Top 3 Industry Takeaways We’ve Learned on our Journey to $500M in parts sold through RevolutionParts
This month, RevolutionParts hit $500 million in parts & accessories sold through our platform. It’s an exciting milestone for us, especially when we just recently hit $300 million in February 2017.
After helping so many dealerships sell auto parts online, the RevolutionParts team has enough data to watch and analyze valuable insights and trends about where the market is now, where it’s headed, and how dealerships can best prepare their parts websites for success.
Check out the top 3 things we learned on our journey to $500 million and what it means for your parts department.
1. Mobile traffic is rising – and quickly!
Each year, more people are searching and buying auto parts on their mobile devices.
Mobile devices are easy and convenient. People can search and shop even when they’re on the go. It’s especially helpful for those DIY types who are working on their car in the garage, and don’t want to run to their computer to check for parts.
Whether that’s a smartphone or a tablet, it’s getting increasingly important to provide shoppers with a mobile-friendly parts website.
We’ve all known this was coming for a while now, but it’s still worth stating. Especially when you see just how big the jump is. If your parts website isn’t mobile-friendly, you’re missing out on a lot of sales!
On RevolutionParts stores, we’ve seen the increase in mobile traffic first-hand. In 2015, 28% of a parts website’s traffic came from mobile devices (including both smart phones and tablets). In 2016, that number jumped to 38% – that’s a 157% increase year over year!
If your parts website doesn’t appeal to shoppers on their phone, you’re basically throwing away 38% of your potential customers.
P.S. RevolutionParts are responsive and mobile-friendly. So you don’t have to worry about losing out on mobile sales with us!
2. Loyal customers are a BIG deal
The average parts website will see mostly new shoppers – people who have never heard of your dealership before that moment. And while that fresh blood is great, those shoppers are much less likely to actually make a purchase.
Returning customers are where all the real money comes from. These are the shoppers who have made a purchase in the past and are coming back to buy from your parts web store again.
Even though returning customers make up less than a third (28.9%) of parts website traffic, they’re twice as likely to buy a part. They also spend much more time on the website and, most importantly: they contribute 56% of the website’s revenue.
See? They’re kind of a big deal.
3. Selling parts online isn’t as time-consuming as dealers believe
Before we jump into the stats, it’s important to note that we can ONLY speak on behalf of dealers using the RevolutionParts platform. We don’t have any data for how time-consuming it is to sell online with one of the other eCommerce solutions.
When we surveyed our customers, we found that 80% of dealers on the RevolutionParts platform said they hadn’t hired any additional staff to handle their parts eCommerce business.
The average dealer using RevolutionParts generates around $30,000 each month in online parts sales, which rounds out to 5-7 orders a day. The fact that parts teams can process, fulfill, and package that many orders (or more!) without an extra set of hands says a lot about how easy it is.
Since our team is obsessed with offering the best user experience possible – for both dealers and part shoppers – we’re glad to see we’re doing something right. Still, we’re constantly making improvements to streamline the selling process and emphasize ease of use.
And, of course, there are plenty of tricks your team can pick up to cut down on the time commitment. We recommend setting up canned emails, for example, so you spend less time answering customer emails.
On a related note, the RevolutionParts platform is easy to learn, too – 71% reported that they learned the solution in less than a week.
The online auto parts market will continue to grow and change over the years, so we’re keeping a close eye on our platform stats so we can try to predict trends ahead of time. Digital markets move quicker than brick-and-mortar ones, so it pays to keep your dealership in the know and ahead of the curve!
Looking for more trends at your dealership and parts department to prepare for? Read More:
- Two Experts’ Predictions for the Future of Automotive eCommerce
- 6 Automotive Industry Trends that we can Expect More of in the Future