USED PARTS PORTFOLIO BUILD UP

Year: 2018
Location: Germany
Industry: Automotive

Aftersales Strategy

Being able to offer high quality used parts is essential in today’s automotive aftermarket. As the average car age continuously increases, customers get more price sensitive when it comes to repairs and spare parts. Because of this, an automotive OEM relied on Encory to lead the strategic extension of its used parts portfolio.

The Approach

In the decision-making process, Encory performed the following supportive tasks:

  1. Market and competitor analyses provided detailed information about the demand of used parts and the competitive pressure in the various regional markets
  2. Profitability analyses revealed the economic potential of specific automotive parts
  3. Feasibility studies were performed to guarantee supply reliability
  4. Sales channels identification and a price-volume strategy development
  5. Development of business cases to facilitate the decision-making for the OEM

 

Value Added

The OEM experienced the following key benefits through the extension of the used parts portfolio:

  • Increased sales volume thanks to used parts sales as well as new parts cross-selling
  • Increased customer retention was achieved with joint marketing activities for vehicle being 7 years and older
  • Better brand value in price sensitive customer segments

Get in touch with us

For an inquiry, please don’t hesitate to get in touch with us via our contact form.

CONTACT US