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Automotive Parts & Accessories Stores
First Research, March 2012, Pages: 10
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Executive Summary
Brief Excerpt from Industry Overview Chapter:
The US automobile parts retail industry includes about 40,000 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $45 billion. Major companies include Advance Auto Parts, AutoZone, O'Reilly Automotive, and The Pep Boys. The industry US is concentrated: the 50 largest companies generate about half of industry revenue.
Major auto parts retailers based outside the US include AUTOBACS SEVEN and Yellow Hat (Japan), Halfords Group (UK) ATU Auto-Teile-Unger (Germany), and Super Cheap Auto (Australia).
The industry includes retailers of new and used automobile parts. Some large retailers also distribute auto parts. Tire wholesalers and tire dealers, which are not part of the industry, are covered in separate profiles.
COMPETITIVE LANDSCAPE
Demand for automobile parts is driven by the age and mileage of vehicles in use and generally increases when fewer new cars are sold and older cars are kept on the road longer. The profitability of individual companies depends largely on inventory management and marketing. Large companies have economies of scale in purchasing and distribution. Small companies can compete effectively by carrying specialized parts or providing extra services such as fast delivery. The industry is labor-intensive: average annual revenue per employee is about $140,000.
PRODUCTS, OPERATIONS & TECHNOLOGY
The automobile parts retail industry sells parts and other products used to maintain and repair cars and trucks. Because products are used on vehicles after their original sale, the industry is considered part of the motor vehicle aftermarket....
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