The list of responsibilities for a parts manager is endless, but the capability to create a sales culture that will result in measurable growth is at the top of the list.
Service managers have only one thing to sell, which is labor. Their inventory is time, whereas a parts manager can sell a part regardless of where the repair takes place. However, most of the time, this sale takes place within the local market that the dealer resides in.
Many progressive dealers are fully immersed in the eCommerce arena, and for good reason. They have their hands in multi-sales channels and host a stand-alone website that they can market to customers well beyond the constraints of their local market.
Parts Managers have been known to say, “If the service department is breaking sales records, so am I. If they are not breaking sales records, neither am I.” This is not a good place to be in. By having a stand-alone web store, managers are enabled to sell on a national scale to online parts customers. Selling channels on this site can include eBay Motors & Amazon, two of the world’s largest online marketplaces.
Consider these facts to determine if selling across these powerful platforms is something that’s right for you. Remember, there are around 18,600 franchised new car dealers in the U.S. alone according to N.A.D.A.
- Parts sold on eBay alone is at the rate of 1 part every 3 seconds
- 55% of all online shoppers begin their search on Amazon
- 70% of all car parts sold in the U.S. are purchased on both eBay and Amazon
- Amazon receives 183 million unique monthly shoppers
- 64% of all U.S. households have an Amazon Prime subscription
- Auto parts sales online continue to grow at a 15% rate every single year
- 2018 sales for auto parts sold online is expected to top 10 billion
- Out of the 10 billion parts sold online, less than 20% are OEM parts sold by an authorized OEM dealer
- 53% of all online parts sales take place after normal business hours of a dealership
- Over 5 billion alone in auto parts sales will take place on a mobile device
The facts speak for themselves. One other benefit is that OEM’s typically give backend parts and accessory purchase objective bonuses to dealers, which are absolutely critical to overall expense absorption.
Considering a new selling channel online for your dealership? Partnering with an eCommerce solution like RevolutionParts can make the setup process a breeze.