Why aftermarket safety is a win-win for you and your customers
Updated August 7, 2019: According to IHS Markit, the average age of a car on US highways is now 11.8 years—and climbing. And the number of vehicles in the new to the 5-year old category will grow 2% from 2018 to 2023, while vehicles in the 6- to 11-year old range will grow 27%.
The number of older cars and light trucks is growing very fast. Vehicles 16 years and older are expected to grow 22% from 2018 to 2023, reaching 84 million units in 2023. In contrast, there were less than 35 million 16+ year-old vehicles on the road back in 2002.
The result is an aftermarket gold mine. There are millions of aging vehicles that don’t incorporate many of the safety technologies available on new vehicles. And although some of the latest tech isn’t available yet for the aftermarket, it is trickling down. And there’s enough out there right now to turn virtually any older car into a safer car.
CTA research says…
The Consumer Technology Association reports that advanced driver-assist safety features such as blind-spot detection, adaptive cruise control, lane-keeping assist, and collision avoidance systems are driving sales of both factory-installed and aftermarket vehicle technology.
And in their July 2019 Sales and Forecasts Report, they forecast:
• 1.1 million rear-view backup cameras will ship in 2019 (15% growth), while shipment revenues will hit $70 million
• Newer dash camera models that include forward collision detection, incident detection, and motion detection recording for when the car is parked offer a strong value proposition for American drivers. Dash camera shipments will rise 18% to 464,000 units in 2019. And despite steadily declining average wholesale prices, revenues are expected to increase 16% to $87 million.
• The most promising revenue opportunity for manufacturers remains aftermarket advanced driver assistance systems (ADAS). Though shipments have been just a small slice of the pie until now, CTA forecasts strong growth in 2019 with over 445,000 units shipping (up 28%) while generating a whopping $334 million in revenues in 2019, also up 28% over 2018.
Armed with this knowledge, stores can focus their resources on the trending areas while knowing sales will continue in softer areas like audio, security, and portable navigation devices. In addition, you need to be on the lookout for more advanced driver assistance systems coming on the market.
Most of these aftermarket updates require expert installation, providing custom installers and brick and mortar store techs excellent revenue opportunities.
Top 5 automotive aftermarket products for a safer car
1. Rear view cameras
Rearview safety is tops on every safer car wish list because many vehicles have poor visibility out the back. An aftermarket backup camera installed in a license plate, door handle, or via bracket can prevent accidents. The camera image can be fed to a replacement rearview mirror, monitor, or many in-dash head units and is displayed when a vehicle is put into reverse.
2. Lane departure and forward collision warnings
These systems give a driver enough time to react to potentially deadly situations involving other vehicles when traveling at highway speeds. Both kinds of warning systems often use well-equipped dash cams to monitor the road ahead. Lane Departure recognizes the painted lane markings or tire tracks. It bases its alerts on whether the equipped vehicle is veering outside the lines. A Collision Avoidance system alerts to slow or stopped vehicles in the lane ahead. Relied upon by truckers for years, this technology is finally trickling down to consumers.
3. Blind spot detection systems
The blind spot is dreaded by drivers everywhere. Lane changes, in particular, can lead to collisions because of vehicles hanging out where the driver can’t see. Detecting blind spots is accomplished by mounting sensors in places such as the front, rear, and sides of a vehicle. Buzzers and/or LED indicators show proximity. The range is generally 3 to 10 feet.
4. Replacement head unit receivers
CTA estimates that 1.3 million double-DIN monitors will ship by the end of 2019, generating $262 million in revenue. How does a head unit contribute to a safer car? A replacement head unit with a video screen usually provides connectivity for a rear camera, which is a safety must.
Navigation head units provide a much bigger, easier-to-read screen, better audio, and superior driving information than a smartphone map app. Then there’s Bluetooth. Bluetooth connectivity on today’s replacement head units is pretty much a given. Together, both navigation units and any unit’s Bluetooth pairing ability eliminate the distraction (and possible safety and legal consequences) of holding or handling a phone while driving.
5. Vehicle security systems
Security systems on new cars don’t get a lot of respect from experts. Even though this may be a soft area of sales on the aftermarket, it is not dead. Plus, many security systems are bundled with remote-start systems—some of which even provide ways to pre-cool or pre-heat a vehicle. A safer car should include updated security and remote start features.
A safer car saves lives plus creates more roads to revenue
Owners of older vehicles will certainly benefit from safety upgrades. But these five safety features may also appeal to new car buyers who turn down expensive OEM option packages. This significantly expands your potential customer pool.
Raise awareness of these aftermarket solutions by mounting an ad campaign in your store or on the radio. You can save some lives while helping your own bottom line.
And be sure to check out petra.com for all of your aftermarket automotive needs.