The OEM’s vs Aftermarket Wheel Industry
I’ve watched this battle brewing for over 20 years. Now it’s getting serious. The OEM’s (original equipment manufacturer, i.e. GM, Ford, Chrysler) want custom wheels or as they say “styled wheels” to be sold for new vehicles only by them. I figure since they can’t make a profit on their own, they want the profit the Aftermarket is making. Don’t confuse the OEM’s with the auto dealers. I believe the dealers like the situation just the way it is. The dealer buys custom wheels from a distributor and puts them on new cars then adds some profit. The dealer’s happy because he made a profit, the customers happy because he had a huge selection of styles, finishes and sizes and didn’t pay an arm and a leg. The only one that’s not happy is the OEM’s. As it is, custom wheels are still affordable. Buy them from a dealer, who got them from the OEM, and the prices will be “Whoa Nelly”. Ever have to buy a replacement plastic hub cap from you local car dealer? You’d think they were made of 24kt. gold. Now imagine what a replacement 20” chrome alloy wheel would cost. Also consider the limited selection of styles and sizes they could offer. (more…)
