After-Sales Parts Management (APM©) - Proactive & Intelligent Spare Part Marketing
A.P.M. is an innovative approach towards Spare parts distribution marketing management . A.P.M. gives you a sustainable competitive advantage in spare part sales, through the application of a comprehensive set of:
Best practices
BI tools
Training & OJT sessions
Designed to dramatically upgrade your ability to profit from after sales
Watch The Demonstration on how to identify and capitalize upon Profit opportunities
NG Group's APM© methodology is a comprehensive approach towards managing the business of Spare Parts that is designed to dramatically increase your after-sales profits.
Did you know that according to Delloite Research:
After market sales and services are 75% more profitable than core business sales. After-Sales contribute an average of 46% to overall profits.
How much management attention and resources are you devoting to after-sales?
If you did decide to invest time and effort into after-sales marketing, would you know where to start?
Our extensive experience in these markets raises similar observations. Often, companies rely heavily on after-market profits to keep them "afloat" in times of hardship with core sales, since the aftermarket behavior is more robust than primary sales. However, when we look into the potential these companies have in these markets and the rate they are utilizing it, we usually find heaps of "money on the floor" i.e. easily accessible potential underutilized and lost.
Did you know that:
According to research done by Shell in the UK, a large dealership loses about 1M£ a year, simply from not tracking it’s customers maintenance schedules.
Challenges
PROFIT - Spare part distribution is considerably more profitable than vehicle sales - After Sales contribute an average of 45% of the profit of automotive distributors. While these facts are well known, most companies spend 5 times more on vehicle marketing and planning than on the same activities in After Sales. However, organizations that choose to pursue an After-sales strategy are faced with many challenges:
A complex market – Multiple channels, multiple products, sales are buffered by channels but driven by end-users
A variety of products – around 60,000 SKU per brand each one with different competition, consumption behavior and market potential
Global environment – After-market products in Thailand, quickly impact prices in Europe
Mass market with a decentralized distribution channel - No direct customer relationships
APM Solution Map

To View The Market Analysis Solution
To View The P.O.M Brochure (PDF)
To View The Part Pricing and Marketing Strategy Solution
To View The MAP & ACT Brochure (PDF)
To View The Budgeting and Performance Control by APM Solution
Added Values
APM© solution transforms your spare-parts distribution business from a demand driven, reactive department, to a pro-active, marketing driven organization
POM (Profit Opportunity Map) dashboard, enables managers to accurately target potentials and focus marketing efforts on high-potential markets.
Map & Act methodology and BI Tool makes pricing, discounting and product offering management into a pro-active and agile process, setting your organization as a market leader rather than a reactive follower.
Market adaptive: APM© is highly adaptive to different markets. This flexibility is achieved through market-specific decision points. These points are embedded in the methodology, as a multitude of options and directions for advancement.
Integrated: APM© addresses both business issues and organizational and IT infrastructure. Implementation of APM© integrates this knowledge into the organizational system.
Continuous incremental ROI: The organization starts receiving value from day one. Through supplied BI (Business Intelligence) tools and external analysis, immediate insights and actions are formulated. The process can continue to implementation in the organization's own systems and processes adding a sustainable competitive advantage to the business's capabilities in after-sales part management.
Benefits
Give your business an in-depth understanding of market base and profitability Enhance the effectiveness of pricing strategy and marketing programs Achieve a functional transformation of the aftersales operation into a business oriented marketing unit Proactively manage interactions with customers aimed at maximizing the utilization of customer potential
Recommended Article: "Empowering Dealerships" - Identifying and Capitalizing upon Profit Opportunities
For the APM - After Parts Management Data Sheet (PDF)
For more information on how NG Group Automotive Consulting can help you with Dealership Performance Improvement results, please Contact Us.
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