What’s the size of the prize?
How data-driven parts and accessories e-commerce programs can increase aftersales revenue and enhance the customer experience.
Buoyant revenues. Happy, loyal customers. That’s surely the holy grail for any OEM and dealer when it comes to their aftersales and accessories businesses.
And the aftersales market is ripe for the picking. The global market is set to grow from its current $451 billion to $620 billion by 2033.[1]
Historically, third-party companies have dominated the aftermarket and accessories market but, according to Dan DuPree, vice president of business performance at Infomedia, there’s a huge opportunity for OEMs.
“The default for the consumer is still the aftermarket, because those are the brand names that they recognize, and OEMs are still playing a bit of a catch-up game,” he says. “Our objective is to get OEM products in front of the consumer.”
A former middle school teacher, Dan has a mantra he used to share with his pupils that is just as relevant for OEMs. “You’ve got to show up to the dance.”
Dan believes there are lots of different ways to do that, but the first step is being there and being present and showing that there are other alternatives to those shoppers, rather than the aftermarket.
But showing up is just the start. Unlocking the power of data is crucial. Lack of data isn’t the issue – today we have more data than we know what to do with. The key to success is filtering it, understanding it and leveraging it to drive consumers to your aftersales products and accessories.
Infomedia’s data-driven approach allows OEMs to continuously monitor and optimize their e-commerce and marketing strategies, analyzing performance data and customer feedback to help them refine their approach and stay ahead of evolving customer preferences and market trends.
These are six ways that data-driven ecommerce programs can increase aftersales success:
“A data-driven approach empowers OEMs to better understand their market, target customers more effectively, and optimize their e-commerce programs to drive increased after-sales revenue and customer satisfaction,” adds Dan, who is responsible for Infomedia’s SimplePart platform.
SimplePart is Infomedia’s core e-commerce product that enables OEMs to establish a branded, data-driven online parts and accessories platform, leveraging Infomedia’s expertise and integrations to drive increased after-sales revenue and customer engagement.
SimplePart has already been put to the test by several OEMs, to great success.
The Subaru parts online program in the United States, for example, is one of Infomedia’s longest-running and most successful e-commerce partnerships.
Infomedia operates and manages the tier one website, parts.subaru.com, a white-labelled e-commerce platform that funnels traffic to the tier three retailer sites, where the orders are ultimately fulfilled by the individual Subaru retailers.
“This setup allows Subaru to maintain their branding and control the customer experience, while leveraging Infomedia’s expertise in managing the e-commerce platform and integrating with the retailer network,” says Dan.
Infomedia recently introduced a new feature on the Subaru parts online site, which displays the closest retailers that are offering discounts on the parts or accessories the customer is viewing. The second and third retailer options shown are the closest retailers with the item in stock and the retailers running advanced marketing campaigns through Infomedia’s platform, respectively.
“The introduction of this data-driven retailer finder feature has led to a 14% year-over-year increase in sales through the Subaru parts online channel,” adds Dan. “The Subaru case study demonstrates how Infomedia’s data-driven approach and platform integrations can help OEMs optimize their e-commerce programs to drive increased after-sales revenue and customer engagement.”
Infomedia is now working to roll out similar data-driven features and strategies to other OEM partners, based on the success of the Subaru program.
There are also myriad customer benefits for buying OEM-approved parts and accessories, from warranty integration and superior quality and fitment to brand alignment, customer confidence, and opportunities for dealer engagement.
“Customers are often willing to pay a premium for OEM parts and accessories because they trust the quality and fitment, as well as the integration with the vehicle’s warranty. This increased customer confidence can drive higher sales and customer loyalty for the OEM,” adds Dan.
“It’s a no brainer for OEMs to jump on this,” he adds. “There’s a massive revenue opportunity and the market’s definitely out there.”
Discover how Infomedia’s SimplePart platform can help accelerate your aftersales and accessories business.
[1] Source: Custom Market Insights
