AAP - Oil Change/Tune Ups Sell Great at AAP stores but brakes, hoses and batteries not so good

We interviewed Advance Auto Parts, Inc this week. This was after analysts said they maintain their "hold" recommendation on the auto parts stores until costs are contained and same-store sales improve. 35 stores around the country were approached and asked if they offered services as well as parts, what is most often purchased by customers (maintenance or parts?), how busy are they and what specific parts or services do they sell mostly right now? 34% of those we interviewed said they offered service and parts at their stores. 60% said they offered parts only, while only 6% said their store only offered services to their customers. 43% of those we consulted said their customers mostly came in for maintenance products such as anti-freeze, oil, lubricants and wiper blades. 49% of those we interviewed said customers were buying parts (i.e. alternators, hoses, belts and brakes.) When we asked how business was now compared with a year ago, seven people or 20% didn't have a clue. 66% said business was just the same, so no impact from the economy whatsoever. While 14% felt that business was up. And when we asked what specific parts sold well in the stores, 17% of respondents said batteries were the biggest seller, 14% said that brakes sold best, hoses were cited by 11% of those we interviewed, while oil change/tune-ups were cited by 46% of those polled, so clearly the best selling item.

AAP - Oil Change/Tune Ups Sell Great at AAP stores but brakes, hoses and batteries not so good

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