The Auto Channel
The Largest Independent Automotive Research Resource
The Largest Independent Automotive Research Resource
Official Website of the New Car Buyer

Delphi Unveils New Aftermarket Brand Strategy

13 October 1999

Delphi Unveils New Aftermarket Brand Strategy; Initiative Includes New Logo and Packaging
    PARIS, Oct. 13 -- Delphi Automotive Systems , the
largest supplier of automotive components and systems to the world's Original
Equipment Manufacturers (OEMs), is now focusing its attention on expanding its
reach in the worldwide aftermarket.
    The company introduced its strategy for increasing aftermarket sales and
brand support today at Equip 'Auto, a vehicle and aftermarket show that takes
place every other year in Paris.  As part of Delphi's aftermarket initiative,
the company unveiled a new aftermarket logo and product packaging.  The logo,
which is oval with Delphi emblazoned in the middle, retains the visual
characteristics of the company's corporate identity and reinforces the
attributes that have made Delphi the world's largest auto supplier -- namely
technology, quality and leadership.
    "We're serious about securing significant new business in the
aftermarket," said Jose Maria Alapont, vice president, Delphi Automotive
Systems, and president, Delphi Automotive Systems Europe.  "It's a market that
is under-served, and we have the products, expertise and resources to rapidly
increase our presence in this sector.  Our plans call for doubling our sales
in the European aftermarket by the middle of the next decade.
    "The aftermarket represents an opportunity for Delphi to utilize our
existing global engineering and manufacturing capabilities to realize growth
in a new market.  We believe our original equipment quality and broad product
portfolio will provide added value to our aftermarket customers," said
Alapont.  "Becoming a strong player in the aftermarket will strengthen
Delphi's position as an OEM supplier and enable the company to partner with
automakers to provide products and services throughout the entire life of a
vehicle, which will ultimately benefit the consumer."
    Delphi has been serving the aftermarket since the early 1900s, and today
is one of the top five aftermarket suppliers in the world.  The company
currently produces a wide portfolio of aftermarket products -- including air
conditioning systems and thermal parts, security systems, batteries, shock
absorbers, filtration and lubricants -- under several well-known brand names
such as Diavia, Texalarm, Freedom and De Carbon.  Sales from these products
accounted for more than $2 billion of Delphi's total global sales, which were
$28.5 billion in 1998.
    Delphi's strategy for increasing its presence in the aftermarket centers
around integrating these existing brands under one global master brand:
Delphi.  "Our challenge in the aftermarket is to build a strong brand identity
that leverages our OEM experience and the equity of our existing brands," said
Rachelle Valdez, director, brand management of Delphi's Aftermarket Group.
"We want our customers to know that the same quality and technological
expertise that goes into our OEM products will now be available to them as
replacement parts off the shelves.  And the best way to communicate this is to
bring all of our aftermarket products under the Delphi banner."
    To provide momentum to its aftermarket initiative, Delphi will engage in
an extensive marketing campaign that includes bold new packaging for its
aftermarket products and a complete brand launch package, including point-of-
sale materials, for its customers.  Delphi will also support the launch with a
major aftermarket advertising campaign currently running in Europe.
    The Delphi aftermarket plan also calls for using the tagline "Driving
Tomorrow's Technology" -- the same tagline introduced by Delphi Automotive
Systems earlier this year to reflect the entire company's focus on future
growth through innovative technology.
    Delphi Automotive Systems, with headquarters in Troy, Mich., USA, is a
world leader in automotive component and systems technology.  Delphi's three
business sectors -- Dynamics & Propulsion; Safety, Thermal & Electrical
Architecture; and Electronics & Mobile Communications -- provide comprehensive
product solutions to complex customer needs.  Delphi has approximately 201,000
employees and operates 168 wholly owned manufacturing sites, 38 joint
ventures, 51 customer centers and sales offices, and 28 technical centers in
37 countries.  Regional headquarters are located in Paris, Tokyo and Sao
Paulo.  Delphi can be found on the Internet at http://www.delphiauto.com .