Advance Auto Parts 2012 Annual Report Download - page 10

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3
AAP Stores
Store Overview. Our stores generally are located in freestanding buildings in areas with high vehicle traffic counts, good
visibility and easy access to major roadways and to our Commercial customers. We believe that our stores exhibit a customer-
friendly format with the majority of our stores featuring an updated exterior and interior, bright lighting, and a well-designed
and easily navigated floor plan. The average size of our stores is 7,300 square feet with the size of our typical new stores
ranging from approximately 6,000 to 8,000 square feet. Our stores generally are open from 7:30 a.m. to 9:00 p.m. six days a
week and 9:00 a.m. to 8:00 p.m. on Sundays and most holidays to meet the needs of our DIY and Commercial customers.
Our stores carry a product offering of approximately 19,000 SKUs, generally consisting of a custom mix of product based
on the stores' respective market. Our stores also have access to an additional assortment of 115,000 SKUs for same-day or next-
day delivery from one of our 339 HUB stores or our network of 22 Parts Delivered Quickly, or PDQ®, facilities. Additionally,
our customers have access to over 483,000 SKUs by ordering directly from one of our vendors for delivery to a particular store
or other destination as chosen by the customer.
We strive to be the leader in the automotive aftermarket industry by fulfilling our promise, 'Service is our best part®,'
through our Superior Availability and Service Leadership strategies. We offer our customers quality products which are backed
by a solid warranty. Many of our products are offered at a good, better or best recommendation differentiated by price and
quality. Store Team Members utilize our proprietary point-of-sale, or POS, system, including a fully integrated electronic parts
catalog to identify and suggest the appropriate quality and price options for the SKUs we carry, as well as the related products,
tools or additional information that is required by our customers to complete their automotive repair projects properly and
safely.
The primary categories of product we offer in our stores include:
Parts, including alternators, batteries, belts and hoses, chassis parts, clutches, engines and engine parts, ignition
parts, lighting, radiators, starters, spark plugs and wires, transmissions and water pumps;
Accessories, including floor mats, mirrors, vent shades, MP3 and cell phone accessories, and seat and steering
wheel covers;
Chemicals, including antifreeze, brake and power steering fluid, freon, fuel additives, windshield washer fluid and
car washes and waxes;
Oil, transmission fluid and other automotive petroleum products; and
Other miscellaneous offerings.
The product in our stores is generally arranged in a uniform and consistent manner based on standard store formats and
merchandise presentation. The parts inventory is generally located on shelves behind the customer service counter with the
remaining product, or front room merchandise, arranged on the sales floor to provide easy customer access, maximum selling
space and to prominently display high-turnover products and accessories to customers. We utilize aisle displays to feature high-
demand or seasonal merchandise, new items and advertised specials, including bilingual signage based on the demographics in
each store's geographic area.
We also provide a variety of services free of charge to our customers including:
Battery & wiper installation;
Battery charging;
Check engine light reading where allowed by law;
Electrical system testing, including batteries, starters, alternators and sensors;
“How-To” Video Clinics;
Oil and battery recycling; and
Loaner tool program.
Our stores are 100% company operated and are divided into four geographic areas. Each geographic area is managed by a
senior vice president, who is supported by regional and district management. District Leaders have direct responsibility for
store operations in a specific district, which typically consists on average of 12 stores. Depending on store size and sales
volume, each store is staffed by approximately 8 to 16 Team Members, under the leadership of a General Manager. Store Team
Members are comprised of full and part-time Team Members. A majority of our stores include at least two parts professionals,
or parts pros, who have an extensive technical knowledge of automotive replacement parts and other related applications to
better serve our Commercial and DIY customers. Many of our stores include bilingual Team Members to better serve our