Parts stock should be a valuable asset that provides a platform for a strong and profitable Aftersales business. Yet despite the prevalence of good dealer management systems, research* shows that the parts side of the business is ineffectively managed by the majority of dealerships. Does the following apply to your business?
- Only 20% of UK dealers are either achieving or exceeding a stock turn of 10
- The average stock turn for franchised dealers is around 7 or 52 days cover
- At least 25% of stock has not moved for 6 months
If your parts business suffers from any of the above the benefits of reading Hidden Treasure are clear:
Improve your stock turn – and save space that could be utilised for an additional service bay.
Minimise obsolescence – and save space again improving gross profit through fewer write-offs.
Improve customer service – and increase your repeat business.
Still not convinced it is not applicable to your dealership? If, like the average franchised dealer, you have around 50 days of stock on hand ask yourself why when you have the opportunity to place daily orders?
This unique book takes an empirical approach and was independently commissioned by Kerridge/ADP. The authors’ recommendations are based on what actually works in successful dealerships.
Your parts stock needs managing like all the other assets in the business. To order your copy, please send an email detailing your name and delivery details to vanessa_worrell@adp.com with the subject ‘Parts Book’. Confirmation will be sent to acknowledge that your order has been successfully received.
A single, complimentary copy is available for each ADP customer. For all other orders a charge will be made.
*The research was conducted with over 200 franchised dealers across ten franchises in the UK and Ireland.
