MONROE, Mich. — As the market shifts to favor import vehicles, domestic aftermarket companies are expected to promote products with new marketing and merchandising materials to meet this growing demand.
The push to provide import replacement parts, while lucrative, stands to be an uphill battle for suppliers, according to some import repair shops.
At a recent Tenneco Automotive Import Tech Day event, the company announced expanded import coverage for their Monroe and Walker brand products.
Tenneco executives believe the import category represents a huge, largely untapped market for replacement parts distributors, jobbers and service providers, and that OES dealer networks are aggressively targeting the business.
According to the Motor and Equipment Manufacturers Association (MEMA), the number of new import vehicles registered in North America has grown by nearly 60 percent since 1993.
Richard Alameddine, vice president of marketing, North American aftermarket, for Tenneco, explained that the owner of an import vehicle is less likely to have a relationship with an aftermarket service provider. “As a result, that consumer might not be aware that the general repair shop down the street has ready access to premium-quality replacement components for their import vehicles.”
According to Tenneco research, 31 percent of import owners currently rely on general automotive service shops for ride control replacement, compared to nearly 50 percent of domestic-vehicle owners who choose general automotive repair locations.
In an effort to attract new customers within the import category, Tenneco visited import specialist shops to learn some of their best practices for attracting the import market, and has since developed marketing tools aimed at this segment.
In June, the company created an import-only catalog of replacement ride control products, which includes coverage of more than 93 percent of import vehicles registered in the U.S. and Canada. Monroe Sensa-Trac® and Monroe Reflex® shocks and struts are now available for more than 60 million import vehicles, including Honda, Toyota, Nissan, BMW and Mercedes.
“As a company, we need to give them tools and let them know what Monroe can do to help them capture part of that market,” said Bill Dennie, director of ride control channel management, North American aftermarket for Tenneco.
Other marketing materials include the “Safe & Sound Guarantee,” a 90-day trial offer for the import line, as well as promotions under Monroe’s Expert Plus dealer loyalty program.
Under the Safe & Sound Guarantee, the company will reimburse both the cost of the parts and the tech’s labor costs if the driver is not satisfied with the products.
Attached to name brands
Swede Farling, vice president of M&C Foreign Car Parts, said he hasn’t seen many domestic suppliers take the step to market import replacement parts.
The names are what propel this segment of the market, he added. “It does seem that the import garages want the name brand … like Bosch, Denso or NGK,” said the Mechanicsburg, Pa.-based jobber. “They want what came on the car. It seems to be that way with shocks, too.”
Industry leaders say conquering the import market will likely involve reshaping perceptions throughout the aftermarket.
Primarily the technician drives brand recognition, said Chuck Hartogh, vice president and cofounder of C&M Auto, based in the Chicago area.
“If we recommend a part brand, they’re going with what we’re recommending,” he said. “They don’t necessarily come in and say, ‘I want the OE shock.’”
The tech is ultimately looking for a brand that’s not going to result in a faulty or malfunctioning part for the customer, he added.
