Brands Competing for $19B Foreign Nameplate Surge

July 11, 2018
The rapidly increasing foreign nameplate vehicle aftermarket has become a battleground in which the five major groups of brands are competing fiercely.

July 11, 2018—The rapidly increasing foreign nameplate vehicle aftermarket has become a battleground in which the five major groups of brands are competing fiercely, according to industry expert Jim Lang, in his most recent Aftermarket iReport. The five major groups of brands have competed for the $19 billion surge of the aftermarket product volume for years 2017-22.

OE brands (those distributed primarily through dealerships), OE-supplier brands (brands sold in the aftermarket), foreign brands, domestic brands, and private labels (brands sold by specific distributors and retailers) are competing in the fast-growing foreign nameplate market.

Market share among the five major groups of brands varies dramatically between the domestic and foreign nameplate sectors of the aftermarket, and among different types of repair outlets, Lang noted.

Foreign brands are gaining distribution to a wide range of installers by the growth of two-step import parts warehouses. Meanwhile, some domestic brands and private labels are integrating OE and OE-supplier products into their brand offerings. The growing, relative strength of national and regional two-step import parts warehouses is changing the performance of some brand groups within the foreign nameplate aftermarket.

Ultimately, the rapid expansion of the foreign nameplate aftermarket in the U.S. is providing opportunities for all five major groups of brands, Lang concluded.

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