There is a growing market of auto parts consumers made up of “do-it-yourself” and “do-it-for-me” groups, also known as the “direct-to-consumer” market. These consumers have realized they can save more money on auto repairs by going online. For retailers selling auto parts online, business is booming, yet dealerships have struggled to keep up.
The auto industry sells billions of dollars in parts online every year, with 2020 bringing in more than $16B. When it comes to selling online, the revenue potential is massive.
As a dealership, you know your biggest is the aftermarket. In the past year, aftermarket companies have seen a surge in business, and dealers are looking for ways to keep up.
The good news?
With the right tools and the right strategy, you can leverage your OEM parts to crush the aftermarket competition. Here is how you can use the quality of OEM parts to your advantage.
Educate Your Customers on OEM vs. Aftermarket
If you want to compete against the aftermarket, you must first understand why parts buyers are making their decisions.
Often, the most significant factor that decides what part someone buys comes down to cost or where the vehicle is being serviced. Aftermarket parts can be up to 60% cheaper than OEM parts, making them an attractive choice.
Cost is also one reason someone may choose to have their vehicle repaired at a local repair shop rather than at a dealership. Too often, repair shops use aftermarket parts without informing the customer to increase profits and stay competitive.
If you want to sell more OEM parts, the first thing you need to do is educate your customer about the difference in quality and reliability.
While aftermarket parts are often cheaper, we know that they are often made of low-quality materials and are not manufactured to the same standards set in place by the OEM.
Right now, people are driving their cars longer than ever before. Not only are consumers trying to keep their car running as long as possible, but they are also trying to spend as little money as possible. The latter is usually the reason most people choose to buy aftermarket parts.
However, purchasing an OEM part can help your customer keep their cars on the road longer. Because the OEM makes the part, the fitment is better than what can be offered by aftermarket parts. The combination of proper fitment and quality means the part will likely last longer and extend the life of the vehicle. For the consumer, this means they actually save money on future parts and services.
By tapping into the consumer’s need to make their vehicle last longer and save money, you can use the quality of OEM parts to help your customers make the right choice.
Maximize Your Digital Retailing Efforts
If there is one thing the aftermarket has done better at than dealers, it’s taking advantage of the online parts market. Luckily, this is quickly shifting, and dealers that are selling OEM parts online are seeing huge success.
If you want to compete with the aftermarket, you need to step up your eCommerce game. If you are not selling your OEM parts online, or if you are not placing much effort in it, you may as well go ahead and give the game over to the aftermarket.
With the right digital tools, your parts department can easily compete with the aftermarket online.
When you choose to sell parts online, you need to make sure that you are giving your retail and wholesale customers:
- A complete OEM parts catalog
- Convenient shipping options
- Competitive pricing–that also makes you money!
Partnering top-quality products with a unique customer experience is something the aftermarket can’t compete with. When it comes to selling auto parts online, your dealership will beat out the competition.
Dominate the Aftermarket with RevolutionParts
Dealers that partner with RevolutionParts find that they can offer their consumers top-quality OEM parts with an “Amazon-like” experience. This means that shopping online is easy, convenient, and shipping is fast (with same-day options for local customers). With proven pricing and shipping strategies, RevolutionParts also helps customers offer competitive prices while simultaneously increasing their profits.
Are you ready to start competing with the aftermarket? Then it is time to partner with RevolutionParts. We help dealerships sell more parts, increase revenue and boost dealers’ absorption rates. Take the first step by scheduling a demo today!