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Established in 1974, Allparts Automotive Ltd is one of the UK's
leading professional distributors of automotive components providing
a comprehensive range of OEM and own-brand products to all areas
of the motor trade. The company is also a member of the UK Parts
Alliance, an association of strong independent businesses, which
each operate in defined areas of the UK. Allparts has a network
of seven large-scale specialist distribution centres throughout
the central south of England with aggressive plans to open further
outlets during the next three years.
The UK's automotive aftermarket industry is worth in excess of
£4 billion per annum* for the 24 million plus cars on Britain's
roads, but the industry is highly competitive in terms of price
and service as cars become more reliable and businesses compete
to win and retain share of sales from a shrinking number of bodyshops.
In response to increasing competitive pressure on the business
and to counter the general shrinkage within the market, Allparts
invested in VECTA, the sales intelligence and performance management
solution from Vecta Software Corporation Ltd.
"Our back-office system didn't give us the ability to monitor customers'
buying patterns easily. There was concern that we were missing sales
opportunities and not selling as effectively as we needed too,"
explains Allparts managing director Mark Darvill. "We decided to
invest in a sales intelligence tool and after evaluating all the
solutions on the market we opted for VECTA."
Allparts has now been using VECTA sales intelligence across its
branch network for over a year. Within each distribution centre
there is a telesales operation, and the company also has a field-based
sales team. There is a central database that covers the whole business
and satellite databases at every branch so there are subsets of
data across the network that are updated on a daily basis from the
central location.
"Everybody who needs to access customer data uses VECTA. In total
we have 19 seats and the software is used actively every day," says
Darvill. "It has become fundamental to the way we now run the business
and has changed our sales culture completely from that of a reactive
business to that of a proactive selling organisation."
VECTA delivers measurable business benefits in two key areas: instant
visibility of sales and marketing opportunities and improved management
control. The software enables Allparts to achieve an increased share
of their customer spend and higher profitability per order. Intelligent
agents within the software highlight opportunities to increase the
value of a sale while sophisticated data analysis helps users to
cross- and link-sell more effectively. The automotive aftermarket
is a very high volume industry and there are a lot of returns either
through purchases being incorrect or customers ordering several
versions of the same part - often from different suppliers - and
then picking the one they want and returning the others. One of
the major problems for Allparts was not being able to quickly measure
the impact of these returns on the business and VECTA has given
them that capability. "We have set up specific reports to monitor
returns," comments Darvill. "Thanks to VECTA every branch now knows
exactly what it has sold and exactly what has been returned to the
branch which makes it easy to keep track of stock."
Allparts has a very product focused approach to selling and runs
frequent promotions. For instance it might run a promotion on brake
fluid and use VECTA to identify the customers who have previously
bought brake fluid but stopped buying it, customers who still buy
it but could buy more and customers who have never bought it.
"The information we get out of VECTA empowers each branch to approach
those customers with a situational fluency that demonstrates an
in-depth knowledge of their current circumstances and future needs,"
says Darvill. "The success rates have been phenomenal. Promotions
have been up to fives times more successful since we started using
VECTA."
VECTA has enabled Allparts to target its campaigns much more effectively
than it ever could before. "Using VECTA we're now able to take a
product and easily identify where we can effectively sell more of
it," concludes Darvill. "It's allowed us to become a much more proactive
business and the net result is that we've been seeing record sales
figures over the past few months."
Mark Darvill Managing Director Allparts
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