Illinois-based research firm IMR Inc. says pandemic uncertainty has led to a rise in the sale of private-label and store-brand parts.
According to a new report from IMR, independent automotive repair shops have significantly increased their purchases of private-label and store-brand parts in recent months.
IMR says private label parts now constitute 45.4% of shop purchases among those surveyed.
The survey of independent repair shops also shows that 65.8% of shops have increased their purchases of private label/store brand parts in recent months. That’s up sharply from 2018, when only 33.4% of shops said they had increased their purchases of private labels and store brands.
And the trend appears poised to continue into the near future. Independent auto repair shops say they expect to continue to increase their purchases of private label/store brand parts. Over the next year, 68.0% of shops state they plan to increase their purchases of these parts.
According to IMR, the reasons usually given for increasing purchases of private label and store-brand parts revolve around lower prices, speed of deliver, ease of sourcing, and confidence in the product quality.
The research company says the pandemic has changed that dynamic. Now, the predominant reason shops are sourcing private labels is “to save money due to pandemic uncertainty” (33.9%).