Business of Speed
The Money Behind the Motorsports Industry
By: Tim Frost
Date: November 2017

WILMETTE, Ill. — As the racing season winds down, this month we will take a look into the business of motorsports trade shows.

The business rational of trade shows is important. Exhibitors use these events to generate leads, introduce new products, build brands, strengthen relationships, educate the marketplace and service customers.

Attendees fulfill procurement needs, source new suppliers, reconnect with existing suppliers, identify new trends, learn about new products and services and network with industry peers.

The value of a trade show to an exhibitor is a function of the quality and quantity of the attendee base. The quality of attendees can be measured by the extent to which attendees have the authority to make purchasing decisions, as well as by the amount of purchasing that occurs as a result of the show. Trade shows remain a core component of business strategy despite internet and digital media growth.

SEMA

The Specialty Equipment Market Ass’n is comprised of automobile-related manufacturers, distributors, retailers and racing entities. An underlying theme is the passion for cars and trucks, which many have transformed from a hobby to a career.

SEMA is a diverse organization that exists to serve the needs of its members and the industry. The focus of many is to use parts and accessories to make vehicles more appealing in a safe manner. SEMA has approximately 6,500 member companies with members all around the world.
Another important part of SEMA is the group’s legislative efforts. Its Washington office monitors automotive laws and regulations at the federal and state levels. Their support of the RPM Act of 2017 protecting rights to modify street cars and motorcycles into dedicated race vehicles and sell parts that allows racers to compete is critical to our industry.

The SEMA Show is the sixth largest trade show in the United States. Established in 1968 and held each November, the event hosts 2,400 exhibitors with 160,000 attendees from 130 countries. The SEMA Show occupies almost 1.2 million square feet at the Las Vegas Convention Center.

The event brings together a unique mix of car culture, performance and racing in a passion-based business environment.

PRI

The motorsports industry’s largest business event is the Performance Racing Industry Trade Show. Founded by Steve Lewis in Laguna Beach, it was acquired by SEMA in 2012.

The PRI Trade Show was started in 1988 and been hosted in Louisville, Cincinnati, Nashville, Columbus, Orlando and Indianapolis. Now held each December at the Indiana Convention Center, the show hosts 1,200 exhibitors and attracts 40,000 attendees from 70 countries.

PRI’s location in “The Racing Capital of the World” is key. Indianapolis Motor Speedway’s heritage and the support of the key leaders provide a solid foundation. The central location is attractive to the many grassroots racers and suppliers.

The trade show is focused on the racing industry. It brings together manufacturers of racing products and technology with the distribution channels of retailers, builders, distributers and teams.

The cold-weather months will bring the motorsports industry together away from the race track at trade shows.