Autoelectro adapting to aftermarket needs through new-to-range investment
Autoelectro believes they can thrive amid recent automotive industry changes – improving its starter motor and alternator offering to independents.
Market consolidation, imported product, the consequential rise of private label, technology and new-to-range growth represent some of the most significant changes to have influenced the automotive industry since UK sales manager Nick Hood joined Autoelectro, he has said.
In his latest ‘Nick Says’ column, he explained how the remanufacturing of starter motors and alternators has evolved to ensure the company continues to thrive.
He also revealed what it has to be wary of in the future.
Hood claimed that, to a greater extent, market consolidation exists “outside of Autoelectro’s control” but the unique selling points that remain in its power are “quality products, range coverage, stock availability and excellent customer service”, which must remain priorities.
He explained that market consolidation could have both positive and negative effects for the company: “The fact our customer base is consolidating could be a positive, as we have less people to impress to gain a larger amount of business.
“I realise this is over-simplifying the situation, as, without doubt, the larger consolidated customer will want to leverage their buying position; however, to some extent, this just means we have to do what we’ve always done – just maybe a little better.”
Imported product and private label
Imported products and private labels are other matters outside of Autoelectro’s influence, Hood said.
He explained their challenges given the company is outside that industry. He said: “While there may be a pressure, as a result of the technological evolution of starter motors and alternators, as well as the ever-growing number of part numbers with shorter lifecycles, it is likely that the percentage of new imported units and private labels may decrease, accounting for only the high-volume, faster-moving references.”
Growth in new-to-range products
The sales manager believes technology and part number growth is the “backbone” of Autoelectro’s package and the remanufacturer “leads the market” in that particular department. He added: “We are investing and keeping pace with technology by leading the market on range introductions, and our coverage is already wider than our competitors, so, for us, it just means more of the same.”
Pioneering ideas and products for aftermarket
In terms of staying on the right path, maintaining profitability and continuing to grow as a company, Hood said Autoelectro has the foundations, direction – with the senior management trio of brothers Tony, Paul and Nicky Bhogal at the helm – unique selling points and ability to continue to deliver what its customers want.
He concluded: “We must maintain our creativity, through pioneering new ideas, so we continue to be easy to deal with.
“At the same time, we must observe the competition, but I am confident that we can overcome whatever the future throws at us.”