Advance Auto Parts 2013 Annual Report Download - page 20

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The ‘Service is our best part®’ campaign was developed based on extensive research with our customers and Team
Members. It has become the Company’s promise which has been embraced by each of our 71,867 Team Members. The
campaign targets core DIY and Commercial customers and emphasizes our commitment to provide market-leading service to
our customers. The campaign is built around a multi-channel communications plan which brings together radio, outdoor, direct
marketing and digital media. The plan is supported by in-store and event signage as well as mobile and social media.
A final component of our marketing plan is event marketing. Previously, Advance was the title sponsor of the Advance
Auto Parts Monster Jam, a live family-oriented monster truck event tour. Our sponsorship programs have shifted to local,
grass-roots level events intended to positively impact the individual communities we serve, including Latino and other ethnic
communities, and to drive awareness and repeated store visits.
AI Segment
AI’s business primarily serves the Commercial market, with an emphasis on parts for imported cars, from its store
locations located primarily throughout the Northeastern, Mid-Atlantic and Southeastern regions of the United States. In
addition, its North American Sales Division serves warehouse distributors and jobbers throughout North America. We believe
AI provides a high level of service to its Commercial customers by providing premium parts, expert customer service and
efficient parts delivery. As a result of its extensive sourcing network, AI is able to serve its customers in search of replacement
parts for both domestic and imported cars and light trucks with a greater focus on imported parts. The vast majority of AI's
product is sold under its own proprietary brand. The AI stores offer approximately 30,000 SKUs through routine replenishment
from its supply chain with access to over 200,000 SKUs through local sourcing networks.
AI has significantly increased its store count since our acquisition of AI in September 2005. As of December 28, 2013, we
operated 217 stores under the “Autopart International” trade name in the following states:
Location
Number of
Stores Location
Number of
Stores Location
Number of
Stores
Alabama 1 Maine 4 New York 33
Connecticut 16 Maryland 11 Ohio 5
Delaware 1 Massachusetts 31 Pennsylvania 22
DC 1 North Carolina 5 Rhode Island 4
Florida 40 New Hampshire 8 South Carolina 2
Georgia 6 New Jersey 18 Virginia 9
The following table sets forth information concerning increases in the total number of our AI stores:
2013 2012 2011 2010 2009
Beginning Stores 218 202 194 156 125
New Stores 12 21 9 38 32
Stores Closed (13) (5)(1) — (1)
Ending Stores 217 218 202 194 156
Seasonality
Our business is somewhat seasonal in nature, with the highest sales usually occurring in the spring and summer months. In
addition, our business can be affected by weather conditions. While unusually heavy precipitation tends to soften sales as
elective maintenance is deferred during such periods, extremely hot or cold weather tends to enhance sales by causing
automotive parts to fail at an accelerated rate.
Team Members
As of February 20, 2014, we employed 41,238 full-time Team Members and approximately 30,629 part-time Team
Members. Our workforce consisted of 87% of our Team Members employed in store-level operations, 9% employed in
distribution and 4% employed in our corporate offices. Our team member counts reflect the GPI acquisition. As of February 20,
2014, less than 1% of our Team Members were represented by labor unions. We have never experienced any labor disruption.
We believe that our Team Member relations are solid.