Truck Accessory Installer Survey Assists Competitors
8 June 1998
Frost & Sullivan: Truck Accessory Installer Survey Assists Competitors In Developing Winning Strategies
MOUNTAIN VIEW, Calif., June 8 -- The truck accessories
aftermarket is large, and growing larger every day. Because most consumers
accessorize their trucks within the first year after purchase, the success of
the market is directly related to new and used truck sales. And, by the year
2002, it is expected that light truck sales will constitute about 50 percent
of total vehicle sales.
According to strategic research conducted by Frost & Sullivan
(http://www.frost.com), An Assessment of the Light Truck Accessory Aftermarket: The
Installer's Perspective, the surge of light truck sales in North America is
expected to continue. Today, trucks are being purchased for recreational
purposes, and this has created a major growth opportunity. The market for
truck accessories is forecast to reach almost $1.5 billion in
manufacturer-level revenues in 1998.
"The truck accessory market is an emerging market with much potential, and
installers are key in selling truck accessories because they choose which
brands to carry," said Automotive Analyst Danielle McDonald. Although it is
often believed that finding the lowest prices are the most important criteria
for installers when choosing a brand, installers are more concerned with
obtaining high-quality parts. It is crucial for accessory suppliers to deliver
high-quality parts, have replacement parts always available, and to fill parts
orders accurately.
Although it is often noted that installers do not have enough space, Frost
& Sullivan's survey found that many installers do, in fact, have adequate room
for more inventory. Because the existence of additional installer space
provides an opportunity for accessory suppliers to sell more products,
suppliers should help installers improve their inventory management.
Accessory suppliers should rely on installers to determine customer demand
and feedback, since installers deal directly with truck owners, says McDonald.
And, since most of installer business goes to light truck owners, advertising
must be targeted to these end users. Suppliers should provide
point-of-purchase displays to installers, because actual displays of the
product give potential customers the opportunity to see and touch the product,
which often leads to greater sales.
The market for light truck accessories is very fragmented, with no clear
market leader. Companies are beginning to consolidate in order to gain brand
awareness and distinguish themselves from the competition. Vertical
integration is also becoming common among truck accessory manufacturers, in
which case the company is responsible for not only manufacturing the product,
but also for selling the product to the end user.
Frost & Sullivan's study, An Assessment of the Light Truck Accessory
Aftermarket: The Installer's Perspective, is based on the responses of
149 installers who completed a telephone survey. This report allows truck
accessory suppliers to measure their performance against industry-wide
benchmarks, and to better understand how installers conduct their business.
Because the truck accessory aftermarket has not been studied in detail by any
other source, Frost & Sullivan's report provides the opportunity for
installers and industry suppliers to view the market from a different angle.
Frost & Sullivan is an international marketing consulting company that
monitors the automotive industry for market trends, market measurements and
strategies. This ongoing research is utilized to update a series of research
publications such as #5365-18 North American Automotive Accessory Market,
#5574-18 North American Truck Accessory Aftermarkets, and #5137-18 The Light
Truck Bedliner Aftermarket, and to support industry participants with
customized consulting needs.
Visit Frost & Sullivan's web site: http://www.frost.com
Report: 5506-18 Publication Date: June 1998 Price: $1950