Kicking off our roundup of the week’s top news, we learn that WORLDPAC is now partnering with Demandforce to bring Demandforce D3 software to WORLDPAC customers nationwide to help with customer retention efforts. WORLDPAC reports that it saw overwhelming value in Demandforce D3 during a two-month pilot program, where, on average, shops reported $60,000 in increased revenue and 128 new visits. The shops also reported an average increase of 21 percent in valid emails for their customer base, allowing shops to communicate automatically and electronically with their customer base. This ultimately helped the shops gather on average an additional 15 certified reviews and eased the administrative burden involved with phone calls, according to WORLDPAC. WORLDPAC has signed a three-year agreement with the company.
Also in the distribution segment this week, Advance Auto Parts has announced the appointment of former Office Max executive Jim Durkin as the new president of Autopart International. Durkin served as the executive vice president – global sales for OfficeMax, where he led the global business segment. He has also served as senior vice president – field sales. Prior to OfficeMax, Durkin served as vice president, sales, for Aramark Corp. In announcing Durkin’s appointment, Advance noted that Durkin will lead the continued growth and expansion of Autopart International in conjunction with Advance Auto Parts’ overall commercial strategy. He will reside in the Boston area.
In other top industry news this week, Pep Boys announced it will hold “Open Buy” days July 13-14 at its corporate headquarters in Philadelphia. The Open Buy days will serve as an opportunity for both current and new Pep Boys merchandise suppliers to present innovative, groundbreaking products for on-the-spot buying consideration. Interested suppliers can register for a 20-minute appointment to present new products or product lines to Pep Boys’ category managers. For more details on the program, click here.
Pep Boys again made headlines this week as part of BB&T Capital Markets’ industry analysis. Following the release last week of Pep Boys’ first quarter 2011 results, in which the company noted it is continuing its aggressive service center growth strategy thanks to a well-positioned balance sheet, BB&T Capital Markets said the parts and service retailer is on the right track for the long run. “We believe that management is on the right path to transforming Pep Boys over the intermediate-longer term into a successful competitor in the very fragmented professional service aftermarket through a combination of greenfield development activity and acquisitions,” BB&T’s Tony Cristello wrote in the company’s most recent note. In the short-term however, there will be some challenges for Pep Boys, says BB&T, including the current state of gas prices and miles driven.
Last in our look back at the week’s most-read industry news, we learn that Ford Motor Co. has added 17 companies to its list of preferred suppliers. The 17 suppliers have been named to Ford’s Aligned Business Framework (ABF). The ABF was launched in September 2005. Ford has built the network into a diverse group of suppliers that are playing a key role in its global sourcing plans, helping improve Ford quality and lower development and production costs. The new ABF companies come from a variety of industries, including roadside assistance and contact center services, roof system manufacturers and powertrain and interior component firms. With the latest additions, Ford now has 102 companies in its ABF network. In addition to benefits for the automaker, ABF is also paying off for suppliers, Ford says. Last year, 55 percent of Ford’s production sourcing came from ABF companies, up from 49 percent in 2009 and 34 percent in 2006.
