The online automotive components and accessories market has expanded dramatically during the previous five years as brick-and-mortar businesses have started creating their online presence. According to a McKinsey survey, this growth is expected to continue at a rate of 3% p.a. through 2030.
The McKinsey poll found that 80 percent of players in the auto parts sales field admit they are presently not adequately prepared, owing to a lack of strategic focus and expertise, and insufficient digitization and digital marketing resources.
If you are an auto-part store owner, then there is no question that increasing your sales is a top priority. You may not be sure how to do it effectively. The good news is that the solution can be found by understanding your product and target audience, as well as the online channels where to sell your products. This article will cover what you need to know to increase sales for your auto parts store!
Know Your Audience
Auto part buyers come from many different demographics and user groups. The wholesale client, for example, is a dealership, repair shop, or any other type of business that sells to other businesses or individual customers. On the other hand, retail customers are people who are car enthusiasts or those looking to make a one-time purchase. When developing and maintaining your eCommerce website, considering your target market is essential.
If you already have a website and are considering adding an eCommerce component, Google Analytics is an excellent tool for analyzing your current user demographics. Using Google Analytics, you may study your audience by age group, gender, nation, hobbies, and more. If you don’t have a website yet, there are plenty of market research resources available online on the automotive aftermarket shopper’s behavior. Knowing your target audience can help you better understand how to sell automobile parts online.
- Wholesalers – You’re a B2B wholesaler who sells components to small vendors who sell them to end consumers. The benefits of B2B selling include sales stability, reduced costs, and increased volumes — all of which might help your business grow.
- End Customers – This group is B2C and is considered a mass market. Another advantage of selling B2C products is the potential to provide quicker delivery for smaller volumes.
Know Your Product
The answer may appear to be simple, but there is an intricate equation behind what you sell and why you sell it. Do you want to compete in the larger automotive industry or concentrate on individual goods? Knowing the items you wish to market will help you achieve more sales.
- OEM: Original Equipment Manufacturer – OEM means that the components are produced by the same company that produces original parts for car companies.
- Third-Party Manufacturers – The term third-party refers to purchasing components from a source that does not make them for the manufacturer.
Where To Sell Auto Parts Online?
Consumers are no longer restricted to one location to buy items. There’s more convenience to use search engines for price comparison, more convenient shopping, and even location-based purchasing when you buy and sell online. An omnichannel strategy may be more advantageous for online sales opportunities. Consider the following channels while researching how to sell automotive parts online:
- Your Own Website – You have complete control over your eCommerce store. That means you won’t be levied any additional costs on each sale, as is the case with eBay and Amazon — and you may set your items at whatever price you choose. You can better express your brand and develop more direct relationships with customers by setting up your own eCommerce shop. Customer interactions lead to customer loyalty and repeat business, which is both more valuable than new clients.
- eBay Motors – eBay is a fantastic location to sell vehicle components, especially if you’re selling unique pieces and novelty items. There were 183 million eBay users worldwide as of the fourth quarter of 2019, up by 2% from the previous year’s quarter. It’s also a popular venue for automobile parts: according to eBay, there are almost 90 million active auto part listings, and three parts or accessories are sold every second. eBay offers a variety of tools to help automate your listing creation process, including automatic fitment detection systems.
- Amazon – Amazon’s marketplace also opens up small firms to a broader market of potential customers. According to a 2019 poll, Amazon was the most common online store in the United States during the previous year. There are some things to consider before selling your automobile parts on Amazon. Refurbished goods must include a warranty, and product images must have a specific format, among other such considerations.
Streamlining the Ordering Process
Nothing drives away business faster than a convoluted ordering process. Your customer’s equipment is broken and must be fixed as soon as possible. Your customer does not want to waste time, and he wants downtime to be kept to a bare minimum. What options do you have for him to find and order the necessary spare parts? Is there still room for improvement?
Consider the following issues when dealing with auto parts online. Make sure that the customer has no problem in finding the parts and accessories they need. In addition, you also need to ensure that the ordering is quick, easy, and doable from everywhere. Lastly, order processing must be fast, reliable, correct, and secure.
Check The Prices Regularly
Spare and worn-out parts, which include anything from screws to gaskets, are a lucrative market for numerous machine and plant manufacturers owing to their significantly higher margins. Unfortunately, it is also a highly competitive one. As a result, you should regularly check your components’ prices to ensure that they remain competitive.
Furthermore, experience and market data should be considered, which may differ from one sector to another. If your study reveals that certain components have room for price hikes, yet others do not consider how often these parts are purchased or how much they are regarded by your clients.
Parts that are frequently marketed are generally under close attention by your consumers. It’s more likely to be successful if you implement the increase gradually rather than all at once.
It’s a good idea to offer certain components at a favorable price compared to the competition. This may result in an overshoot on other – more expensive – parts since your customers will perceive your rates as fair overall. Price adjustments can also be made based on the customer segment. A client who has purchased an expensive machine from you will likely have high functional and performance requirements. Such a buyer would be more willing to spend more for (original) spare parts.
Create Special Packages of Wear Parts and Maintenance Kits
It’s a daily occurrence in machines, systems, and equipment for items to require maintenance and the replacement of worn components. As a result of contact with rubbing or abrasive materials, wear and tear are inevitable.
To boost sales, make it easier for your clients, service department technicians, and maintenance staff by providing packages or maintenance kits for wear parts that need replacing on a regular basis. Create separate product pages for these maintenance kits on your site or online portal. The order number of the required maintenance kit may easily be added to the machine’s maintenance instructions.
Keep Your Fitment Data Up-to-Date
Fitment data plays a critical role in the online parts business. While many auto parts stores use the same product data that comes with an aftermarket manufacturer’s package, it is essential for auto parts store owners to keep their fitment data up-to-date.
You should also ensure that all of your listings have accurate vehicle information and compare pricing across multiple sites to ensure you get the best price from every distributor.
In addition, be proactive about getting correct fitments by updating your database regularly through a live feed or file upload method. This will help prevent errors and customers from purchasing the wrong product. A tool such as Evokat Premier will help you automate this process and ensure that you will move more parts than ever before. Contact Illumaware for more information!