The automotive aftermarket is a dynamic sector, constantly adapting to consumer behavior and market trends. A significant shift is occurring within the supply chain, specifically in the types of Aftermarket Car Parts Stores that serve both the DIY (Do-It-Yourself) and DIFM (Do-It-For-Me) markets. Recent analysis reveals a diverging trend between jobber stores and retail auto parts stores, impacting how consumers and professionals access aftermarket car parts.
Understanding the Changing Mix of Auto Parts Stores
Between 2017 and 2023, the automotive aftermarket car parts stores landscape experienced a notable transformation. This period saw a distinct shift in the balance between jobber stores and retail outlets, altering the distribution network for aftermarket car parts across the nation. This evolution has far-reaching implications for parts availability, brand accessibility, and the overall efficiency of vehicle repair services.
The Decline of Automotive Jobber Stores
Historically, jobber stores have been a cornerstone of the aftermarket car parts distribution network. In mid-2013, the US boasted over 17,100 jobber locations. However, this number has steadily decreased, reaching just over 16,100 by 2023. This contraction reflects significant challenges faced by jobbers in the evolving market.
The Rise of Retail Auto Parts Stores
Conversely, retail aftermarket car parts stores have demonstrated robust growth during the same period. From approximately 19,100 stores in mid-2013, their numbers climbed to over 20,000 by mid-2023, marking a record high. This expansion indicates the increasing prominence of retail chains in the aftermarket car parts sector.
Overall Contraction of Auto Parts Outlets
Despite the growth of retail aftermarket car parts stores, the total number of auto parts stores (combining both jobbers and retail) has actually declined. Approximately 450 fewer stores existed in 2023 compared to 2017. This suggests a consolidation within the aftermarket car parts industry, even as the overall market volume increases.
Shifting Market Share: Retail Outpaces Jobbers
In 2008, jobber stores outnumbered retail aftermarket car parts stores by around 800. However, the market dynamics have dramatically shifted. By 2023, retail chains surpassed jobbers by nearly 1,900 locations. This reversal highlights a significant change in market share, with retail aftermarket car parts stores gaining considerable ground. Estimates indicate a 5% decrease in jobber store numbers between 2017 and 2023, while retail locations expanded by 2%, even amidst a substantial $17 billion growth in the aftermarket car parts volume.
Factors Driving the Changing Landscape of Aftermarket Car Parts Stores
The diverging paths of jobbers and retail aftermarket car parts stores are rooted in their varying abilities to adapt to evolving market conditions and consumer demands.
Challenges for Jobber Stores
Several factors contribute to the ongoing decline of automotive jobber stores:
- Erosion of DIY Market Share: Jobbers have struggled to maintain their share of the expanding DIY market. Their DIY market share has decreased by almost 20% in recent years. Consumers seeking aftermarket car parts for DIY projects are increasingly turning to other channels.
- Increased Competition in the Commercial Market: Retail aftermarket car parts stores are aggressively targeting the commercial market, traditionally a stronghold for jobbers. This intensified competition is squeezing jobbers’ business.
- Two-Step Distribution Growth: The rise of two-step distribution models, where traditional warehouses bypass jobbers and sell directly to commercial accounts and end-users, further undermines the jobber model. This shift in distribution channels impacts jobbers’ access to both supply and customers.
Success Factors for Retail Auto Parts Stores
Retail aftermarket car parts stores are thriving due to their successful adaptation to market changes:
- Dominance in the DIY Market: Retail chains have maintained a strong grip on the DIY market, effectively competing even with the growth of e-commerce platforms specializing in aftermarket car parts. Their accessibility and consumer-friendly approach resonate with DIYers.
- Expansion in the Commercial Sector: Retail aftermarket car parts stores are rapidly growing their commercial business. By expanding product lines and increasing store locations, they are better positioned to serve the commercial market, directly challenging jobbers. This strategic expansion is key to their growth.
Future Outlook for Aftermarket Car Parts Stores
Current trends suggest that the divergence between retail and jobber aftermarket car parts stores will persist. Retail chains are expected to continue expanding their commercial market share, further impacting jobbers, who are likely to experience continued declines in their DIY market presence. While jobbers will remain relevant in both the DIFM and DIY sectors, their shrinking market share will likely encourage traditional warehouses to further develop two-step distribution models, establishing direct relationships with installers and other end-users, bypassing jobbers in the process.
These evolving distribution dynamics will necessitate that manufacturers and marketers of aftermarket car parts reassess their strategies to effectively reach both DIFM and DIY customers in this changing marketplace. The future of aftermarket car parts stores will be shaped by these ongoing adaptations and competitive pressures.
