the repair environment.

8266 PT-1 AMC 5.9L/6.4L/6.6L

26541 PT Chrysler Pentastar 3.6L

Visit FelPro.com to see why Tony, a veteran machinist, trusts Fel-Pro® to seal every engine he builds. 1141L Ford Modular 4.6L/5.4L

©2017 Federal-Mogul Motorparts LLC. Fel-Pro is a trademark owned by Federal-Mogul LLC, or one or more of its subsidiaries, in one or more countries. All other trademarks shown are the property of their respective owners. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS MOTOR OIL

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of motor oil: 32% of consumers Brand name 31% personally installed the Performance claim 12% product they purchased. Recommendation 16% Lowest price 23% Other 12%

◾ Outstanding 19% ◾ Great 34% Primary purchase intent: Likelihood to repurchase product ◾ Good 32% based on performance: ◾ Poor 1% Regular maintenance 75% Highly likely 63% ◾ Terrible 0% Likely 27% Low level 15% ◾ Didn’t receive 14% Somewhat likely 7% To keep on hand 8% Somewhat unlikely/not at all likely 3%

Likelihood of returning to Oil leak 2% purchase location: Vehicle age: The top five advertising channels: < 1 year 7% Saw/heard no ads 69%

Television 9% 2-5 years 18%

Newspaper 9% 6-9 years 26%

Direct mail 9% 10+ years 49%

Internet/email 10% Other work done: ◾ Highly likely 35% Primary purchase location: None 40% ◾ Likely 40% Auto chain 32% ◾ Somewhat likely 17% Checked other fluids 41% Discount store 28% ◾ Somewhat unlikely 4% Checked tire pressure 42% Independent auto store 4% ◾ Not at all likely 4% Independent repair shop 11% Checked wipers 32%

Dealership 18% Checked filters 35%

33% of consumers compared *Includes DIY and DIFM purchases Checked belts & hoses 30% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

32 OCTOBER 2017 AftermarketBusiness.com Ver. 4/2017

11” Long Multi-Purpose Funnel: 32855 • Heavy Duty Polyethylene Construction • Large Pour Spout Minimizes Drips • Specifically Designed to Work on Capless Gas Tanks • Top ID: 3½" • Spout OD: 13⁄16"

#32855

STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS SHOCKS AND STRUTS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of shock and strut: 31% of consumers Brand name 21% personally installed the Performance claim 10% product they purchased. Recommendation 34% Lowest price 10% In-store display 13%

◾ Outstanding 53% ◾ Great 22% Primary purchase intent: Likelihood to repurchase product ◾ Good 22% based on performance: ◾ Poor 0% Bouncy ride/worn parts 58% Highly likely 54% ◾ Terrible 0% Likely 32% Poor vehicle handling 17% ◾ Didn’t receive 3% Somewhat likely 9% Mechanic recommended 21% Somewhat unlikely/not at all likely 4%

Likelihood of returning to Shock/strut leak 4% purchase location: Vehicle age: The top five advertising channels: < 1 year 25% Saw/heard no ads 23%

Television 41% 2-5 years 15%

Radio 19% 6-9 years 38%

Direct mail 22% 10+ years 22%

Internet/email 25% Other work done: ◾ Highly likely 64% Primary purchase location: None 37% ◾ Likely 28% Auto chain 44% ◾ Somewhat likely 3% Alignment 37% Discount store 4% ◾ Somewhat unlikely 3% Tire rotation/replacement 34% Independent auto store 9% ◾ Not at all likely 2% Independent repair shop 15% Suspension/steering 21%

Dealership 9% Brake repair 10%

81% of consumers compared *Includes DIY and DIFM purchases Other 0% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

34 OCTOBER 2017 AftermarketBusiness.com

STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS SPARK PLUGS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of spark plug: 39% of consumers Brand name 47% personally installed the Performance claim 6% product they purchased. Recommendation 23% Lowest price 7% In-store display 9%

◾ Outstanding 52% ◾ Great 18% Primary purchase intent: Likelihood to repurchase product ◾ Good 17% based on performance: ◾ Poor 6% Preventative maintenance 44% Highly likely 64% ◾ Terrible 1% Likely 18% Fix check engine light problem 34% ◾ Didn’t receive 6% Somewhat likely 12% To improve fuel economy 11% Somewhat unlikely/not at all likely 6%

Likelihood of returning to Mechanic recommended 11% purchase location: Vehicle age: The top five advertising channels: < 1 year 22% Saw/heard no ads 31%

Television 32% 2-5 years 16%

Newspaper 24% 6-9 years 44%

Direct mail 20% 10+ years 18%

Radio 20% Other work done: ◾ Highly likely 68% Primary purchase location: None 32% ◾ Likely 15% Auto chain 42% ◾ Somewhat likely 12% Check engine light diagnostics 39% Discount store 6% ◾ Somewhat unlikely 2% Checked/filled fluids 25% Independent auto store 12% ◾ Not at all likely 3% Mail order/catalog 13% Battery check, replacement 27%

Dealership 10% Checked tire pressure 13%

75% of consumers compared *Includes DIY and DIFM purchases Checked belts and hoses 34% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

36 OCTOBER 2017 AftermarketBusiness.com If you’re looking to get a better handle on the ups and downs of modern chassis systems, our 4-hour chassis diagnostics workshops have got you covered. Whether you’re in New York, NY, Newport Beach, CA or somewhere in between, we’ll walk you through the latest steering and suspension inspection and repair procedures and prepare you to take on these high-volume repair opportunities.

Register now and check out our complete course catalog at FMgaragegurus.com

Mark Isaac Federal-Mogul Motorparts Training Team

Atlanta | Baltimore | Boston | Bronx | Dallas | Detroit | Ft. Lauderdale | Houston | Rancho Dominguez | Skokie | St. Louis | Van Nuys

©2017 Federal-Mogul Motorparts LLC. All trademarks shown are owned by Federal-Mogul LLC or one or more of its subsidiaries in one or more countries. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS STARTERS / ALTERNATORS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of starter/alternator: 29% of consumers Brand name 8% personally installed the Performance claim 8% product they purchased. Recommendation 27% Lowest price 15% In-store display 7%

◾ Outstanding 21% ◾ Great 21% Primary purchase intent: Likelihood to repurchase product ◾ Good 29% based on performance: ◾ Poor 8% Car won’t start 35% Highly likely 49% ◾ Terrible 0% Likely 30% Alternator light on 15% ◾ Didn’t receive 21% Somewhat likely 8% Battery lost charge 19% Somewhat unlikely/not at all likely 13%

Likelihood of returning to Low voltage 12% purchase location: Vehicle age: The top five advertising channels: < 1 year 18% Saw/heard no ads 50%

Magazine 14% 2-5 years 18%

Newspaper 14% 6-9 years 21%

Internet/email 18% 10+ years 43%

Radio 14% Other work done: ◾ Highly likely 33% Primary purchase location: None 32% ◾ Likely 42% Auto chain 21% ◾ Somewhat likely 21% Tune up 25% Dealership 25% ◾ Somewhat unlikely 0% Checked/filled fluids 14% Independent auto store 18% ◾ Not at all likely 4% Independent repair shop 14% Battery check/replacement 36%

Online/Internet 14% Checked tire pressure 14%

64% of consumers compared *Includes DIY and DIFM purchases Checked belts and hoses 25% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

38 OCTOBER 2017 AftermarketBusiness.com As one of the largest producers of new and remanufactured Starters + Alternators, MPA provides nearly 100% coverage. All units are triple-tested, meeting or exceeding OE standards. Our nationally recognized private label services and award-winning customer service make MPA Your Source for Starters + Alternators. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS TURBOCHARGERS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of turbocharger: 36% of consumers Brand name 35% personally used the product Performance claim 9% they purchased. Recommendation 33% Lowest price 11% In-store display 7%

◾ Outstanding 44% ◾ Great 21% Primary purchase intent: Likelihood to repurchase product ◾ Good 27% based on performance: ◾ Poor 7% Replacement for failed OE unit 52% Highly likely 53% ◾ Terrible 1% Likely 24% Replacement for failed aftrm. unit 14% ◾ Didn’t receive 0% Somewhat likely 16% To improve vehicle performance 34% Somewhat unlikely/not at all likely 7%

Likelihood of returning to Other ##% purchase location: Vehicle age: The top five advertising channels: < 1 year 26% Internet/email 44%

Television 35% 2-5 years 14%

Newspaper 30% 6-9 years 50%

Magazine 19% 10+ years 10%

Radio 19% Other work done: ◾ Highly likely 60% Primary purchase location: None 17% ◾ Likely 23% Auto chain 45% ◾ Somewhat likely 15% Replace induction hoses 38% Online/Internet 6% ◾ Somewhat unlikely 2% Replace intercooler 31% Independent auto store 7% ◾ Not at all likely 0% Independent repair shop 7% Replace exhaust manifold(s) 25%

Dealership 12% Oil/filter change 41%

88% of consumers compared *Includes DIY and DIFM purchases Air filter replacement 23% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

40 OCTOBER 2017 AftermarketBusiness.com Nobody does NEW like Standard.

NEW, NOT REMANUFACTURED OE production fuel injectors for popular Navistar, Maxxforce, and Ford® Power Stroke® diesel engines. FJ927NX, just one of the thousands of genuine diesel parts available StandardDieselParts.com from Standard. Visit us at AAPEX BOOTH 4226

Standard® is a registered trademark of Standard Motor Products, Inc. Product names, logos, brands, vehicle makes/models and other trademarks featured or referred to are the property of their respective trademark holders. These trademark holders are not affi liated with Standard Motor Products, Inc., or our products. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS WHEEL BEARINGS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of wheel bearing: 35% of consumers Brand name 36% personally used the product Coupon/rebate 6% they purchased. Recommendation 30% Lowest price 6% In-store display 10%

◾ Outstanding 55% ◾ Great 22% Primary purchase intent: Likelihood to repurchase product ◾ Good 20% based on performance: ◾ Poor 0% Heard rattle/performance issue 53% Highly likely 43% ◾ Terrible 1% Likely 35% Failure in related system 35% ◾ Didn’t receive 2% Somewhat likely 18% Mechanic recommended 12% Somewhat unlikely/not at all likely 4%

Likelihood of returning to Other 0% purchase location: Vehicle age: The top five advertising channels: < 1 year 21% Saw/heard no ads 25%

Television 40% 2-5 years 42%

Newspaper 23% 6-9 years 23%

Direct mail 19% 10+ years 14%

Magazine 19% Other work done: ◾ Highly likely 63% Primary purchase location: None 31% ◾ Likely 29% Auto chain 41% ◾ Somewhat likely 4% Alignment 39% Independent repair shop 8% ◾ Somewhat unlikely 4% Tires checked/replaced 37% Online/Internet 6% ◾ Not at all likely 0% Independent auto store 14% Check engine light diagnostics 31%

Dealership 14% Battery check/replacement 14%

77% of consumers compared *Includes DIY and DIFM purchases Checked belts and hoses 17% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

42 OCTOBER 2017 AftermarketBusiness.com hub assemblies + bearings

All MPA Hub Assemblies + Bearings are performance proven and backed by state of the art testing and product qualifi cation. Rigorous EOL testing of critical components against our vast database ensures quality parts in every box. Nationally recognized private label services and award winning customer service make MPA Your Source for Hub Assemblies + Bearings. STUDY CONSUMER ATTITUDE STUDY BRANDING MATTERS WIPERS

Customer service at BUYING HABITS purchase location: The top five reasons for purchasing a particular type of wiper: 45% of consumers Brand name 27% personally installed the Performance claim 14% product they purchased. Recommendation 28% Lowest price 12% In-store display 10%

◾ Outstanding 35% ◾ Great 28% Primary purchase intent: Likelihood to repurchase product ◾ Good 27% based on performance: ◾ Poor 3% Wipers performing poorly 63% Highly likely 54% ◾ Terrible 1% Likely 33% Preventive maintenance 18% ◾ Didn’t receive 6% Somewhat likely 9% Broken wiper blades 13% Somewhat unlikely/not at all likely 4%

Likelihood of returning to Other 6% purchase location: Vehicle age: The top five advertising channels: < 1 year 10% Saw/heard no ads 62%

Television 15% 2-5 years 22%

Radio 9% 6-9 years 38%

Direct mail 9% 10+ years 31%

Internet/email 13% Other work done: ◾ Highly likely 54% Primary purchase location: None 51% ◾ Likely 31% Auto chain 39% ◾ Somewhat likely 12% Oil change 37% Discount store 22% ◾ Somewhat unlikely 2% Checked/filled fluids 23% Independent auto store 7% ◾ Not at all likely 1% Independent repair shop 9% Checked filters 18%

Dealership 12% Checked tire pressure 17%

55% of consumers compared *Includes DIY and DIFM purchases Checked belts and hoses 11% prices when shopping for this product. Some chart totals exceed 100 percent as a result of respondents providing multiple answers. Others do not reach 100 percent as all answer options are not represented.

44 OCTOBER 2017 AftermarketBusiness.com ANCO CONTOUR

IT HUGS THE WINDSHIELD. AND EMBRACES YOUR BUSINESS.

Contour® wiper blades from ANCO® are engineered to provide exceptional blade-to-windshield contact. Featuring an asymmetrical spoiler and Articulated Contact™ Technology, Contour wipers adhere with uniform pressure across today’s curved windshields. What’s more, Contour wipers can replace both beam blades and conventional bridge blades. All of which makes Contour a perfect fi t for your business.

ANCOwipers.com #PartsMatter ©2017 Federal-Mogul Motorparts LLC. All trademarks shown are owned by Federal-Mogul LLC, or one or more of its subsidiaries, in one or more countries. PRODUCTS TOOLS, PARTS AND THE LATEST PRODUCTS RESOURCES FOR EVERY TECHNOLOGIES TO HELP YOU WORK SMARTER SHOP EVERY DAY AND KEEP YOUR BUSINESS PROFITABLE

FIND THE RIGHT YOUR SOURCE FOR STARTERS, LIGHT BULB ALTERNATORS The Philips Automotive Bulb As one of the largest producers of Look Up is an easy to use online new and remanufactured Starters + tool that quickly identifies the Alternators, Motorcar Parts of America is right headlight bulb or exte- dedicated to quality. rior/interior bulb for a specific • All units are triple-tested to SAE vehicle application and tells the standards; meeting or exceeding user where to buy it. The Bulb OE specs. Look Up is compatible with both • Nearly 100% coverage, with availabil- desktop and mobile devices, and uses a Make/Model/Year search ity through major chain retailers, traditional WDs and beyond. format to speed the search results. It covers model years from • Nationally recognized private label services. 1958 to 2017 and includes all applicable incandescent, halogen • A ward-winning customer service with a tech hotline for company and LED bulb types, and part numbers. partners and their customers. www.usa.philips.com/c-m-li/car-lights.html www.motorcarparts.com Philips | AAPEX booth 2826 Motorcar Parts of America | Booth 4638

PHILIPS ULTINON LED LIGHTS YOUR NEW STORE APP WITH ECMA Philips Ultinon LED REWARDS AUTOLOGUEUTOLOGUE INTRODUCESINT lights deliver bril- Increase sales with walk-in, CMAC REWARDSR YOUR liant, high-tech light- retail customers. COMPANY NOW IncreaseIncre Sales NAME HERE with walk-in,walk retail ing for stop lights, • Outsmart the big-box guys. YOUR APP ShopShoppers YOUR COMPANY NAME HERE y rCCompammpany y YourYouYoour CompanyCoAPAPP nyPPP in your store!! turn signal lights, • Promote your business - Outsmart the big-box guys Promote your business-Launch your own store APP. backup lights, tail- launch your own store app. Use Push NotificationsWRLQFUHDVHLQVWRUHWUDIILF Order Online3LFNXSDWWKHVWRUHRUGHOLYHUWRWKHLUKRPH lights, position lights, • Use push notifications to FAST 1-Hour DeliveryWR\RXUFXVWRPHU¶VGRRU  hazard lights, trunk lights, glove compartment lights and interior increase in-store traffic. IN-STORE PROMOS ABC Auto Car Parts ORDERING ONLINE ABC ABCABC AUTO $ AUTO ABC CAR PARTS OFF AUTO Order Online CARCar PARTS Parts AUTO floor lights. Available in a choice of cool blue, intense red, intense • Order online. Pickup at 5 CAR PARTS MARKETING eOffice OIL FILTER Coupons Learn How It Works amber and 6000K bright white. Designed for performance and the store or deliver to Flyer Website www.autologue.comautologue style, Philips Ultinon LEDs provide excellent light distribution, with their home. Settings a wide angle and proper light diffusion so drivers can see and be • Fast 1-hour delivery to your customer’s door. seen better. Learn how It works. www.usa.philips.com/c-m-li/car-lights.html www.autologue.com Philips | AAPEX booth 2826 Autologue | AAPEX booth 3071

YOUR SOURCE FOR HUBS, BEARINGS EMPOWER YOUR OUTSIDE SALES FORCE As one of the largest producers of WITH ESALES BI/CRM AUTOLOGUEOLOGUE OFFERSOFFERRS SalesSaSaleless BI / CRM new Hub Assemblies + Bearings, Don’t wait until the end of the month eSALESLES BI/CRM Empowermpower YourYouur OutOutsidesiididei SalesSal S es Force Motorcar Parts of America is dedi- to find out you lost a customer. eSale- Don’tDon’t wait untilu the end of tthehe month to find out cated to quality. salerts you to take immediate action you lost a Customer. eSales alerts you to take immediate action with DATADAT REFRESHED DAILY.

• Rigorous EOL testing; all toler- with data refreshed daily. Features: FEATURES: Alerts & Notifications: View Customer’s Daily Activity Scheduler: Sales Appts, Calls, Visits + GPS Maps ances verified. • Alerts & notifications: View cus- Opportunities: Monthly Specials, Promos, Events Direct Connection to your Management System for Real Time Pricing & Stock Checks • ABS sensor signal strength, met- tomer’s daily activity. View Customer Buying Habits Email Call Reports Know your Customers with CRM— Personal “eSales BI really has been and Business details. allurgy and hardness tested. • Scheduler: Sales appts., calls, visits a game changer for our sales force . .” . Matthew Schumann Corporate Finance Mgr. www.autologue.comautologue • Nearly 100% coverage, with + GPS maps. at Spectrum Paint availability through major chain • Opportunities: Monthly specials, promos, events. retailers, traditional WDs and • Direct connection to your management system for real time pric- beyond. ing & stock checks. • Nationally recognized private label services. • View customer buying habits. • Award-winning customer service with a tech hotline for our part- • Email call reports. ners and their customers. • Know your customers with CRM – personal and business details. www.motorcarparts.com www.autologue.com Motorcar Parts of America | AAPEX Booth 4638 Autologue | AAPEX booth 3071

46 OCTOBER 2017 AftermarketBusiness.com MARKETPLACE MANUFACTURERS REPRESENTATIVESFOR IMMEDIATE ASSISTANCE IN PLACING MARKETPLACE YOUR MARKETPLACE AD, PLEASE CALL MANUFACTURERS Keith Havemann at: 310-857-7634. REPRESENTATIVES EAST Send a fax: 310-943-1465 or e-mail: [email protected] AFTERMARKETBUSINESS.COM/SUBSCRIBE

SOUTH SOUTH

N.A. Williams Company has been providing sales and marketing solutions for its clients for over 80 years. 115 aftermarket professionals.

2900-A Paces Ferry Rd., S.E., Atlanta, GA. 30339 770-433-2282 www.nawilliams.com

Let Marketplace Advertising Work For YOU!

Generate sales leads, maintain market presence, conduct market testing, promote existing lines, introduce new products and services, or recruit the best.

Contact Keith Havemann 310-857-7634 or email [email protected]

SEARCHAUTOPARTS.COM 47

PRODUCTS

ELEMENT3 AUTOMOTIVE BRAKE PADS INTELLIGENT DIAGNOSTICS GUIDES TECHS The new ZEUS™ platform (EEMS342) provides all the func- tions and repair tips that technicians need to diagnose, repair and manage any issue, fast. Snap-on says that ZEUS is the most sophisticated, intuitive diagnostic tool that it has ever created. ZEUS The Raybestos Element3™ line of brake pads includes EHT™ is designed to anticipate the technicians’ next move and guide Enhanced Hybrid Technology and PG™ Professional Grade™. them through every step to find the solution by displaying only the Together, they offer an innovative array of pads that provide out- information that’s relevant to the specific vehicle and fault code. standing braking performance, long life and less noise. EHT pro- http://diagnostics.snapon.com/zeus vides the best attributes of ceramic and semi-metallic in one pad, Snap-on while PG delivers the best attributes of semi-metallic or ceramic materials comparable to OE. For a premium line of superior formu- lations with full coverage, look no further than Element3. NEW 2.7L KIA/HYUNDAI TIMING KIT www.raybestos.com Raybestos AAPEX booth 3638

Gates’ new timing kit for 2.7L Kia/Hyundai vehicles includes an OE-exact tensioner assembly, OE-performance idler pulley, OE-exact timing belt, and detailed instructions. The timing belt features aramid reinforced tooth fabric for longer wear and premi- um tensile cords for higher strength. The tensioner is designed to TRADITION. look, fit, and function just like the OE, featuring a patented vibra- tion damping system for improved life. www.gates.com Gates Automotive

NEW ULTRA POLISHING WAX Meguiar’s introduced D166 Ultra Polishing Wax to its professional line of products. Designed to save time and money, the one-step product offers efficient removal of defects, polishing and long-lasting For more than 130 years, FAG protection. A combination of easy wipe- has been the brand of choice for the off technology and Super-Micro Abrasive world‘s leading vehicle manufacturers. Technology polishing agents, which pro- vide uniform, fast cutting, delivers defect The world’s vehicle manufacturers rely on FAG to develop specifications to perfectly removal and durable protection through a match the characteristics of each new vehicle. single application. The formula also allows FAG has earned its place as a leading original- for product to be applied to an entire vehi- equipment supplier by setting the standards and cle at once, regardless of weather, without consistently delivering products to meet them. the user having to stop and remove resi- due as they go. Further information: www.repxpert.us www.meguiars.com Meguiar’s

48 OCTOBER 2017 AftermarketBusiness.com

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SAFE DRIVING, AIDO PROTECTING www.ai duo-wiper.com