Auto Parts Alliance expands into China
The Aftermarket Auto Parts Alliance (Alliance) has expanded into China with the creation the China Aftermarket Auto Parts Alliance (CAAPA). The group will go to market in China under the Auto Value brand.
The Alliance says the CAAPA charter members are five established, well-financed warehouse distributors currently operating successfully in various regions of China. The five charter members will be responsible for guiding the guiding CAAPA’s growth and development.
The Alliance’s goal has always been to create a global aftermarket alliance that can take full advantage of both mature and emerging markets, according to John Washbish, CEO and president. “We are fortunate to have found such outstanding partners in China,” he says.
Xiwen Zhang is general manager of Shanghai Jiapei Electronic Commerce Co. and the chairman of CAAPA’s steering committee. The Chinese auto aftermarket is going through a profound consolidation period, according to Zhang. “As a result, this arrangement among China's top distributors is the ideal business model to assure maximum success.
"The longstanding success of the Alliance in North America is a reflection of operational expertise and management support. Outperforming our competition will be easier with the help and support of someone who has already waged the battles that we now face.
“We need efficient e-commerce platforms, a common parts store brand, as well as the introduction of premium brand products and private brands. The Alliance has done all that and can provide specific help in those areas and others.”
The initial five charter members operate a combined 150 auto parts stores, covering 15 different provinces in China. The members are:
* Shanghai Jiapei Electronic Commerce Co. Ltd;
* Jiangsu CarZone Investment Co.;
* ZCPart Auto Parts & Accessories Co. Ltd.;
* Shanghai Shuanglin Automobile Parts Service Co., Ltd.; and
* IGB China Co., Ltd.
“We are truly excited about introducing Auto Value stores and the powerful brands that come with them,” says Zhang.
Washbish says the impact of this new global alliance is far-reaching and mutually beneficial. “We are already receiving positive reviews from our many mutual global suppliers. They report that our Chinese partners are excited about getting on board with our compliance programs and supporting our brands. It’s a real win-win-win.”
The official launch date of the CAAPA, headquartered in Shanghai, will be Jan. 1, 2015. The office staff will consist of Jessie Hu, operational manager, Seven Xu, Della Tian and Daniel Liu. CAAPA’s headquarter office is at the China Tower, 1701 Beijing West Road, Jing’an District in Shanghai.
The Alliance goes to market through over 2,200 parts stores and over 3,000 certified service centers throughout North America, branded Auto Value / Bumper to Bumper.