If you’re looking to start selling car parts and accessories online, you’ve come to the right place. In this comprehensive guide, we’ll talk about everything you need to know to get started. We’ll discuss how much money retailers can make selling auto parts and accessories online, what eCommerce platforms work best for selling car parts and accessories, and whether or not car parts sell fast online. Plus, we’ll highlight the licensing needed to sell car parts and accessories over the internet. Are you ready to get started?
Do Car Body Parts Sell Fast Online?
COVID-19 has had a positive influence on the vehicle parts and accessories sector, which has seen large internet sales since 2020. The previous few years have witnessed record levels of online car maintenance, components, and accessory purchases that are expected to continue in the future.
The automobile parts and accessories sector has far outpaced previous highs, and it even exceeded expectations before the crisis. Before the pandemic, pre-pandemic forecasts predicted internet sales of automobile components and accessories in the United States would reach $14.1 billion in 2020. In reality, this brought in an extra $1.9 billion in online revenue for a total of over $16 billion.
In 2021, revenues from new vehicle components and accessories were $17.7 billion. Since the start of the pandemic, there has been a 29.9 percent yearly increase in online auto component and accessory sales in the United States. According to predictions, eCommerce revenue for new vehicle components and accessories is expected to reach about $20 billion in 2022. This year is expected to maintain the recent trend of the rapid growth seen in previous years, with cross-device and cross-channel conversions playing a significant role. By 2023, this figure is expected to increase by another $2 billion for a total of $22 billion or more.
Put simply, auto parts and accessories don’t only sell fast online; the speed at which they’re being sold is also accelerating. Driven to a certain extent by the pandemic and the digital environment, online automotive aftermarket sales are currently experiencing strong growth.
This is good news for anyone selling car parts and accessories online, as there is clearly a demand for these products. If you’re thinking of getting into this business, now is a great time.
How Much Can You Make Selling Car Parts Online?
Selling automobile parts and accessories over the internet may be a fantastic way to supplement your income or start a full-time business. However, how much money can you make selling car components online in any given month? Car part retailers may earn anything from $500 to $50,000 per month by selling spare parts and accessories on the internet. Of course, this amount will vary based on the type of auto parts you sell, the platform you use, and your marketing strategies.
If you want to sell automobile parts and accessories online, we recommend starting with Amazon or eBay. These platforms have a huge audience of potential customers and car owners who might be interested in purchasing your goods, as well as numerous selling tools to help you get started.
There Is More To Selling Auto Parts Online Than Just Profit Margins
The gross profit and absorption rate, not just the profit margin, are important factors when selling on eCommerce platforms. Online retail is a volume business, so selling more items allows you to take advantage of special offers and incentives that aren’t usually attainable at a physical dealership.
For one thing, greater sales imply more customers. And that means there are plenty of options available to provide exceptional customer service and keep consumers coming back to you. Shoppers are more astute and with a wider range of choices than ever before. Making a positive first impression on people when you go above and beyond their expectations is critical in today’s business environment.
Another advantage of high-volume selling is OEM kickbacks, which are a form of commission. Back-end manufacturer incentives are where many aftermarket parts managers get most of their overall income from online sales. Because you won’t be able to sell enough products at a brick-and-mortar dealership to satisfy volume requirements, don’t expect to meet them in person. You will, however, stand a higher chance of meeting these requirements online.
Where Do Online Dealerships Typically Sell Their Products?
The wide range of eCommerce solutions available and their straightforward implementation, have made them a popular choice among small and medium-sized businesses. With the eCommerce industry continuing to develop, there are a few key players that retailers should be aware of. Dealerships must have an omnichannel selling plan that includes marketplace sales as well as their website and social media sites to sell auto parts and accessories online.
The internet is a fantastic selling platform for auto parts and accessories. In reality, this is where most customers begin their hunting for automobile components and accessories. Online marketplaces provide retailers with many advantages, including a pre-existing customer base, increased exposure, and seamless selling tools.
The following are some of the most well-known eCommerce marketplaces for selling automobile parts and accessories:
Amazon
Amazon is one of the most significant players in the online automotive aftermarket. They sold over $8 billion worth of automobile parts and accessories in 2020 (not including third-party sales). For this reason, selling on Amazon should be a major component of any merchant’s selling plan.
Individual sellers pay $0.99 per item sold plus selling fees, while professional sellers pay $39.99 per month, with additional costs for each item sold. Amazon offers two different fulfillment options for vendors: Fulfillment by Amazon (FBA) and Seller-Fulfilled Prime (SFP). FBA is a hands-off method in which Amazon will store, pick, pack, and ship your items. SFP is a more hands-on approach in which the seller handles the storage, selection, packing, and shipping of their products.
We recommend selling high-quality auto parts and accessories through Amazon’s FBA program if you’re looking to fill them. This will free up your time so that you may focus on other aspects of your business, such as marketing and/or product development.
eBay Motors
eBay is another major player in the online automotive aftermarket. They provide a broad selection of spare parts and accessories for sale, as well as a large community of buyers and sellers. Furthermore, eBay makes it simple to start selling and provides a number of selling aids to assist you in getting started.
The way that you sell your items on eBay is up to you since there are a few options. You may choose to list your products for sale either through an auction-style or fixed price listing. If you have unique or difficult-to-find automotive parts, the auction style is an excellent choice. The fixed price option is preferable for common or popular auto components because it offers more control over pricing and provides greater flexibility in terms of when the item can be sold.
eBay has a variety of pricing structures, but the most important distinction to make is that the fees are not fixed. eBay charges different fees for each listing type; however, they also assign a final value fee based on the total sales amount. For example, if you sell an item for $100, the final value fee would be $13.50. Overall, selling on eBay is a fantastic method to reach a large audience of automobile owners who want to buy auto parts and accessories.
Walmart Marketplace
Walmart is another significant player in the online automotive aftermarket. They have a marketplace where third-party vendors can list and sell their goods to Walmart’s client base. In addition, selling on Walmart’s platform is simple, and they provide a number of marketing resources to assist you.
As eCommerce gains in popularity, more and more companies are selling their goods online. With a sales volume of around $13 billion per year, Walmart Marketplace is one of the world’s largest eCommerce platforms. The news for automobile aftermarket businesses is that all items on Walmart’s marketplace (including cars) may be sold, which implies your car parts will appear in searches for third-party goods.
Although Walmart caters to a large clientele, there will be less competition than on other internet marketplaces like Amazon or eBay. Because selling opportunities and pricing are more readily available, when you sell vehicle parts and accessories through services such as Walmart, increased sales are feasible.
What Car Body Parts Sell Best?
Car body parts have varying resale values online. Car doors, for example, may sell more quickly than car fenders. There are more automobile fenders available on the market than vehicles’ doors, which is why they take longer to sell. The law of supply and demand applies when it comes to automobile components. The higher a product’s popularity, the faster it will sell.
The top car body parts to sell online are determined by the platform on which you’re selling and the type of vehicle body component that it is. However, some of the most popular goods include:
- Car Bumpers
- Car Fenders
- Car Doors
- Car Hoods
- Car Trunks
- Car Seats
These are only a few examples, but “exterior” parts in automobiles generally sell faster than “interior” components. This is due to the fact that exterior automobile body components are more apparent and, as a result, more in-demand. However, this isn’t always the case. It also depends on the manufacturer and model of the vehicle as well as what kind of car body part it is.
Amazon, eBay Motors, and Walmart Marketplace are the three main eCommerce platforms to use if you’re looking to sell automobile body parts online. It’s essential, nevertheless, to keep in mind that the platform you pick is only one piece of the puzzle. You must also make sure that your vehicle components are priced competitively and delivered quickly if you want to market automobile body parts successfully on the internet.
Best-Selling Auto Parts on Amazon
When it comes to selling automobile body parts online, Amazon is typically the greatest platform. This is because Amazon has a large number of active buyers searching for auto components and accessories. eBay Motors and Walmart Marketplace are also good platforms for selling car body parts, but Amazon tends to be the most popular.
It will be determined on the make and model of the vehicle, as well as the sort of automobile body part when it comes to which car body components sell best on Amazon. However, some of the most popular goods are:
Exterior Parts and Accessories
- billet grille upgrades
- nerf bars
- wind deflectors
- front lip/side skirt lip kits
- wind deflectors
- chrome trim
- tonneau covers
Interior Parts and Accessories
- shifter knobs
- dash kits
- floor mats
- window tints
- seat covers
- universal molding trims
Best-Selling Auto Parts on eBay Motors
The eBay Motors marketplace was designed to make buying online more manageable for both buyers and sellers. Amazon and eBay are comparable in terms of the most popular automobile parts and accessories sales. The top-selling automobile components and accessories on eBay Motors are as follows:
Exterior Components
- replacement grilles and upgrades
- steel bumpers
- side mirrors
Lighting Equipment
- headlights
- taillights
- fog lights
- light bulbs
Wheels and Tires
- shocks
- struts lift kits
- leveling kits
While automobile aftermarket parts and accessories tend to do well, this does not imply that other car components can’t be sold on eBay Motors. If a vehicle component or accessory is priced correctly and delivered quickly, it has the potential to sell well on eBay Motors.
Best-Selling Auto Parts on Walmart Marketplace
Walmart is one of the world’s largest companies, and its marketplace is an excellent location to sell automobile body components. Like Amazon and eBay, Walmart has many active buyers looking for auto parts and accessories.
The best-selling car body parts on Walmart include:
- exterior car parts and accessories
- interior car parts and accessories
- wheels and tires
- lighting equipment
Replacement grilles, side mirrors, headlights, taillights, light bulbs, shocks, struts, lift kits, leveling kits, and other vehicle components are all popular car parts that sell well on Walmart’s eCommerce platform. If you want to sell automobile body parts online, Walmart is a fantastic place to start.
The Importance of Fitment In Selling Car Parts Online
Fitment is critical to any auto parts eCommerce website and online listings. Fitment, sometimes known as compatibility, refers to the vehicle year, make, model, and engine that your products and accessories fit. Compatibility can also extend to trim/submodel, motor, and other elements.
Whether you’re selling auto parts and accessories on eBay, Amazon, or your own website, not optimizing your product listings with fitment filters might result in a lot of missed sales for your company. To remain competitive in the auto part industry, you must ensure that potential consumers find your product postings when they search for the components you offer.
Customers seeking automobile parts are often perplexed if a component will fit. As a result, proving yourself as an online car part supplier is only half the job; your ability to ensure customers find what they need is crucial to your success as an internet auto part vendor.
When your compatible parts show up in search results as a result of fitment data, they’ll be more easily found by customers. This will improve their buyer experience and remove any doubts about whether the part will fit the specified vehicle. Confirming that the part fits boosts consumer confidence and lowers the risk of dissatisfied clients requesting costly returns.
Fitment data is also essential for ranking well in search results. Fitment filters improve your visibility and help you reach more consumers by enhancing your search exposure, increasing exposure, and encouraging buyers to click on your listings.
Licensing Needed By An Auto Parts Business
What licensing is needed to sell car parts online?
In most countries throughout the world, you must have industry-specific basic insurance coverage standards to work in that sector. As a result, it’s critical to make insurance arrangements and seek expert advice on which insurance plans are appropriate for your automobile accessories and vehicle spare parts store.
Here are some of the most important auto insurance policies to look for if you want to start an automobile parts company and sell vehicle components online in the United States:
- General insurance
- Health insurance
- Liability insurance
- Workers Compensation
- Payment protection insurance
- Overhead expense disability insurance
- Business owner’s policy group insurance
You may not need to buy all of the insurance mentioned above if you’re setting up a different type of business. Normally, if you want to start your automobile accessories and auto spare parts store, you won’t have to acquire intellectual property protection/trademark. This is because the nature of your company allows you to effectively run it without having to take legal action against anybody who illegally exploits your company’s intellectual properties.
There is no need to have prior knowledge or a license to start a car accessories and vehicle spare parts store. All you need are informal training sessions on the ins and outs of automobile accessories and vehicle spare part purchasing and selling. However, if you discover any certification that may assist you in running your automobile accessory business, do everything within your power to obtain it. The more understanding you have about the industry, the better your chances are of succeeding in it.
All online merchants in the United States must follow FTC regulations that stipulate that material connections between advertisers and endorsers must be disclosed. This regulation applies whether the relationship is financial, familial, or otherwise. If you fail to comply with this rule and are discovered, you risk severe consequences.
Many states and cities also have their requirements for necessary licenses, permits, and registrations to open an online store. Depending on the state or city in which your business is located, the standards for getting a business license may differ. However, obtaining one is usually not difficult and takes minutes rather than weeks.
The following are some of the most important legal papers you’ll need to open a car accessories and auto spare parts store in the United States of America:
- Certificate of Incorporation
- Business License
- Federal Tax ID / Tax Identification Number
- Business Plan
- Employee Handbook
- Employment Agreement (offer letters)
- Operating Agreement for LLCs
- Non – disclosure Agreement
- Copy of license for the service support facility and/or a recent inspection report
- Company Bylaws
- Memorandum of Understanding (MoU)
- Building License
- Insurance Policy
- Online Terms of Use (if you also operate online car accessories and auto spare parts store)
- Online Privacy Policy Document (basically for online payment portal)
- Franchise or Trademark License (optional)
Takeaway
To sell car parts online, retailers need to research what eCommerce platforms work best for selling car parts and accessories, get the proper licensing, and understand if car parts sell fast online and why. Selling auto parts and accessories online is a great way for retailers to make some extra money. In fact, many people make a full-time living selling car parts online. The key to success is doing your research and understanding the market.
To get started, you need to decide which eCommerce platform you want to use. There are many different options available, so it’s important to take your time and choose the one that’s right for you. Once you’ve decided on a platform, you’ll need to get the proper licensing from your local government. You’ll also need to ensure that your fitment data is up-to-date and accurate. By using myFitment’s solution, you can easily keep your fitment data accurate and up-to-date.
