$20 Million would make just about anyone smile. Auto Dealers are grinning now that the results for accessory sales for 2010 are in. Even with the tough economy, dealers have been able to recover some of their sales margins through add-on accessories.
Some of the top accessories sold in 2010 were:
- Step Bars
- Window Tinting
- Hitch & Accessories
- Body Side Moldings
- Floor mats
- Paint Protection
The average customer added on $500 worth of accessories per vehicle sold in 2010. For some dealers, that could replace some of their loss from the decline in used car sales. It is believed that with the right marketing tactics and tools, dealers could see these sales more then double over the next year.
Auto accessories are a $28 Billion market, but many of the franchised dealerships were unable to get much of a piece of that pie. Their market share declined rapidly from 1999 to 2009 from 10.9% to a measly 5.3%. With a net profit margin for accessories being 28%, franchised dealers cannot afford to miss out on an opportunity to get a larger portion of the market.
The number one car make and model that had additional accessories purchased was the Toyota Camry; Followed by the Honda CR-V and the Lexus RX. In the mid-west and west, the most purchased accessory was the factory exterior. In both the Mid-Atlantic and the Northeast it was electronics. In the south it was window tint. All regions had sales in floor mats as one of the top 5 items for their region.
Whether it is body side moldings, step bars, or a navigation system that you want on your next vehicle, it is sure to bring a smile to your dealers face when they are able to assist you in adding on the accessories that you want.