Parts.com Signs Exclusive Automotive Recycler Group
25 July 2000
Brings $75 Million High-End Recycled Quality Parts Inventory to Network
SANFORD, Fla. - Parts.com, Inc., a leading business-to-business parts e-commerce marketplace and e-solutions provider, signed an exclusive online sales agreement with Rancho Cordova Specialized Recyclers, a Sacramento-based high-end dismantler and leading provider of quality recycled auto and truck parts. RCSR will provide parts.com with on-line access to its $75 million high-end quality recycled auto and truck parts inventory.With over $40 million in combined revenues in 1999, Rancho Cordova Specialized Recyclers now offer both a traditional and a global e-commerce pipeline within an industry that has generally been slow to adopt technology and gravitate away from the `junk yard' image which has plagued its industry for years.
Unlike most recycler and dismantling operations in the United States who offer a `mixed bag' of auto parts from many vehicle lines, RCSR is an association of twenty organized and segregated recyclers--each one specializing in a distinct automotive line. This specialized focus allows for unusually high levels of selection, quality, service and customer support.
"When we made a decision to offer quality recycled auto parts to our customers, we knew we had to create a higher standard for the industry, and that meant a tougher quality criteria for our vendors and their products. In this particular segment, it's quality over quantity," stated Jeff Odato, vice president. "The twenty segregated yard operations at RCSR are meticulously managed and maintained--they live the higher standard we are looking for in a recycler partner. They are one hundred percent customer-focused, and so are we," added Odato.
"We are aggressively working the extremely lucrative insurance and warranty opportunities that exist for recycled parts today. The recycled auto parts industry generates $8.2 billion in U.S. and Canadian sales annually--parts.com intends to stake a claim to that business," concluded Odato.
According to Bill More, executive director of RCSR, "Over the last year, we've conducted exhaustive research and interviews in our quest to interface our twenty specialized dismantling facilities with the best e-commerce partner for online sales of our recycled auto and truck parts. Parts.com was hands-down the best in the category. Parts.com is far more than just simply a dot-com moving recycled auto parts--they're really a technology infrastructure company with a broad range of online solutions that we will integrate into our operations."
About Parts.com
Parts.com provides a business-to-business e-commerce solution for the $600 billion auto parts industry. The site creates value for participants throughout the supply chain, including manufacturers, distributors, dealerships, collision repair shops, garages, recyclers and insurance companies, as a result of its unique, direct business model which eliminates a number of inefficient links in the supply chain inherent in the auto parts business. The parts.com marketplace and logistics model enable parts distributors to deliver their product more quickly and cost-effectively than through traditional distribution channels. Parts.com was officially launched on January 23, 2000 and presently has 485 dealers/distributors whose combined auto parts sales, prior to joining parts.com, were in excess of $1.1 billion in 1999.