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South Africa - International Franchise Association

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the race to individualize and distinguish their vehicles from others, enthusiasts constantly<br />

seek innovative, authentic specialty components and accessories with little regard to<br />

price. In this lucrative segment, <strong>South</strong> <strong>Africa</strong>ns are highly receptive to U.S. brands and<br />

often follow trends set in the U.S.<br />

Sub-Sector Best Prospects Return to top<br />

The following performance products are sought after by dragsters in “the race to be the<br />

best”: intercoolers; ball bearing turbos; octane boosters; gauges; racing bolts;<br />

performance water injection systems, high flow injectors; racing clutches; metal headgaskets;<br />

racing tires, nitro fed boosters, racing pistons; calipers and racing disk kits; high<br />

pressure fuel kits; gas flow cylinder heads, dynanometers.<br />

A constant need to distinguish and individualize vehicles creates opportunities for U.S.<br />

suppliers of automotive interior and exterior accessory products such as body styling<br />

kits; racing seats; alloy wheels; lowering-suspension kits; graphics; steering wheels;<br />

gear and hand-brake pouches; boot spoilers and wings; aluminum pedals; xenon light<br />

kits.<br />

Opportunities Return to top<br />

<strong>South</strong> <strong>Africa</strong>n specialty equipment and accessory wholesalers and retailers constantly<br />

seek to expand their product range and welcome opportunities to establish<br />

distributor/agent agreements with U.S. firms. Majority of the performance products are<br />

imported directly from the U.S. United Kingdom, Italy and Germany. However, these<br />

imports may not necessarily be purchased from the manufacturer and without any<br />

exclusivity and/or distributor agreements. This scenario leads to “rogue distributors” and<br />

fierce competition amongst wholesalers and smaller retail-customizing and performance<br />

shops. <strong>South</strong> <strong>Africa</strong>n companies are interested in acquiring U.S. distributorships,<br />

however, U.S. companies seldom reply to their inquiries or the U.S. company’s minimum<br />

requirement to ship is too large for the <strong>South</strong> <strong>Africa</strong>n importer. This leaves the <strong>South</strong><br />

<strong>Africa</strong>n importers without much choice but to engage U.S. agents who consolidate and<br />

ship U.S. specialty products that are purchased from “third parties”, to them.<br />

<strong>South</strong> <strong>Africa</strong>n aftermarket importers and wholesalers often attend international<br />

exhibitions such as SEMA, AAPEX, Performance Racing Industry and Automechanika to<br />

meet and partner with foreign companies not represented locally.<br />

Exhibitions Return to top<br />

<strong>South</strong> <strong>Africa</strong>n Automotive Week (SAAW)<br />

Date: October 10-13, 2012<br />

Port Elizabeth<br />

http://www.saaw.co.za/<br />

Automechanika <strong>South</strong> <strong>Africa</strong><br />

Date: March 8-11, 2013<br />

Venue: NASREC, Johannesburg <strong>South</strong> <strong>Africa</strong><br />

Website: http://www.automechanikasa.co.za/<br />

Johannesburg <strong>International</strong> Motor Show (JIMS)

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