Lang Aftermarket iReport: Auto parts store revolution

“There are two types of Automotive Parts Stores: Jobbers and Retail Auto Parts Stores. The Automotive Parts Store population is increasing, but the mix of Jobbers and Retail Auto Parts Stores is changing much faster.

“The number of Automotive Parts Stores climbed by approximately 600 outlets between 2014 and 2019. However, this growth does not reflect the dramatic change in the mix of Jobbers and Retail Auto Parts Stores.”

— Jim Lang, publisher, Lang Aftermarket iReport

More Automotive Parts Stores

The number of Automotive Parts Stores in the U.S. (Jobbers and Retail Auto Parts Stores) climbed from approximately 34,350 at mid-year 2000 to over 36,400 by 2014.

Automotive Parts Store growth continued during the next five years with over 575 outlets added, which brought their population to nearly 37,000 at mid-year 2019.

Sinking Jobber Population

Despite the increasing number of Automotive Parts Stores across the U.S., the Jobber population declined each year from 2009 to 2019.

At mid-year 2009, there were approximately 17,500 Jobber stores nationwide, with their population slipping to just over 17,050 by 2015.

Since then, the number of Jobber Stores has continued to decline, but at a lower 0.3% average annual pace.

Retail Auto Parts Store Growth

The populations of Retail Auto Parts Stores and Jobbers have moved in opposite directions. From just nearly 17,900 outlets in 2009, Retail Auto Parts Store locations topped 19,400 by 2015.

The growth of Retail Auto Parts Stores has continued, with their number climbing at a 0.7% annual pace between 2015 and 2019.

Shifting Outlet Mix of Automotive Parts Stores

The shares of Automotive Parts Stores represented by Jobbers and Retail Auto Parts Stores changed significantly over the past 10 years.

Between 2009 and 2019, Jobbers suffered a steady share decline, while the Retail Auto Parts Store population share surged.

Jobbers fell from 49% of Automotive Parts Stores nationwide in 2009 to a 46% share by 2019.

In contrast, Retail Auto Parts Stores represented a majority, 54%, of Automotive Parts Stores at mid-year 2019, stronger than their 51% share 10 years earlier.

Automotive Parts Store Growth Rate

The number of Automotive Parts Stores nationwide increased at a 0.4% average annual pace between 2009 and 2019.

The Retail Auto Parts Store population surged at a much faster 1.2% annual pace, as the number of Jobber stores fell an average annual 0.4% rate during these 10 years.

Retail Auto Parts Store Sales Share

The changing Automotive Parts Store mix reflects the growing parts share of Retail Auto Parts Stores in both the Do-It-Yourself (DIY) and the Commercial (wholesale) Do-It-For-Me (DIFM) markets.

Retail Auto Parts Stores increased their Do-It-Yourself (DIY) product share more than one-10th between 2009 and 2019, taking much of that volume from Jobbers and Discount Stores/Mass Merchandisers.

In the commercial (wholesale) DIFM market, Retail Auto Parts Stores have greatly expanded their product share over the past 10 years. A large part of that growth has been at the expense of competing outlets, especially Jobbers.

2020 Developments

The increase of DIY auto repair resulting from the onslaught of Covid-19 has strengthened the market position of Retail Auto Parts Stores, which hold a dominant share of the DIY market. This will likely accelerate the expansion of Retail Auto Parts Stores in the mix of Automotive Parts Stores.

Six Major Takeaways

• Although the number of Automotive Parts Stores (Jobbers and Retail Auto Parts Stores) increased at a steady pace nationwide over the past 10 years, there has been a significant change in the mix of Jobbers and Retail Auto Parts Stores. See the 2021 Lang Aftermarket Annual for a 10-year history of the changing populations of Jobbers and Retail Auto Parts Stores.
• Despite the growing number of Automotive Parts Stores between 2009 and 2019, the Jobber population declined each year. Retail Auto Parts Stores, in contrast, expanded their population, adding more than 2,100 locations during the past 10 years.
• At mid-year 2009, there were approximately 35,400 Automotive Parts Stores nationwide, with Jobbers holding 49% outlet share.
• The number of Retail Auto Parts Stores nationwide increased at a 1.9% average annual pace between 2009 and 2019, while Jobbers stores suffered a 0.7% average annual population reduction.
• At mid-year 2019, Retail Auto Parts Stores represented 54% of all Automotive Parts Stores nationwide, as Jobbers fell to a 46% share.
• The shifting mix of Automotive Parts Stores reflects changes in the ability of Jobbers and Retail Auto Parts Stores to successfully compete in the evolving Commercial (wholesale) and DIY segments of the light vehicle aftermarket. The onslaught of Covid-19 has brought changes to the marketplace that will influence the number and mix of Automotive Parts Stores. See the upcoming Covid-19 Aftermarket Impact Report from Lang Marketing for more details.

Copyright 2020 by Lang Marketing Resources, Inc.

NOTE: Special thanks to publisher Jim Lang for granting us permission to publish the Lang Aftermarket iReport.