From Counter to Computer: Why eCommerce is Growing in its Importance for the Auto Recycler
The Ecommerce Effect: How Ecommerce Impacts Auto Recyclers
Online selling impacts average auto recyclers like it impacts all small to mid-sized businesses: it exponentially expands market visibility. Through the Internet, businesses can find customers and channels for their sales in areas they couldn’t reach otherwise. And typically, selling online requires relatively little financial investment. It takes time and practice to become an efficient online seller, but these efforts can dramatically boost sales and help recyclers find a consistent repeat customer base.
While an auto recycling company’s operation may be in remote areas, sites like eBay are in the top 10 most heavily trafficked in the world. So, not only are recyclers marketing to new customers, sellers who use eBay effectively get their parts seen on a website where a part or accessory is sold every 0.4 seconds*. And, listing on certain sales channels is low-cost to no-cost, so the risk in advertising inventory online is relatively low.
The Need for More: How the Demand for Ecommerce Has Changed Over the Past Decade
Retail has shifted drastically online, and no industry is immune to this evolution—including auto parts sales. While many recyclers still place a great deal of resources into driving counter sales, as it becomes easier to market and buy online, more sales are converting to online than ever before. According to the Wall Street Journal, Internet retail sales have grown by more than 15% every quarter for the past two years, and that’s not slowing down any time soon.
In auto recycling, the past decade has seen sales move from strictly counter-based to both ecommerce and brick-and-mortar. And there are solutions to help businesses keep up. Hollander offers three solutions to sell parts online, and, partnered exclusively with eBay (consistently ranked a number one automotive site on the web**), Hollander helps to equip recyclers with a high-traffic marketplace to sell parts.
The Forecast: How Will Ecommerce Continue to Change?
Sales will continue to surge online-- especially with the advent of mobile-friendly sites. Developing a business strategy to account for these areas is more important than ever. According to Forbes, 56% of consumers have used a mobile device to research product at home, 38% to check inventory while on their way to a store, and 34% to research while in a store.
Down to Dollars: Ecommerce’s Financial Impact on Your Business
Depending on the quality of the platform and the time put in, recyclers can see an abundance of sales convert to online revenue. Sam Matsoyan of European Parts Depot was specializing in selling Porsche parts, but with little exotic car demand in his area, he jumped online 10 years ago, since then business has boomed. “Just to be moderate we’ve probably tripled in business,” Matsoyan said.
Move into the Modern: How Ecommerce Can Modernize Your Business
Getting your inventory online doesn’t necessarily change the face of your business, but it does give you opportunities to sell your parts in a place where many new potential customers can view and purchase. Clean parts, accurate descriptions and correct standards for product photography make inventory more desirable for buyers. It’s also a chance to build relationships with new customers exclusively online.
Tell us, have you thought about expanding your auto parts sales online? What has your experience been?
*Information provided by eBay Motors sales statistics in July - September, 2014, on eBay Motors
*According to 2015 Comscore data