Advance Auto Parts 2001 Annual Report Download - page 10

ADVANCE AUTO PARTS ANNUAL REPORT 2001 15
We currently provide this service in
about 1,370 of our stores. This
incremental business leverages our
inventory and investment in our stores.
Once again our team members make all
the difference. Commercial customers
know their stuff, demand straight talk, and
have the opportunity to purchase from a
number of parts suppliers. In order for
Advance Auto Parts to grow this business,
our people had to establish personal
relationships with commercial customers
and gain their trust by knowing their
business and delivering on their promises.
We’ve done just that, and the numbers
show it. In 1998, our commercial delivery
business counted for 8.8
percent of our total sales.
In just three years, we
have grown that to more
than 14 percent of our
volume (excluding
Discount Auto Parts). We have developed
this business by finding ways to better
serve our customers, such as:
•Delivering customer orders quickly.
•Offering a broad selection of quality
hard parts from some of the leading
aftermarket names, including
Monroe, Bendix, Purolator, Autolite
and GP Sorenson.
•Developing a commercial sales
force that is dedicated to the
commercial market.
•Accessing more than 105,000 SKUs
on a same-day or next-day basis
through our network of PDQ®(Parts
Delivered Quickly) warehouses.
One of the specific reasons we’re
winning the hearts of commercial
customers is our ability to deliver parts that
are often hard to find. Not only do we have
them, but we can get them in our customer’s
hand sooner, which is a huge advantage for
our team. In addition, these professionals
know and demand quality. The cost to fix a
mistake – not just to their profitability but
to their reputation – is enormous. We offer
them brand name parts, and they appreciate
the difference.
Discount Auto Parts launched a
program called "Pro2Call" in 1998, and
this program represents approximately 7%
of their sales. We are looking to incorporate
the best of our two programs, extending
our commitment to the professional installer
and continuing to grow this segment of our
business during the coming year.
Although serving our do-it-yourself customers is
our primary business, Advance Auto Parts has
always had tremendous respect for professional
installers and the $62 billion market they represent.
In 1996, we launched our commercial delivery
program to serve these dedicated pros.
Commercial Program
Junior Word, Manager, Free Service Tire Store and Todd Hoel, Commercial Parts Pro “Advance Auto Parts is our number one parts supplier," said Junior Word,
Manager of Free Service Tire Store, a Tennessee-based chain. “They’re our first call, and Todd does a great job for me.” Todd Hoel, who knows that commercial
parts sales is a competitive business, said, “We’re always looking to see what we can do to serve our commercial customers better.”
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