Europe’s aftermarket parts market underwent an explosion of “alternative offerings” for parts in the last five years. Multiple OEMs launched or expanded their second line parts offerings (generally a similar part with slightly lower durability and warranty). Dealer groups also added their own private-label parts offerings, in part to increase their margin and to supplement an OEM’s second line parts offerings. This is a case, however, where the market in the US lags behind that in Europe, with less-developed second lines and far fewer dealer private-label offerings available. This session will showcase a few NAPB OEMs who have had a second line parts offering for many years, providing an opportunity for others to learn from these industry leaders. In turn, these industry leaders will have a chance to hear from one another on key challenges and successes through the years. The panel discussion will cover:
· Reasons OEMs are turning to second line parts rather than other strategies to expand their reach
· Drawbacks and challenges encountered in developing and maintaining a successful second line
· Strategic decisions in positioning OEM second lines
· Outcomes of existing second line parts programs and how to measure success