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Scheer Wins CVSN Presidentâ&#x20AC;&#x2122;s Award | Volkswagen Purchases Stake in Navistar

CUSTOMER RELATIONSHIP MANAGEMENT Making CRM work in the independent aftermarket OCTOBER 2016 |

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DOTY Finalist: Long Island Truck Parts 12 Marketing to owneroperators 20

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Volume 52 | Number 10 | October 2016

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Features 12 Distributor of the Year finalist: Long Island Truck Parts 20 Hitting the target: Marketing to owner-operators

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Editorial | Lucas Deal

A recommendation for your practice By Lucas Deal, Editor lucasdeal@randallreilly.com

very spring and fall I take a brief detour from the independent aftermarket to attend the semiannual meetings of the Technology & Maintenance Council (TMC). Now in its 60th year, TMC is an American Trucking Associations’ organization that brings OEMs, suppliers, fleets and service providers together to discuss and address current and future technological and maintenance challenges facing the commercial trucking market. TMC does a billion things for this industry, but more than anything else it is known for its incredibly diverse and valuable recommended practices (RP). These documents provide detailed, intricate guidelines for nearly every tech or maintenance issue found in this industry. There are RPs for wheel end bearing adjustments; for measuring voltage drop in trailers. There are RPs for establishing alternator efficiencies: for coolant identification. Additionally, there are process RPs; step-by-step guidelines that offer service providers and fleet maintenance facilities detailed instructions for managing common operational procedures, such as parts acquisition, technician training and much more. The first full day at TMC is dedicated to these RPs. The Council breaks into more than a dozen study groups to discuss current challenges facing the industry. Each study group has a specific focus — engines, chassis and brakes, tires and wheels, on-board electronics, etc. — and within each study group conversations

get even more granular with individual task forces. It’s within these task forces that RPs are proposed, built, modified and finalized. It makes for a busy day, but holy cow is it informative. And this year, finally, a meeting was held to address how to handle it all.

Want to be quicker at diagnostics? There’s an RP for that. TMC’s Service Provider study group introduced a task force at its fall meeting last month specifically to build a recommended practice fleet, dealer and independent service providers can use to efficiently implement other RPs within their businesses. Yes, I know how circular that sentence sounded. But it’s really a great idea, and I believe it could be hugely beneficial to the aftermarket. TMC’s RP manual is immense. I’ve heard close to 2,000 pages. It’s not a quick read. But if you know what you’re looking for TMC’s RP manual has cheat sheets for hundreds of things you and your technicians address each day. Want to be quicker at diagnostics? There’s an RP for that. What about a best practice for core management, or parts

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acquisition strategy during repairs? Yeah, there are RPs for that, too. By developing an RP for implementing RPs, TMC hopes to provide anyone in the service industry a guide that can be easily followed to add one of TMC’s resources into your business. It’s early, but thus far TMC believes the assisting RP will include these steps: ■ Determine your need: Where does your business analysis tell you to focus first, i.e., What RP would be most beneficial to you? ■ Determine your team: Which departments/employees will be impacted by implementing an RP? ■ Integration: How will adding an RP to your business impact your current operation? What now needs to be altered or changed? ■ Train your team: Educate previously identified employees on the RP and how it will be implemented in your business. ■ Accessibility: How will your employees access your training materials, and the RP document? I guarantee that list will grow, and I’d guess within two years TMC has a comprehensive document any service shop can use to slip RPs into their operations. In the meantime, if you don’t want to wait you don’t have to. TMC offers memberships specifically for service providers, and I can tell you from experience, if you need help in your service shop go to TMC. Everything TMC does is designed to help you.

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Editorial | MacKay & Company

So, what are you gonna do? By John Blodgett MacKay & Company

have been pretty busy the past few weeks and hadn’t been paying close attention to the calendar, so I was a bit surprised that we rolled into October this weekend. Where did summer go? Actually it went by so fast I think that is actually a sign of a good summer. Although I do miss living in Southern California, where I didn’t really have to worry about enjoying the window of summer like we do in Chicago (as proof — my wife asked to turn the furnace on yesterday). So we are in October — what do we know to this point on parts aftermarket performance so far this year and what is the outlook? At MacKay & Company we forecast the size, composition and outlook for the parts aftermarket for Class 6-8 trucks and trailers in U.S. (as well as many other related markets). We also track aftermarket performance with a number of indices and surveys to help monitor what’s happening. So what are they telling us? Component manufacturers (a select group of 19) tell us their parts sales are down, on average, 7 percent compared to last year. They represent a good portion of the aftermarket; we estimate 10 percent, but not a majority. Heavy-duty distributor organizations (corporate companies and buying groups) tell us their parts sales (first six months) are

down a bit more than 1 percent compared to last year. Truck manufacturer’s parts sales (first six months) to their dealers down a little more than 2 percent. A monthly survey of truck dealers and heavy-duty distributors has their parts sales to end users down 3 percent and 2.5 percent, respectively, year-to-date through August.

A monthly survey of truck dealers and heavy-duty distributors has their parts sales to end users down 3 percent and 2.5 percent year-to-date. So the theme in a word is negative, which is good if you are having a test for a life threatening disease, but not so much if you make your living in the parts aftermarket. MacKay & Company’s aftermarket outlook for 2016 is up .8 percent (I pushed for .9 percent) compared to 2015.

We do anticipate the second half of the year to outperform the first half of the year (the bar is set pretty low), in part based on a better Trucking Economy Activity (what we call TEA®) so the end result may be closer to our forecast … stay tuned. So now you are up to date on what we know; what are you going to do? Stay in bed tomorrow (if you have tomorrow off — that is allowed)? I hope not, this is not 2009 and while I shared a lot of negative numbers, they are not hugely negative and they are averages. You and your organization don’t have to be average. Most of you reading this article were probably hired based on your above average skills and past performance of knowing and addressing the needs of your customers in the parts and service aftermarket (statistically this will not apply to all of you, sorry). The index information and performance averages I provided are interesting and a good reference to the parts aftermarket in general, but they don’t define what your business’s performance has to be in your local market. Listen to your customers, evaluate and use the best tools you or your management provide (they are not all bad) and make sure you make the time to escape the day-to-day activities to ensure you and your team are on the track you want.

John Blodgett has worked for MacKay & Company for more than 20 years and is currently vice president of sales and marketing, responsible for client contact for single and multi-client projects. He can be reached at john.blodgett@mackayco.com.

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Industry Focus

Dealer News River States Truck and Trailer, of La Crosse, Wis., was presented the 2016 Successful Dealer Award at the Great American Trucking Show in Dallas, Texas.

Lakeside International Trucks held an open house and thank you celebration on Oct. 5, 2016, to celebrate the one-year anniversary of its new full-service commercial truck dealership in Madison, Wis.

Sherwood Freightliner has broken ground on a new facility in Sugarloaf Township, Pa. Carrier Centers has announced the expansion of the Isuzu Truck line to its Windsor, Ontario, dealership.

West Michigan International/K&R Truck Sales/ Idealease of West Michigan recently held a charity truck show event at the DeltaPlex Arena in Grand Rapids, Mich., to raise money for Feeding America West Michigan.

Maxim has achieved International’s Diamond Edge Certified status for third quarter of 2016 at four of its locations in Manitoba and Saskatchewan. Two Four Star Freightliner Georgia locations have received Elite Support re-certification. AMG Peterbilt Group’s inaugural open house and vendor fair was held Sept. 15-16 at the Greater Columbus Convention Center.

Peach State Truck Centers in Austell, Ga., has been certified Elite Support by Daimler Trucks North America (DTNA).

Remanufacturing Industry Defines Its Business The remanufacturing industry announced last month that six leading associations with members in the automotive and heavy-duty sector have reached a common understanding of basic definitions associated with their industry. The associations have converged on the following two definitions: Remanufacturing process: Remanufacturing is a standardized industrial process* by which cores are returned to same-as-new, or better, condition and performance. The process is in line with

specific technical specifications, including engineering, quality and testing standards. The process yields fully warranted products. (*An industrial process is an established process, which is fully documented, and capable to fulfill the requirements established by the remanufacturer.) Core: A core is a previously sold, worn or non-functional product or part, intended for the remanufacturing process. During reverse logistics, a core is protected, handled and identified for remanufacturing to avoid damage and

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to preserve its value. A core is not waste or scrap and is not intended to be reused before remanufacturing. “The increased use of remanufactured products around the world is accelerating an international drive towards a circular economy,” says John Chalifoux, president and COO at MERA. “Today’s announcement of a common understanding among the associations will further help the industry communicate the quality, value and sustainability benefits of remanufactured goods.”

Industry Focus

Dave Scheer Wins CVSN’s President’s Award For the second time this year, the independent aftermarket has honored one of its best. Dave Scheer, CEO at Inland Truck Parts, and 2016 IHS Automotive Aftermarket Industry Hall of Fame inductee, was presented with the Commercial Vehicle Solutions Network (CVSN) President’s Award last month at its annual Aftermarket Distribution Summit in Vancouver. Scheer entered the independent aftermarket at Inland Truck Parts more than 40 years ago and was named the company’s president in 1995. He’s spent the duration of his career striving to strengthen both Inland Truck Parts and the independent aftermarket at large. In accepting his award, Scheer

Dave Scheer

thanked his family, CVSN, the independent aftermarket at large and the wonderful staff at Inland Truck Parts for allowing him to achieve so much. “When you spend 40-plus years at a single company within a single industry

you learn a lot about the industry and the people within it,” he said. “The kindness and consideration becomes very apparent when you’re in a group like this. “I’ve learned a lot from you, and I thank you.”

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Industry Focus

Knorr-Bremse Enters Bidding For Haldex

Volkswagen Purchases Stake In Navistar Navistar International has announced a strategic alliance with Volkswagen Truck & Bus, which includes an equity investment in Navistar by Volkswagen. As part of the deal, Volkswagen Truck & Bus gets 16.2 million newly issued shares in Navistar — a 16.6 percent stake in the company — and two seats on the company’s board of directors. Navistar gets $256 million — a valuation of $15.76 per share and a 12 percent markup of the stock’s price. In the near term, the alliance will focus on developing common powertrain systems that are set to be delivered to North American customers by 2019. Navistar President and CEO Troy Clarke says the long term goal of the joint-venture is to expand the technology options available to customers, like advanced driver assistance systems, connected vehicle solutions, cabin and chassis components and fuel efficiency technologies. “The alliance brings together two companies with complimentary market positions,” says Andreas Renschler, CEO of Volkswagen Truck & Bus and member of the Board of Management of Volkswagen AG responsible for commercial vehicles. “Together we cover about 75 percent of the global profit pool.”

One month after ZF offered $516 million to purchase Haldex AB — which was three weeks after SAF-Holland made a similar advance — KnorrBremse has now upped the ante to $570 million for the Swedish manufacturer. Knorr-Bremse, is offering 110 Kronor per share, which is up from the 100 Kronor per share offered by ZF. The acceptance period for the new offer is expected to begin later this month and run until early December, the company told Reuters this week. Bloomberg says like ZF’s earlier

offer, Knorr-Bremse’s bid is conditional upon receiving acceptance from 90 percent of Haldex shareholders. The board of Haldex, which had recommended the ZF offer, says it will evaluate Knorr-Bremse’s proposal. Bloomberg says Knorr-Bremse says it has already acquired 8.4 percent of Haldex. ZF also says it had secured 5.7 percent of the Swedish company’s shares, after Haldex Chairman Goeran Carlson pledged to sell his holding. Knorr-Bremse is the parent company of Bendix Commercial Vehicle Systems, LLC.

People In The News Pressure Systems International (PSI) has added Tom Smego as its new sales director for the Midwest and Canada. Matthew J. Boler has been elected Chairman Smego of the Board of The Boler Company, replacing his father, John Boler, who passed away in March. Navistar says James Keyes and Michael Hammes will be retiring from the company’s board of directors. Doleco USA has added Tom Haughs as vice president of sales and Bob Abrahamson is the company’s new west coast account manager. Rickard Lundberg has been appointed vice president and general manager for Mack’s Lehigh Valley Operations.

Haldex has appointed Walter Frankiewicz as senior vice president, North American Sales. W. Marvin Rush, founder of Rush Enterprises, the nation’s largest truck Frankiewicz dealership, has retired from the company’s board of directors. Gold Eagle Co. congratulates Matt Banach, director of sales and marketing support and Ashley Strubel, national sales manager, for their inclusion in the SEMA News “35 Under 35” list. The Lincoln Electric Company has promoted Douglas S. Lance to president, Cleveland Operations, Edward M. Crouse to vice president, Cleveland Operations, and Dalithia C. Smith to vice president, Human Resources.

Truck Parts & Service Calendar Event information can be submitted at: www.truckpartsandservice.com/story-ideas/

Oct. 17-21

VIPAR Heavy Duty Annual Business Conference, Orlando

Oct. 20-22

International Truck Parts Association Fall Meeting, Ponte Verda Beach, Fla.

Nov. 1-3

AAPEX/SEMA Show, Las Vegas

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Industry Focus

Speakers Announced For SOLD 2017

Accuride Acquired By Crestview Partners

Derek Kaufman will be the featured speaker at the first day of SOLD 2017 (Service Opportunities Learning Days) before Heavy Duty Aftermarket Week 2017. Kaufman is known in the industry for his knowledge in the future offerings by the OEM manufacturers. He will present at 1 p.m. Sunday, Jan. 22, 2017, and will discuss new advancements in technology the trucking industry will see in the next five years, SOLD organizers say. Additionally, Paul Jones with Bendix Commercial Vehicle Solutions also will present on Jan. 22, and will discuss the importance of providing the proper parts to customers as well as advanced ABS components. The second day of SOLD will feature NATEF President Trish Serratore, Mike Betts, CEO at Betts Company and Mike Woods, national diesel program manager at Universal Technical Institute. SOLD organizers say Serratore will review plans for revisions to the NATEF medium- and heavy-duty task list tool and equipment and accreditation model, and both Betts and Woods will speak on the technician shortage.

Accuride has entered into a definitive agreement to be acquired by Crestview Partners, a leading New York-based private equity firm. It is expected the transaction process will result in a sale closing during the fourth quarter of 2016, following approval by Accuride shareholders and completion of customary regulatory reviews. Afterwards, Accuride will operate as an independent business within Crestview’s portfolio of companies. The purchase price represents a premium of 55 percent over Accuride’s closing share price on Sept. 1, 2016, and a premium of 66 percent over the 30-day volume weighted average price as of the same date. Additionally, Accuride has sold Brillion Iron Works to a subsidiary of Metaldyne Performance Group Inc. Under the purchase agreement, MPG has acquired from Accuride all of the stock of Brillion Iron Works, Inc., for total cash consideration of $14 million. “Today’s action will enable Accuride to focus completely on our strategic vision to be the premier supplier of wheel-end system solutions to the global commercial vehicle industry,” says Rick Dauch, Accuride president and CEO.

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Industry Focus

Minimizer Nabs Manufacturing Accolade Minnesota Business magazine has selected Minimizer as a finalist for its 2016 Manufacturing Awards. Minimizer is one of three finalists for

the Best in Class — Midsize Company category. Each year, Minnesota Business recognizes the manufacturing sector

for outstanding achievements. The vital, though often behind-the-scenes industry and its leaders, represents a significant indicator of economic health, the magazine says. The panel of judges chose the finalists from an outstanding pool of manufacturing companies and executives, the largest group of applicants ever. “The success story of Minimizer has been built on our commitment to family and community and every member of our team that continues to lead this company. I’m really proud of our employees that guide us towards success with our products, our distributors and throughout the trucking industry,” says Craig Kruckeberg, CEO and chief visionary at Minimizer.

MAHLE Updating Gasket Packaging MAHLE Aftermarket Inc., says its gasket product line will now be packaged with the distinctive blue MAHLE Original logo prominently displayed. The transition to the new packaging will begin in the second half of 2016, and will be completed by March of 2017. This news comes not long after the company announced its new brand name for the gasket line would be MAHLE Original gaskets; these will be the same products they sold in North America since 2007 under the Victor Reinz brand licensed to MAHLE Aftermarket. MAHLE says the Original gasket packaging makes it easy for the purchaser to see exactly what they are buying, allowing the customer to see the contents without opening the package. This also helps avoid purchasing the wrong parts and helps to reduce returns of opened boxes to the store, the company says.

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Tech Updates

SAFETY RECALLS

The following are safety recalls issued by the National Highway Traffic Safety Administration:

the bottom of the trailer and the top of the tire and, during use, the tire may make contact, possibly damaging the tire. A damaged tire may unexpectedly deflate, causing a loss of vehicle control and increasing the risk of a crash.

Load Trail LLC, is recalling certain model year 2014-2016 81.5 x 22 Triple Axle Tilt Deck trailers manufactured Jan. 1, 2014, to Jan. 1, 2016. The affected trailers, sold through Altec for use in transporting TDA58 Articulating Telescopic Aerial Devices, have weld joints that may crack where the front bumper, frame, and the stationary deck are joined. If the welds fail, the equipment may disengage from the trailer, increasing the risk of a crash. Navistar is recalling certain model year 20142017 International ProStar trucks manufactured June 11, 2013, through May 19, 2016. In the affected vehicles, the connection for the cube fuse terminal may break resulting in a total loss of power to the cab and an unexpected engine stall. An unexpected engine stall can increase the risk of a crash. Forest River is recalling certain model year 2017 Cherokee recreational trailers, models CCKT16BHS, CCKT16FQ and CCKT17CJ, manufactured April 15, 2016, to July 28, 2016. The affected vehicles may have insufficient clearance between

Pierce Manufacturing is recalling certain model year 2015-2016 Arrow, Dash, Enforcer, Impel, Quantum, Saber, and Velocity fire trucks manufactured June 29, 2015, to June 30, 2016. The affected vehicles may be equipped with certain C20 and C21 split-shaft transmissions from Waterous. This transmission sends power to the wheels of an emergency response vehicle or power to an add-on unit such as a water pump used for fighting fires. A component within the shift unit may be damaged and as a result, the operator may not be able to switch the power output. If the power output cannot be changed, once the fire truck arrives at the scene, it may not be able to pump water to aid in extinguishing the fire, increasing the risk of injury. Spartan Motors is recalling certain model year 2014-2016 Legend and Star fire trucks

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Basic seat with standard suspension

manufactured April 15, 2015, to April 16, 2016. The affected vehicles may be equipped with certain C20 and C21 split-shaft transmissions from Waterous. This transmission sends power to the wheels of an emergency response vehicle or powers an add-on unit such as a water pump used for fighting fires. A component within the shift unit may be damaged and as a result, the operator may not be able to switch the power output. If the power output cannot be changed, once the fire truck arrives at the scene, it may not be able to pump water to aid in extinguishing the fire, increasing the risk of injury. Thor Motor Coach is recalling certain model year 2012-2017 Ace, 2013 Citation, 2012-2013 Siesta and 2017 Four Winds and Road Bear Rental motorhomes. The affected vehicles are equipped with shower curtains that may not adequately resist catching fire in the presence of an ignition source. As such, these vehicles fail to comply with the requirements of Federal Motor Vehicle Safety Standard (FMVSS) number 302, “Flammability of Interior Materials.” A flammable shower curtain may further fuel a fire, increasing the risk of injury.

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By Lucas Deal, Editor lucasdeal@randallreilly.com

DOTY Finalist

Long Island Truck Parts

ustomers who walk into Long Island Truck Parts’ facilities don’t leave emptyhanded. In fact, doing so is nearly impossible. With more than 350,000 SKUs and 375 vendors, Long Island Truck Parts’ commitment to customized service is second to none. And in a market as dense as Long Island, N.Y., it has to be. “We sell such a vast amount of products that it’s actually mind boggling,” says Bobby Naples, president. “But we do that for our customers. Our inventory is dictated by their needs. We never say no. It doesn’t matter what the request is; we’re going to go above and beyond for our customers.” That can be found not only in the company’s warehouses, but also in its approach at the counter and in the field. Naples says ‘customized service’ isn’t just a tagline in the company’s name, it’s also a fundamental building block of the business. “[Customized service] is part of our culture and it’s something we instill from the top down,” he says. “Everybody here knows that’s what we do, and that’s how we serve our customers.” The company’s commitment to its customers also can be seen in the strategic positioning of its facilities. With locations in Medford, Riverhead, New Babylon and New Hyde Park (the latter of which opened in 2014), Long Island Truck Parts covers the entirety of Long Island. The New Hyde Park store—located just one mile from the Cross-Island Parkway, one of the most accessible thoroughfares in the area—also has allowed the business entrance into the New

Long Island Truck Parts at a glance

Source: Google Maps, Long Island Truck Parts

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Long Island Truck Parts uses open houses and extended store hours to build and strengthen customer relationships.

York City market, and Naples says his next goal is a fifth store within city limits to give the company coverage of the entire metro area. “My dad was always ‘location, location, location,’” says Naples, referring to his father Anthony, who founded Long Island Truck Parts in 1972 and led the business until retiring in 2000. “It took us two or three years to find the right spot for that store but we’re really pleased with where we are now.” He says the facility’s weekend hours have already started turning heads in the area. “Nobody in that area is open on Saturdays. When we first opened we didn’t really do any business on Saturdays but we stuck with it,” Naples says. “I think a lot of the customers up there were so used to not being able to get parts on Saturdays that once they learned we were open they started coming. A couple weeks ago we had lines out the door most of the day.” Naples says he loves days like that. And not just because of the obvious business benefits. “The bottom line is I’m a counter guy when it really comes down to it,” he says. “That’s when I’m in my element. I’m doing other things most of the time but I love to look at the camera and see the store is busy so I can run down there” and assist at the counter. “Nothing makes me happier than being able to work with the customers and solve their problems.” Long Island Truck Parts opened its fourth location in New Hyde Park in 2014, giving the company equal coverage across the entirety of the island.

An Employee-Owned Company

By Lucas Deal, Editor lucasdeal@randallreilly.com

Cover Story

A tool for your future Making CRM work in the independent aftermarket

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Cover Story

usiness owners today have no shortage of options when looking for tools to help run their businesses.

One tool that’s starting to take off in the independent aftermarket is customer relationship management (CRM), which allows businesses to easily track, record and distribute customer interactions among a sales team. Available from a multitude of vendors, CRM is typically a customizable web-based tool that compiles the knowledge and notes of employees into a single, super database of customer information. It’s a cheat sheet for a sales team. A personal sales notebook that everyone can read. And in some cases, it can be that and so much more. For distributors looking for a leg up on the competition, or simply trying to sustain profit margins, CRM is a tool worth investigating. The first step in making CRM work in your business is finding the right one. There are scores of CRM systems now available in North America and each has distinct features and capabilities. And because CRM providers typically build their systems to work across

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multiple industries, each system’s adaptability to the independent aftermarket, and your business, is varied. John Devany, sales manager at Betts Truck Parts & Service, says he first started investigating CRM tools for his business nearly three years ago. Devany says he wanted a tool that would allow his sales team to better log its call reports and share customer information across the company’s eight locations. “We were still handwriting call reports and we had no ability to search through them,” he says. “It was difficult for our sales guys to go back and look at [past reports], and it was hard for us to track everything they were doing. “We realized we needed something electronic, something with filters where we could easily search everything. We realized we needed to get into the future.” Devany found several CRM systems capable of meeting his needs, but he also found some of those same programs featured additional technology and services that weren’t really necessary for what he was trying to do. Bill Nolan had the same experience when he started looking for CRM

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systems to introduce at PBS Truck Parts. Nolan, the company’s president, wanted to provide his sales team a resource that would make it easier for them to complete call reports and improve daily productivity, but he also didn’t want to overwhelm them. Adopting new technology can be a struggle for any business, and with an older sales team that was used to doing things the “old fashioned way,” Nolan says he didn’t want to invest in a tool his team would resist or be unable to understand. “We didn’t want something that would be superfluous in its detail or complexity,” he says. He and Devany eventually found the tool for them when they were introduced to Sales-i. Founded in the United Kingdom in 2008, Sales-i is a CRM provider that caters specifically to “any company involved in the supply chain,” says CoFounder Kevin McGirl. The company began doing business in North America in 2011 and within two years the business was garnering interest from automotive and heavy-duty aftermarket operations. Thanks to a simple user interface designed with veteran sales people in mind, McGirl says Sales-i is able to provide aftermarket distributors the CRM functionality they require without the unnecessary bells and whistles found in other common systems. The latter is an another important aspect in selecting a CRM. Simplicity — or the appearance of simplicity, distributors say — is valuable. Visually cumbersome systems can create confusion and user angst, and ultimately have a negative impact on a business. “Make sure the CRM tool you select

Since debuting its CRM tool in the United States in 2011, Sales-i has grown dramatically in the automotive and heavy-duty aftermarket.

matches your business activities rather than having your business have to match the CRM,” says Robyn Spitzke, president at Fort Garry Industries and another Sales-i user. At Fleet Brake, President John Bzeta says he’s kept that in mind as he’s expanded the capabilities of his CRM, Insightly. Bzeta says when Fleet Brake first began using Insightly five years ago it was almost exclusively for call reporting. In the years since he’s added features to enhance the tool but has always strived to keep the dashboard and user experience stable, ensuring his team remains comfortable. “You want everyone to be able to use it effectively,” he says. And usage matters. It’s only once sales people buy-in that purchasing a CRM becomes worthwhile. Fostering employee engagement with a CRM requires education then training. Sales people need to see how a CRM will make their job easier, they need to see what it will do for them, and then they need guidance to understand how

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to make it do exactly that, says Greg Rawleigh, general manager at DeCarolis Heavy Duty Parts. “It’s hard to tell your [people] they’re going to be expected to use something if they don’t see its value,” says Rawleigh, who also is using Sales-i. “You have to show them.” Sales-i does that not only with its userfriendly interface but also with a comprehensive sales data analytics package, which, like the CRM itself, was designed with the outside sales person in mind. “We realized in the supply chain you have a whole bunch of sales people who were out there in the field and were finding traditional CRMs to be very difficult to use,” says McGirl. “Most CRMs are service or process focused, and they weren’t providing the salespeople what they needed.” He adds, “They wanted transactional data.” Sales-i’s system allows distributors to transfer all of their transactional sales data from their business systems into the CRM, which then easily translates and aggregates the information into a simple,

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It’s hard to tell your [people] they’re going to be expected to use something if they don’t see its value. You have to show them. – Greg Rawleigh, general manager at DeCarolis Heavy Duty Parts

searchable database that sales people can use to better understand the buying habits and changes of their customers. And because the entire system is customizable, McGirl says distributors can easily manage the amount of data they choose to present to their sales team as needed. Education on the system itself matters, too. Sales people can perceive a CRM as a watchdog, a tool designed to monitor their every move and customer interaction. Distributors using CRM say it’s not that at all, but until sales people know that, they can be resistant. “We definitely had some resistors at first,” says Nolan. “They didn’t see why they needed to do things differently and didn’t want to change.” Nolan says a brief tutorial showing his team how they could now log call reports in minutes using voice-to-text phone software, and another lesson on how to produce customer purchasing snapshots quickly turned heads. “We knew when we turned one of our toughest [resistors] that everyone was coming around.” “You definitely see some people have that lightbulb moment,” says Doug Gaddis, vice president at another Sales-i user, Ogburn’s Truck Parts. It’s at this point that training becomes invaluable. Most CRM providers include introductory training for sales people of new customers who purchase rights to a system. It’s in this period that distributors can take their employees from intrigued to committed, and that’s when a CRM really begins to work. But Gaddis warns that total adoption isn’t immediate, even post-training.

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“I remember we had some people who understood it immediately but not everyone,” he says. “It definitely takes coaching for people who are not used to looking at data or using software. There’s a learning curve, and it takes a while to get everyone on the same page.” “Adoption is a slow process,” adds Spitzke. “You are changing how people do their jobs and there will always be some hesitation to share their relationship, or perhaps their lack of relationship, with their customer.” Devany says he’s combated this concern at Betts Truck Parts by stressing how CRM can improve the quality of each customer touch. CRM creates transparency throughout a sales force that allows associates to be better informed during every customer interaction. “We want the quality of our touches [to be] at the highest level possible,” he says. Bzeta agrees, and says he’s witnessed CRM do that for Fleet Brake. He even has examples, citing a recent case where the sales of a product line by a sales person in one area triggered a sales person two time zones away to propose, and then close, a similar sale. “The other sales person saw [what the first had done] and made a similar proposal to a similar customer and we received some new business,” he says. “You don’t all have to be in the same room to understand the same information about your customer base. You

Aftermarket distributors currently using CRM agree that systems providing transactional sales data can have the most tangible impact on a company’s bottom line.

don’t have to be in the same room with the sales guy or the counter guy,” says HDA Truck Pride Director of Marketing Kristen Phipps. “Everything is there for everyone.” CRM is a pretty handy time-saver, too. “On the conservative side I would think it frees up nearly an hour per day in paperwork for a sales rep,” says Rawleigh. And that’s just post sales calls. Rawleigh says the time savings provided by Sales-i’s data analytics tool is even more significant. “It puts all of that information immediately at your fingertips. I think that’s invaluable,” he says. All of these features make CRM a worthwhile endeavor. “I don’t think most companies have [customer] database programs to retrieve and capture customer information in the

It definitely takes coaching for people who are not used to looking at data or using software. There’s a learning curve, and it takes a while to get everyone on the same page. – Doug Gaddis, vice president, Ogburn’s Truck Parts

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manner that CRM programs have today,” says Gaddis. “It helps your sales people become better at what they do.” Devany agrees, adding that CRM helps the independent aftermarket keep pace with tech-savvy and well-funded competitors. “I think with where technology is going if people don’t start embracing this they’ll be passed by. [Competitors] are becoming more and more advanced. It’s going to be difficult for aftermarket businesses to stay in stride with them without these tools,” he says. Yet it’s also important to recognize a CRM isn’t a miracle cure. “It’s one of those things where you get out of it what you put into it,” says Phipps. “If you don’t put the information in correctly or don’t train your people on how to benefit from it they aren’t going to.” “A CRM cannot improve your business. What it does is give you visibility into issues,” adds Spitzke. “It provides you with the information so you can react accordingly. It provides management with more information on what is happening at a ground level and provides sales with a more professional set of tools to stay on top of issues and opportunities.”

Sales & Marketing

Hitting the

target Technology is providing the aftermarket new ways to reach its audience

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By Jonathan Willis, Associate online editor jonathanwillis@randallreilly.com

Sales & Marketing

s Gary Hodge lies in his sleeper cab after a long day on the road, he often pulls out his cell phone or laptop to research products he needs.

As an owner-operator from Chattanooga, Tenn., Hodge relies on the internet more than ever and has easy access to it almost anywhere he goes. “We used to rely on catalogs or the local parts stores when we needed something,” says the 40year driving veteran. “But that’s all changed. When I am out on the road and need something I can hit a few buttons and find what I need and where I need to go to get it.” And Hodge isn’t alone. There are more than 350,000 owneroperators in the United States and every day more and more of them convert from traditional buying practices into online shoppers as a matter of convenience. For independent distributors who have always serviced these customers and hope to keep them, an equal change is required. The digital age is upon us. It’s time to get onboard. At Truck-Lite, Marketing Communications Specialist Andrew Liuzzo says his company recently completed an overhaul of its online presence to better position itself, and its distribution channel, in

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front of digital shoppers. “We are trying to revamp our entire web presence,” Liuzzo says. “We just launched a new website in June. It’s central to how we do business.” The new, comprehensive website includes more information on all Truck-Lite products, more tech bulletins, a Frequently Asked Questions section and a distributor lookup tool. “We also have added localized distributor searches so that will help people find distributors in their own area,” Liuzzo says. That section can be particularly helpful to drivers on the road. “I don’t know how many times I have been out on the road and just kept searching until I found the parts store that was closest to me,” says owner-operator Randy Morgan. Morgan hauls across the country through a regional freight service but has been an owner-operator for more than 15 years. In that span of time, he has seen several changes that have made life on the road easier. “Technology has changed a lot of what we do and has made things

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Sales & Marketing

By using Facebook to direct customers back to our website, it makes the searches easier for the customer and helps us show them the benefits of our products.bb easier, especially when it comes to finding the things I need,” he says. Truck-Lite is like many businesses and depends heavily on search engines to spread their message. Others, such as Minimizer, have taken their marketing efforts to a new level. Minimizer’s Director of Marketing Steve Hansen says the company is constantly trying to engage potential customers. Though the company only sells products to distributors, they use a heavy social media presence to drive customers to their products. “We engage quite a bit on Facebook,” Hansen says. “Last month we had 2.6 million impressions on Facebook.” Hansen says research has shown that owner-operators have a heavy social media presence. On average, small business truckers drive more than 115,000 miles per year, which is more than three million miles in their lifetime based on an average 20-year career, and spend more than 240 nights per year away from home, according to the Owner Operator Independent Driver’s Association (OOIDA). Those down times off the road provide ample opportunities to search for items they need. And that’s where distributors and suppliers need to be. Hansen says it’s working for Minimizer.

– Steve Hansen, director of marketing at Minimizer

“Since we started really using social media to its fullest, our website visits have gone up drastically,” he says, adding that market research shows 90 percent of Minimizer’s web traffic is mobile-based. “That shows us that most of them use their phones or tablets which are easily accessible to them,” Hansen says. “By using Facebook to direct customers back to our website, it makes the searches easier for the customer and helps us show them the benefits of our products.” The company has had huge success using video in that area. “We have a full time videographer on staff that creates videos on all of our products and we also use videos on our social media posts,” Hansen says. Though social media and welldesigned websites have been productive sources of marketing tools, they are not the only proven methods of success. For example, Minimizer sends out more than 100,000 outbound emails to customers each month based on data lists that meet their customer base’s needs. The company also continues to use conventional marketing tools that still have their effectiveness. Sponsorships

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such as a drag racing team, hosting hunting and fishing trips and other such events still prove to be good customerbased attractions, Hansen says. Each tool can be used by distributors as well. “I receive about six or seven emails a day from companies about what products they are featuring or with tech updates about something,” Hodge says. “A lot of the time when something pops up that I need I remember that I saw an email about it so those are pretty helpful.” But the key to an effective marketing plan to owner-operators is having research that is proven and fact-based. Though their current marketing strategies are a little different, both Minimizer and Truck-Lite have invested to make sure they are doing what needs to be done to hit their customer base. “We began working on our new website more than two years ago,” Liuzzo says. “We have taken our time and made sure to include the things that we believe to be customer friendly and that will help our distributors be informed on all of our products. We are building a social

Sales & Marketing

media strategy and we will research that carefully to do just the same as we did with the website.” Hansen says Minimizer’s moves are all carefully designed to enhance their marketing performance. “We track everything,” Hansen says. “We really break it down so that we know what to keep doing and what to change or drop altogether.” Distributors can do the same. Because it’s free, the only cost for distributors who want to grow their brand on social media is time. According to the latest research released by Mackay & Company in September, the independent aftermarket is a $113.1 billion industry, so making impactful marketing efforts to a diverse but informed customer base is key to long-term success. Truckersmall.com President Pete Petropoul says his company does not use a printed catalog and relies heavily on Google searches and the company’s Facebook page to reach its customer base. “We started in 1996 as Rolling Billboards, Inc., selling advertising on truck trailers and especially mud flaps,” Petropoul says. “We sold advertising on mud flaps

Drivers are finding they have access to parts and suppliers at the tip of their fingers now, while distributors are looking to reach their customer base wherever they may be.

and that was a popular marketing tool but by 1999 no one was advertising. We started selling more parts and eventually shifted our business model.” The goal is to be impactful. To find the right marketing tools that can reach a diverse and changing customer base. “It is a changing and evolving world and the things we used to do to build lasting customer relationships has

Truck-Lite recently completed an overhaul of its online presence to better position itself, and its distribution channel, in front of digital shoppers.

T R U C K PA R T S & S E R V I C E | O c t o b e r 2 0 1 6

changed, so we have to change, too,” Hansen says. These changes have made life on the road easier for drivers, Morgan says. “It’s always frustrating and aggravating when you have a break down or a part that goes out on you,” Morgan says. “But, it’s a lot easier these days to find what you need to get you back out on the road as quickly as possible. A lot of times in the past, you may break down and be stuck somewhere while a parts store hunts for what you need. “When something happens now, you can do a quick search to find the part or find distributors near you who carry a particular brand or part. That has definitely made life easier. I can’t even imagine now going back 15-20 years ago, or really, even five or six years ago when I got a smart phone. The distributors and manufacturers do a lot better job with the technology we have available. “I know one thing, it made me have to get more tech savvy in a hurry,” he says with a laugh.

Marketplace

The Buzz The five hottest products as determined by readers of truckpartsandservice.com

New CK-4, FA-4 oils Chevron has introduced updates to its Delo heavyduty diesel engine oil line to meet API CK-4 and FA-4 standards. The company will offer fully backward compatible CK-4 oils as 5W-30, 5W-40, 10W-30, and 15W-40, as well as a new FA-4 combatible 10W-30 oil. The new oils will be available in December, Chevron says.

DPF cleaning solution AGAE Technologies, LLC, a specialty chemical company based in Corvallis, Ore., has introduced a new solution for diesel particulate filter (DPF) cleaning. AGAE says its new solvent-free, aqueous cleaning solution, formulated with rhamnolipid biosurfactant and other natural ingredients, is highly effective and economical for cleaning DPFs. Able to be used with water-based cleaning machines, AGAE says its all-natural solution has no solvents and is safe for the DPF/DOC catalyst material.

Heavy-duty valve and repair kits Midwest Truck & Auto Partsâ&#x20AC;&#x2122; World American has released nearly two dozen new components to its heavy-duty product line. The new parts include air dryers, AD cartridges, purge valves, purge valve kits, governors, turbo cutoff kits, heat repair kits and check valve kits. World American says each new product features no core charge, and is currently available at new-product pricing through Dec. 31, 2016.

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Tapered roller bearings for multiple applications Meritor has released its new Meritor AllFit premiumtapered roller bearings for differentials, transmissions and wheel-ends for multiple applications, including steer, drive and trailer axles. The bearings are manufactured with a high-grade steel and are through-hardened for added tensile strength. To safeguard against contaminants, each bearing is packaged in individually sealed and wrapped plastic bags. Select wheel-end sets include intermediate plastic between the cup and cone for added protection during transportation, Meritor says.

Assorted previously dealer only parts Dorman HD Solutions has introduced new former dealer only parts to its heavy-duty aftermarket product offering. The company says the parts include an air charge temperature sensor, clutch push rod, EGR cooler, accelerator pedal and side marker light assembly.

Marketplace

Refined lubrication filter

Fiber braid hydraulic hose Gates Corp. says its Fiber Braid Lock-On Hose (5LOC) is now available in 300 ft. bulk reel and 50 ft. packaging. According to the company, this fiber braid reinforced hose is ideal for petroleum-based hydraulic oils, glycol antifreeze compounds, water, engine lubricating oils and air. It has an oil and mildew resistant cover, a 300-psi working pressure and meets specific performance requirements for fuel and B20 biodiesel fuel transfer applications up to 125°F, the company says.

Engine series replacement parts IPD has launched a new line of replacement parts for Caterpillar C18 engine applications. IPD says piston and liner kits for C18 engines are now available for a variety of markets and applications, and IPD also offers a full range of C-Series engine kits, from C7 through C32. IPD continues to expand the IPD brand of replacement parts for both old and new Caterpillar applications.

Spin-on oil filter HUBB has introduced a new 8-in. spin-on oil filter to its filter portfolio, which is designed for use on Class 2 through 6 lightand medium-duty diesel engines. The filter features the same patented filter-in-filter design as its 3-in. filter and is made with surgical stainless steel weave filtering media and two pressure differential values. It is backed with an industry first 100,000-mile performance guarantee.

LED warning lamps Optronics International introduces a new family of LED directional warning lamps. The nine white and amber lamps are designed for work trucks and service vehicles. Optronics says the lamps feature sonically welded, watertight polycarbonate lenses and a solid-state surface-mount design that help guard against moisture, particulate ingress, shock and vibration. They also feature 12 sync-capable flash patterns.

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Cummins Filtration has further refined its Fleetguard LF14000NN combination lube filter for the arrival of newer engine platforms including Cummins X15 engines. According to Cummins, the new Fleetguard LF14000NN uses a state-ofthe-art co-bonding lamination process that pairs NanoNet and StrataPore media together to create a single filter element.

Single-source electrical port Purkeys has developed Dual Shield, which provides a single source with multiple protected ports for electrical devices. It gives vehicles two levels of protection to help counteract parasitic loads from these electrical systems: a low voltage disconnect (LVD) and a timed disconnect. Purkeys says this handy electrical accessory also simplifies adding necessary electrical devices to heavyduty vehicles by providing a centralized, protected location for technicians to connect these supplementary devices.

Off The Line Spotlighting a new OEM innovation Kenworth debuts new T880 axle configuration Kenworth has introduced its T880 with a set-forward front axle configuration. The new configuration, named the T880S, is especially designed for fleet and truck operators in ready-mix, dump and mobile crane applications where every incremental pound of payload delivered contributes directly to the bottom line, and excellent maneuverability and visibility are valued. “The new T880S advances Kenworth’s heritage of providing fleets and truck operators with industry-leading, rugged and reliable vocational trucks that deliver excellent performance,” says Jason Skoog, Kenworth assistant general manager for sales and marketing.

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Marketplace

Computerized collision repair measurement system Chief introduces Cam Scam HD, the first computerized measuring system in North America designed to identify and document all collision damage on heavy-duty vehicles. According to Chief, the system lets technicians easily measure and compare two points anywhere on a vehicle using PanoVision Technology. The Chief Cam Scan HD measuring system includes a laptop computer loaded with PanoVision software, wireless mouse, 32-in. monitor, and color document printer, all housed in a durable, portable locking cabinet.

Replacement air compressor S&S Truck Parts Inc., introduces its new replacement air compressor for Volvo D12 engine models. The company also offers NEWSTAR cylinder head replacement kits for Volvo D12 air compressors. Like all NEWSTAR air compressors, this model is new (not rebuilt) and outright (no core exchange required), the company says. All NEWSTAR air compressor components also are fully interchangeable with OEM models. The air compressors are tested for air-pressure build-up, leakage and unloader functionality, and warranted for 12 months/100,000 miles, or 18 months from date of purchase, NEWSTAR says.

Trailer suspensions Ridewell says its 20K and 25K Low Mount Trailer Suspensions for its RAR-266 family are now available in drum or disc brake axle configurations with standard or custom axle widths. The 20K suspension can be configured for use with 19.5- and 22.5-in. tires at a 7-in. ride height and uses a narrow bushing design to facilitate a lightweight durable system that fits applications with limited space. The 25K version allows customers to standardize on a wide-bushing pivot connection while accommodating 6.5- to 9.5-in. ride heights. Both systems take advantage of a 5.75-in.-diameter axle combined with short cams to help minimize axle weight, the company says.

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Heavy-duty diagnostic kits Snap-on has introduced two new heavy-duty ProLink Ultra Diagnostics Kits. The Elite Kit (EEHD345EPWZ) and Starter Kit (EEHD345SPWZ) provide OEM-proprietary diagnostics for commercial heavy-duty trucks. Snap-on says tested and licensed OEM coverage applies to all major systems, including engines, transmissions, ABS, instrument cluster, emissions, SCR, body systems and more.

Pressure washer hoses Water Cannon introduces its Monster pressure washer hose. Equipped with quick connect fittings for quick and easy setup and a 3/8 in. male QC plug by 3/8 in. female QC socket, Water Cannon says the hose is includes a 4500 psi rated standard size 50-ft. assemblies, as well as 100, 150 and 200 ft. lengths.

Commercial repair estimating system PPG has expanded the capabilities of its AdjustRite commercial estimating system. The new web-based service, the AdjustRite Commercial Parts Listing Program, is designed to let suppliers post their parts catalogues and inventories online, in turn allowing fleets, repair facilities, insurers and claims personnel to check on parts availability and pricing at the same time that an AdjustRite estimate is being prepared, PPG says. PPG says it requires only an internet connection and works seamlessly on smartphones, most webenabled tablets, and laptop and desktop computers. No new software is needed.

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12915

427

336

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13251

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29580

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308

29855

29623

55.42 %

55.20 %

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h. Total (Sum of 15f and 15g) i. Percent Paid and/or Requested Circulation ((15c / 15f) times 100) 16. If total circulation includes electronic copies, report that circulation on lines below.

Percent Paid and/or Requested Circulation (Both print and Electronic d. Copies) I Certify that 50% of all my distributed copies (Electronic & Print) are legitimate requests.

17. Publication of Statement of Ownership for a Requester Publication is required and will be printed in the 10/01/2016 issue of this publication. 18. Signature and Title of Editor, Publisher, Business Manager, or Owner Title Kelli Kitchens

Date Audience Dev. Mgr.

10/03/2016 00:00:00 AM

I certify that all information furnished on this form is true and complete. I understand that anyone who furnishes false or misleading information on this form or who omits material or information requested on the form may be subject to criminal sanctions (including fines and imprisonment) and/or civil sanctions (including civil penalties). PS Form 3526-R, September 2007 (Page 2)

T R U C K PA R T S & S E R V I C E |

Statement of Ownership_TPS1014_PG036.indd 1

PRIVACY NOTICE: See our privacy policy on www.usps.com

October 2016 10/3/16 1:35 PM

Call Brad Holthaus 205-248-1278 or visit www.truckpartsandservice.com

GENERAL ELECTRIC CAPITAL CORP

Classified Advertising

Classified Ads

PS Form 3526

Ad Index Company

Contact Info

Page

Company

Contact Info

Page

Automann

888-288-6626

S & S Truck Parts, Inc.

800-621-1553

Automann

888-288-6626

S & S Truck Parts, Inc.

800-621-1553

IBC

Eaton

evertough.com

GenNext

gennexthd.com

Majestic Lubricants

713-674-3333

Meritor, Inc.

meritor.com

Meritor, Inc.

meritor.com

IFC

Meritor, Inc.

meritor.com

Midwest Truck Parts

800-934-2727

Minimizer

800-248-3855

Minimizer

800-248-3855

Petro-Canada

SKF Automotive Division

800-882-0008

RIGDIG BI

randallreilly.com

Trucker Tools

truckertools.com

wreathsacrossamerica.org

BITIMEC International

877-637-1900

Direct Equipment Supply Co.

800- 992-1478

duronthetougherthebetter.com

FinditParts

888-535-2635

800-324-8588

ProMiles

Wreaths Across America

Classifieds

Statement of Ownership

This advertisers’ index is a service to readers. Although every effort is made to maintain accuracy, Truck Parts & Service cannot assume responsibility for errors or omissions.