by Brian Cruickshank, AAP Editor, Counterman
I remember it as vividly as if it had happened yesterday. I was attending a Town Hall meeting with 800 or so other industry professionals during Automotive Aftermarket Industry Week in Las Vegas several years ago. Several shop owners were on stage, discussing how they sourced parts. One shop owner mentioned that he sourced half of his parts from local new-car dealers. Half. As it turned out, he wasn’t alone.
This was (and remains) one of the major topics of conversation around the industry: How to stop the bleeding. How to convince technicians that the aftermarket is the best source for parts. How to make the process of cataloging parts better and quicker so technicians can get the aftermarket parts they need. How to include fit, form and function in an industry that is seeing the number of SKUs spiraling out of control. How to market aftermarket parts ‘as good as’ or better than OE without making OE parts look like the standard of quality. It’s been tough.
Based on new numbers from the National Automobile Dealers Association (NADA), it looks like the tide may be turning the aftermarket’s way — albeit slowly. The latest data shows an encouraging trend for the aftermarket: Collective wholesale parts purchases from new car dealers is on the decline from a high of $13.9 (billion) in 2003, to $13.44 in 2004, to $13.14 in 2005, to $12.22 in 2006. At the same time, dealership bays appear to be a little quieter these days too: New car dealers’ mechanical service business has gone from a total of $30.05 (billion) in 2003, to $29.92 in 2004, to $30.19 in 2005 and down to $28.73 in 2006.
Perhaps the aftermarket’s efforts are starting to reap some rewards. Perhaps all the talk about fit, form, function and quality of aftermarket parts has netted real quality improvements that can be tangibly demonstrated in the field. Or maybe dealerships aren’t doing a very good job selling parts and service. Likely, it’s a combination.
The real battle of the bays starts with the parts counter. When they’re believers, you can bet their technician customers will soon follow. The point of sale — that’s at the counter — is at the true crux of this fight. In the end, if the counter professional can’t find it or doesn’t believe in it, the technician isn’t installing it. Period.
Parts pros must make them believe in what they stock. They must do everything in their power to promote the aftermarket as the channel of choice. At its essence, this is a battle for brands — aftermarket brands — and it’s a battle none of us can afford to lose. The future of the aftermarket is in the hands of every parts professional, every time he picks up the phone, every time he tells his customer, “Yes, I can get that.”