BLOCK TALK: Jeeps New and Old and the Current Off-Road Landscape

Mother Nature is as appealing as ever to traverse, and yet the current off-road landscape is night and day when compared to years prior. Many of the trails remain the same, but accessibility to them certainly has been restricted. Seven-slot nation still holds the heavyweight title, 4×4 clubs remain a common sight around town, and the off-road accessories business is healthier than ever. However, today’s consumers, their expectations, and what they drive are in stark contrast to the traditional 4×4 crowd running stick-shift CJs, old Broncos, and purpose-built Land Cruisers.

Corby Phillips of WARN Industries witnessed the market do a 180° seemingly overnight, with the launch of the Jeep JK back in 2007. As the industry preps for a new wave of business with the highly-anticipated release of the JL (as we just saw at the Keystone BIG Show), Phillips sat down with us to share his perspective on the topic.

Q: We talk about how the off-road market is a distant relative in comparison to previous generations. But can you provide a few specifics, to substantiate the statement?

A: I have been in this business for almost 11 years now. I have seen the enthusiast move from hardcore wheelers to family wheelers. When I first started in the industry, the crowds were not as segmented at events as they have become today. For example: With the release of the JK, and especially with it reaching the secondary market with full force, we’re seeing more family-type events that are centered around show-and-shine rather than hardcore wheeling. The most successful events in this segment are held at destination locations like Daytona Jeep Beach, Smokey Mountain Jeep Invasion, Maryland Jeep Beach, Jeep Jam, etc. These locations have plenty of entertainment for the whole family to make a vacation out of the show.

It’s not to say the JK crowd doesn’t wheel. There are definitely more and more JKs on the trail as they get some age. We also have the rock-bouncing crowd now. Which is mainly the buggy guys riding high-horsepower, rock-spitting machines that are just awesome to watch. These vehicles aren’t street legal and are going to traditional private OHV locations to have fun, camp, etc. These events do include the family, but again, it’s a different customer [in comparison to previous years]. Many of the spectators are Jeep/ Toyota trail riders that come to do what I consider medium to hardcore trail riding, as well as watch these high-horsepower buggies put on a show.

I have also noticed that with the JK gaining in age, there have been local clubs popping up that go on weekend trail rides via access roads in their local areas. Totally different than your medium or hardcore trail rider. These are very family-oriented road trips with multiple stops during the day alongside like-minded wheelers. They’re grabbing a cup of joe and admiring the landscape. The vehicles are mildly-modified daily commuter Jeeps with 35” tires and below. Overall, though, there are more enthusiasts than places to ride— at least on the east coast where I am. I think we’d see more Mall Crawlers off-pavement if there was easier access to good trail systems in the east.

Q: What are your expectations for this year’s Easter Jeep Safari in Moab, Utah?

A: I expect the JL to be a big part of Moab in 2018. And attendees should expect manufacturers to be doing a lot of advertising for products on the new platform. With the cost of the JL, we won’t see it gain traction with consumers for another 3-7 years. Like the JK, it will take two years for Jeepers to believe in the platform and manufacturers to create aftermarket parts to improve the platform. Then another 3-5 years of $600+ payments to the bank before consumers start to heavily modify this new Jeep.

I expect the JK to still be a force to be reckoned with since we’ll see them traded in or made into more trail-dedicated vehicles. The 07-11 JKs with the 3.8L engine are getting cheap. Guys aren’t afraid to gut them and put in a new powertrain to get the desired performance. The JK parts market is far from dead. Jobbers should be doubling down their efforts with staple brands like Rugged Ridge, Smittybilt, and ARB to secure sales with new customers modifying these vehicles.

Q: How do you believe the offroad market we’ve come to know will be affected with more and more off-road trucks being released?

A: These “off-the-shelf” wheelers definitely will impact the market, but I don’t think it will be at a huge level. These special truck packages are $60,000+, and the idea of flogging them on the trail is attractive but unlikely. [For the average consumer], they’re about looking cool and bragging rights.

My bigger questions are what will these modified trucks do to the supply chain of aftermarket parts to consumers? Will the Big 3 start creating a more robust aftermarket supply chain through the new car dealer networks? Will dealers finally realize aftermarket parts to be a true revenue stream and put “jobber” shops at their locations? And will aftermarket suppliers target the dealers to sell/finance more aftermarket parts at the time of new truck sales?

Those are some loaded questions to consider as 2018 unfolds with new high-dollar models purpose built for the off-road…that more often than not are taking cover in the driveway. Despite the obvious shift over the past decade, “Jeep is still a great brand that attracts most off-road enthusiasts [even though] the majority of events are family oriented show-and-shine [as opposed to hardcore wheeling],” commented Phillips. Moreover, Phillips’ feedback validates a future rich with off-road aftermarket accessories for at least the foreseeable future.

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