::
COMPANY PROFILE ::
BORLA PERFORMANCE INDUSTRIES has
built a reputation as the leader in the design
and
manufacture of automotive stainless steel performance
exhaust. For nearly three decades, we have been
committed to providing world-class exhaust products
that surpass the expectations of our customers in
providing the ultimate power, style, and endurance.
BORLA products are built to last
a lifetime because our product lines are crafted
from aircraft-quality
T-304 stainless steel, a metal tough enough to handle
the heated gases, moisture and road hazards that
bombard an exhaust system every minute an engine is
running. Cars are lasting longer and longer, so the
average car can require as many as 10 exhaust system
replacements, depending on one’s geographic
location and usage. T-304 stainless steel has the
highest chromium content, making it the most resistant
to
corrosion. Also, this material allows us to design
systems for maximum performance and sound quality.
BORLA has pioneered a variety of
improvements in the design of performance exhaust.
Alex Borla
currently holds five U.S. patents for innovative exhaust
technology, and the company has won numerous
"Best New" product and engineering industry
awards throughout the years. Our dedicated R&D
facility
employs the latest technology and equipment, including
a Quadrant Scientific FlowLab 1400CFM state-of the-art
purpose built flowbench, DynoJet chassis dynamometer
20-1200 Horsepower/up to 200 MPH
(model# 248), DynoJet portable motorcycle dyno 0-500
Horsepower/up to 200 MPH. (model #200), a Faroarm
coordinate measuring machine (model T10-02), and a
Bruel & Kjaer sound meter –30 to +200db (model#2236).
Furthermore, Alex Borla has designed many proprietary
machines for our unique
manufacturing processes.
Our production facility is in the process
of employing the Toyota Production System (TPS), the
latest
manufacturing technique. This continuous flow production
system allows for flexibility of smaller or
larger runs. We have QS-9000 certification and expect
to be TS-16949 certified by the end of 2006.
Top engine builders and drivers look
to BORLA to give them an edge on the racetrack: Kenny
Bernstein,
Brandon Bernstein, Keith Dorton, Ken Duttweiler, Ryan
Falconer, Arie Luyendyk, Jr., Pat Musi, to name a
few. We have been involved with Team Lexus, Toyota
racing programs as well as Team Viper’s GTS-R,
Team Escort, and Team Focus programs from their inceptions.
We “rule” the NHRA in exhaust; and
sponsor the Speedvision GT and touring class cars.
GM Racing asked us to help them enhance the sound
quality of their Cadillac LMP for the 24-Hours of
LeMans. We participate in the C5-R race program that
realized great success in the last 24-Hours of Daytona.
From the strip to the rigors of off-road racing,
BORLA is the exhaust of choice with winning racers.
Ordinary people, too, have rediscovered the excitement
of owning and driving cars with a lot of get-up and-go.
America’s love affair with the muscle car has
endured through gas shortages, the 55 mph speed limit
and shrinking parking spaces. Our products are distinguished
and consumers recognize that BORLA is in a league
of its own with regard to sound, look, performance
and value.
BORLA has enjoyed nearly 2 decades
of mutually beneficial relationships with the Original
Equipment
Manufacturers (OEM). We participate in the design
and build up of many concept vehicles for
DaimlerChrysler, General Motors and Ford as well as
TRD, Mazda, and Lexus. We have initiated
successful promotional programs with Ford and Lincoln-Mercury,
including a traffic building sweepstakes
in cooperation with Petersen Publishing, an ad campaign
touting the BORLA-equipped limited edition
Cobra R, and a dealer option program for the new Cougar.
Ford’s latest national dealer training videos
feature BORLA project vehicles. We developed a complete
exhaust system, including headers, for the
Shelby Series I. We have been supplying exhaust for
the Saleen Mustangs for years. We have also worked
with Toyota and their Solara as well as Mazda and
their Protégé on both aftermarket opportunities
and limited production runs. Our new car dealership
program, which such groups as Southeast Toyota, is
extremely successful. Ford Racing relies on BORLA
for their performance vehicles as well.
::
Product Summary ::
BORLA Exhaust products are crafted
from aircraft-quality T-304 stainless steel with all-welded
construction and mandrel-bent tubing. Our products out
flow all other exhausts on the market today and are
backed by a million-mile warranty.
As local communities continue to encroach
upon racetracks, we have recognized the need to quiet
down
racecars without compromising power and have developed
the XR-1® Raceline – stainless steel headers,
mufflers, and collector/mufflers – to lower db
levels while maintaining maximum performance.
BORLA also offers a line of universal
mufflers and tips, Borla ProXS, which is available
only through professional installers nationwide.
Beside our regular product line, we also
manufacture exhaust for private label, OEM, and fleet.
Our
customers include DaimlerChrysler, General Motors, Ford
Motor Company, Toyota, Saleen, Roush, and
UPS to name a few.
::
Sales & Distribution Strategy ::
BORLA distributes its products worldwide
to every tier. Our integrated marketing programs
have
tremendous consumer focus to build consumer awareness,
create product demand, and pull product through the
sales channels. We, therefore, aggressively keep our
brand image strong and pull through sales to our wholesale
network.
We partner with key distributors that target certain
market segments.
Examples:
-
Private Label such as Saleen; Steeda;
TRD; Neuspeed; Shelby
-
Two-Step Distributors such as Keystone;
Arrowspeed Warehouse; Motorstate Distributors
-
Mail Order Giants such as Summit
Racing; Jegs Automotive; JC Whitney; Performance
Products;
Mid-America; Ecklers
-
National Speed Shop Networks
-
National Jobbers
-
National Franchisers including Four
Wheel Parts Wholesale
BORLA is QS-9000 certified and
supplies Mopar Performance, GM Performance Parts, Southeast
Toyota and Ford Racing in the U.S. We have also successfully
partnered with TRD and Lexus. BORLA will receive TS16949
certification by the end of 2006.
National new car dealers prefer BORLA
Exhaust as a performance option.
UPS, with its national fleet of delivery
trucks, has been running Borla’s since 1993.
::
Market Stats & Advertising Programs ::
BORLA is a market driven company.
The core of our success probably lies in the fact that
we recognize (and share) man’s enduring love affair
with the automobile. We have grown with our customers
by remaining sensitive to the changing needs of the
driver. The non-age-specific consumer’s affinity
to our
brand remains strong because our marketing stays in
tune with the changing attitudes of the Baby Boomers
and GenXers alike. In the 70’s and early 80’s,
the Japan backlash made car enthusiasts seek products
of
quality. We recognized that and filled the need by supplying
systems for Rolls-Royce, Jaguar, Mercedes –
then SUV’s, Hot Rods, and muscle cars. As the boomers
got more ecologically minded, we developed race products
for a quieter environment and increased fuel economy.
Yet, BORLA is not “Your Father’s
Oldsmobile”. The younger generation covets the
brand as well and lusts after it. The BORLA product
line
is classic rather than trendy. We remain style conscious
and understand we are as much in the fashion
business as performance; our image appeals to a wide
audience, from drivers of BMWs and Ferraris to
Chevy Pick-Ups, to Honda Civics.
Our products are considered a performance
upgrade rather than a replacement item, so we enjoy
the largest sales from new vehicle owners; in fact,
demand for a newly released system peaks at about 18
months, so we always have something new on the drawing
boards.
BORLA’s integrated advertising
and marketing programs build consumer awareness,
create product demand and pull product through the sales
channels. We sell to many tiers of distribution, from
consumer direct to the individual jobber network as
well as national warehouse distribution. We also have
a new car dealership program where our products are
offered as a performance upgrade option.
We encourage our warehouse distributors
to participate in our cooperative advertising program.
Customer surveys help us identify the
most effective ways to reach potential new customers
and influence
their aftermarket product purchases. Sixty two percent
of our customers identify magazine advertising and
editorial as the source of their first awareness. Based
on this intelligence, our marketing includes:
-
Extensive advertising in over 60
high-profile automotive and race publications. Starch
Readership Reports for AutoWeek magazine consistently
rank Borla in the top 4 (and number 1 for the aftermarket)
readership indexes, which measure the extent to
which an ad is seen and read.
-
National and Regional Motorsports
Programs. Borla sponsors top racers such as King
of Speed Kenny Bernstein, Pat Musi, and Hurley Blakeney.
Borla’s XR-1® race products are at the
forefront of mufflered racing in such venues as
NHRA, IHRA, NMCA, and NIRA, to name a few.
-
Public relations and publicity activities
generate close to a million dollars in editorial
coverage annually.
-
Development of product for high
profile special edition OE vehicles.
BORLA’s rate of growth outpaces
the industry average 4.5:1. According to the latest
available industry data, the racing and performance
segments of the specialty automotive equipment industry
reached $21.89 billion in sales in 2005. The performance
exhaust sub-segment, although not the largest, experienced
15% growth for the period 1994-7 and has grown steadily
year after year. In fact, performance exhaust is among
the top 3 aftermarket upgrades chosen first by consumers.
(Source: 1998 & 2005 SEMA market studies)
In our 29-year history, we have experienced
growth that is unprecedented in our industry. During
the 1994-7 period, BORLA’s growth rate was 68%,
or 4-1/2 times that of the performance exhaust segment
as a whole. We captured almost one-quarter (23%) of
the market growth during this 4-year period and continue
to grow at significant rates. (Source: 1998 SEMA market
study) We’ve never experienced a down year.
Performance exhaust sales are projected
to increase at an annual rate of 12% over the next few
years.
(Source: Frost and Sullivan, U.S. Exhaust System Parts
Aftermarket)
Customer research shows, year after
year, the major factors influencing purchase of our
products are:
Almost 50% of our customers say they only wanted
BORLA products when shopping for performance
exhaust, and did not even consider competitive products.
(Source: DCI Customer Surveys)
BORLA is proactive in cross marketing. Over
the years, we have developed extensive relationships
with
the media – print, TV, and the Internet. We have
established “performance partners” in the
automotive
aftermarket as well as the youth oriented car stereo
and extreme sports industries. Our Ford Expedition
project vehicle won “Best Aftermarket Upgrade”
at the 2000 Consumer Electronics Show. We were among
the first to recognize and focus on the influence
of women in the car selection and modification processes
with our ’96 Ford Explorer “Beyond the Cup
Holder” project. We are the most sought exhaust
for project display vehicles at every SEMA show, with
our Jeep Liberty being featured in the Jeep booth.
Due to our aggressive approach, we are constantly
being approached to partner with major manufacturers
and magazine publishers.
BORLA was one of the first two companies to
introduce a website at the 1994 SEMA show and one
of the first in our industry to offer online shopping
as well as online warranty registration. Our extensive
print
advertising schedule drives consumers to our site.
We have a complex back-end system for capturing
marketing data that we use to best plan marketing
strategies as well as service the needs of our wholesale
and retail customers.
BORLA lead the industry with the introduction
of our “Love Hurts!” Viral Video, which
topped the cyber
charts for more than 2 months and is still a favorite.
The video was even the subject of an LA Times article
on this innovation.
BORLA is involved in numerous consumer events
throughout the year from coast to coast, allowing
direct
exposure with automotive enthusiasts. These events
– automotive as well as lifestyle related --
give people
the opportunity to experience our products as well
as promotional vehicles “up close and personal”.
Team
Ford and Import Racer! Magazine, for example, have
displayed our project vehicles in their booths at
the
Hot Import Nights and similar events. BORLA is the
exhaust of choice for DUB, the urban lifestyle “hot
ticket”.
BORLA has licensing agreements with Microsoft,
Rockstar Games, EA Games, Midway Home Entertainment,
THQ, Activision, and Mattel for their hot electronic
games. BORLA also licenses the brand to Jada Toys,
Toy Zone, Action Racing Collectibles, Milestone Development
Group and Mattel for their scale model collectibles.
BORLA is prominently featured in the HBO hit
series, Lucky Louie as well as referred in the smash
movie, The Fast and the Furious – Tokyo Drift
dialogue as synonymous with unsurpassed power and
performance.
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