HOW CAN MY 12 VOLT RETAIL SHOP STAY RELEVANT IN 2025 AND BEYOND? WHAT SERVICES ARE STILL PROFITABLE AND VIABLE?
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Many 12 volt dealers ask: where is the 12‑volt / mobile electronics (aka “12V / car audio / auto‑electronics”) business seem to be heading?
What’s working?, what’s not, how OEM is changing things, plus strategies for your shop to stay relevant.
What’s Hot / Growing in 12V Right Now?
Based on recent industry reports, here are the categories with strong growth or stable demand, plus emerging trends:
12V batteries, especially AGM / lithium. Big grow‑out. Lithium options especially starting to take off.
Vehicles have more electrical accessories, start‑stop / idle‑stop systems, lots of parasitic draw. Lithium or AGM or enhanced flooded batteries extended life, lighter, better performance. OEMs pushing toward battery tech improvements, hybrid/EV parasitic systems, etc.
EV 12V battery upgrade kits / accessories Strong CAGR forecast (~16.2%) over next 5‑10 years.
As more EVs come online, their 12V systems still need reliability. Owners may want upgrades for better cycling, more robust power for accessories, or longer life. OEM often under‑specs auxiliary battery for some after‑market add‑ons.
Jump‑starters / portable 12V power / emergency power Growing. Market size ~$2.5B in 2024, with significant projected growth.
People want compact, safe, lithium jump starters. More road trips, more auxiliary equipment needs. Also, peace of mind.
Auxiliary power outlets / sockets / adapters (more and better ones) Growing (~7% CAGR for auxiliary power outlet market).
More gadgets in vehicles, more demand for USB‑C, fast charging, multiple ports. Additionally, more trucks, RVs, marine rigs, etc. want upgraded, flexible power outlets. OEMs sometimes skimp here, so there’s aftermarket opportunity.
Advanced Driver Assistance Systems (ADAS), dash cams, security / remote start. Up modestly (3‑6% growth in many forecasts).
Vehicle theft rising, demand for driver convenience, cameras needed by law in some jurisdictions, plus safety. Security / remote start are increasingly seen not just as luxury but as value adds.
Head / display screens & integration units Mixed to slightly negative growth in classic standalone head‐units; but growth in OEM integration units and retrofit / DSP solutions.
OEMs are building bigger screens, better infotainment, so the “replace the head unit” business has been under pressure. On the other hand, people who want higher fidelity (better sound, DSP, amps, better speakers) still have demand especially in enthusiast vehicles.
Battery / power health monitoring. Growth in voltage monitors, smart battery systems.
Users want to avoid being stranded, want diagnostics, battery health; more electronics strain on 12V systems; more EV / hybrid vehicles with complex electrical systems.
What’s Declining or Under Pressure
Here are product categories or business models that are shrinking or facing headwinds, and why:
Standalone head units (traditional single/dual‑DIN radios) Forecasts show declines in sales of head units to dealers.
Big OEM screens are standard; infotainment is more integrated. Less room (literally, in dashboards) for aftermarket units. Also, connectivity (wireless CarPlay / Android Auto via OEM screen) reduces the need to swap head units.
Speakers (basic mid‑/low end) Slight declines or flat; under pressure.
OEMs are improving stock speaker quality. Also consumers are less willing to pay for mid‑level speaker upgrades unless they are truly better. The DIY market has shifted somewhat. Also supply/pricing pressures.
Back‑up / rear view cameras. Forecasted drop (~8%) in some markets.
These are becoming standard OEM equipment in many newer vehicles. Once it’s OEM, aftermarket demand goes down sharply. Also legal mandates are making them standard.
CarPlay / Android Auto adapters. Flat demand.
Again, many OEMs ship CarPlay / AA built in; less need to retrofit. The market for adapters is niche and needs to compete with OEM integration.
How OEMs Are Changing the 12V / Mobile‑Electronics Business
OEMs are not sitting by. They are pushing into areas that have traditionally been aftermarket business. Key shifts include:
OEM Integration of More Electronics as Standard
Larger display screens, built‑in navigation, audio and connectivity features, backup cameras, ADAS, etc. OEMs are integrating more functions that aftermarket used to supply. That makes some traditional upgrades obsolete.
Battery / Power Management Upgrades & New Battery Chemistries
As OEMs move toward lightweighting, emissions, EV/Hybrid systems, stop/start, etc., the demands on the 12V system increase. OEMs are also adopting better battery technologies, smarter battery management, remote diagnostics. This raises the bar for what aftermarket has to offer to compete.
OEMs Becoming Stronger Aftermarket Players
OEM parts departments are increasingly offering online ordering, direct‑to‑consumer parts & accessories, subscription services, remote diagnostics, and over‑the‑air updates. This encroaches on traditional aftermarket / independent shop territory.
Digital / Connected Services
OEMs are embedding sensors, telematics, etc. to track usage / health of parts. Potentially you’ll see subscription‑based functions, “feature unlocks” (software), remote diagnostics. This shifts value from hardware to services.
Higher Expectations for Performance / Integration
Because newer vehicles have more complex electrical systems, more data, more sensitive controls, aftermarket gear needs to be more reliable, safer, better integrated (e.g. dealing with CAN‑bus, more shielding, etc.). The margin for error is smaller when adding anything new.
What Works for Shops Staying in the 12V Business?
Given the above, here are strategies and business practices that seem to be effective:
Specialize and differentiate. Focus on high‑end audio, performance sound, boutique lighting, custom installs. Customers wanting premium experiences will pay. Offering custom configuration, integration, tuning.
Offer battery and power upgrades. AGM, lithium, dual battery systems (for off-road / RV / marine), jump starters, power outlets. Because many OEM systems are under‑powered or failing, there is opportunity in upgrades.
Diagnostics, power system health. Tools to monitor, test, repair 12V systems; battery health checks; parasitic draw detection. These are service‑oriented, recurring, help build customer trust.
Accessory / ADAS retrofit market. Many customers have older vehicles without some features. Offering retrofit options (dash cams, parking sensors, blind‑spot, backup / surround view systems) can catch demand. Just pick where OEM hasn’t saturated yet.
Integration, not replacement. Since replacing a head unit is harder, instead focus on integrating into OEM systems: interface modules, DSPs, adding on subwoofers/amps without breaking warranty, preserving OEM look. Also “OEM+” style upgrades.
Good quality, brand reputation As OEM sets higher baseline, customers willing to pay for reliability. Sell components/products with warranty, proven brands. Avoid cheap items that fail quickly.
Online / omnichannel presence. Having good web presence, web sales of accessories / batteries / jump starters, parts. Being visible online helps capture the repair / upgrade customer who researches online first.
Training and staying current tech‑wise. Know electrical systems, CAN bus, newer OEM software, EV auxiliary systems. Be able to install modern products cleanly, safely.
What Doesn’t Work (Much) Anymore?
Expecting big volume from basic head unit swaps. Screens are built‑in; dashboards and controls are moving away from replaceable radios. OEM systems are better integrated; replacing them often is harder / riskier.
Competing strictly on price for generic low‑quality 12V electronics:
Customers know when something lasts a few months vs years, and failures have higher cost (labor/time). Under‑pricing often means returns.
Relying only on walk‑in / local business. Many consumers now research and buy online, even for car electronics. If you’re not present online, you miss opportunities.
Get an ecommerce 12 volt website!
Not adapting to software / connected services. As features get software, as OEMs use remote diagnostics etc., if your shop is only hardware‑focused, you may lose relevance.
Poor installation / integration practices. Due to complexities (electrical interference, safety codes, diagnostics), sloppy installs are less tolerated. One botched job can damage your shops reputation.
What Your Shop Can Do to Stay and Grow:
Audit your current product mix!
Find out which of your product lines are growing vs shrinking (e.g. battery vs head‑units). Reduce inventory of declining, increase focus on growing.
Build or emphasize specialties.
Maybe become THE go‑to shop for battery upgrades (Li‑ion, AGM), or for retrofitting ADAS features, or marine/overland setups, or off‑road lighting + power systems. Specialization helps margin and customer loyalty.
Partner with OEM or OE‑suppliers where possible.
Connect with 12 volt wholesale distributors & drop shippers through your membership with WHOLESALE AUDIO CLUB.
Perhaps you can carry OEM accessories / genuine parts; maybe get certified installer status for certain OEMs; or cooperate with dealers to supply / install upgrade parts.
Embrace digital sales.
E‑commerce for parts, accessories; good web presence; good content (video, example installs) that shows your competence. People trust visuals and reputation in mobile electronics.
Training & equipment investment.
Ensure your installers are skilled in modern electrical diagnostics, installing high quality cables, shielding, integration with OEM systems, etc. Perhaps invest in proper test gear, battery analyzers etc.
Warranty, reliability, service.
Stand behind what you install. Offer warranties, support for your work. That builds word of mouth.
Customer education & upselling.
Educate your customers on why a better battery/upgrade / monitoring system is valuable. Help them see ROI. Upsell accessories, etc. For example, combine power outlet upgrades with lighting or tech gadgets.
What Doesn’t Work for a Shop to Invest Time In
These are likely less profitable or high‑risk:
Low‑margin generic / commodity goods (cheap head units, generic speakers) unless you sell a lot volume and can get really good pricing.
Trying to arbitrage “cheap imports” without ensuring quality. Returns / failures hurt more than small margins help.
Investing heavily in installing “everything under the sun” unless you really have demand. Sometimes less is more; pick a few strong categories and dominate those.
Over‑investing in outdated tech (old‑style analog, non‑integrating gear) when OEMs are shifting to digital / software / networked systems.
Summary & Key Takeaways:
The future of 12V is less about replacing legacy gear, more about augmenting OEM systems, improving power & battery, adding smarter diagnostics, retrofitting features the vehicle didn’t get from the factory.
OEMs are both competition and partners: they are raising the baseline, taking away some opportunities, but also creating new ones (battery upgrades, accessories, retrofits, software features).
To stay in, you have to stay ahead on technology, deliver quality, find niches!
Connect with 12 volt / 12V / Car Audio – Car Stereo – Mobile Electronics Wholesale Distributors & Wholesale Dropshippers by joining with WHOLESALE AUDIO CLUB. Buy wholesale. Sell at retail.
Enjoy having access to top name brands of 12 V products to sell in your 12 volt shop, or online. Many of our disrtributors will drop ship for your ecommerce 12 volt business.
