As it turns out, there are MANY reasons why selling auto parts online is a great idea for dealerships aside from just driving more revenue. From eliminating obsolescence to increasing absorption rate, parts eCommerce can solve some of the everyday problems of the parts department.

Here are 6 ways your eCommerce can benefit the parts department, its staff, and the dealership.

READ MORE: How to Eliminate Obsolescence for your Parts Department

Expand Your Parts Sales with eCommerce Solutions

Adding online selling channels to your parts department can help you increase revenue, improve operations, and lower obsolescence. If you want to learn more about how to modernize your parts department, download our free guide, “Creating a Digital Parts Department.”

As we approach 2024, the automotive industry faces unprecedented challenges and exciting opportunities. For parts dealers, the end of the year is about navigating through changes and leveraging them to fast-track revenue growth.

Where parts departments are concerned, these changes will significantly influence the availability and demand for auto parts. This raises questions for dealers on adapting and thriving in a market driven by technological advancements, environmental concerns, and shifting consumer preferences.

Preparing for upcoming industry shifts is necessary so your business doesn’t get left behind. Here are five key automotive trends that your parts department could expect in 2024.

Increased Demand for Electric Vehicle Components

One of the most significant shifts in the parts industry is the increasing demand for Electric Vehicle (EV) components. This trend is driven by the rapid growth in the popularity of EVs globally. A report by the International Energy Agency highlighted that 14% of new vehicles globally sold and 8% of all new cars sold in the United States were electric in 2022, an increase from previous years. This trend is expected to continue throughout the upcoming years.

This shift presents both a challenge and an opportunity for parts businesses, especially at the dealership level. The rise in EVs means increased demand for specific components like batteries, electric motors, and specialized electronic parts. These components are distinct from those in traditional internal combustion engine (ICE) vehicles and require specialized expertise.

For parts departments, this means expanding inventory to include EV-specific parts. Additionally, investing in training for staff to handle these new types of components is crucial. This ensures the parts department keeps up with demand and positions the dealership as a knowledgeable and reliable source of EV parts and services.

The increasing demand for EV components is not just a consumer fad; it’s a critical shift in the automotive landscape that parts departments must prepare for to stay competitive and meet the evolving needs of their customers.

Advancements in Automotive Technology

In the upcoming years, advancements in automotive technology are set to reshape the auto parts industry. The upcoming years will be marked by rapid developments in vehicle technology, changing how we interact with and maintain our vehicles.

One of the key areas of advancement is autonomous driving technology. This once-futuristic concept is quickly becoming a reality, with autonomous cars already on the road. These vehicles come equipped with advanced sensors, cameras, and artificial intelligence systems, enabling them to navigate complex traffic scenarios safely. 

A prime example of this phenomenon is Waymo, the autonomous taxi service that is now available in select U.S. cities, including Phoenix, Los Angeles, San Francisco, and Austin. 

Waymo’s autonomous capabilities are also becoming increasingly available in personal vehicles. Tesla, a pioneer in EVs, has been at the forefront of integrating advanced technologies into its cars, including the enhancement of autonomous driving capabilities. Tesla’s advanced driver-assistance system provides features like self-parking, lane centering, and traffic-aware cruise control. This system relies on sophisticated sensors, cameras, and software, setting a precedent for autonomous driving technology.

The increasing presence of autonomous vehicles on the roads is expected to make commuting safer and more efficient.

The advancements in automotive technology require parts departments to be more technologically savvy and adaptable than ever. Staying updated with these advancements and being prepared to service and supply parts for these advanced vehicles as they roll out will be key to thriving in the future.

Prolonged Use of Consumer Vehicles

A notable trend that will continue is consumers choosing to keep their vehicles for extended periods. A study by S&P Global Mobility revealed that the average age of U.S. cars and light trucks has risen to a record 12.5 years. This trend is attributed to factors such as supply constraints on dealer inventories of new vehicles and economic pressures like higher inflation and interest rates. 

These factors have influenced consumer behavior, leading to prolonged use of existing vehicles. ​The decision to extend the life of a car has significant implications for the auto parts industry.

Aging vehicles require additional maintenance and replacement parts. This trend leads to a steady demand for quality OEM parts as consumers seek to ensure their vehicles remain reliable and safe. For parts departments, this means an opportunity to cater to a market that values durability and longevity in auto parts.

The trend of consumers keeping their vehicles longer presents both a challenge and an opportunity for auto parts departments. It demands a focus on high-quality parts and expert service to meet customers’ needs, investing in the upkeep of their older vehicles.

Global Supply Chain Challenges

The impact of global supply chain challenges is expected to continue throughout 2024. These challenges are complex, ranging from the aftermath of a global pandemic to evolving environmental regulations and economic pressures.

The supply chain has been heavily impacted by the 2020 COVID pandemic, which led to factory shutdowns and port congestions. These factors have forced organizations to rethink building a resilient supply chain to thrive amidst these risks​.

In addition, labor shortages, particularly in the manufacturing sector, along with the rising cost of raw materials and freight due to inflation, are expected to continue to pose risks to supply chain management (SCM). These factors can lead to slower production, disrupted distribution, and delayed deliveries, impacting the timely availability of auto parts​.

To navigate these challenges, parts departments need to embrace digital innovations, prepare for potential disruptions from labor shortages and inflation, and adapt their strategies to maintain a steady and efficient supply chain. A proactive approach will be key to their success.

Consumer Desire for Online Shopping Experiences

It should come as no surprise that the parts industry is seeing a significant shift towards selling parts and accessories online. This evolution is driven by consumers’ growing preference for digital convenience and simplified shopping experiences. Failure to adapt to this trend will cause parts departments to fall behind the competition.

The rise of online marketplaces and the demand for quick, secure shipping are reshaping how parts are sold. Embracing parts eCommerce is no longer optional; it has become vital for growth. Selling parts online allows dealerships to expand their reach beyond their local customers, tapping into a nationwide market and increasing sales opportunities.

Digitizing the parts department involves more than just setting up an online store; it requires an integrated approach to managing inventory, processing orders, streamlining shipping, and ensuring customer satisfaction. 

The move online is essential for parts departments in 2024. It’s about leveraging technology to enhance operational efficiency, expand customer reach, and drive growth in an increasingly digital marketplace.

With RevolutionParts, your parts department can seamlessly transition into this digital future. Whether you want to sell parts on your dealership website, your dedicated parts web store, or on today’s largest marketplaces like Amazon and eBay, RevolutionParts has a solution for you. 

Our platform offers an intuitive, comprehensive solution that covers every aspect of online sales. From a user-friendly interface to advanced inventory management systems, we ensure your transition to digital is smooth and efficient.

Our integrated tools streamline order processing and provide robust shipping solutions, making it easier than ever to satisfy customer demands for quick and secure delivery. With RevolutionParts, you’re not just opening an online store but enhancing your entire sales and supply chain process.

Moreover, our platform’s analytics and reporting features give valuable insights into customer behavior and sales trends, enabling you to make informed decisions and stay ahead in the market. RevolutionParts empowers your parts department to meet and exceed customer expectations in the modern age, driving significant growth and establishing your dealership as a leader in the evolving automotive parts industry.

Revolutionizing Parts Departments in 2024

The automotive industry is gearing up for transformative change in 2024, bringing many challenges and opportunities for parts departments. From the growing demand for electric vehicle components and the advancements in automotive technology to the rising age of vehicles on the road, the industry is rapidly evolving towards digital solutions.

By embracing these emerging trends, particularly the shift towards enhanced online sales, parts departments can position themselves for success.

RevolutionParts stands as a leader in this journey, offering a robust, integrated platform that simplifies the transition to digital solutions, ensuring that parts departments are equipped to meet the demands of a changing market.

With RevolutionParts, your parts department will be well-prepared to participate in this evolution and lead and redefine the standards of success in the automotive industry.

2023 tossed a new set of hurdles at car dealers, making it a year to remember – and not just because of the supply chain challenges that lingered. This time, the mix included the ripple effects of the UAW strike and the ever-climbing inflation. But, guess what? Despite these obstacles, online part sellers remained a vital lifeline. Despite these added twists and turns, online part sellers once again saw high sales during Cyber Weekend. This begs the question: why aren’t more dealers selling online? 

The big highlight? RevolutionParts dealers made a splash during the 2023 Cyber Weekend (Black Friday – Cyber Monday). They racked up an impressive $6,533,841 in parts and accessories sales! It’s a clear sign that the online parts market is not just surviving; it’s thriving.

Cyber Weekend 2023

Brand Breakdown

As we dive into the brand specifics of 2023, it’s exciting to spotlight the standout performers of Cyber Weekend. This year, certain brands shone brighter amidst diverse challenges, showcasing their resilience and appeal to customers.

Here are the five MVPs of Cyber Weekend 2023, brands that truly made their mark in the online parts market:

Cyber Weekend 2023 Top Selling Brands

Product Breakdown

With the cost of new and used vehicles skyrocketing, more people are sticking with their current rides. The average age of cars on the road is nearing 13 years – that’s a lot of birthdays! This means folks are investing more in keeping their cars running smoothly. Here’s what they were buying most during Cyber Weekend:

Cyber Weekend 2023 GMV by Product Type

Top-selling parts:

• Air Filter
• Brake Pads Front
• Serpentine Belt
• Brake Pads Rear
• Catalytic Converter

Channel Breakdown

When it comes to where these sales are happening, a dealer’s web store remains the top dog for revenue. This is not your dealership’s website, but a separate web store dedicated to your online parts business. But don’t sleep on marketplaces like eBay and Amazon – they’re key players, too. The trick is to spread your wings and sell across multiple channels.

Cyber Weekend 2023 Sales by Channel

The success of this Cyber Weekend isn’t just a win; it’s a clear signal that this market is robust, resilient, and ripe with opportunities. RevolutionParts dealerships have shown that they’re not just participating in this market – they’re leading it, and there’s no sign of slowing down. Their achievements are paving the way for an even more dynamic and prosperous future in the online automotive world.

And guess what? 2024 is just on the horizon, bringing with it new opportunities and possibilities. If you haven’t started selling online, now is the perfect time to dive in. The online market is buzzing with energy and potential – it’s a party you don’t want to miss. So, gear up and get ready to join this exciting journey into the future of automotive parts and accessories sales. Let’s make 2024 a year to remember!

As we rev up for 2024, the automotive industry is shifting gears, embracing an era where digital convenience and operational efficiency are preferred and expected. For Parts Managers, this means more than just keeping up with the pace—it’s about setting the trend and outpacing the competition.

Moving into the new year, your mind is turning to solutions that can help you streamline operations, improve sales processes, and reach a more tech-savvy customer base. The rise of online marketplaces, the demand for quick and protected shipping, and the need for smart inventory management are just a few of the areas ripe for innovation.

While tools like RevolutionParts’ Obsolescence Tool and RP Shipping offer solutions for online sellers, they are part of a larger strategy that savvy dealers can leverage to tap into the potential of online sales.

Whether it’s through adopting specialized tools or refining your approach to eCommerce, here are some strategies your parts department can tap into for a more profitable year.

Grow Your Reach with Online Sales

The number one opportunity for 2024 is, of course, embracing parts eCommerce. That’s because the transition to online sales is no longer optional; it’s necessary for growth. Selling parts online breaks down geographical barriers, allowing dealerships to sell nationwide and cater to a broader audience, effectively increasing sales.

RevolutionParts helps dealers meet this shift towards online shopping by offering tools designed to transition traditional parts businesses into online businesses. At the forefront is creating a branded web store that serves as the digital face of your parts department.

This isn’t just a generic online storefront; it’s a fully branded, professional-looking web store that aligns with your dealership’s identity and values, providing customers with a seamless shopping experience that mirrors the trust and professionalism they expect from your brand.

Beyond the branded web store, RevolutionParts further amplifies your online presence by integrating with today’s biggest online marketplaces, Amazon and eBay. These marketplaces are where countless potential customers browse and buy daily, presenting a lucrative channel for dealerships to significantly increase their parts sales. 

RevolutionParts simplifies the process of listing your inventory on multiple selling channels, all from a single dashboard. This makes it easier to manage and fulfill orders, track shipments, and provide excellent customer service.

In essence, RevolutionParts acts as a catalyst for dealerships to expand their parts business online. With its robust platform, dealerships are equipped with the necessary tools to start selling online and thrive in the competitive digital marketplace. As we look to 2024, leveraging such digital strategies is more than just an opportunity—it’s a strategic move to ensure continuous growth and success in the ever-evolving automotive landscape.

Engaging the Millennials and Gen Z Shoppers

A recent RevolutionParts survey shows that Millennials and Gen Z are emerging as the largest group of purchasers of online parts, making up 60% of shoppers.

These groups are not just buying more online but redefining the sales landscape with their unique purchasing behavior. Having grown up with access to the internet and its exponential growth, they are more inclined to use online platforms for their automotive needs. 

To tap into this growing market, dealerships must establish a robust online presence that resonates with these younger buyers. This requires an understanding of digital marketing and online sales, the implementation of user-friendly interfaces, and the assurance of secure, efficient transactions.

By focusing on Millennials and Gen Z, dealerships can align their sales strategies with current trends and lay the groundwork for long-term customer retention. RevolutionParts provides the tools and insights necessary to capture the attention of these demographics, ensuring that dealerships remain at the forefront of the industry’s evolution.

Embracing these changes and anticipating the needs of Millennials and Gen Z consumers is not just a forward-thinking strategy—it is an indispensable adaptation to the continuous evolution of the automotive parts sector.

Tighten Operations in the Parts Department

Efficiency is the key to rebuilding operations within the department. The need to bolster productivity is crucial, particularly when faced with the common challenge of a short-staffed team. 

The goal is clear: optimize processes to enable your team to work smarter, not harder.

For Parts Managers, this is a call to innovate and enhance their departmental processes to maximize productivity, especially when faced with a reduced workforce. The mission is simple: streamline operations to empower your team to accomplish more with less strain.

To boost operational efficiency, Parts Managers can focus on:

• Streamlining workflows to ensure each team member can efficiently manage their workload despite increased demands.

• Harnessing technological solutions to fill staffing gaps and drive the department towards higher sales and customer satisfaction.

At RevolutionParts, improving operations for our dealers is a major focus. Here are some key technological solutions we offer dealers selling through the RP Platform:

Obsolescence Tool: Helps manage inventory by preventing overstocking and reducing the risk of high parts obsolescence rates, thus saving costs and warehouse space.

RP Shipping: Optimizes the shipping process with shipping protection, lower carrier rates, and the ability to source and deliver parts locally through Same-Day Delivery.

By implementing these solutions, your department can offer services that meet the immediate needs of modern consumers, such as instilling customer confidence and ensuring timely and hassle-free delivery of parts. Embracing these innovations is not just about preparing for 2024; it’s about future-proofing your business in a rapidly evolving industry.

Transitioning Away from Parts Forms

In 2024, traditional parts request forms on dealership websites are becoming a relic of the past. These forms, which require manual entry and often lead to delays in response time, no longer align with the modern consumer’s immediate needs and expectations. The parts industry is rapidly moving towards more dynamic, user-friendly online experiences.

Traditional parts forms can be a setback rather than an asset for your parts department. Parts shoppers have to wait for a response, which can take hours to days, and this lag can be the deciding factor between a completed sale and a lost opportunity. Dealerships can’t afford such inefficiencies.

The alternative? A robust transition to listing parts directly on the dealership website for instant access and purchase. This approach aligns with the convenience online shoppers seek, allowing them to browse, get a quote, and order parts at any time of the day, any day of the year. It’s an open door to your inventory, without the need for phone calls or in-person visits that can be challenging for busy customers.

By leveraging platforms like RevolutionParts, dealerships can easily list their entire inventory online with our Website Plugin, streamlining the process from listing to sale. The platform is designed to handle the intricacies of automotive parts sales, including fitment data and cataloging, so customers can find the exact parts they need quickly and without hassle. This level of convenience enhances the customer experience and boosts the likelihood of repeat business.

• 24/7/365 Shopping: Customers can access your inventory round the clock, fitting their shopping into their busy schedules.

• Instant Quotes: By listing your parts online, parts shoppers get instant pricing, removing barriers to purchase.

• Convenience: The ease of finding and ordering parts online meets modern expectations for efficiency and service.

• Operational Efficiency: Dealerships can reduce the workload on parts department staff, freeing them up for more complex tasks.

In embracing these changes, dealerships not only meet the current standards of eCommerce but also position themselves at the forefront of the automotive parts industry, ready to capitalize on the increasing move to online sales. Transitioning away from traditional parts request forms to a more dynamic, integrated online presence is not just a step forward—it’s a leap into the future of automotive parts retailing.

Use Technology to Offload Obsolescence

Obsolescence within parts departments has long been a pressing issue, with many departments bearing an average obsolescence rate hovering around the 30% mark—far from the optimal goal of under 2%. As we progress, the automotive industry is presented with innovative solutions to this ongoing challenge.

2023 has seen a pivotal change in how parts departments tackle obsolescence. To significantly lower obsolescence rates, leveraging the power of online marketplaces like eBay Motors has become a strategic move. Recognized as one of today’s largest online marketplaces for automotive parts, eBay Motors operates at an impressive rate, with three parts sold every second, turning what was once considered obsolete into highly sought-after items.

To streamline the process of converting obsolete inventory into sales, RevolutionParts offers a tool specifically designed to target obsolescence. The Obsolescence Tool enables parts managers to identify aging stock and set custom pricing strategies. Its seamless integration with eBay Motors and other selling channels makes it even more powerful, allowing for easy access to a massive online customer base.

The RevolutionParts Obsolescence Tool and our integration with eBay Motors offer a dual advantage: they help parts departments reduce their obsolescence rate while tapping into a new revenue stream. It’s a testament to the potential of combining targeted software solutions with the expansive reach of online sales platforms. As a result, parts departments can now address obsolescence more effectively than ever, paving the way for healthier inventory levels and a more robust bottom line as we approach 2024.

Strategic Digital Marketing For the Parts Department

The necessity of digital marketing in driving parts sales cannot be overstated. Your parts department can enhance its visibility through targeted campaigns, SEO-optimized content, and social media engagement. It’s not just about being seen; it’s about being seen by the right people at the right time. 

Implementing marketing can be the difference between failure and success for your online parts business.

It is so important, which is why RevolutionParts offers services from its own in-house marketing agency. Dealers who take advantage of RevolutionParts’ marketing services have witnessed major results with substantial increases in website traffic, higher conversion rates, and significant returns on investment.

Success stories abound of parts departments that have doubled or even tripled their online sales, attributing their success to the strategic marketing services provided by RevolutionParts.

Effective marketing is not a luxury—it’s a necessity. As we look to the future, the message is clear: embracing digital marketing is not just about keeping up; it’s about taking the lead. With RevolutionParts, your department can harness the full potential of digital marketing to carve out a dominant position in the online marketplace.

Bottom Line

By tapping into the digital savviness of Millennials and Gen Z, revolutionizing traditional sales processes, and leveraging technology to combat obsolescence, dealerships are set to not just navigate but thrive in the evolving landscape of automotive parts retail.

This transformation extends beyond adopting new tools; it requires a cultural shift within the parts department to prioritize innovation, customer satisfaction, and proactive market engagement. 

Looking ahead to 2024, the automotive parts sector is poised to redefine excellence, powered by technology and propelled by visionary leadership. With RevolutionParts, your parts department can take on these opportunities to build a more successful year. Click the button below to schedule a time to talk with one of our parts eCommerce experts.

Auto groups understand the significance of scaling their parts and accessories eCommerce business. However, they often lack the control they need. As some stores work hard at selling online, others choose not to participate. Often, a group may have a few stores selling online, but they may have their own branding, different customer experiences, and independent marketing efforts.

As a result, the overall brand cohesion and customer journey can become disjointed, leading to inconsistent experiences that can dilute the group’s brand identity. While these groups may see some dealer or regional success, many are not offering a solution that provides a unified customer experience that is also on-brand. Scaling these efforts as a group also leads to several operational and money-saving opportunities.

The Challenge of Unified eCommerce in Auto Groups

The RevolutionParts Auto Group National Program (aka Superstore) offers several advantages for auto groups. To start, it allows the group to maintain a consistent brand image and customer experience across the superstore and all participating dealerships.

This can lead to increased customer loyalty and satisfaction. Secondly, it can lead to greater operational efficiency by centralizing certain functions, such as inventory management and order fulfillment, which can lower costs and improve profitability. 

In addition, group-wide platforms can help expand the reach of marketing initiatives and promotions, increasing sales across the group, even for stores that may typically avoid participation. By pooling resources and leveraging economies of scale, businesses can achieve better marketing results than individual stores could achieve on their own. 

Furthermore, businesses can improve their online visibility and attract more traffic to their websites by creating better SEO opportunities for group pages and dealer pages. A national, group-wide effort can also provide a more professional and consistent buying experience, which can increase customer trust and engagement.

Moreover, a National Superstore Program can balance the needs of the group as a whole with the unique needs and goals of individual stores, allowing businesses to create a consistent experience while enabling individual stores to pursue local goals.

A group-wide platform can also ensure a seamless transition from the superstore to individual store fulfillment, reducing errors and delays in the fulfillment process and improving the overall customer experience. 

Finally, a National Superstore Program can provide retail, wholesale, and dealer-to-dealer sales solutions from one platform. This can streamline the sales process and make it easier for customers to purchase products from the group.

Operating with a national presence also allows the group to launch group-level efforts, including clearing out obsolete parts or promoting holiday specials, which can lead to better results and increased sales during key periods. Imagine a Black Friday promotion that starts with the National Superstore promotions and sends interested customers to dealerships across the group.

This is how you scale your parts and accessories eCommerce business across the group.

Customizing for Group Success with RevolutionParts

The RevolutionParts Superstore Program is fully customizable, allowing each group to hyper-focus their efforts on the business opportunities that are important to them.   

Interested? Let’s set up a short consultation so we can understand your short-term and long-term goals and then lay out a plan together to make 2024 your best year ever selling parts and accessories online.  

Well, what if there was a secret to getting rid of that monster? 

Much like the monster himself, the average parts department’s obsolete inventory stems from one thing: special order parts returns. 

Special order parts are one of the biggest drivers of obsolescence. When customers put in a request for a specific part, they either order the wrong part, find parts cheaper elsewhere, or just return those parts without reason. As a result, they pile up on the shelves and are often forgotten. 

So, how can you prevent special order parts from piling up?

Why Obsolete Inventory is a Killer

The costs associated with obsolete inventory are astronomical. Obsolete parts do more than just take up valuable space; they carry inventory costs by occupying valuable space in the warehouse, reducing cash flow, diverting attention from more critical tasks, and tying up capital that could have been used elsewhere. 

If you’re not keeping proper track of how many older parts you have in stock, you may contribute even more to your obsolescence rate. You can end up over-ordering older parts that you already have in stock. Knowing exactly what you have in stock and is essential to ensuring you don’t overorder parts that contribute to more back-stock.

How to Set Up Your Return Policy for Special Order Parts

A well-defined return policy can help go a long way in reducing returned parts. This is especially true when dealing with specially ordered parts. Ordering parts that are harder to source for specific customers has a ripple effect on your inventory.

• It increases costs for your parts business by ordering an already difficult-to-find part, which contributes to higher costs to get that part to your shelves as quickly as possible.

• With the aftereffects of supply chain interruptions still being felt, getting special-order parts to you takes time. Time that your customers may not be willing to wait. 

• If the part ordered is incorrect, arrives late, or is no longer needed by the customer, instead of going back into the sales cycle for customers looking for similar parts, it gets stuck on the shelf and stays there.

So, what can be done about returns of special-order parts? This is where policy flexibility should come into play. 

If a part is ordered that doesn’t fit the customer’s needs, offer them to exchange it for parts they need at a small fee. This ensures that you don’t lose money on the parts you’ve already ordered and rotate out your existing inventory to make space on the shelves. This encourages your customers to make their purchases without fearing getting stuck with an unwanted item. You can also offer them a discounted or free service for installing that part.    

Having this much flexibility in your return policy strategy presents a few benefits for your parts business. 

• Reduced holding costs for obsolete inventory.
• Enhanced customer trust and loyalty due to the flexibility in the return policy.
• Better inventory turnover ratio, leading to increased profitability.
• Potential for repurposing or reusing returned parts for other customer orders.

Key Components of a Flexible Return Policy

Setting up a return policy that suits your and your customer’s needs is crucial. 

To set up the right return policy, you must have the right parameters.

Dealing with Setbacks

No matter how fair your policies may be, you’ll deal with some negative feedback and other setbacks from customers. The important thing is not to panic. Transparency and education are essential here. 

Educate your customers about policy stipulations to ensure clarity and establish a dialogue with them during their returns or exchange processes. This will help them better understand the policies themselves and establish relationships with customers that lend to increased brand trust. 

Set up automated systems to quickly process returns and restock items. When an influx of order returns or exchanges occurs, help your team process them as efficiently as possible. Utilize automated systems to help you keep track of returns, stay on top of customer comms, and accurately track your inventory. This will help you avoid obsolescence problems in the future. 

These can help you deal with any friction points between you and your customers to deliver the best overall customer experience.

Keep Your Inventory and Parts Sales Alive

While it may not be entirely painless, a strong and effective returns process can help you keep your inventory stable. Drive down obsolescence with flexible returns and exchange policies. Stay on top of inventory rotation with automated inventory management systems. Be consistent when communicating with customers about return guidelines to establish a trusting and transparent relationship. 

Looking for more ways to tackle even the scariest obsolescence rates? Check out our free guide, “Parts Manager’s Guide to Beating Obsolescence,” for more expert tips.

Are you spending too much time uncovering aging and idle inventory under films of dust? Trying to move aging inventory off the shelves and into the hands of car owners can be a challenge, especially when you don’t know the true state of your inventory. 

Inventory management is essential to the success of your parts business, especially when it comes to tackling the biggest inventory problem, high obsolescence. Without clean inventory data, you can’t effectively determine how much obsolete inventory you have or where you need to make adjustments to meet customer demand. Unclean data leads to inaccurate ordering and, eventually, poor stock levels, which leaves your business with lost sales opportunities and pile-ups. 

So, if your parts shelves are haunted by auto parts that seem like they’re past their prime, what can you do to lower obsolescence and still turn a profit?

The Ghost of Obsolete Inventory

Perhaps the biggest nuisance to any parts seller is obsolete inventory. With yearly turnover, vehicle parts have a short shelf life. The longer they stay on those shelves, the more they end up costing you. Money tied up in aging and idle inventory reduces your incoming cash flow and often reduces sales opportunities, especially when dealing with newer buyers with younger vehicle models. 

Signs Your Shelves Are Haunted By Obsolete Inventory

How do you know your inventory has a higher percentage of ghosts? Well, there are a few tale-tell signs. 

Slow-Moving Parts

How many items on the shelves have been sitting there for months or years? How often do you see customers intentionally searching for those parts? If you have a high percentage of items that get little to no attention, they’re not likely to fly off the shelves, making them slow-moving. 

Inventory Audits Have Mismatched Numbers

With unclean data, every inventory audit produces different results. You may think you have an obsolescence rate of 15% at first glance on paper, only to find out after your yearly or monthly audit that you actually have a 50% obsolescence rate. If you find that percentage is rising and falling like an EKG graph, you’ve got a strong obsolescence problem.

How to Exorcize Obsolete Inventory

So, if obsolescence is such a horror show to deal with, what are some of the solutions to reduce it or, even better, profit from it? 

With the rise in older vehicles being kept on the road, more people are in need of parts that are harder to find. Having obsolete parts in your inventory could be the key differentiator for revenue generation and resuscitating your parts sales. 

Automate Your Inventory Management

Without automation, your inventory management processes will fall apart. It will be just as easy for your inventory to go right back to square one without consistent automated processes. Having inventory management software can help you keep an eye on how much obsolete inventory creeps up. It can also help you keep track of what inventory to sell at specialized pricing. 

To clear your inventory of a parts graveyard, what should you look for in an inventory management system?

• Bulk tagging capabilities: Tag parts accordingly and with ease all at once. The RP Obsolescence Tool can help you bulk-tag and price obsolete items instantly.

• Stock level status updates: Automatically update stock levels for employees and for customers shopping on your website.

• Sales trend data: Understand what parts sell well and what parts sell poorly so you can ensure you order the right volume of high-selling parts every time.

Reduce Special Order Parts 

To keep your inventory from being overrun by obsolete parts, you need to keep your biggest contributors at bay: special order parts. For the average parts seller, special order parts make up the bulk of obsolete inventory. These are parts that are not often ordered or sought out that your dealership specifically orders for individual customers. 

These types of parts present a few issues that contribute to your inventory’s obsolescence rate:

• They take longer to arrive, making it less convenient for the customer.

• They often are more costly, forcing customers to look for alternatives elsewhere.

• The wrong parts are ordered, resulting in a high rate of returns.

To help reduce the impact of special order parts, there are a few approaches you can take: 

• Have strict policies on special order parts returns. 

• Coordinate with the service lane to minimize overordering of special order parts.

• Send reminders to customers for parts pick-ups and arrivals.

Special Obsolescence Pricing

It may not seem like there would be an upside to a high obsolescence rate, but it has the potential to be greatly profitable. With more car owners keeping their older vehicle models, more people are in need of older auto parts than ever before. Having harder-to-find parts on the shelves can turn your parts business into a gold mine. 

To draw in customers looking for older parts, there are a few tactics to keep in mind:

• Set up special pricing, like discounts for obsolete inventory.

• Use shopping ads to list and feature obsolete inventory.

• Tag obsolete inventory for customers on your website for easy navigation.

These three tactics can help you reduce the likelihood of increasing obsolete inventory, better manage existing inventory issues, and promote obsolete parts as a strong revenue generator. 

Trade in Inventory Tricks for Treats

Resuscitating your inventory from the parts grave can be challenging, but it is possible. Utilize the right management systems to keep your inventory data clean. Do regular check-ins to ensure all systems are working properly. Implement specific policies to help reduce special order parts from overtaking obsolete inventory. List obsolete parts online with special pricing to attract parts buyers. 

By utilizing all of these strategies, you can keep your inventory from haunting you into lost sales. Looking for more ways to help fight obsolescence? Download our most popular “Parts Manager’s Guide to Beating Obsolescence.”

As Halloween approaches, so does the peak sales season.

With the sales event sales rush underway, you need to dial in your management strategies to keep every aspect of your sales process moving smoothly. This includes the scariest beast of all: shipping and fulfillment.

Just as trick-or-treaters take great care in choosing the perfect costume, we must be equally meticulous in packaging our goods for a ghostly smooth delivery.

Shipping parts to online customers is fraught with challenges. In the shadowy corridors of shipping, let’s unravel the mummy’s secrets for a curse-free delivery. 

A poor shipping experience can negatively impact customer expectations, making it more likely for your customers to go straight to your competitors. 

In the vast desert of shipping options, let’s take a leaf (or a bandage) out of the mummy’s book for the safest passage.

Understanding those challenges and implementing strategies to help combat them before they happen are essential to taming the shipping and fulfillment beast. 

But what are the biggest obstacles to overcome in your shipping processes? The sands of time have shown us that what’s wrapped well, lasts. Let’s apply the mummy’s age-old wisdom to our modern shipping practices.

Using Safe Packaging Materials

With the variety of auto parts available on the online market, it’s important to have the right packaging materials to properly ship them and protect them from any potential damages. Not all auto parts have the same weights and dimensions or are made of the same material components. 

Mummies have stood the test of time, and with the right wrapping techniques, so can your shipments.

Windshield wipers and fluid will require different packaging materials compared to fenders, brake pads, and air filters. Using the right materials can help you minimize potential damage and keep material costs low. 

It’s important to have the right packaging materials, but it’s also important to have the right packaging techniques. Drawing inspiration from ancient tombs and Halloween tales, let’s ensure our packages are wrapped tighter than a mummy’s grip.

Avoid making errors like under-filling, over-filling, or failing to secure items within their packaging. This increases the risk of potential damage to the product and to the customer. 

To avoid these issues, invest in high-quality packaging materials, quality control your processes to ensure that items are not incorrectly packaged, and outsource your shipping and fulfillment to reliable partners if you can.

Goods Damaged or Lost in Transit

Every mummy tells a story of a time long past. Similarly, the way we package and ship tells a story of our commitment to quality and care.

Let’s say despite your best efforts to ensure shipped parts are packaged well, items still break in transit by the shipping carrier. Alternatively, what if an order never makes it to a customer and goes missing? What then? The key here is not to panic. 

More than 42 million packages are stolen or go missing across the U.S. within the average year. As many as 10% of shipped packages are also damaged in transit each year, resulting in a high rate of refunds and replacements among online retailers. 

While only so much can be done once orders are out of your hands and in transit, you can take a few preemptive measures to ensure a better customer experience if and when these issues arise. 

Covering Returns and Replacements

Of course, the most notable challenge for online parts sellers in the shipping and handling department is cost. It costs money to refund orders, replace orders, and process returns. All of these cut into your profitability and can lead to overhead costs that could have been avoided. Additionally, they can lead to negative customer reviews and a loss of brand trust, leading to lost sales potential in the future. 

To help reduce the negative impact of returns, replacements, and refunds, you can implement a few procedural strategies.

Ship Better with RP Shipping

As the Halloween season approaches, the challenges of shipping can seem as daunting as navigating a haunted mansion. But fear not, for RP Shipping is here to light the way and ensure your order fulfillment is as smooth as a phantom’s glide.

Shipping Protection:

Just as ancient mummies were protected by their tombs, RP Shipping ensures your shipments are safeguarded from the modern-day perils of damage, loss, and theft. Say goodbye to the ghoulish task of handling tedious carrier claims, restocking items, issuing refunds, and managing customer escalations. With RP Shipping’s automatic protection, your team can focus on what they do best, leaving the worries of shipment safety in the past.

Shipping Labels:

Why pay monstrous rates when you can access competitive shipping rates directly from the RevolutionParts platform? With RP Shipping, printing labels becomes easy. Now that’s some powerful potion! Plus, you can easily share tracking information with your customers.

Same-Day Fulfillment:

In the spirit of Halloween, think of this feature as your very own magic broomstick. Need to send or receive local parts swiftly? RP Shipping’s suite of hotshot providers ensures your parts are on the move within an hour. It’s so fast; it’s almost supernatural!

With its trio of powerful features, dealers can rest easy, knowing their order fulfillment is in the best of hands—or should we say, the best of claws?

Don’t Let Shipping Scares Spook You

While shipping and handling horror stories exist, there’s no reason to be afraid of it. You can deliver a great customer experience with fewer roadblocks. With the right processes in place, transparent customer communication, and offers designed for returns and replacements, you can effectively profit from shipping parts orders and expand your business. 

Interested in learning more about RP Shipping and its available features? Click below to learn more from a RevolutionParts eCommerce expert!

Embracing the digital age goes beyond merely having an online presence; it’s about understanding and catering to the nuanced needs of the new generation of buyers. A report by RevolutionParts sheds light on the changing dynamics, revealing that nearly 60% of OEM parts buyers now belong to the Millennial and Gen Z cohorts. This shift is not just a passing trend but a reflection of the future of parts buying.

These two generations grew up during the rise of Amazon, which set the gold standard for shopping. Amazon made it easy to shop online, find your product, check out, and then quickly receive your item hassle-free. For Millennials and Gen Z, if the shopping experience is seamless, there is no need for a deep discount because convenience is invaluable. 

Unsurprisingly, the influence of these younger generations on the automotive parts industry is expected to grow exponentially, reshaping the way automakers approach their sales and marketing strategies. This shift underscores the significance of platforms like RevolutionParts, leading the charge in this evolution and crafting solutions that align with the contemporary consumer’s expectations.

The insights from RevolutionParts provide a clear snapshot that the Millennial and Gen Z generations are reshaping the landscape. For automakers, the challenge and opportunity lie in adapting swiftly to these undeniable changes, ensuring they remain the top choice for these influential demographics.

Understanding the Millennial and Gen Z Demographics

Millennials and Gen Z are two groups that stand out among the wide range of parts buyers. Born into an era of rapid technological advancements, these two generations grew up with a digital-first mindset, which is reshaping industries and redefining norms.

We can see this shift in the rise of platforms like Carvana and Vroom, which have revolutionized the car buying process by allowing users to buy, sell, and trade vehicles entirely online, eliminating the need for physical paperwork or in-person negotiations. 

Similarly, in the automotive parts sector, traditional parts forms and phone orders are becoming obsolete. Instead, digital experiences that allow the consumer to purchase their parts online are becoming the norm for shoppers, as shown by the rising digital parts market, set to reach $67 billion by 2030. This trend is a clear testament to the changing behaviors and expectations of the Millennial and Gen Z demographics.

Millennials witnessed the transition from analog to digital, which began to drive new expectations. They value experiences over possessions, prioritize authenticity, and are not shy about voicing their opinions, especially on social media. Their purchasing decisions are often influenced by a brand’s values, social responsibility, and online reviews. 

Gen Z, on the other hand, grew up in a digital world dominated by smartphones, social media, and instant gratification. They are values-driven and advocate for individuality, diversity, and inclusion. Having grown up with technology, they have become experts at genuine connections with brands based on a brand’s ethos.

Understanding these demographics is vital to the long-term success of any industry, especially one as pivotal as automotive. The buying preferences of Millennials and Gen Z are molded by the times they grew up in and now dictate the markets. They aren’t going to fill out a parts form or call anyone to place an order. When they need a part, they want to do their shopping 100% from their phones, and they want the part to be delivered tomorrow.

As these two generations become the primary consumer of auto parts, automakers must rethink their strategies to create a brand that doesn’t just offer parts but a great experience across multiple digital points of sale.

Features that Appeal to the Younger Audience

Compared to previous generations, Millennials and Gen Z have clear preferences when it comes to their online shopping experience. To capture their attention, it is important to understand which features they value most.

Incorporating these features is more than just meeting a standard; it’s about creating an environment where this audience feels catered to and understood. Automakers can foster loyalty and ensure repeat interactions by aligning with their preferences.

RevolutionParts’ Enterprise Solution: A Game-Changer

Staying ahead of the competition and making a connection to Millennials and Gen Z requires more than just producing quality parts; it means implementing innovative solutions that cater to an evolving market. This is where RevolutionParts comes in. 

The RP platform makes it easy for automakers and their dealers to provide a seamless digital experience. Born into the digital era, these generations expect smooth online experiences. RevolutionParts delivers with an intuitive interface, mobile optimization, and quick load times, ensuring users have a seamless journey from browsing to purchase.

It also provides the end buyer with a personalized experience. Beyond just product recommendations, RevolutionParts uses data analytics to help automakers and dealers offer a tailored shopping experience, understanding individual preferences and needs and making every user feel unique.

RevolutionParts offers automakers a solution tailored to their unique needs with a Tier 1, Tier 3, or hybrid parts program to provide a streamlined, efficient, and modern experience that dealerships and end-buyers value. For automakers looking to elevate their parts strategy and truly resonate with today’s dealerships and consumers, RevolutionParts’ enterprise solution might just be the answer they’ve been searching for.

Bottom Line

The automotive industry, like many others, is at a crossroads. The path forward is being paved by Millennials and Gen Z, two generations that bring with them new demands and an unwavering commitment to values and authenticity. As they take the driver’s seat in the consumer market, automakers must be agile, adaptive, and attuned to their needs.

By offering solutions that resonate with these demographics, RevolutionParts provides a roadmap for success in this evolving landscape. The challenge for automakers is not just to keep pace but to lead, to set the standards, and to shape the future of automotive parts sales.

Moving forward, success will be defined by those who leverage the right tools to meet the needs of the next generations. With platforms like RevolutionParts, OEMs are well-equipped to navigate this journey and emerge as leaders in the new era of automotive commerce.

For a custom-made parts eCommerce solution, click here to contact us for a free consultation.

When companies try to grow their parts businesses, they often face a challenging problem: channel conflict. This happens when different ways of selling parts in the same company compete with each other. It can make things messy and can hurt sales and profits.

What can be done about this? 

The answer is unified parts technology, which means combining tools and methods into a single system for selling parts. For example, a company can sell parts directly to people online. Then, instead of sending those parts from their own warehouse, they can use their existing distributors to do it. This helps the company work better with other businesses and sell more parts.

• Centralize data management.
• Streamline communication.
• Manage inventory.
• Create a consistent customer experience.
• Implement dynamic pricing and promotions.
• Reduce overhead costs.
• Provide better analytics and insight.

By using one system for everything, businesses can be more flexible and ready for changes in the market.

Transforming Our Direct-to-Consumer Sales Approach

Selling directly to customers, or the “D2C” model, is changing how parts manufacturers connect with consumers, letting companies talk straight to customers, offering them a good shopping experience, and then using their existing distributors to deliver the parts.

In the past, manufacturers mostly sold to other businesses, or “B2B.” With D2C becoming more popular, there are new chances to succeed but also new challenges. It allows manufacturers to regain control of their data and learn more about what customers want. This helps them better meet the needs of those consumers. But, if a manufacturer wants to sell D2C, they have to ensure they do it correctly.

By mixing D2C with wholesale companies, we can find a successful balance using a unified parts technology solution. This means that D2C aspects of the business model don’t fight with B2B aspects but help the business grow.

Manufacturers, big or small, can use technology to make all aspects of their business work cohesively, making both the selling and buying experience better.

Optimizing Large-Scale Manufacturers for Efficiency

Large manufacturers play a huge role in making and selling parts. They work with companies worldwide, creating an extensive network that brings new ideas and sets the direction for the industry.

But being big can also bring big problems. One issue is when they try to sell directly to regular people or small businesses. This can upset the companies they usually sell to because it seems like they’re taking away their customers, creating channel conflict.

Using a unified system for selling parts can solve these problems.

For instance, a large manufacturer usually sells to other businesses through distributors. These distributors decide how they want to sell and grow.

With the right technology, the manufacturer can sell both to other businesses and directly to the end buyer. When they sell directly, they can let their distributors handle the delivery. This new method helps everyone in the industry—the manufacturer, distributors, and customers—connect better and get things done faster.

This way of working helps companies make better decisions, quickly adjust to any market changes, and stay ahead.

Empowering Small Parts Manufacturers with Advanced Technology

Small companies making car parts might have the same influence as larger manufacturers, but they’re still important. They offer important products that keep the industry moving.

These small companies face some tough challenges. They might have a limited amount of money, many workers, or the latest tools that larger manufacturers have access to. However, with a smart tech solution that matches their goals, these small companies can streamline operations, eliminate friction, and create a more customer-centric approach.

For example, a small manufacturer may be focused on producing quality products with limited technology resources. Adopting a unified technology solution to support its B2B operations and direct-to-consumer presence while tying in selective distributors can create a compounding effect, gaining marketing share and growing brand presence.

Revolutionizing Parts Sales with Unified Solutions

In the evolving landscape of parts manufacturing and sales, RevolutionParts stands as a beacon of innovation, bridging the gap between traditional and modern selling methods. We recognize the inherent challenges of channel conflict, where different sales avenues within the same organization can inadvertently compete, leading to potential losses and strained relationships.

RevolutionParts’ unique eCommerce solution is specifically tailored for parts manufacturers, ensuring that both B2B and D2C models coexist harmoniously. By integrating our unified parts technology, manufacturers can leverage their existing distribution networks while simultaneously reaching out directly to consumers. This amplifies sales potential and ensures that distributors remain integral and valued partners in the sales process. Furthermore, our specialized focus on auto parts sellers means we understand the nuances of the industry, allowing us to provide a solution that truly resonates with the needs of our clients.

In essence, RevolutionParts eliminates channel conflict by creating a seamless, integrated ecosystem where every stakeholder benefits, from the manufacturer to the distributor to the end consumer. Embrace the future of parts sales with RevolutionParts, where we harmonize channels, optimize operations, and drive growth.

Want to see how RevolutionParts can help your parts business grow by expanding your business and removing channel conflict? Click below to schedule a chat with a parts eCommerce expert!