HOW THEY SHOP SEMA PICKUP REPORT

1 SEMA PICKUP REPORTTO LEARN WHY RESEARCH MATTERS, VISIT S INSIDE16 HOW THEY SHOP21 WHAT THEY BUY28 WHAT THEY DO2016 POWERED BY1S E M A P I C K U P R E P O R TTable of ContentsReport Overview03 PICKUP Market04 Key Findings07 How They Shop16 What They Buy21 What They Do28 Details Shopping41 Details Buying46 Details Activities55 Details Demographics68 Methodologyand Contact Information822S E M A P I C K U P R E P O R THow Can This REPORT Help My Business?Utilizing the information here can help your business: Profile target consumers: By looking at accessory purchases, vehicle usage, and interests, you can better understand the buyers that are likely to be your company s customers.

2 Understanding the needs of these key consumers can help you better serve your customers. Expand customer base: Expansion opportunities may exist with customers you haven t previously targeted. By recognizing the similar needs and interests of PICKUP consumers, you may be able to tailor existing services to prospective crossover segments. Messaging: Consumer needs and benefits, along with interests and hobbies, can point to refined and targeted messaging that will resonate with your customers. Marketing: Purchase and research sites, hobbies/interests, and vehicle usage can be used to refine your marketing strategy and advertising channels.

3 Product development: Vehicle usage, interests/hobbies, and parts purchase patterns can spark ideas for new products, line extensions, feature enhancements and cross-selling opportunities for target consumers. Assess market potential: Purchase habits and accessorization patterns can help define the market size and overall potential. This REPORT profiles owners of 2010 2016 pickups who have purchased upgraded parts or accessories. Any reference to PICKUP owners, accessorizersor upgraders refers to those that have upgraded their truck.

4 Unless otherwise noted, data presented in the REPORT refers to the percentage of PICKUP accessorizers, not all PICKUP owners. 3S E M A P I C K U P R E P O R TReport OverviewPickups are a key part of the specialty-equipment market, representing the single largest sector of our much of the common wisdom about PICKUP owners holds, it is also important to remember the market is very diverse. PICKUP accessorizersare not as gray as some may suggest Owners under 30 are more likely to perform complex or ambitious customizing of their truck The core PICKUP modifier is likely under 50, lives in an urban or suburban area and is passionate about their truck But older, rural and less-engaged consumers still make up a large market for parts that improve the truck s convenience, utility or reliability ( side steps, bedliners, window tinting/lamination)

5 PICKUP owners have similar needs regardless of brand of truck Though some brands may appeal to younger drivers PICKUP owners shop online More than half of accessorizershave purchased parts online But brick-and-mortar auto parts stores are still the largest single source of upgrades and accessories Exterior and truck bed accessories appeal to all types of PICKUP owners While more radical changes to appearance, performance or handling are interesting to enthusiast buyers Trucks owners like outdoor activities But sports and automotive are also on their minds52 million pickups in the 20% of all cars on the road39% of PICKUP owners accessorize or modify 13 million newer (2010 2016 model year)

6 Pickups26% of specialty-equipment part sales for pickups4S E M A P I C K U P R E P O R TPICKUPMARKET52 million pickups registered in 13 Million 2010 2016 model year Pickups account for one-fourth of specialty-equipment industry sales5S E M A P I C K U P R E P O R T52 Million Pickups Are on the Road in the Texas and California combined contain 20% of the pickups in the million new fullsizeand midsize pickups were sold in of the passenger vehicles in the are pickupsWhere are pickups?TexasCaliforniaFloridaAll other states are 3% or less20%11%9%5%Darker shades indicate higher numbers of trucks within a stateSource: SEMA Member VIO, powered by Experian.

7 6S E M A P I C K U P R E P O R TPickup Parts Represent One-Fourth of Specialty-Equipment Sales Pickups share of accessory/upgrade sales is greater than their share of vehicles on the road. Full-size GM and Ford trucks represent the largest share of registered pickups in the Car, 7%Mid-Range/Traditional Car, 20%Upscale Car, 7%Sports Car, 6%Alternative Power, 1%CUV, 14%SUV, 15% PICKUP , 26%Van, 3%Vehicles in Operation (2010 2016 Model Years)Share of 2015 Accessory/Upgrade SalesTruck GroupNum. Of Registered VehiclesShareof 2010 2016 PickupsShare of 2010 2016 Vehicles4,080,07433%4%4,069,89433%4%2,08 7,36017%2%2,776,67522%3%Silverado/Sierra 1500/2500/3500, Cadillac Escalade EXTF-150/F-250/F-350 1500/2500/3500GM Colorado/Canyon, Honda Ridgeline, Toyota Tacoma/Tundra, Nissan Frontier/TitanOTHERS ource: SEMA Member VIO, powered by Experian.

8 VIO estimates as of 6/30/16 Source: 2016 SEMA Market ReportNote: Percentage of sales for passenger vehicles only 7S E M A P I C K U P R E P O R TKEY TAKEAWAYS PICKUP accessorizersbehave similarly across brands Younger owners are more likely to accessorize their PICKUP Outdoor themes resonate with PICKUP owners8S E M A P I C K U P R E P O R TUnder 3030-4950+53%32%16%Profile of GM PICKUP AccessorizerI drive a GM!(GM (Silverado/Sierra 1500/2500/3500, Cadillac Escalade EXT) AgeMarital Status53%Truck EnthusiastTopProducts PurchasedTop Products Intendto PurchasePerformanceMotor Oil/Synthetic OilGrille Guard, Brush Guard or SkidPlatePolish/Wax and Cleaning ProductsHeadLights, TaillightsFloor MatsEngine/InjectorCleaner.)

9 Treatments and Fuel AdditivesDrop-in or Spray-on BedlinerBody Decals/Graphics/Body EmblemsSide Steps/Running BoardsGrille 39%Likelihood to ModifyTop 5 Words that Best Describe Truck% Married/Living Together WithChildren% Married/Living Together NoChildren% SingleReliableDependableCoolSafeClean53% 52%49%42%34%TravelHunting/FishingCamping /HikingWatch Live Sporting EventsGardening/Landscaping50%44%58%71%4 9%47%50%35%17%38%97%94%93%88%87%Take a shorter pleasure driveCarry passengers in the rearseatTake a multi-day pleasuredriveInstall upgrades oraccessoriesGo camping, hunting, fishingor other outdoor recreationHow Truck Is UsedActivities (participate on regular basis)Recreation Vehicle Ownership36%32%29%24%20%BoatATV/Quad runnerUtility TrailerTravel Trailer/CamperRecreational TrailerOccasionally used Used often20%49%31%9S E M A P I C K U P R E P O R TUnder 3030-4950+19%50%32%41%34%24%Profile of Ford PICKUP AccessorizerI drive a GM!

10 (GM (Silverado/Sierra 1500/2500/3500, Cadillac Escalade EXT) AgeMarital StatusTruck EnthusiastTopProducts PurchasedTop Products Intendto PurchasePolish/Wax and Cleaning ProductsEngine/Injector Cleaner, Treatments and Fuel AdditivesPerformance Motor Oil/Synthetic OilPerformanceMotor Oil/Synthetic OilFloor MatsBumper/FenderTrimEngine/Injector Cleaner, Treatments and Fuel AdditivesPolish/Wax and Cleaning ProductsDrop-in or Spray-on BedlinerBody Decals/Graphics/Body EmblemsTop 5 Words That Best Describe Truck% Married/Living Together WithChildren% Married/Living Together NoChildren% SingleSafeComfortableFunctionalCoolRelia ble60%51%49%46%38%TravelHunting/FishingC amping/HikingWatching live sportsBicycling56%40%63%51%63%43%54%31%3 7%25%98%94%94%87%87%Take a shorter pleasure driveCarry passengers in the rearseatTake a multi-day pleasuredriveGo camping, hunting.)