O'Reilly Auto Parts 2006 Annual Report Download - page 8

Team O’Reilly is well known as one of the best success stories
in the automotive aftermarket. What makes Team O’Reilly
so successful is how we go to market. O’Reilly started out as a
wholesaler, supplying the installer side of the market. Through
the years, more and more “do-it-yourself” customers came to
our stores to purchase quality name-brand parts and get expert
advice. You might say it was a natural evolution as O’Reilly
became the only major chain in the country to equally serve
both the wholesale and retail sides of our industry.
In fact, our “Dual Market” strategy is what has propelled our
Company to the top, and is what truly sets us apart from our
competition. We continue to enjoy a near 50/50 business split.
While serving both sides of the market is not an easy task, it
allows our Company to offer the best combination of inventory
availability, price, quality and service. Our commitment to the
professional installers’ rigorous demands has translated well
to the needs of our DIY customers. Our broad selection of
inventory, highly competitive pricing backed by our “Low
Price Guarantee,” and the extensive product knowledge of our
Professional Parts People are key attributes to satisfying the
needs of both sides of the business.
We began servicing the installer customer in 1957, and we
fully understand their needs and know how important our
service is to the success of their business. At a standard labor
rate of $60 an hour, waiting on parts costs our installer
customers $1 a minute, so the faster we can deliver, the
stronger our relationships become. We offer extensive support
programs, professional training classes and a dedicated sales
team of 264 professionals who solely devote their time to
building relationships with our installer customers.
Do-it-yourself customers and professional installers alike respect
the sound reputation that stands behind the O’Reilly name.
Since the beginning of O’Reilly, our business philosophy has
stayed the same. We value every one of our customers, and
as we near our 50th anniversary in business, we promise to
continue our commitment to making customer service our
No. 1 priority!
We Are Professional
Parts People.
o’reilly automotive 2006 annual report
page 6
automotive aftermarket industry overview
“When it comes to customer service, little things matter a lot.
Things like acknowledging a customer as they enter the store, smiling at them
as you help find the products they need, and thanking them for their
business as you hand them their receipt.”
$38 billion
$80 billion
DIY Growth Is 3% to 5%
Professional Installer Growth Is 3% to 5%
We have gained the trust and loyalty of both retail and professional installer customers with
our distinctive O’Reilly brand of outstanding friendly, knowledgeable service and elevated
customer service into a clear competitive edge in the marketplace.
We will continue to build momentum in the coming years with our proven
“Dual Market” strategy ... O’Reilly will continue to be a trusted name in the eyes
of both commercial and retail customers.