6 Money-Saving Tricks for Parts eCommerce
Want to max profits from your parts eCommerce website? One thing that helps is cutting the cost to run your parts website as much as possible. The lower you can get that overhead, the more you get to keep as profit!
The right techniques and strategies will turn your team into a lean and mean selling machine, so you hold on to more of the money your parts website brings in.
Here are 6 tricks you can use to reduce the costs of running an auto parts website so your investment becomes even more profitable!
1. Train an efficient parts team.
When you launch a parts website, your team will suddenly be tasked with fulfilling and shipping online orders in addition to your normal parts department duties.
Unless you have some kind of system in place to handle those orders, it’s easy to fall behind and lose time.
Make sure your team is properly trained so they can process and fulfill orders efficiently. Establish a schedule so you can get in the habit of performing each necessary task on a daily basis.
For more tips on how to save time, download our e-book by clicking the image below!
2. Protect yourself with fraud screening tools.
A single fraudulent order can undo weeks of hard work! Do what you can to avoid making the costly mistake of fulfilling any fraud orders.
Fraud screening tools to help you see potential problems before anything happens.
While they’re not 100% guaranteed, they can spot red flags for fraud, list out the potential threats, and then let you make an educated decision about what to do with that order.
Know some of the basics about detecting fraud, too. Here are some articles to help you out:
On a related note, make sure your eCommerce partner has a safe and reliable system and secure payment gateways. Not all fraud is due to stolen credit cards. Hackers can break into an insecure website and take your customers’ sensitive information. (It’s happened before!)
3. Do the math with your eCommerce solution.
eCommerce solutions come in all shapes and prices, so it might feel overwhelming to choose the best one for your dealership.
Don’t just jump on the cheapest option available. That might save you money upfront, but if you’re unable to make sales with a poorly-optimized parts website, it’s not worth it in the long run.
At the same time, you don’t want to overpay for a solution. Compare what you pay monthly to what other solutions offer, and ask yourself if the cost is justified.
Read an interview with Matt Sturtz from Page Auto Group to see why solution cost was a major factor in his team’s decision to switch eCommerce solutions.
Waived eBay Fees?
When it comes to selling car parts on a marketplace like eBay, eCommerce solutions often have special negotiated rates to pass on to you.
Sure, you can sell on eBay Motors by yourself. But discounts and waived listing fees can make it financially a better deal, even though you have to pay for the software service.
4. Use smart shipping strategies.
Even though your customer pays for shipping, this can still play a role in your profits. The lower you can get the shipping price, the more likely it is that shoppers will choose to buy from you instead of a competitor.
- Buy materials in bulk. You’ll regularly stock tape, packing materials, and boxes, so save money by buying more at once.
- Keep a variety of box sizes on hand so you don’t have to pack a small part in an overly large box and pay for the extra dimensions
- Negotiate better rates with your shipping carriers. Usually, businesses can get a good rate just by calling!
If you run a promotion like “Free Shipping on orders $150 or more,” you can reduce the cost you cover in shipping while still guaranteeing a sizable sale. This makes the promo more successful and profitable.
Read the full list of 8 Tricks to Avoid Overpaying for Shipping.
5. Buy parts in bulk when possible.
Certain parts are more popular than others, so they’ll sell quickly on your parts website. Once you track down what these parts are, you can trust that shoppers will buy them before they can even start to gather dust in your warehouse.
Use that to your advantage! Buy fast-moving parts in bulk to qualify for discounts from your supplier.
Buying a pallet of windshield wipers at a time will lower the cost enough to boost your profits!
6. Implement free marketing strategies.
Paid advertising for your parts website costs money to implement, but there are free or low-cost marketing techniques you can use too.
- Create social media accounts for your parts website
- Create and print packaging inserts
- Write and send promotional emails with a free software like MailChimp
- Do what you can to improve your Google ranking (read how here)
Paid advertising and professional content marketing does tend to be more successful than these free marketing options.
So these free strategies should be used IN ADDITION TO (rather than instead of) paid marketing strategies. Paid advertising can and should give you a positive return on investment as long as you know what you’re doing.
It can be difficult and time consuming to do your own marketing, so we strongly recommend that you work with a marketing agency if you really want to grow parts sales.
At the end of the day, parts eCommerce is supposed to be a new channel for sales and another way to bring in profit for the dealership. The online opportunity is large enough to make that possible, and cutting the fat in your eCommerce system will only help bring up profits.