SEMA Report: Aftermarket Look Forward for Growth in 2024

Growth Spurt

Even amid the economic uncertainty of the last year, 55% of automotive aftermarket manufacturers are reporting expected growth in the coming year, up from only 44% last Fall, according to the new “SEMA State of the Industry-Fall 2023 Report,” which is now available for download.

The report is the latest study in the “SEMA State of the Industry” biannual series that explores the current state of the automotive specialty equipment industry, including how businesses are doing, key industry trends and metrics, challenges and opportunities along with an outlook for 2024 and beyond.

“Our latest ‘SEMA State of the Industry’ report shows that despite inflation and economic unpredictability, including the UAW strike, aftermarket sales continue to grow,” said SEMA Market Research Director Gavin Knapp. “While there has been softening sales for some firms, two-thirds of industry companies are reporting stable or growing sales over the last year.”

Other key findings from the report include:

Even with inflation and other uncertainty in the market, one-third of manufacturers report double-digit growth over the last year.
Inflation continues to impact the industry, with more than half of manufacturers indicating their prices have increased in the last year. Nearly 90% of companies say that increased supplier costs are the key driving factor.
New-vehicle sales continue to rebound and are projected to exceed 16 million in 2024.
The truck sector continues as the top market for the industry, with the majority of manufacturers and retailers viewing the off-road segment as a growth opportunity.

As the automotive specialty-equipment market continues to evolve, the report will provide aftermarket companies with the data and insights they need to navigate the industry’s landscape and make more informed business decisions. SEMA Business Members can download the report for free.