Advance Auto Parts 2013 Annual Report Download - page 16

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3
AAP Segment
As of December 28, 2013, we operated 3,832 AAP stores throughout 39 states in the Northeastern, Southeastern and
Midwestern (inclusive of South Central) regions of the United States, Puerto Rico and the Virgin Islands. These stores operated
under the “Advance Auto Parts” trade name except for certain stores in the state of Florida, which operated under the “Advance
Discount Auto Parts” trade name. These stores offer a broad selection of brand name and private label automotive replacement
parts, accessories, batteries and maintenance items for domestic and imported cars and light trucks. Through our integrated
operating approach, we serve our DIY and Commercial customers from our store locations and online at
www.AdvanceAutoParts.com. Our online website allows our DIY customers to pick up merchandise at a conveniently located
store or have their purchases shipped directly to their home or business. Our Commercial customers can conveniently place
their orders online.
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 20,000 stock keeping units, or SKUs, generally consisting of a custom
mix of product based on each store's respective market. Supplementing the inventory on-hand at our stores, we have 374 larger
stores, known as HUB stores, which stock an additional 15,000 less common SKUs which are available to our stores within the
HUB store's service areas on a same-day or next-day basis. Our stores also have access to a total assortment of 93,000 SKUs
for same-day or next-day delivery from our network of 19 Parts Delivered Quickly, or PDQ®, facilities. Additionally, our
customers have access to over 522,000 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
covered 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 products we offer in our stores include:
• Parts, including alternators, batteries, belts and hoses, brakes and brake pads, chassis parts, clutches, driveshafts,
engines and engine parts, ignition parts, lighting, radiators, starters, spark plugs and wires, steering and alignment
parts, transmissions, water pumps and windshield wiper blades;
• Accessories, including air fresheners, anti-theft devices, emergency road kits, floor mats, ice scrapers, 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, including certain eServices.
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.