PARTS iD “Shop by type of service” boosts sales
A new online specialty store for an emerging market, expanded “Shop by Service Type” functionality and cost-effective product alternatives are among the strategic initiatives deployed by the technology platform parts identifier during the fourth trimester.
The technology platform serves the automotive aftermarket through the CARiD e-commerce site and covers adjacent complex parts markets through seven other verticals. In the automotive sector, 70% of the company’s sales are made up of interior accessories, wheels and performance parts.
Capturing an emerging category
In November, PARTS iD launched an electric vehicle (EV) store on CARiD. This includes charging equipment, mechanical repair and maintenance parts, and accessories. It covers many popular electric vehicle models on the road today.
“The adoption of electric vehicles is accelerating and we believe we are well positioned to capture this emerging category with our platform business model,” said PARTS iD CEO. Nino Ciappina said Monday (March 14) during the company’s quarterly earnings call.
In a presentation released with the earnings call, the company said U.S. electric vehicle sales jumped 83% in 2021 and electric vehicles are expected to make up 26% of new cars sold in the U.S. 2035.
“Our platform model allows us to capture changes in consumer demand and enter emerging and new product categories such as electric vehicle parts and accessories in a capital-efficient way to create a complete assortment with minimal investment in physical inventory,” Ciappina said on the call. .
Show additional or optional elements
During the fourth quarter, PARTS iD also expanded its “Buy by Service Type” feature which allows customers to specify the job they want to do and then get a bundle of parts they need to do that job. .
“Using Shop by Service Type, the customer chooses the primary replacement item – for example, brake pads – and the platform offers a wide selection of results while displaying frequently needed add-on or optional items,” said said Ciappina.
If a customer buys brake pads, for example, Shop by Service Type will also show brake rotors, brake fluid, and specialty brake tools. All products found by the feature are guaranteed to fit the vehicle based on the year, make and model entered by the customer.
Following recent expansion, the Shop by Service Type feature now includes vehicle-specific product groups for over 500 repair jobs.
“The benefit of this feature is that the customer can order all additional products at once rather than finding out later that a necessary component is missing,” Ciappina said.
Offer cost-effective product alternatives
In response to the challenge of inflation, PARTS iD is working with suppliers to contain cost increases where possible, and partially pass the costs on to consumers through dynamic pricing where necessary. The company also offers cost-effective product alternatives to its customers.
“A notable and clear advantage of our platform business model is the breadth of similar products available for a consumer to trade across the value spectrum of products as prices rise,” Ciappina said. “By offering customers options across the value spectrum during times like this, we can capture sales that competitors with a stock-and-ship model may lose due to their assortment of products and options. limits.”