Though quality may be a concern, dealerships are most often drawn to purchase aftermarket parts for use in their service bays because of their cheaper price tag.
The second annual Aftermarket Business World Dealership Product Study revealed more than half of those surveyed reported that price was the main reason they continued to use aftermarket products at their dealerships. Quality and availability were also considered, with 24 percent and 18 percent, respectively, reporting these were their main reasons for aftermarket part use, according to the study results.
However, 78 percent of respondents reported their biggest concern is quality when using aftermarket parts. Warranty and fit were the other main concerns when deciding whether to use aftermarket products, according to the study results.
Of the dealerships surveyed — 57 percent of which sell both new and used cars — more than half say they have seen steady sales results and gross margins over the past 12 months. Slightly fewer — just under 50 percent — reported they expect both sales and gross margins to remain steady over the upcoming 12-month period.
Respondents most often use one to two suppliers, and 69 percent of those surveyed reported the aftermarket parts purchased are used to ready used vehicles for sale; 25 percent say parts are utilized on used car warranty work and only 6 percent reported aftermarket products are used for new car warranty work, results show.
METHODOLOGY: The Aftermarket Business World Dealership Product Study was digitally fielded to Aftermarket Business World and Motor Age readers who have identified themselves as such.
