Section XI - Distribution Channels SPECIALIZED DISTRIBUTION Specialized distribution in the light vehicle aftermarket can be divided into two primary segments: distribution focused on a limited product array and distribution covering a specific aftermarket segment comprised of certain types of car and light truck products. these ten years, much weaker than the 1.8% average annual product gain of the total light vehicle market. AFTERMARKET GROWTH SHARE Specialized distribution generated 2.1% of car and light truck aftermarket product expansion between 2005 and 2015, contributing $0.4 billion to aftermarket product growth. Specialized distribution ranked fourth among major channels in light vehicle aftermarket growth share. SINKING AFTERMARKET SHARE Specialized distribution claimed 14.1% of 2015 car and light truck aftermarket product sales, down from 16.4% product share of the 2005 light vehicle aftermarket. In contrast, the Traditional channel which accounted for 62% more 2015 product volume than the Specialized channel, generated nearly 14 times more light vehicle product growth between 2005 and 2015 than did the Specialized distribution channel. Specialized distribution totaled $14.4 billion in 2005 products at user-price, increasing to $14.7 billion during 2014 and $14.8 billion by 2015. Specialized distribution averaged 0.3% annual growth in car and light truck products during SPECIALIZED DISTRIBUTION 2005 - 2015 2005 2014 2015 Product Volume..................................... $14.4............................$14.7.......................... $14.8 Product Share........................................ 16.4%...........................14.5%......................... 14.1% 2005 - 2014 2005 - 2015 2014 - 2015 Average Annual Growth Rate................0.2%............................0.3%............................0.7% Volume in $ Billions at User-Price © 2016 by Lang Marketing Resources, Inc. 142 www.langmarketing.comhttp://www.langmarketing.com