Advance Auto Parts 2004 Annual Report Download - page 9
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Please find page 9 of the 2004 Advance Auto Parts annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.GrowingOurCommercialProgram:
In2004,weadded320newcommercialprogramsinourstores.
Atyear-end,1,945ofourstores,or73%,containedacommercialprogramcompared
to64%attheendof2003.
In2004,wegrew our sales tocommercialcustomersto$693 million, a 25.6%
increasecomparedto2003.
In 2004, we produced a 22.9% comp increase in commercial sales on top of
7.2%in2003.
Salesto commercial customersrepresentmorethan18%oftotalsales andare
growing.
Our investment in our commercial program is paying off and we believe it will
stronglyincreaseourbottomlineformanyyearstocome.
We’re working harder to get quality parts to our
customersfast.AdvanceAutoPartshasover115,000Stock
KeepingUnits(SKUs)availableforourcustomerson asame-day or over-
nightbasisthroughoursophisticatedandflexiblesupplychain.In2005,we
will further improve the overall efficiency and effectiveness of our supply
chainwiththeopeningofournew650,000-square-footdistributioncenter
(DC)ineasternPennsylvania.ThisnewDCwillincreaseourservicelevelsto
ournortheaststores,furtheroptimizetransportationcosts,andprovideusthe
capacityforfuturegrowth.
Ourcustommixinitiative,whichoffersbettermarket-specificavailability
forharder-to-findparts,meetstheneedsofourcoredo-it-yourselfcustomer
whilehelpingusgrowoursalestoprofessionalinstallers.Withthehelpful
advice of ourdedicatedPartsPros andourfastdeliverysystem,our com-
mercialcustomerscanbeconfidentthattheywillgettherightpartsthatthey
needquickly.
CategoryManagementisenhancingourin-storeinventoryavailabilityand
is now the basis for ongoing improvements in merchandising and store
operations.Since2002,this customer-focusedinitiativehasenhancedour
salesandmarginsandweexpectadditionalbenefitsfromthisprogramfor
manyyearstocome.
rightnow
AdvanceAutoParts,Inc.andSubsidiaries
7
consumersexpectthehighest-qualitybrandname
knowthattheycancountonusforhigh-qualityparts