COUNTER PROFESSIONALS SURVEY
What’s it like being on the front lines of a jobber store these days? We asked pros about their employer, customers, vendors, state of the industry and more in the inaugural edition of this survey
Jobber News is Canada’s longest-established publication serving the distribution segment of the Canadian automotive aftermarket. It is specifically directed to warehouse distributors, wholesalers, machine shops, and national accounts.
Publisher | Peter Bulmer (585) 653-6768 peter@turnkey.media
Managing Editor | Adam Malik (647) 988-3800 adam@turnkey.media
Associate Editor | Derek Clouthier
Contributing Writer | Kumar Saha, Zakari Krieger, and Lauren McCullough
Creative Director | Samantha Jackson
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Sales | Peter Bulmer, (585) 653-6768 peterb@turnkey.media
Delon Rashid, (416) 459-0063 delon@turnkey.media
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Production | Tracy Stone tracy@turnkey.media
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THE ESSENTIAL ROLE OF LISTENING
It’s a different world today being an automotive parts specialist than it was just a few years ago. We now live in a world where instant gratification dominates and the pace of business moves faster than ever.
The role of counter professionals working at jobber stores has become both more crucial and more taxing. Customers no longer just expect — they demand immediate solutions. Shops are under constant pressure to have parts delivered without delay. Talent shortages leave gaps in service ability. Older pros who know their stuff are looking at the retirement clock. The opportunities for proper training are dwindling.
Yet, despite these mounting pressures, the voices of those on the front lines —the counter professionals — can easily be the ones that go unheard.
It’s easy to overlook the daily challenges faced by counter pros. After all, they are the ones who ensure that parts are sold, questions are answered and problems are solved. But how can we truly understand their struggles and frustrations if we don’t take the time to ask? This lack of communication can lead to burnout, mistakes and, ultimately, a decline in the level of service that shops and retail customers rely on.
This is why we conducted our recent survey — because listening to counter staff is not just a matter of courtesy; it’s an essential component of running a successful business in today’s demanding environment.
The first Annual Counter Professionals Survey aimed to dig deep into the day-to-day realities of counter professionals, to uncover what’s truly eating away at them and to identify ways in which everyone from employers to vendors to customers can better support them. And we wanted to know what's working and what's being done right.
The results were telling. They’re dedicated to the job. They mostly love where they work and what they do. They feel like they’re part of a family.
But this dedication can come at a cost. Everyone likes to be appreciated. But when they don’t feel that, on top of being overburdened, it affects not just their own wellbeing, but the overall efficiency and success of the business. Mistakes become more frequent, customer satisfaction declines and the bottom line suffers. On the flip side, when taking the time to listen, the benefits are felt throughout the entire organization.
So, what can be done? First and foremost, prioritize communication. Regular checkins and open-door policies can go a long way in making your staff feel valued and heard. Training should not be seen as an optional extra but as a vital part of their role — a key role for vendors. And shops need to understand jobbers may be understaffed and inexperienced, leaving a knowledge gap. Patience is needed.
In an industry that thrives on speed and efficiency, taking the time to understand those behind the counter might seem like a luxury we can’t afford. But in reality, it’s one of the most important investments we can make.
President & Managing Partner | Delon Rashid
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Without them, the wheels of the industry would come to a grinding halt.
Adam Malik Managing Editor, Jobber News
HOW THE AFTERMARKET IS TREATING AMAZON
Jobbers have been selling parts to those who install their own parts for years at a lower cost. This just makes the selection larger. If the part is wrong from a local jobber, it can be exchanged in a very short time. But from Amazon and eBay? Could take a day or two. Who covers shop time to put the vehicle back together or get it towed out until the correct part comes in?
Bruce Goddard, The Rad Shop
I agree with Bruce but there is so much push back from the clients that regardless of workmanship, they will call any and all service outlets to find one who will install their Amazon parts. For the reasons that Bruce has outlined, the service outlets should now be expressing to the clients that there is no warranty on parts or labour for customer-supplied parts of any kind and that there should be an hourly charge for bay time regardless if any work is being done or not. That would cover any costs that the customer would incur over a warranty situation or they pay to have the vehicle reassembled to get it out of the bay. This needs to be a contract laid out before the vehicle comes in the door. We have an extreme lack of technicians, we cannot be wasting their time.
Barry Makins, Makins Automotive
HOW FAR BEHIND THE INDUSTRY IS WITH LABOUR RATE
I’ve been an auto technician for over 30 years. I started out making $25/hour. The labor rate for the business was $50/hour. Thirty years later, the average labor rate is around 130/hour. I make $30/ hour. A $5 raise in 30 years. It’s no wonder you can’t find new techs.
Brad Taylor, automotive service technician
DEALERS SLOWLY TAKING INDEPENDENT MARKET SHARE
I would like to see this data broken down in a more “per capita” sense. Anecdotally, it feels like independent shops are rapidly disappearing, while new OEM dealerships seem to be popping up everywhere urban sprawl touches. Are the dealers really doing better, or are there just less options for the consumer?.
Geoff Walton, Grant Street Garage
PRICE TAG CONTINUES TO HOLD BACK POTENTIAL EV BUYERS
Do you really think price is the only reason people are not buying We
EVs? Why does nobody address the severely underdeveloped charging infrastructure? I am sure that plays a big reason to not buy an EV.
Bob Ward, The Auto Guys
THE DISSATISFACTIONS PUSHING TECHS OUT OF THE INDUSTRY
The flat rate pay system creates a tremendous stress on a technician. Basically, hurry-hurry-hurry to make a living. Not focusing on accurate, quality service. It doesn’t benefit the technician or consumer, only manufacturers for warranty repairs.
Bruce Eccles, Eccles Auto Service
Don’t think AI will just dive in and say replace a part but would guide tech along a diagnostic testing approach. This is already used in scan tools.
Mike Smith, Elite Auto Service & Detailing
WHEN TO KNOW IT’S TIME TO FIRE SOMEONE
Sadly, I did the same thing a few years ago and two of the best techs left after years of service. Never made that mistake again.
Barry Dale, Trinity Repair
Performance can mean different things to different people. Some value speed, while others like to see high success rates. Some see high billable hours as high performing. So defining “high performing” needs to be made more clear.
I personally prioritize success rate over speed or billable hours (to an extent with the latter). While I am not the fastest in my shop, I try to keep my times as close as possible to the quote. If I’m not happy with the final work, I’ll go over the quote time to ensure the repair is sound. Does this make me a poor performer? Does my employer or my colleagues hold different views and therefore question my abilities/worthiness/contributions to the revenue of the shop?
Stephen Osellame, automotive service technician
CAN’T FIND TALENT? WHY THIS COACH DOESN’T BELIEVE YOU
I agree that problematic employees need to be released. I also agree with hiring into a culture mindset, one established by the owner. Having a backup “bench” is impractical and a poor analogy. I think a good team is built and nurtured from the ground up, not bought.
Stephen Osellame, automotive service technician
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WORLDPAC SOLD TO PRIVATE EQUITY FIRM CARLYLE
THE FUTURE OF WORLDPAC is now more clear. Advance Auto Parts announced on Aug. 22 that it has agreed to sell the aftermarket auto parts distributor for USD$1.5 billion in cash to funds managed by global investment firm Carlyle. The transaction is expected to close before the end of the year.
Worldpac was put on the block in November last year.
“The sale enables our team to sharpen their focus on decisive actions to turn around the Advance blended box business,” Advance president and CEO Shane O’Kelly said in an announcement. “Proceeds from the transaction will provide greater financial flexibility as we continue our strategic and operational review to improve the productivity of the company’s remaining assets and better position the company for future growth and value creation.”
He went on to thank the 5,000-plus members of the Worldpac team over the last 10 years since Advance acquired Worldpac.
Carlyle is no stranger to the aftermarket and automotive as its portfolio includes the likes of Axalta, specialty chemicals company Nouryon and Allison Transmission.
Advance’s Canadian business, Carquest, was also said to be for sale though no announcement or updates about it have been provided.
See more analysis about the deal on Page 22.
STANDARD MOTOR PRODUCTS ACQUIRES NISSENS
STANDARD MOTOR PRODUCTS, INC. announced it had acquired Nissens. The deal is valued at US$388 million and will be an all-cash transaction.
“We are delighted to announce this acquisition, which will make our combined business
the aftermarket leader in North America and Europe in thermal management products,” Eric Sills, SMP’s chairman and CEO said in the announcement. “It will also expand SMP’s portfolio of powertrainneutral product categories.”
Nissens, founded in 1921, will continue running as a stand-alone business. However, Sills noted that they will look to leverage the combined strengths of the companies to find cost and revenue synergies.
Nissens is a European manufacturer and distributor of aftermarket engine cooling and air conditioning products, with annual revenues of about $260 million.
MOBILE REPAIR IS OUTPACING DIFM
THE BARRIERS TO MOBILE vehicle repair are coming down and the market is now growing at a much faster pace than the do-it-for-me segment, a recent report found.
From 2016-2020, the mobile repair market grew 16 per cent annually — then twice that pace the next two years, reported Lang Marketing.
“Between 2016 and 2022, mobile repair climbed at an annual pace more than ten times faster than the overall DIFM light vehicle market,” it said in its report, Mobile Repair Surges Ten Times DIFM Pace.
There used to be three key barriers, ones that were believed would insulate vehicle repair from disruption: The need for hands-on technician diagnosis, required parts at the place of repair and the value of a personal relationship between vehicle owners and repair outlets.
But that’s changed now. Advancing technology and the differing values of younger generations have played roles in significantly altering how consumers decide when and where to have their vehicles
repaired.
“The rapid growth of mobile repair has demonstrated that the barriers to auto repair disruption are no longer as formidable as once thought,” Lang’s report said.
Mobile repair, it observed, can perform more than 85 per cent of repairs in one visit to the client, with an expanding range of repairs coming.
VAST-AUTO EXPANDS IN NEWFOUNDLAND
THREE STORES IN NEWFOUNDLAND are now part of the Vast-Auto family.
The Montreal-based auto parts supplier announced it added three new Parts City Auto Parts company-owned stores. Formerly known as Browne’s Auto Supplies, the stores are located in Mount Pearl, St. John’s and Bay Roberts, Newfoundland.
In the announcement, Mauro Cifelli, president of Vast-Auto, welcomed the new team members to the company, noting it serves as a springboard for the company to expand further in the province.
“The stores will continue to operate at their current addresses and their phone numbers remain the same. The team members
are excited to continue to serve their customers’ auto parts needs as members of Parts City Auto Parts,” he added. “Our priority will be to capitalize on our high-quality parts, exceptional product availability, strong distribution network, and outstanding team members to deliver excellent customer service.”
AUTO VALUE PICKS TOP CANADIAN TECH
JAKE FEHR OF WINKLER, Manitoba, has been named the 2024
INDUCTOR® Pro-Max
the collateral damage of an open flame to nearby parts. Quickly and easily remove vinyl graphics, moldings, auto glass, windshields, mechanical and suspension parts.
Auto Value Technician of the Year.
A technician at Chad’s Auto Repair, an Auto Value Certified Service Center and customer of Piston Ring Service and Supply, Fehr was recognized with the honour during a ceremony in Detroit in July.
In all, 16 technicians from across the United States and Canada competed in the 2024 Auto Value Technician of the Year finalist competition, which was sponsored again by DRiV and Garage
Gurus. The competition included a custom Automotive Service Excellence examination and a series of Garage Gurus’ hands-on skills tests.
“I sincerely appreciate the opportunity to be here and the generosity of everyone involved. This has been a phenomenal experience and want to thank the team at Piston Ring Service for their support,” Fehr said in an announcement from Auto Value. “This is such a strong and important program because not only does it honour current professionals, but it sets an example and encourages young talented folks to come join our industry.”
VEHICLE OWNERSHIP IMPACTED BY INFLATION
CANADIAN MILLENNIALS ARE increasingly being priced out of car ownership due to inflation, a recent study has revealed.
Those being hit hardest are between the ages of 25 and 34, according to the Car Ownership Index from Turo, a peer-topeer car-sharing marketplace. It found that 56 per cent of young millennials are less inclined to purchase or lease vehicles this year — compared to 46 per cent across all age groups.
Last year, the percentage of Canadians reconsidering car
ownership was lower with 39 per cent showing a level of financial caution related to vehicle ownership. The findings indicate a shift in Canadians’ approach to car ownership, exacerbated by financial concerns that have escalated over the past year.
The index pointed to a growing trend of economic conditions affecting Canadians’ decisions on car ownership. Nearly two out of every five (37 per cent) respondents without a vehicle stated that high costs are the primary deterrent — an increase from 32 per cent the previous year.
The index shed further light on the struggles young millennials face in maintaining or acquiring a vehicle. Almost one in five (17 per cent) of young millennials plan to forego owning or leasing a car in the future, compared to 12 per cent across all demographics.
LIGHT TRUCKS BOOSTING INDUSTRY BUSINESS
A NEW REPORT FROM Lang Marketing noted that light trucks surpassed cars in aftermarket product volume by over 60 per cent per vehicle last year, a noticeable increase from the 50 per cent difference observed a decade ago.
QUALITY THE PROS COUNT ON.
In Canada, DesRosiers Automotive Consultants reported that the light truck segment cracked the 85 per cent mark for the first time for new vehicle sales.
These bigger vehicles are more costly to repair. And with more of these vehicles entering the traditional aftermarket sweet spot, the aftermarket is benefitting.
The disparity in product use between light trucks and cars can be attributed to three main factors. First, the components for light trucks generally carry a higher price tag than those for cars. Secondly, there is a higher volume of accessories for light trucks, particularly for pickups and SUVs. Third, light trucks have significantly increased their presence in the traditional aftermarket sweet spot category.
However, the report warns of a potential reduction in the sweet spot’s population starting in 2026 due to a downturn in 2020 new vehicle sales and a sustained below-average market size through 2023 and beyond.
“This will make the dominant share of light trucks in the six-to-ten-year vehicle age group even more critical to the annual volume of aftermarket products,” the report said.
OPTIMISM EVEN AS NEW SALES STALL
CANADA’S RUN OF 19 straight months of year-over-year increases in new vehicle sales came to an end in June. But industry observers at DesRosiers Automotive Consultants aren’t all that put off.
The 169,000 sales in June 2024 — dead even with the same time last year — probably could have come in higher if not for the devastating breach of CDK Global’s software, crippling dealerships from across North America from competing sales.
With dealers back online following the outage, interest rates cut and appearing to continue heading down and better OE incentives, there’s market momentum,
NAMES IN THE NEWS
Mike Ferris is joining NTN Bearings’ automotive aftermarket business unit as the regional sales manager for the central region. He was most recently with Schaeffler.
MEMA Aftermarket Suppliers announced Brendan Morris, vice president of sales at GRI Engineering, as the new chair of the Brake Manufacturers Council.
Vast_Auto Distribution held its annual golf tournament on Aug. 14. With 150 golfers taking part, $25,000 was raised for a pair of charity organizations.
DesRosiers’ analysis outlined. June’s seasonally adjusted annual rate came in at 1.72 million, a tick ahead of May, a “definitive positive,” said Andrew King, the consultancy’s managing partner.
Year to date, the market is up 10.4 per cent compared to the first six months of 2023 with an estimated 924,000 vehicles sold.
“With interest rates starting a downward cycle and the inventory issues behind us, we will be watching closely to see how much momentum the market can hold on to as pent-up demand starts to wane,” the analysis said.
Stats that put the North American automotive aftermarket into perspective
$175,000
Shad’s R&R Golf Tournament added to its lifetime donation total for those suffering from muscular dystrophy. In 49 years, more than $5.7 million has been raised.
4.2%
The increased cost of maintenance as price gains continue in the aftermarket. Parts saw a 2.9% uptick in April.
DesRosiers Automotive Consultants
24,760
Motor vehicle repair shops grew 0.5% over a 10-year period to 2023. From 2022 to 2023, growth was 0.7%, or 165 establishments.
10.4%
The first half estimated increase of new vehicle sales in 2024 compared to the same time in 2023. Subcompact SUVs led with a 47.6% increase.
11%
Atlantic Canada saw an increase in in vehicle thefts in the first half of 2024 compared to the same time in 2023. Ontario dropped 14%; Quebec went down 36%.
Équité Association
68%
Most drivers planned to take a road trip this year with 93% saying they enjoy taking a road trip. Most (82%) prefer the scenic views.
Mazda North American Operations
$66,807
Average prices for new cars jumped 0.8% year-over-year in June. Meanwhile, used prices dropped 8.3% to $36,342.
AutoTrader
$6,534
Average prices for new cars jumped 0.8% year-over-year in June. Meanwhile, used prices dropped 8.3% to $36,342.
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DOES AFTERMARKET E-COMMERCE MATTER IN CANADA?
Online part sales have yet to catch up in our country //
By Kumar Saha
South of the border automotive parts e-commerce is on a tear.
According to a recent report by automotive aftermarket data specialists Lang Marketing, online parts sales increased by 50 per cent between 2019 and 2023 bringing the market to USD$35 billion. That represents about a 14 per cent share of the total aftermarket.
A big chunk of that growth came in the COVID years when the physical business hobbled and digital sales skyrocketed. The explosive growth has since tapered off but has remained strong enough to manifest solid year-over-year increases. Do-it-yourself (DIY) sales have traditionally buoyed the online market, but higher growth is coming from the business-to-business (B2B) segment now. Indeed, the B2B share of online sales has doubled since 2016, according to the Lang report. B2B growth is expected to continue to outpace DIY growth in e-commerce in the next five years.
Given that the Canadian market often mirrors America, the e-commerce story would be similar here, right? Wrong.
Before we get into it, I must note that data on online sales in the
Canadian aftermarket is limited. My analysis — or theories — to follow are entirely based on my observations of the market and ongoing discussions with industry stakeholders.
Let’s start with the big picture. Compared to about 16 per cent in the U.S., Canada’s online share of overall retail sales was around 12 per cent in 2024, based on data from eMarketer. Not a huge gap, but things are different in automotive.
America has become an increasingly retail-driven market in the last couple of decades with the ascendance of the big four players: AutoZone, NAPA, Advance Auto Parts and O’Reilly. All these retailers have a substantial presence in online sales. Then there are marketplaces such as Amazon and eBay, along with highly successful pure players such as Rock Auto, Jegs, Summit Racing and others. All of these competitors report substantial revenue.
Canada does have NAPA and Canadian Tire/PartSource, but its other key players are distributors such as Uni-Select and Lordco, which do not have a direct e-commerce presence. It does have the tire retailers and Amazon, but other pure players such as PartsAvatar and Tdot are either too small or too niche. We are also a largely DIFM market that does not lend itself to consumer e-commerce.
a great source for understanding your market position. Do you have the right products? Are you positioned correctly in the market?
According to a survey by the Automotive Industries Association of Canada, only 12 per cent of respondents purchased online parts in Canada. Top purchase categories included motor oil, washer fluid and wipers. While the AIA Canada data paints a positive picture, other anecdotal evidence suggests that online penetration is well below 10 per cent.
Suppose we assume the Canadian parts aftermarket to be about USD$11-12 billion (based on the Auto Care Factbook, service and parts estimate at about USD$24 billion). In that case, online sales will account for less than USD$1 billion overall.
So, the big question is: Does parts e-commerce matter in our market?
If you are simply thinking about revenue, probably not for most stakeholders. Unless you are selling wipers and tires, the market is
still too small to have a major impact on your topline.
But there are other things to consider here. Canada has enough online pure players and traditional retailers to create price transparency for customers. Twenty-one percent of Canadians browsed for parts online before making a purchase decision, as per the AIA Canada report. My assumption would be that number is far higher when Canadians make a repair decision; that is, when they are not looking to buy a part but would simply like to know if they are being charged fairly for parts and labour.
Part websites may not generate a lot of sales, but they influence purchase decisions creating product and pricing transparency. A customer might request a garage for a specific brand if it fits their budget and quality needs. If a product is available across multiple websites, a customer might attribute availability to popularity. Therefore, a brand without an online presence may as well be operating in the dark.
E-commerce is also a great source for understanding your market position. Do you have the right products? Are you positioned correctly in the market? Industry stakeholders regularly use online data to benchmark their products and pricing strategies against their competitors.
It might be a while before Canada sees any substantial revenue from online platforms, but e-commerce is still a worthwhile pursuit.
BUILT FOR THE ROAD.
FRONTLINE FEEDBACK
We polled counter pros about what works in their job and what doesn’t. Here’s what store owners, shops and vendor reps are doing well and where they can improve // By Adam
Malik
Things have changed in the auto parts distribution scene over the last few years. Jobber stores have been hit by mass amounts of disruption to the way business has traditionally been done, faced supply challenges and are looking ahead at a pathway that leads to more e-commerce.
And facing the brunt of all these changes are the store’s counter professionals, the unsung heroes. They are the first point of contact for customers, the ones who navigate the complexity of an inventory that is only growing to find that elusive par. They are the faces that represent the store’s brand. Yet, despite their pivotal role, those in such positions are at risk of their voices going unheard.
This oversight can be a costly mistake for jobber store owners.
Listening to front-line staff, particularly counter professionals, is not just a matter of courtesy — it’s a strategic imperative. These employees have a unique vantage point, seeing firsthand what works and what doesn’t. They understand customer pain points, the inefficiencies in the system and where the gaps are.
So Jobber News decided to get their opinions on where the issues are — and where things are working well. The goal here is to tap into the wealth of insights that can help jobbers drive operational improvements and enhance customer satisfaction.
In essence, the act of listening to front-line staff is a powerful tool for continuous improvement. It fosters a culture of inclusivity and respect, one where employees feel their contributions matter. This, in turn, can lead to lower turnover rates, higher productivity and a more loyal customer base.
So let’s dive into what our survey found…
Counter pros love their job
The vast majority of counter professionals are happy with the position they’re in — 92 per cent said that their job is at least good. Breaking that down, 54 per cent said they love their job. Only 8 per cent believe improvement is needed.
“I enjoy learning about new technology in vehicles, the new EV vehicles [are] exciting,” one respondent wrote when given the opportunity to explain their answer.
They admitted that they’ve had challenges being good at customer service but have grown into the role.
“I think I would like to see more training for products we sell in order to better explain the benefits to customers,” they noted as something that could use improvement.
When looking at the other responses, most pointed to the joy of
working with customers to find the part they need or otherwise helping a customer resolve the issue they’re facing.
“Love being able to find parts to fit our customers’ needs,” one respondent said.
“Interesting field of work. Making customers happy is satisfying,” another said.
One pointed to enjoying the challenge of the work because there’s a new one popping up all the time. “It feels good to help people solve their problems or just give them helpful advice,” they added.
When it comes to the bad, some pointed to demands of some customers as taking the wind out of them.
“The mental demand to fill the needs of the consumers and installers can be taxing,” one noted.
Another pointed to the lack of pay for a position that requires them to be at least a semi-expert in the field. This respondent prefers to work with pros who know what they’re talking about. “Fulfillment comes from my shop and fleet customers. I help them get what they need without having to explain how to do [a] brake job,” they explained.
Great work environment
The vast majority of counter pros (85 per cent) said they love their work environment and feel supported by their employer and superiors.
“They are constantly trying for improvements, internal, inventory, delivery,” one person noted.
“My employer allows me flexibility to take care of the customer and make the situation right if something goes wrong,” another wrote. “They provide just enough pressure to ensure that we are on the right track, and doesn’t micromanage.”
Many responses were similar, noting that the store feels like a family environment.
“We laugh. We cry. We fight. We make up. It's like family and we all care,” one commented.
However, another pointed out that even though they feel like a number to the owner, they get along great with their immediate manager.
“The employer is good at providing for employees in pay and benefits,” another respondent said. “Communication from the top down could use improvement.”
Top customer issues
Dealing with customers can be a challenge. They come from all walks of life and armed with different demands and expectations.
Given the digital age in which we live, that can help — and hurt.
“I find the retail customer is more informed these days but not with the best information most times,” one counter pro mentioned.
Sometimes, the customer doesn’t even know the type of vehicle they’re driving. That doesn’t help when trying to find the parts they’re looking for, one answer pointed out.
But it’s not just the retail customer giving headaches — shops are often making things more difficult on jobber store staff. Many pointed to the lack of information provided about the vehicle being worked on.
“More shops need to use VIN scanning and decoding to get accurate parts,” one respondent commented.
Others noted that their customers often “have no idea” what they’re looking for. The counter pro is left asking many questions about what they’re looking for.
“Providing full information has always been the weaker point for installers and consumers. Lack of knowledge of part needed is also a challenge since OEM manufacturers are creating new part names for their components,” one observed.
Supply issues easing but some complaints
We’ve come a long way from the times of shelves being relatively empty. Jobbers reported selling out of many products; quality wasn’t a question because shops wanted to get their hands on whatever they could to service customers’ vehicles.
How are supply issues for you compared to one year ago?
Better, we have most items in stock or can get them quickly when needed
Same, there hasn't been a change
What industry trends and changes are impacting your work the most?
What's most important in the jobber/shop relationship?
Recovery has taken place as 85 per cent of respondents reported that they have most items back in stock or can quickly get what’s needed.
But when asked to comment on how things are, rather than singing praises, counter pros noted there are still challenges they’re facing.
“Still problems with getting basic maintenance parts. Our warehouses need to do a better job of stocking really common maintenance parts,” noted one respondent.
“Our supply chain is good but being NAPA, it should be second to none but [that’s not] not the case. I often have to go outside our company to find product for my customers,” another explained.
A pair of comments pointed to the need for better data when looking up parts online, from fitment data to inventory levels.
One noted that manufacturers are putting products online to be purchased at a lower cost.
“Manufacturers should be more proactively protecting the integrity of the authorized supply chain and authorized reseller network,” they said.
Dealing with online retailers
Speaking of selling online, a common issue jobbers face is when a customer pulls out their phone and sees the same part available through an online retailer for a lower cost. How do they deal with this?
One survey participant noted that they lose many customers to online retailers. But they’re mostly retail customers — shops need reliable parts and service right away.
We lose lots of customers to online. Retail mostly, Jobber shops need service now.
“Customers need to realize that there is more than price involved. We offer knowledge and a genuine attempt to help solve problems and issues that seem to happen regularly,” one professional explained.
That answer was the general theme of many others.
“We discuss the warranty issue with buying parts online and how it may cause extended downtime if there is an issue. We don't try to price match. I don’t feel we need to do anything different,” one said.
“If online they don't care about quality or brand as much so it is a hard sell but possible if we have time to explain the benefits of our products, service and warranty,” echoed another.
“We warn them that online has negative implications for warranty, support, and accuracy of parts fitment,” one respondent noted. “Online can be counterfeit, used, bait & switch, or other sub-par performing parts.”
Vendor support
Vendors are key to the jobber business. Not only do they supply the product, but they also train staff on the features and benefits. So when the shop calls or a customer walks in looking for advice, the counter pro is ready to serve.
However, responses were hit or miss when it came to what value the vendors provided.
“Reps are thing of past,” one observed. “Most lack technical skill and most have never worked inside a shop.”
There was also biting comment about the lack of training
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Tell us their story:
• What makes this shop special?
• How are they going above and beyond for their customers?
• How are they standing out from their competitors?
• How have they innovated over the last year?
WINNER WILL RECEIVE
- Milwaukee Tool prize pack valued at $3,500, ranging from PACKOUT ™ equipment to tools
- A visit from a Milwaukee Tool representative and Turnkey Media for an award presentation -Shop spotlighted in CARS magazine’s December issue
WE CAN’T WAIT TO HEAR FROM YOU!
We want to recognize a shop that has demonstrated high performance in the bays, shown innovation and creativity— through training, marketing, customer communication and/or sales. Historical success is always a contributing factor.
Deadline: October 18, 2024
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provided, with one in particular saying it was lacking from even just five years ago. Another noted that visits from reps have trailed off since the pandemic era and haven’t rebounded.
“Training is woeful, both from our company and our supplies,” said another.
Transitioning to the more positive remarks, one noted that training was limited, but “most supplier partners have good local representation.”
Others noted that reps do still come by nut as often anymore.
And there were several kudos given as well.
“Local suppliers have done an excellent job keeping up with the changes in our industry, especially during the COVID recovery days,” one said.
“Our suppliers are top-shelf,” another commented.
The challenges
The lack of staff and talent shortages were the clear-cut top challenges for counter professionals (62 per cent)
E-commerce (23 per cent) and supply chain (15 per cent) rounded out the top three
“Automotive aftermarket has done a poor job recruiting youth. HR does not work with schools,” said one respondent who added that there’s a lack of part time jobs at companies because they’re cutting back a lot.
While some noted that they’re bringing people in, they often have little experience
If you could give advice to your employer to make your job easier, more enjoyable or improve in anyway, what would you tell them?
Listen to the feedback from clients and make your people feel they can be part of the solution
Invest in training for counter people beyond simple ‘the partsman’ trade.
Make time for product seminars and additional product training and focus on features and benefits that can be passed on to customers.
Work with your suppliers and information technology companies to improve part lookup experience. Finding the right part has become increasingly complex. The cataloging needs to catch up with this.
More staff meetings to go over the progress of the business and the plans.
Always more money. We are falling behind and can't afford to eat anymore.
Continue to provide a positive attitude.
Allow me to work a 4 day week
applicable to the parts selling business.
“Hard to find good help. Nobody wants to work or do things right,” lamented one professional.
And the need to find people is getting stronger by the day. “We have a lot of experienced talent that are coming to the end of their careers. The new talent coming is coming along but is currently not learning at a rate needed to replace the retiring talent,” one respondent said.
Other challenges noted included online shopping and competing with those retailers.
“People shop online. Online stores don't have to deal with support and warranty. They don't have a brick-and-mortar presence with staff and technical support (overhead). You can't walk into your local Amazon or Rock Auto and show someone the part you need or compare parts for accuracy,” they wrote.
Another noted the online competition as a challenge but also parts proliferation as another.
What’s most important
When Jobber News and sister magazine CARS run surveys to shop owners and jobbers, we ask them about what they see as the most important aspect of their relationship. There is no outright consensus — 45 per cent of shops told the 2024 Annual Shop Survey that availability and inventory are the most important factor. Jobbers placed the relationship at the top with 52 per cent saying so.
We decided to ask counter staff the same question. Surprisingly or not, they answered similarly to their bosses — 54 per cent said relationship was tops. A third (31 per cent) picked availability and inventory.
And when given the opportunity to speak to shops, counter pros had plenty of advice to share that would make their jobs easier.
“Acquire and train good front-line talent to handle customer workflow. This will allow your technicians to focus on doing what they do best,” recommended one counter pro.
“Have proper planning and scheduling. Pre-order deferred work parts in advance,” another suggested.
Others noted to be better communicators, support local business and to call the store if you don’t see the product online.
One respondent urged shops to use better parts. “Saves us all time in the long run,” they said.
Brake Rotors and Drums
Brake Pads and Shoes
Brake Calipers
Hub Bearings
CV Axles
Chassis Parts
Complete Strut Assembly
Shock Absorbers
Strut mounts
Radiators
Water Pumps
Steering Pumps and Racks and Pinions
Steering Gears
Starters and Alternators
Batteries
Oil Pans
Fuel Pumps
Wiper Blades
Ignition Parts and Coils
Fuel lines
Exhaust Parts, Universal Converter, and Flex Pipes
Misc Automotive Parts
939 Warden Ave Scarborough ON M1L 4C5 Info@hotspotAutoparts.com | www.hotspotautoparts.com
ANALYZING THE SALE OF WORLDPAC
Automotive aftermarket experts see the deal as positive. Here’s what they had to say // By Adam Mailk
Auto care experts reacted positively to the news that Advance Auto Parts reached a deal with private equity firm Carlyle for wholesale distributor Worldpac.
After Advance announced in November that it would explore selling Worldpac, which specializes in replacement parts for import vehicles, speculation ran rampant as to who the new owners would be. On Aug. 22, Advance announced the USD$1.5 billion deal (See Page 7 for more details).
“Advance has been struggling with operations and integration and they needed the cash,” observed Kumar Saha, columnist for Jobber News and U.S. vice president and Canadian managing director for Eucon, a global automotive data firm. “Worldpac had remained largely independent in their operations, so the sale was the easiest plug-and-play.”
The sale to private equity was not much of a surprise as many speculated that to be the ultimate path.
Former Worldpac executive and now-retired aftermarket veteran Joe Mercanti figured this was the best result for Worldpac, sayinng it was resource-starved as part of Advance and citing a mismatch in business models.
“It just didn't mix,” he said about the two models. “They tried to mix it, but it just didn't mix. So I think it's going to be good.”
Ken Coulter, president of Ontario-based Specialty Sales & Marketing Inc., was encouraged by the sale, expecting it to lead to greater internal investment.
“Since the announcements of a pending sale last year, no doubt many initiatives at Worldpac have probably been slowed down or on hold,” he told Jobber News. “With a path forward now in place, one can expect to see some investments forthcoming in logistics, human resources, etc.”
However, Saha thought Worldpac could fill the needs of a traditional aftermarket company, given its specialty within the import market.
“I am surprised that a strategic buyer did not target Worldpac, considering its import focus could fill holes for the likes of an AutoZone or Canadian Tire,” he told Jobber News. “But PEs make the most compelling offers and may have made the most financial sense for Advance.”
To that point, Coulter figured that other aftermarket networks probably checked in — and maybe even placed a bid.
“On a purchase such as Worldpac, it would have to make sense to an existing network in all aspects — strategic, financial, logistical, etc.,” Coulter observed. “If it fit all categories with an existing network, we would probably be reading a different news brief today.”
Mercanti said he didn’t hear about an aftermarket company being included in the process but figured if one ultimately closed the deal, they’d face the same integration problems Advance had because of the different, and unique, model that Worldpac is.
“You can't mix the two. It's two different things,” Mercanti said in an interview. “I think it's great that it's an equity company and they'll
Bob Cushing, Worldpac executive vice president, and Shane O’Kelly, Advance Auto Parts president and CEO, speak to the media at the
see that Worldpac makes money.”
And there doesn’t seem to be much of a concern about a private equity owner — any fears that the company may be slashed to either improve the bottom line or spun off again weren’t there for these industry experts.
Coulter called it a good move. “Carlyle is extremely diverse and not oblivious to our aftermarket historically or currently,” he said, pointing to Carlyle property Axalta as being a market leader.
Carquest was also mentioned at the same time back in November as being for sale but no deal has been announced, neither has an update been provided as of press time. Coulter doesn’t believe there’s as much urgency to sell Advance’s Canadian operations.
“Carquest Canada is still a viable entity today with decent corporate store capacities and an extremely loyal associate following,” he pointed out. “There are also different means in which Canada can contribute to the transitions taking place with Advance/Carquest south of the border. That does not mean to say that if someone came
along with a cheque today [that] a sale would not take place.”
But Carquest will be a harder sell, Mercanti predicted.
“It's going to be hard to separate it from what they have now,” he explained. “I mean, their computer systems are all hooked into Advance and a lot of other things. I think it's not going to be an easier sale.”
He noted other large groups could be interested in Carquest, like LKQ or NAPA — but they’re so big already that they don’t really need it.
“So who's going buy? I mean, someone can buy it just get rid of a competitor,” Mercanti said, adding that Carquest could instead be an entry point for an American company to move north.
Now that one of the biggest deals has taken place, what will change in the aftermarket?
“Private equity corporations don’t buy companies to stay the same or hum along as they were,” Coulter explained. “Canada is different, so we will probably see a different approach here, as opposed to the USA.
“Once key elements have been addressed, look for aggressive marketing and sales strategies in an attempt to garner growth and market share in the coming years ahead.”
Mercanti agreed and echoed Coulter’s earlier sentiments about Worldpac now being able to grow with this chapter now closing.
“They'll put all kinds of resources into it and then grow it,” he predicted. “Because even when I was there, I know we were being starved of growth. I know if they put in 10 more locations, they can double their business.
“Their business model works. That's the thing. The business model works.”
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YOU DON’T NEED AN AI STRATEGY
But what you do need is an all-round business plan that includes how to implement AI to achieve your goals // By Lauren
McCullough
Over the past few years, the buzz around artificial intelligence (AI) has become hard to ignore, especially in the automotive industry. It's no surprise. Recent reports have shown that businesses utilizing AI in their operations are reporting a 15-30 per cent increase in revenue.
Though the fundamentals of AI are over 70 years old, the recent release of large language models like ChatGPT has created an inflection point. This has transformed advanced uses of AI from conceptual ideas into key components of strategic planning sessions — from boardrooms to factory floors.
However, after spending the last year speaking about AI at industry conferences, it has become evident that many companies in the auto part industry are still grappling with how to fully harness the potential of AI-powered technology. Many indicate they are developing an “AI strategy,” but there is no such thing as an AI strategy. What companies need to be assessing are forward-thinking business strategies that AI supports.
Solving real business challenges
The automotive industry is a prime example of a sector that is often "data-rich but information-poor." Challenges around managing large inventories, complex supply networks and vehicle fitment data have historically constrained companies, as analyzing such vast amounts of data often exceeds the capacity of even large organizations.
However, with the right tools matched to the right strategy, AI can thrive in this environment — especially when it comes to extracting key insights. Below are just a few key industry challenges where AI is bound to make a huge impact:
Inventory management
Auto parts businesses often face regular instances of poor inventory management due to a lack of data. By studying real-time information, market tendencies and seasonal changes, AI can enhance inventory control by processing and analyzing more data, improving accuracy, and reducing errors typical of manual forecasting methods.
Dynamic pricing strategies
Real-time overseeing of market trends and competitor prices is what AI does best. Therefore, companies can make instant adjustments that will keep them competitive as well as maximize profits. Properly integrated with other systems this allows businesses to overcome delays and errors inherent in conventional processes enabling them to capitalize on market opportunities.
However, with the right tools matched to the right strategy, AI can thrive in this environment — especially when it comes to extracting key insights.
Enhanced customer experience
AI can analyze real-time customer data to offer personalized recommendations and support. This proactive approach boosts satisfaction and loyalty by delivering tailored experiences that meet modern consumer expectations. By incorporating AI into customer experience strategies, businesses can swiftly adapt to changing preferences, outperforming traditional segmentation methods.
AI not only makes processing data easier and faster but also makes significant progress in detecting inefficiencies and preventing their costly consequences. For example, Predii uses the power of artificial intelligence to analyze service data for prediction of what might go wrong with a vehicle’s component. At my company, Tromml, we utilize AI to analyze large amounts of sales data in real time, uncovering insights that often go unnoticed through manual analysis.
AI needs a purpose
Tying AI to clear business objectives isn't just critical for prioritization; it's essential for the technology to function effectively. Many modern AI systems, particularly those that leverage machine or deep learning, rely on feedback loops to improve over time. It's much like training an employee. Without ongoing refinement, AI can become outdated, delivering insights that no longer serve your business. A good AI system continuously learns, adapts and provides actionable insights aligned with your goals.
If an AI system is delivering irrelevant or outdated insights, it's a signal to reassess why it's not working. Often, this is due to factors
like incomplete or poor-quality data or a lack of diversity in data sets. This is why collaborating with your vendor or technical team is key; rather than abandoning the system, work together to refine data inputs and objectives, ensuring the AI evolves to better meet your business needs.
In the end, AI's true potential will only be unlocked when the right tools are thoughtfully integrated into your business strategy, where you can understand both its limits and its capabilities. This isn't about chasing the latest tech trend; it's about using AI to solve real challenges, streamline operations, and foster sustainable growth.
As you engage others around artificial intelligence at work, consider how best it might help us achieve particular targets instead of perceiving it as an end-all solution itself.
Critical thinking among employees should be encouraged so they may identify areas where maximum value addition may be achieved through the deployment of this technology. Every project undertaken under this banner must show clearly what impact it will have on overall performance within your enterprise.
By approaching AI with a strategic mindset, you can not only avoid costly missteps but also position your company as a thought leader, driving innovation and staying ahead in an increasingly competitive landscape.
“YOU NEED IT, WE’VE GOT IT ” . THAT’S NAPA KNOW-HOW .
Over 500,000 vehicle parts and products in inventory, all ready for delivery: that’s over 500,000 good reasons to make us your number one partner. napacanada.com
UNLOCKING STAFF POTENTIAL
Building a strong team is essential in a jobber store because you can’t manage everything on your own. Here’s how to ensure success… // By Zakari Krieger
The true secret to success of a jobber store lies not in the parts we sell, but in the people who sell them.
When I was managing jobber stores, staffing was always my primary concern and focus on a day-to-day basis.
The jobber business is highly competitive, requiring prompt phone responses, excellent service to support shop scheduling and workflow and consistent, accurate delivery of parts. All of these functions depend on the operations of the staff you rely on.
As the leader of the business, many operational aspects are beyond your direct control, with you relying on your staff to ensure the business’s sustainability and growth.
Many people ask how to develop staff to maximize their performance and provide the best service for clients, how to handle personal issues and recurring retention problems and how to avoid the pitfalls of running shorthanded.
Over a decade of running the jobber business, I found that the key to success in developing and driving staff performance was rooted in the business’s vision, mission, and values. On a daily basis, I consistently aligned actions with these guiding principles. Over time, this consistency resonated with the staff, fostering an understanding of our unwavering commitment to our clients and the crucial role our service played in maintaining client loyalty in a highly competitive market.
For jobbers and those in the automotive aftermarket, I always emphasized industry trends and market dynamics. Through effective communication, we cultivated a culture of accountability, where effort, actions and the business’s reputation reflected our staff’s performance.
I advise today’s jobbers that as the industry consolidates and competition intensifies, the advantage entrepreneurs and jobbers
have over corporate competitors is their passion for building a strong culture with their staff — one that resonates with clients.
On a more practical level, we invested heavily in staff training to ensure that our team was up to date on new products, supplier training refreshers, and operational processes. This commitment to continuous learning became part of our culture and enhanced our business execution and customer service.
Regarding recruitment and retention, given the competitive nature of the automotive aftermarket and parts distribution, we proactively focused on retaining our staff and recruiting individuals who fit the business culture and could deliver for the business and its clients. If issues arose, such as compensation disputes or interpersonal conflicts, they were personally addressed promptly, along with our HR functions. In a store environment, staff may leave for a difference of just a dollar or two, given the general salary ranges and affordability challenges in Canada. I generally overpaid for driver and warehouse positions and addressed staff concerns on a case-by-case basis to minimize turnover and its impact on operations.
My staff were crucial in executing for our clients, so I recommend that jobbers and owners maintain an open-door policy and encourage positive communication. This approach helps prevent staff from seeking alternative employment and avoids the costly impacts of turnover.
Overall, these strategies were key to my success in managing staff and delivering exceptional service.
Founded in 1959, General Auto Parts is a leading wholesaler and distributor of automotive aftermarket parts. The owners were seeking to exit their business and find the ideal successor. Recognizing the need for expert guidance, they engaged MNP Corporate Finance as their exclusive advisor. MNPCF conducted a thorough process, bringing forward a range of strategic options that enabled the owners to execute a seamless transaction and honour their legacy. Our comprehensive services — spanning divestitures, acquisitions, capital markets, due diligence, and succession planning — are designed to drive your business success. Partner with us to elevate your next strategic move. Contact us today. Stephen Shaw | Managing Director, Corporate Finance | 416.540.5536 | stephen.shaw@mnp.ca Danish Jamal | Director, Corporate Finance | 647.278.2265 | danish.jamal@mnp.ca
BAYWATCH
TAKE A LOOK AT THE NEWEST PRODUCTS
JUMP STARTER
Clore Automotive had introduced the next-generation JNC345, 12 Volt Jump Starter and Power Supply from JumpN-Carry. The JNC345 provides jump-starting power with a 40inch cable reach with full-size clamps, 12-volt power supply capability, an LED work light and UL2743 compliance for operator and equipment safety. The JNC345 features two USB outlets to power small electronics. It includes a 12-volt female adapter, allowing the JNC345 to power 12V accessories from its DC outlet or be used as a memory saver when changing out a vehicle starting battery.
www.cloreautomotive.com
SHOCK ABSORBERS
ZF Aftermarket is launching 16 new part numbers for continuous damping control (CDC) shock absorbers available for passenger vehicles in the U.S. and Canada. The CDC part numbers cover a variety of BMW 5, 6 and 7 models, to be released in the first quarter of 2024. The shocks continually records variables that affect ride control, anticipating and adjusting the damping force to the external conditions. The damping force varies depending on road conditions, payload weight and vehicle handling.
www.zf.com
BRAKE COMPONENTS
TRW Brake Boosters now have 53 new part numbers, extending the range of ZF brake boosters to a wide range European make vehicles in the U.S. and Canadian markets. The line of TRW Brake Master Cylinders manufactured in steel, aluminum or cast iron is also expanding. The 69 new parts feature OE-specified rubber seals and dust caps to resist ageing and come with fitting accessories included. TRW Brake Master Cylinders also include a chrome 6-free ‘silver’ finish for steel and cast-iron models. www.trwaftermarket.com
AIR INTAKE
Cold Ait Intakes has released new air intake for 2017-2019 GMC Sierra and Chevrolet Silverado 6.6L Duramax diesel trucks. The kit reduces air restrictions and increases engine power and efficiency. It is made from metal with an insulated air box and a thermally coated intake tube. The use of thermally insulated components ensures the air coming into the engine will stay cool and oxygen rich. The metal components will not become heat soaked, a key advantage over plastic air intake kits.
www.coldairinductions.com
UPDATED CATALOGUE APP
An updated catalogue app from KYB provides more accurate part number recommendations. It requests information such as engine size, trim package and drive train type when applicable. This provides an accurate and much narrower list of recommended shock and strut applications and part numbers. Service writers or technicians can select the vehicle or enter the VIN and they will be provided with the correct OE replacement part number as well as recommended part numbers for performance upgrade shocks and struts, strut mounts, boots, and bumpers if available.
www.kyb.com
CAR-TOONS
BAYWATCH
DIESEL ADDITIVE
Liqui Moly has launched the DEF Anti Crystal Additive Concentrate to improve diesel engine performance and ensure compliance with emissions standards. The additive to AdBlue prevents residue formation in the exhaust system by utilizing the Leidenfrost effect and reduces urea crystal buildup that can clog the system. It also lowers the freezing point of AdBlue to minus-16 degrees Celsius, protecting against cold weather. Aimed at preventing issues rather than fixing them, the product is available in a 2.5-liter container. www.liqui-moly.com
COUNTERHOLDING WRENCH KIT
Mueller-Kueps has released the 431 030 Special CounterHolding Wrench Kit. It helps with accessing hardto-reach nuts on a vehicle's strut mounting plate. It features a 13mm and 14mm wrench with both a six- and eight-point for connections that require a specialized tool. Designed to counter-hold the nut in place after it has broken loose due to rust, this tool prevents the nut from spinning. This kit is particularly suitable for VW vehicles where it can be difficult to access the strut mounting plate connections. www.mueller-kueps.com
“Charge!”
Premium aftermarket alternators. Backed by a 2-year warranty.