AAIA Anounces Results: 86% Will Be ON-Line

BETHESDA, MD -- Eighty-six percent of aftermarket companies responding to a survey have or plan to launch a website by the end of the year, according to a new research report published by AAIA.

The study, called "E-Commerce & the Aftermarket" examines current e-commerce conditions in the industry and trends that will drive Internet business in the next decade. The 40-page report combines survey results from AAIA member companies with data from research firms.

"The research in this report reflects how the Internet is affecting the automotive aftermarket supply chains and distribution channels by reforming interactions between buyers and sellers," said Alfred Gaspar, AAIA president and CEO. "Whether informational or transactional, aftermarket businesses are rapidly developing their own electronic presence."

The most common aftermarket products marketed and sold over the Internet by AAIA member companies surveyed include hard parts (33 percent), performance and comfort accessories (30 percent), and tools and equipment (29 percent). About one-fifth market/sell chemicals (20 percent) or general service parts (19 percent). Very few respondents market/sell technical information (11 percent) or tires (4 percent) over the Internet.

Other information from survey respondents contained in the report includes:

* The majority of companies expect to increase their website budget; * Most companies felt that their websites helped increase total sales; * The majority of transactional websites reported a zero return rate; * The majority of companies manage their websites internally; * The most common services and functions offered through a website are product and store locators.

"Many smaller companies are overcoming the notion that creating a website is too costly. For example, the median startup cost for manufacturers' representatives is $550," said Gaspar.