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How it impacts the independents
Page 58
Page 59
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As an independent supplier, lmexpart has had to compete in the fickle business of all-makes parts supply. Based in West Yorkshire, the company distributes fast moving parts for two manufacturers -MAN and VW commercial vehicles. For both brands, lmexpart supplies niche components to fit engines and bodywork parts such as cab panels and bumpers. The supplier sells to a wide range of customers from owner-operators, right through to motor factors and repairers.
'Manufacturers that sell each others' parts have had little or no impact on our business," says Arthur Pinkney, MD of lmexpart. When ERF decided to sell MAN parts we were a iittle apprehensive as to how it might affect our market. We actually benefited by helping with some of the research and development" When the business was established, Imexpart reports there was very lithe competition between the large truck manufacturers. But now Pinkney says stlf compeOon is causing parts prices to be reduced by up to 35% as manufacturers vie for business. "Ai-makes parts has gained ground with manufacturers and independent suppliers competing to increase their market share," he adds. "The business has presented a steep iearning curve for manufacturers. Although they have experience in selling their own vehicle parts, some makers are inexperienced dealing with those of the rivals.'
Pinkney claims some makers xe having to learn the business quickly — and its not easy. The need to research and stock competitors' inventories and then purchase components at the best price all adds up to a logistical challenge, he says.