If you’re looking to start selling car parts and accessories online, you’re in luck. The online automotive aftermarket is a growing sector, and many retailers are making great money by selling auto parts and accessories online.
In this article, we’ll talk about the online automotive aftermarket and where retailers can sell their auto parts and accessories. We’ll also look at how much, on average, an auto-part retailer can earn by selling car parts and accessories online.
The Online Automotive Aftermarket Sector By The Numbers
The automotive parts and accessories industry is one of the many that have seen significant online sales since 2020, owing, in large part, to COVID-19. The record levels of internet auto maintenance, components, and accessories sales over the past couple of years are expected to continue growing in the years ahead.
Online auto parts and accessory sales in the United States have surpassed $16 billion in 2020 and $17.7 billion in 2021, a 29.9% yearly increase. According to previous estimates, new vehicle components and accessories eCommerce revenue will reach around $20 billion in 2022, with over $22 billion by 2023. This year is expected to continue the trend of rapid expansion observed in recent years, with cross-device and cross-channel conversions playing a significant role. In 2020, Amazon sold $8.3 billion worth of vehicle parts (not including third-party sales).
The auto parts and accessories sector didn’t just break previous records – it also far exceeded what experts predicted before the pandemic. Pre-pandemic forecasts predicted US online sales of automotive parts and accessories to reach $14.1 billion in 2020, but they ended up at a whopping $16 billion. The increase in online revenue owing to the epidemic was around $1.9 billion.
COVID-19 and social distance laws limited the number of consumers who went out to purchase a vehicle. The process of purchasing an automobile was quicker as many spare parts of it were shifted digitally. At the same time, consumers were significantly more happy with their car buying experience in 2020 and 2021 (72% satisfaction) compared to 2019 (60 percent satisfaction).
For these reasons, selling auto parts and selling cars themselves have both become more online-oriented processes.
Where Do Online Retailers Sell Their Products?
As the industry continues to grow, retailers should be aware of a few key players of some of the biggest eCommerce platforms. When selling auto parts and accessories online, dealerships need to have an omnichannel selling strategy that includes selling on marketplaces, their website, and social media platforms.
The online marketplace is one of the most popular selling channels for auto parts and accessories. This is where most customers start their search for car parts and accessories. Online marketplaces offer retailers a wide variety of benefits, including a built-in customer base, increased visibility, and easy-to-use selling tools.
Some of the most popular online marketplaces for selling auto parts and accessories include the following:
As we mentioned before, Amazon is one of the biggest players in the online automotive aftermarket. In 2020, they sold over $8 billion worth of vehicle parts and accessories (not including third-party sales). For this reason, selling on Amazon should be a key part of any retailer’s selling strategy.
When selling on Amazon, retailers have the option to sell as an individual or as a professional. Professional sellers pay $39.99 per month, plus selling fees, while individual sellers pay $0.99 per item sold plus selling fees.
Amazon also offers two different fulfillment options for sellers: Fulfillment by Amazon (FBA) and Seller-Fulfilled Prime (SFP). FBA is a hands-off approach where Amazon will store, pick, pack, and ship your products for you. SFP is a more hands-on approach where the seller is responsible for storing, picking, packing, and shipping their products.
If you’re selling high-quality auto parts and accessories, we recommend using Amazon’s FBA program to fulfill your orders. This will free up your time so that you can focus on other aspects of your business, like marketing and product development.
Another big player in the online automotive aftermarket is eBay. They offer a wide variety of spare parts and accessories for sale, and they also have a large community of buyers and sellers. In addition, selling on eBay is relatively easy, and they offer a variety of marketing tools to help you get started.
eBay also offers two different selling options: auction-style and fixed price. Auction-style is a good option if you have unique or hard-to-find auto parts, while the fixed price is a better option for popular or common auto parts.
eBay charges different fees for each listing type, but they also charge a final value fee based on the total amount of the sale. For example, if you sell an item for $100, the final value fee would be $13.50. Overall, selling on eBay is a great way to reach a large audience of car owners interested in purchasing auto parts and accessories.
Walmart is another big player in the online automotive aftermarket. They offer a marketplace where third-party sellers can list and sell their products to Walmart’s customer base. In addition, selling on Walmart’s marketplace is relatively easy, and they provide a variety of tools to help you get started.
More and more businesses are selling their products online as eCommerce grows in popularity. Walmart Marketplace is one of the world’s largest eCommerce platforms, with a sales volume of about $13 billion per year. The good news for automobile aftermarket firms is that every item on Walmart’s marketplace (including automobiles) may be sold. This implies that your car parts will appear in searches for other third-party goods on the site.
While Walmart has a large client base, there will be less competition than selling on other internet marketplaces like Amazon or eBay. Because selling possibilities and pricing may be much lower, increased sales are possible when selling auto parts and accessories through services like Walmart.
How Much Can You Make Selling Car Parts Online?
Selling auto parts and accessories online can be a great way to earn some extra money or even start a full-time business. But how much can you make selling car parts online? On average, car part retailers can earn anywhere from $500 to $50,000 per month selling spare parts and accessories online. Of course, this amount can vary depending on the type of auto parts you sell, your selling platform, and your marketing efforts.
If you’re looking to generate extra income by selling car parts and accessories online, we recommend starting with Amazon or eBay. These platforms have a large audience of potential buyers and car owners, and they offer a variety of selling tools to help you get started.
Selling Auto Parts Online is Not Just About The Profit Margins
Selling on eCommerce platforms is more about the gross profit and absorption rate, not just the profit margin. Online retail is a volume game, and selling more products allows you to take advantage of perks and incentives that aren’t typically available at a brick-and-mortar dealership.
For one thing, more sales imply more consumers. And that means there are numerous possibilities for you to provide exceptional customer service and keep purchasers coming back to you. Shoppers are smarter and have a wider range of alternatives than ever before, so making a favorable impression when you reach or exceed their expectations is essential.
OEM kickbacks are another benefit of high-volume selling. OEM back-end manufacturer incentives are where many aftermarket parts managers see most of their total income from online sales. You probably won’t be able to sell enough goods at your physical counter to meet volume requirements, but you may do so online, and the reward can be significant. For this reason, selling online can be a great way to supplement your brick-and-mortar auto parts store or even consider it as a standalone business model.
In conclusion, selling auto parts and accessories online is a great way to earn extra money. There are various selling platforms available, and each offers its own set of benefits. We recommend selling on Amazon, eBay, and Walmart’s marketplace to reach the largest audience of potential buyers. You can start earning money by selling auto parts and accessories online with a little time and effort!
MyFitment can help online retailers selling on Amazon, eBay, and Walmart’s marketplace to reach the largest audience of potential customers. MyFitment is a software solution that provides auto parts sellers with product data and listing tools to help them list their products on these online platforms quickly and easily. To learn more about how MyFitment can help you sell car parts and accessories online, visit our website or contact us today!