Advance Auto Parts announced that has completed the store closure phase of its transformation plan and is now focusing on growth.
Towards the end of 2024, the company announced it would close hundreds of stores and some distribution centres. The news came shortly after it announced the sale of Worldpac to a private equity firm.
The company said its decisions around Advance’s retail footprint was a key part of its broader transformation plan to reposition the company for long-term success. With more than 75 per cent of its stores now in markets where the company holds one of the top two positions based on store density, Advance said it believes it has strengthened its presence in strategic communities.
Going forward, Advance plans to open 30 new locations in the United States in 2025 and at least an additional 100 new locations through 2027, including larger “market hubs.”
Advance is also expanding its market hubs with new openings soon in the Midwest. These larger stores will increase the availability of parts by placing approximately 75,000-85,000 SKUs closer to customers and other local Advance stores. Typical Advance stores carry between 20,000-25,000 SKUs.
“Advance Auto Parts is on the path to accelerate store growth and focused on the fundamentals of selling auto parts,” said Shane O’Kelly, president and chief executive officer. “We are excited about what’s to come for Advance. Our team members are committed to providing the right parts and the right service for our PRO and DIY customers in their communities.”
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