Bapcor – Asia Pacific’s unrivalled auto aftermarket industry leader continues to grow despite the challenges of 2020.
Australia and the Asia Pacific region’s automotive aftermarket industry leader, Bapcor, continues to set new benchmarks in business growth despite the disruption faced during 2020. Bapcor’s strategically planned growth programs for each end of the automotive aftermarket supply chain include significant improvements across the company’s Trade, Specialist Wholesale and Retail segments located in in Australia, New Zealand and in Asia. The Bapcor FY21 First Quarter Trading Update to the Australian Stock Exchange (ASX:BAP) outlined significant revenue growth that was achieved across each of the Australian company’s automotive aftermarket segments. Bapcor Group companies achieved 27 per cent revenue growth during this highly challenging period, clearly underlying the robust strength of its automotive aftermarket businesses. Already the clear number one with over 1,100 locations in Australia and across the Asia-Pacific region in the automotive aftermarket industry, following a strategy of organic growth and a series of perfectly mated automotive business acquisitions since 2011, Bapcor’s commitment to continued growth for each of its business segments is delivering significant and impressive results. The Australian company has achieved this despite the disruption caused by the COVID- 19 pandemic by remaining committed to its planned growth path. Bapcor is investing significantly in the important areas of information technology, eCommerce, process and system upgrades as well as marketing.
Capital investment in new facilities continues to increase the company’s already unrivalled Asia Pacific footprint.
Bapcor’s exciting five year growth targets for each of its business segments heralds a very exciting future for this proudly Australian owned company. Each of Bapcor’s segments are focussed “specialists”, whether they are trade, retail, truck or across the various wholesale businesses. The company recognises the needs of the different customer bases and treats every customer group with the specialised focus that they deserve. Put simply, trade customers have different requirements to retail customers; electrical specialist workshops have different needs to general automotive workshops – and as such Bapcor structures its businesses accordingly. Bapcor’s Burson Trade business in Australia is perfectly on track to reach its 240 Burson Auto Parts store target having reached the 190 store milestone in October, 2020. This business has always targeted geographic locations to best suit its industry leading workshop customer base. It will continue to do so to best service the automotive repairers and service centres around Australia.
The company’s Specialist Wholesale segment sits at the very top of the industry for parts programs and continues to grow steadily through new product development, marketing initiatives and by generating improved efficiencies. These include the introduction of own-brand product ranges, which includes the recent launch of the Alcius Climate Control air conditioning parts range comprising of more than 6,500 part numbers. The Commercial Vehicle Group also represents a strong growth segment for Bapcor with a planned doubling of its current footprint across both the light and heavy commercial vehicle parts sectors.
The Retail segment, which sells automotive parts and accessories to the DIY market, is also growing strongly across both company owned and franchised operations. National footprint growth across the highly successful and nationally renowned Autobarn stores has been consistent throughout 2020 and will continue well into the future as they march towards 200 stores. The service business, Midas, also continues to expand as Australian motorists continue the trend of owning their cars longer, requiring more maintenance and servicing by well-known and highly trusted operators. To optimise the company’s already industry leading efficiencies is the construction of a state of the art Distribution Centre in the Melbourne suburb of Tullamarine. This enormous project will centralise the distribution requirements of the current 13 Melbourne based warehouses. This major local investment will create efficiencies that will set new industry standards for the optimisation of order fill, speed of processing, inventory availability and delivery along with re-stocking to meet the requirements of all the Bapcor businesses. Bapcor’s growth is not limited to the confines of its native Australia, with the company actively growing and optimising its footprint in New Zealand with its strong performing BNT, Shock Shop and Battery Town store networks. This is in addition to being the first to open a number of successful automotive aftermarket parts stores in Bangkok under the Burson Auto Parts brand. Thailand has been the initial focus of the company’s international expansion, where Bapcor has been successful in creating significant culture change relating to how automotive parts are distributed to repairers and consumers, along with the introduction of the country’s first on-line vehicle parts catalogue.
According to Bapcor Managing Director and Chief Executive Officer, Darryl Abotomey, the company’s growth is just beginning. “Our performance and growth this year with all of its challenges highlights what a resilient and financially solid business Bapcor truly is. Each of our business segments support each other, creating opportunities to further increase our already unrivalled footprint and customer reach. “If the industry thinks we are big now as the Asia Pacific’s unrivalled automotive aftermarket industry leader, get set for the future as we have no plans of slowing down as we identify and develop more opportunities to use each of our segment’s synergies to generate growth well into the future,” Mr Abotomey stated.
To find out more about Bapcor visit them online at www.bapcor.com.au ACM