Digital Disruption and Transformation in the Automotive Parts Industry

Conversion of the automotive parts and spare parts industry

Digital disruption is a major topic in many industries. It means that the wishes of many customers in the area of communication and transparency are finally being heard.

The upheaval is unstoppable for the automotive parts and spare parts industry too. Many companies have already undergone digital transformation and are able to benefit from the advantages.

Digital transformations are important

A disruption is a transformation or interruption. In this case, it refers to the corporate strategy, which is very outdated in many areas of workshop equipment. A normal change due to new systems or computers is completely normal in any industry. These changes do not take much time, but are simply part of the process over time. Digital transformation is completely different. Thanks to the latest technologies, customers have the opportunity to use many of the provider's services themselves. There are no longer different online and offline channels available; instead, special emphasis is placed on transparency and clarity. Those who are already changing their business strategy in the workshop equipment sector have the opportunity to leave many competitors in the market behind. A digital transformation not only creates a new business model, but also requires employees to completely rethink their approach. The innovation should put the customer back at the centre of attention.

Old, outdated business models should be replaced today rather than tomorrow. In other sectors such as banking and insurance, disruption has already been an important topic for many months. The digital tsunami is now spreading across all sectors, meaning that the automotive parts and spare parts industry is also affected. There are also many companies in the start-up scene that have started directly with the digital approach. This gives them the advantage on the market that customers will favour these companies. Of course, this transformation involves a lot of work. This work is best done by the IT department or a professional team. However, many steps must be discussed in advance with the top management of the company. After all, digital disruption means that the entire old business model is broken up and a completely new system is set up. Depending on the extent of the disruption, this can result in high costs. If you as a workshop equipment company do not start planning digitalisation in good time, you will certainly lose some customers to the more modern providers.

Digitalisation has not passed by without leaving a trace in some areas, such as video rental stores or the music industry. While people used to buy films from video rental stores and music from music shops, the internet is now used to stream music and films. Consequently, a large number of local branches in the music and film sectors have closed, as internet users are hardly willing to make the effort to visit them anymore. This example can be applied to many other industries. This means that in every sector, sooner or later, it will be overtaken by a new system and consequently be considered uninteresting.

As many companies in the music industry believed that the invention of the CD would only trigger a minor trend, in reality the entire record player sector was wiped off the market. Hardly any company that had previously been involved in the manufacture of record players was able to rethink quickly enough. If the companies had been sufficiently informed about the CD market, the pressing plants would probably have been used in time to produce CD players instead of record players in the future. Such a changeover is not possible overnight. Such a major change in the industry proves that it is always important to keep your finger on the pulse of the times. From then on, artists were allowed to sell their music with or without a record label. Interested parties, on the other hand, were made it easier to use music and videos in infinite numbers. The only disadvantage was for the pressing plant and the dealers of records and record players. Their entire basis was destroyed by a new technology.

The emergence of disruption

The principle of disruption was conceived 20 years ago by Harvard graduate Clayton Christensen. This prompted a period of reflection for many companies. They were ready to evolve in their respective fields. Their own traditional business models were turned completely upside down. All companies that resist change will sooner or later be left behind in the market. For some companies, this can even mean the end. The size of the company or its type is not even relevant here. There are already several pioneers in workshop equipment who have made significant progress with their planning. While startups can get started directly with the right know-how and system, young companies that have stuck to the old business models are doubly challenged.

They have already made large investments and may have just gained a solid customer base. They are already expected to rethink again. Even if a complete digital transformation seems impossible at first glance, there are ways and means to make it happen. Many positive examples of customer-orientated and more tech-savvy customer service can be found in the insurance and banking sectors in particular. Of course, there are also many pioneers in the field of digital technology. In this area in particular, it is important to always be at the cutting edge of technology. Many digital products have already been converted to the latest technology here and customer enquiries are taken very seriously.

Customers will only benefit from digital transformation. Even though some people who are used to a particular system will have to rethink things at first, they will ultimately be thrilled with the results. Through digital disruption, all customers will have the opportunity to conclude contracts themselves and contact a customer advisor at any time. Of course, in some areas, such as internet providers, there are hotline services that take over this part, but a call centre doesn't really make sense for workshop equipment.

In this area, customers want to browse prices at their leisure and receive advice if needed. The advice, which can be requested directly by the customer, is particularly attractive to many people. Most people no longer want to be talked into a purchase by representatives. These customers find it much more relaxing when they can ask their questions via video conference or online chat. This also offers them the advantage of only having to contact a company when they really want to.

Digitalisation of the automotive parts and spare parts industry

Digital transformation has been on everyone's lips for years. In the meantime, it can no longer be stopped across industries. To this day, every technology has evolved step by step, so that companies could no longer ignore it at some point. However, technologies not only bring some advantages to customers, but also companies in all industries, such as workshop equipment, can benefit from them. In the past, a lot of work was done with paper, and it was unimaginable to run a business without punch systems or punch cards. Today, it is a matter of course that a PC or laptop is used for this purpose.

While in the past offices were filled with a lot of paper and, consequently, many filing cabinets, employees can now work with more space at their PCs. The vast amounts of copies that were previously distributed to all employees are also no longer necessary today. This not only saves space but is also more environmentally conscious. Nowadays, internal emails are sent for this purpose. These emails arrive simultaneously for all employees, so everyone has the same level of information. The same approach will be taken with customer data in the future. This data will, of course, continue to be adequately protected from access by third parties. However, offline and online channels will be linked to achieve a unified view. Customers also have the option to access their own data through special programmes. With the help of new techniques, communication, interaction, and work can be carried out much more effectively.

Of course, it is important to clarify in advance which data should be considered important for which area. More and more people are using the Internet to educate themselves, chat with friends or conduct business. Most Internet users use their mobile phones for this. A wide variety of apps can be used to manage contracts and orders.

Operators of workshop equipment should always bear this in mind. The more elaborate a provider's website is designed, the less likely customers with a mobile phone will find it easy to navigate. Less text and clear guidance to the important functions and facts are much more helpful for customers than a beautifully styled site. The easier a company's system is on the eye and the simpler it is structured, the longer the customer will stay on it. This is no different in the car parts and spare parts industry. Customers are unlikely to take the time to search for a specific item for any length of time. They want to be able to see at a glance what is on offer, what the customer has already ordered or how long the delivery time for the goods is. Nowadays, many orders and services are ordered by customers exclusively via the Internet. After a hard day's work, hardly anyone still feels like travelling to a local workshop equipment shop to order certain goods. A good Internet presence saves the customer an annoying search for a parking space, waiting times and time. After all, there is not one of your branches in every neighbourhood. Customers often have to travel long distances. Thanks to digitalisation, many customers no longer want to put up with this effort. Instead, they want to use their time elsewhere and are bringing entire branches to their knees as a result of these customer wishes. Digital disruption is encouraging entire industries to reorganise their systems across the entire corporate structure.

Comparison portals are favoured

Many customers are no longer prepared to pay a higher price for their car parts or spare parts because of years of loyalty. Instead, they want to pay a fair price. More and more comparison portals are being used to compare prices from other suppliers. They not only compare prices and quantities, but also focus on special offers. If certain car parts have a fixed price in the online shop, they may not be available at a lower price in the shops. In addition to pricing, a portal offers other advantages for all customers.

You can read all customer reviews in detail before ordering. Many people no longer want to be sold a product on the spot. They want to know in advance what the advantages and disadvantages of buying the product are. In most cases, customer reviews are honest opinions. In addition to delivery times and assembly problems, they also reflect the quality of an item. However, many customers also use social media to find out about certain spare parts. Here, too, they meet many like-minded people. In addition to many private individuals, there are also a large number of companies on social networks. Accordingly, the range of information is very wide.

In a digital transformation, however, it is not enough to simply expand the company's social media presence. Rather, it changes the entire business model, the value chains and, above all, the company's operational processes. Even the structure of a supplier of workshop equipment will no longer be recognisable after the transformation.

Digital transformation is essential for the survival of a successful business. If you want to stay on the market in the spare parts and automotive parts industry, you should not resist it. Digitalisation can often be explained much better by comparing it to 3D printing. 3D printing is a special, digital technology that has found favour with many people.

The innovative system has convinced many experts and specialists and has gradually won over the entire industry. It doesn't really matter which product or service the company is offering. It is simply important for every company to stand out from the crowd with a specific product in order to assert itself on the market. 3D printing is just one example of a product that has managed to find favour in a wide variety of sectors in such a short space of time. This development enables many other companies to customise their use and thus change their existing structures.

Every entrepreneur should now ask themselves how their own company should change in the future. How can digital disruption positively change the spare parts and automotive parts industry? How quickly can your own disruption be implemented? What resources are needed for this? But the most important question is also: What are the first steps to ensure that the company does not allow its competitors to take its place? The goal of every company should be to simply redefine service and technology in the digital age.

Cross-industry impact of digitalisation

To make it easier for your company to start digitisation, you should first take a closer look at the current state and your objectives. Of course, you also need to answer the aforementioned questions for yourselves. This will certainly require some team compositions. After all, the extent of the change cannot be foreseen by anyone and should therefore be carefully examined and estimated. The extent of your transformation always depends on how much you have already invested in the right direction in recent years.

To ensure the transformation can take place alongside ongoing daily operations, you should provide a dedicated team for it. With the team's help, the timeline can be roughly discussed and planned. Never underestimate the challenge that lies ahead. If you have a good touch and your customers are important to you, then despite stress and some setbacks, you will certainly succeed in carrying out the disruption. Since you do not have an industry, such as insurance, where many competitors have already started planning or achieved initial successes, you should not put yourself under time pressure.

As a general rule, depending on the size of your business, you can expect a timeframe of between 3 and 5 years for everything to function as you and your customers would wish. In advance, you should allocate sufficient time to plan for and ultimately implement digital disruption. You will often have to expect resistance within your own organisation. After all, it is not enough for your car parts business to change; the employees must also completely rethink their approach. This often requires expensive training.

Some employees even need to be transferred to other departments. For this reason, complete digitalisation is not desired by everyone. Nevertheless, a company should not be deterred from this undertaking. Experts expect that finally industries such as consulting firms will no longer be able to protect themselves from digitalisation. Here, it is important that you, as a car parts or spare parts company, develop your own strategy. This, of course, costs time and a little know-how. An IT department can be very helpful in determining which measures can be best implemented.

Of course, the focus should not be on the company's own expenses but on the customer's needs. Nevertheless, every company must calculate for itself the extent to which a transformation can be implemented. After all, no one wants to drive themselves to ruin, but rather to move forward.

For some companies, it is very important to find a competent partner and acquire sufficient expertise in this area. This will make it easier to keep up with the digital times in the future. Transformation is by no means the end. Technology will also continue to advance and constantly push the company to its limits. It is therefore particularly important for a company to constantly reinvent itself and be open to innovation from the outset. This demonstrates to customers that the company is at the cutting edge.

Traditional companies need to change

Digital disruption will be particularly difficult for traditional companies. They have been very entrenched in their structure for many years. In some cases, they work with employees who have been involved in building the company from the very beginning. Now it is up to the management team to take the reins and convince all employees that the previous company model is no longer relevant. Unfortunately, in today's digital world, it is no longer possible to keep your company structure as it was. Most customers are no longer prepared to visit the shop in person for every question or order.

They want to remain free and only contact their provider or branch if they want to. Insurance agents are also no longer welcome in their own living rooms. Consultations are also rarely held in bank branches. It is much easier if everything can be handled via the Internet. This gives every customer the opportunity to study all the advantages and disadvantages in detail. In addition to the car parts website, there are also many comparison portals that can be very helpful when looking for the right product or contract.

Many services can already be easily organised via the Internet. Unfortunately, changing the car parts and spare parts website is not enough to inspire customers. Rather, it is important that the entire structure of the company is dissolved.

New value chains and business models need to be created in order to remain competitive in the market. By changing operational processes, a lot of time can subsequently be saved in order confirmation. However, these processes first need to be planned and implemented by companies. In many companies, planning for digital disruption alone took several months.

Only those who have successfully completed the digital transformation have the best chance of rising to the top of the market. Some companies have gambled that they will be able to set themselves apart from other companies in the long term due to the complex regulation of the automotive parts industry. Digital disruption means that all barriers to market entry are falling. The new providers have it particularly easy. They compete with faster speed combined with favourable prices. This is naturally very well received by customers. At the same time, competition on the market within the automotive parts industry is being strongly fuelled.

Many companies are benefiting from customers' growing desire for customisation. They develop their own solutions for this purpose and ensure clearly defined areas and segments. For example, if a spare parts company enters into a partnership with a financial company, customers can look forward to favourable payment terms. A good example of this is Otto Versand. It has its own financial portal for its female customers. At www.einfachanders.de, female customers have the opportunity to manage the financing of their Otto orders themselves. Signal Iduna has also found a strong ally in its partner Sijox. This combination makes it much easier to appeal to younger customers in particular.

Aggregators offer many advantages

Digitisation is causing many companies throughout Germany to break out in a sweat. The advance of new providers is having a massive impact on the market. Aggregators in particular are benefiting from the digital transformation of the various sectors. Many aggregators such as Check24 or Transparo have already firmly established themselves on the market. They offer all customers the opportunity to compare prices and contracts directly with each other. This attracts many private users in particular. Nowadays, every third change of insurance policy in Germany takes place via an aggregator.

In the meantime, other business models have become established around the comparison platforms. On some platforms, a wide variety of aggregators can be linked together. When searching for flights, for example, several search pages are activated simultaneously in order to guarantee customers the cheapest flight. Other companies, on the other hand, focus primarily on the utilisation of leads. These are generated via a wide variety of comparison platforms.

At the same time, some aggregators are being connected. Other companies have decided to specialise in the utilisation of leads generated on the platforms. The entry of Google Compare can further increase the dynamic. It is very interesting for many customers to observe the market. They can incorporate comprehensive knowledge of the end customer into the model via the search engine giants. This results in a specific requirement from the product providers.

Transparency is not only important for private customers. Recently, many portals such as the simplybusiness.co.uk company from England have started to work the market for business customers. Over 170,000 business owners from the UK have already used Simply Business to find out about property, insurance and other business models. Due to the great importance of the comparison portals, many companies could not avoid looking further into this topic and becoming more involved in the selected portals. Fear of contact is not appropriate in this case, as the aggregators do not want to displace the sales channels. At the same time, customers want to be served via a wide variety of platforms and channels.

Redefine customer wishes

The automotive parts and spare parts industry is very diverse. If you want your company to stand out from the crowd, you should take on the challenge of digital transformation. To do this, it is important that you first analyse the current state of your company sufficiently. It can be very helpful for a company to bring together IT departments or bring experts together to assess the extent of the change for your own company. Each company must define its own individual timeline. Don't just see digital disruption as a major challenge, but rather as a further development of the company.

As your industry does not have to have completed the transformation yesterday, as is the case with insurance companies, but you have a longer time cushion, you should not rush into your considerations. You have enough time to plan and organise the digital transformation of your business. Many sectors such as retail, media, banking and telecommunications must already be much further along in their planning. However, these sectors were made aware of the importance of restructuring years ago and therefore had a longer lead time.

Other key areas include the property consultancy and banking system. Start-up companies were able to capitalise on their advantages during this period of change. They usually did not have to make as many changes as the long-established companies in the sector.

Good examples of successful start-ups are edX from the education sector, sharecare from the insurance sector and Kreditech from the banking sector. The assertiveness and efficiency of these young companies is particularly impressive. But their expertise and ability to utilise the latest technology also set a good example of how comprehensive customer service can be. In turn, the question arises as to how traditional companies can maintain their position on the market.

Over the next few years, it is highly likely that the consulting sector will also undergo considerable upheaval as a result of digitalisation. Accordingly, not only the workshop equipment but also the consulting industry should slowly get ready for this.

Initially, it is important to research exactly which options can be used for digital transformation in your own company. Every company needs its very own system. What works well for one company may not necessarily be just as optimal for another. It is best to find a permanent partner with whom you can implement digital disruption. This will give you a better chance of staying in the market and reinventing yourself completely. The following approaches can be of great help to management boards across all sectors. When implementing digitalisation, consider a few phases and the exact current status of your company:

• Determine the current status of the company
• What challenge does the transformation pose to the company?
• Creating a good basis for digital transformation
• Ensuring constant change

For every company, regardless of the industry, a degree of doubt and unease spreads among the workforce in the run-up to change. Are some jobs at risk due to digitalisation? Of course, digital disruption will save some work within the company and could lead to certain jobs being lost as a result. However, employees can certainly be redeployed elsewhere. Besides, for many employees, change also represents a significant advantage.

A lot of customer data is available, which can be used to send personalised offers. At the same time, it is often easier to process contracts if you can get a better picture of the customer. The additional data that is collected and sent to the company through digitisation is of course subject to the same data protection as all other data. Third parties must not have access to this data.

In the planning phase, it makes sense for all measures for a digital transformation to be documented in writing. It must be taken into account that the market and technology will continue to develop in the future. Which areas of the workshop equipment industry are affected by digitalisation and how far have some changes perhaps already been made in the past? The first points of the planning phase should always include how the company wants to present itself in the future. The survival of the spare parts and car parts company must be secured in any case. When planning, it should also be noted that daily business must not be disrupted during implementation. Revenue must continue to flow during the restructuring. The last points on the planning list should include items to determine the company's sustainable value. Technology cycles are often becoming shorter and shorter.

For a workshop equipment company, a period of between two and three years can be planned for the transformation. Other industries that have had to implement the transformation more quickly are mainly found in the media and retail sectors. These sectors have already had sufficient time to prepare for digital disruption in advance.

Employees are a key factor in the positive progress of digitalisation. They must be able to accept and implement the new company structure. The company will only have a good chance of acquiring many new customers in the future if all employees and management pull together.

However, the boards of directors and managing directors must also agree on the form in which the company's structure should be transformed. Cultural change can only be initiated by the company's leadership. At the same time, care must be taken to bring a so-called Digital Leader on board.

The task of a classic digital leader is to lead the project and implement the important changes in the company structure. As a rule, a person is chosen for this who has the expertise, experience and assertiveness to implement digitalisation by the specified date. This position in the company must be able to lead the employees at all times, inform the management of all steps and be available to everyone as a kind of mentor. It is very important for this position that all changes are implemented as discussed. They need to know the company's goals, processes and structures inside out. In addition, they must be very influential and have a certain charisma. This is the only way to ensure that digital disruption manifests itself throughout the company and can be further expanded in the future if necessary.

Numerous studies already exist on how other companies have tackled their transformation and what benefits have arisen from it. Around 74% of the surveyed board members from companies in a wide variety of industries already have a strategy for how they intend to implement digitalisation. However, the studies also show that only 15% of respondents believe that they can actually put this strategy into practice. For this reason, the position of Digital Leader is so important.

If a company has set itself a goal, then it is its task to achieve this goal. In large companies where things have gone very well so far, a CEO partner can take on this task. They have often been entrusted with important tasks in the company for many years.

He therefore knows the old company structure inside out and can provide many clues as to where digitalisation will offer advantages for the company in the future. A CEO must also have a good influence on the employees. They must be able to implement all the changes discussed internally. Depending on the type of company, a CEO can work together with a digital leader. In this way, a large company can ensure that this combination is able to implement the digital transformation as quickly as possible and without disrupting day-to-day business.

Whether a CEO, Digital Leader, or just the IT department is entrusted with this important task depends on the size and previous company structure. Many companies understandably want to keep the costs of change as low as possible and therefore forgo such a competent team. However, a CEO as well as a Digital Leader are ideally suited to steer a company's vision into reality.

The more professional a company is after its transformation, the better it will be received by customers. A well-thought-out company structure combined with optimal customer service will certainly be able to assert itself on the market and leave some competitors behind. It is important for all company employees during the planning and execution phase to be regularly informed about upcoming changes. This allows them to adapt better to the change and prepare for it in good time.

Ultimately, employees will have to come to terms with the company's new system afterwards. Pure employee training won't help here. Instead, the company must convey to employees how important and useful the change is and what benefits it offers each individual.

An important prerequisite for being deployed as a digital leader in your own company varies greatly depending on the industry. For the spare parts and automotive parts industry, it is certainly useful if this employee also comes from this industry. This is the only way they can better understand the company's processes and provide suggestions for improvement. In the product-driven or marketing sector as well as in retail, a CMO is often chosen as the contact person. In contrast, a CTO or CIO is best suited to a system-driven or technology-orientated industry such as the media. As a rule, the top management team is well occupied with day-to-day business. For this reason, these employees can certainly support and contribute to the digitalisation of the company, but they cannot carry out the entire implementation in addition to their work. Digital disruption should not be underestimated in terms of labour.

Initially, extensive research is required, which takes a lot of time. At the same time, it can happen in any company that a CDO (Chief Digital Officer) has to be brought in from outside. This person first needs to be brought up to speed with the company's current state of affairs. A CDO is a useful helper when it comes to finding digital solutions for the company. Care should always be taken here to ensure that a clear separation of his or her function is established without any overlap in the area of responsibility. This means that a third party, such as a CDO in this case, cannot assume full responsibility for digitalisation. This responsibility still lies with the management or at least the senior management team. Initially, it is therefore inevitable that the CDO will work closely with management to analyse all products, services, channels and customer experiences.

Assess the capabilities of one's own company

Every company is capable of carrying out digital transformation. It often makes sense if the task is assigned to a stakeholder. This stakeholder is equipped with good motivation, know-how, and leadership talent. Existing company structures must be broken down for the disruption to be implemented. This gives the company the opportunity to become a transversal, modern company in the future that is well-received by customers. A company can only be split up if the previous structure has been understood down to the smallest detail.

A CDO must regularly communicate the knowledge and experience already gained with the new system to all employees. A certain eloquence and motivational skills are very useful for this. In many cases, the position of CDO is only filled for the reorganisation of the company. After all, the main task of this employee is to get the company back on track and thus better fulfil customer wishes in the future. Even after the transformation, it is very important that the company has a permanent contact person.

It can always happen that the system appears to be very coherent at first glance and then some errors become apparent in day-to-day business. A CDO will always be able to rectify these errors with the help of specialised personnel. If you want to work as a CDO in a company, you should first acquire a sound knowledge of the industry. It doesn't matter whether it's marketing, banking, insurance, car parts, spare parts, motorhomes or workshop equipment.

It is much more important that they have a sound knowledge of digital technologies and their advantages and disadvantages. In many companies, employees are selected as CDOs who have dealt extensively with the IT area in advance.

Once the planning phase is complete, a CDO has grown with his or her task. Although the employee's tasks will change once the disruption is complete, they will always remain an important point of contact for implementing the new company policy. In many companies, employees are later deployed for new lines of business or to set up a new branch. In some cases, they can also take over the business development area.

The transformation reaches the automotive parts and spare parts industry

Initially, digitalisation was only a big issue in the insurance and banking sectors. Today, all sectors are affected. The workshop equipment sector should also start thinking about how the project should be implemented. Some companies have already started planning and therefore have an advantage. The sooner digital disruption is implemented, the better. The market value of your own company should not be lost sight of during this time. Many companies in the automotive parts industry provide customers with apps so that they can operate more mobile.

Some of the companies are already very active on social networks. This has the advantage that they are close to the pulse of the times. Customers like to use certain portals to talk about their experiences with a company. At the same time, they use the platform to contact the company directly. Many questions and suggestions can be dealt with quickly and easily via a message function. At the same time, customers have the opportunity to be informed about new offers via social channels such as Facebook. Customers therefore always have a contact person if problems arise. Of course, if a company is actively involved in social networks, it is important that this platform is also regularly monitored.

An expansion of one's own social networks can still have a very positive effect, but it has nothing to do with the actual disruption. Most people work until the late afternoon. Afterwards, they have little desire to visit a car parts company. They might still go shopping for dinner, but very few people can be persuaded to do more than that. An app can already provide a remedy here. If it has the capability to accept orders or inquiries, then some customer wishes are already fulfilled. However, digital transformation can do much more.

It is able to combine offline and online channels. Customers can therefore conclude contracts digitally without having to visit a branch. This also saves the company a lot of work. A large number of employees are often busy adding contracts digitally and dealing with the paper chaos in a branch.

A completely digital process can permanently reduce a company's costs. Paper costs, printers, toner, and expensive maintenance are eliminated. Since the customer enters their own order, misunderstandings cannot occur. At the same time, the customer can track in real-time when the goods are on their way. For an order, some personal data is requested. This is digitally transmitted to a central computer. Old addresses can thus be updated with the latest information without significant administrative effort. This also saves a lot of work.

The large collection of data opens up a wide range of possibilities for companies. For example, completely individualised offers can be sent to customers for each customer, as the customer's wishes and circumstances are known.

Nowadays, most sales representatives are connected to their company via smartphone. For a long time, mobile devices were a great help in coordinating questions directly with the company or synchronising appointments. One problem with this is that many customers no longer want to be in contact with a sales representative. They no longer want to hold sales talks in their own living room, but want to find out about the latest offers at their leisure via the Internet.

This gives customers a sense of self-determination and flexibility. Many sales representatives have a knack of talking customers into buying goods that they don't actually need. What remains is a customer who has ordered, but who is not necessarily satisfied with it. Providing customers with offers, but at the same time giving them the opportunity to google for themselves whether the offer is really advisable, conveys a certain degree of trust in the customer. Customers will feel powerful because they can make their own decisions.

We can also assume that technology will continue to advance in the future. Customer behaviour will change accordingly. The current change in customer behaviour makes it all the more important for every company to tackle digitalisation. At the same time, companies should keep an eye on their own product and pricing policy. Is your company still in tune with the times?

Many customers in the automotive parts and spare parts industry still have no idea for a new company structure. They lack a cross-divisional approach to carrying out the required transformation of the company. Analysing the various sales and communication channels can be a good approach. They best reflect the customers' wishes. But that is precisely the point.

The significant change in customer behaviour requires the many communication channels to be opened up. This allows you to gain an overall impression of your customers' behaviour. Many studies deal extensively with the topic of customer behaviour. But what about your own customers? Are they satisfied with the current company policy or would they like a more modern structure? In addition to general studies, customer surveys can also be very helpful. Over half of the customers who were surveyed via online channels stated that they would like to see the system improved and simplified in future. They would also like to see improved service and more transparency. A large number of customers surveyed in studies stated that they had made more use of online services. They would like more information and offers in this area in particular.

Simultaneously, the company should offer quick and easy advice that is accessible 24 hours a day. This wish cannot be managed through a branch. After all, the company cannot employ someone to sit by the phone all night waiting for occasional customer calls. An optimal solution here is a video conference or an online chat. Most people conduct their banking online.

You don't want to have to drive into town for every transfer, look for a parking space, and possibly even queue up at a counter. In this day and age, customers in all areas of life expect their needs to be met quickly and easily. This is also true for the car parts and spare parts industry. If a customer is looking for a specific spare part, they will immediately get to work and search online for the best supplier for the desired part.

This is where your company policy comes into play. If you offer your customers a good service and at the same time have a strong online presence, then a new customer is sure to quickly become aware of you. Good SEO optimisation is helpful so that the customer can find you quickly via search engines such as Google or Bing. However, it is also important that they receive information from other customers about their service and offer. If there are many positive entries on social networks or your own website, the customer will quickly feel comfortable with you. They can be sure that you can also fulfil their needs well.

Create your website in such a way that even new customers can quickly find their way around. An integrated shop should be quick to find and easy to navigate. Customers should always be offered several payment options so that they can fulfil their orders more flexibly. But what is the new digitalisation all about? Many customers research the price of the product they are looking for online in advance. You need to be transparent here.

It must not happen to you that the customer finds other offers via a price comparison engine than those presented on your website. Customers expect a clear statement about prices and conditions from your company at all times. If there is any confusion here, the customer will feel insecure and quickly switch to another provider. After all, they want to save time when ordering and don't want to search or discuss unnecessarily.

If the majority of your business model is already designed online, then it will certainly be rated better by many customers. Despite everything, you still have other integral opportunities to win more customers in the future. A digital transformation may mean a lot of work for you in the future, but you can be sure that your reputation on the market will increase.

Advantages of digitalisation for your industry

In times of disruption, the customer is increasingly moving to the centre. The main goal of your company should be to make the customer feel optimally advised and served by you. The customer will thank you with loyalty and faithfulness. For loyalty, it is very important that you, as a workshop equipment or car parts company, know what your customers want. You must be able to put yourself in your customers' shoes optimally and then you will have the opportunity to consider which customer wishes can actually be implemented. A big advantage is that you can carry out extensive segmentation. This will give you special customer groups, which will make your work easier in the future.

A strategy that is to be implemented through digital disruption should resemble the customer's strategy. If you show your customers from the outset that their concerns are close to your heart, they will feel understood. To achieve this, it is very important that you do not set up your individual channels differently. A typical customer expects to find the same important information on all your channels. They don't want to have to google for a long time. A customer must always be free to decide when and how to contact you. When expanding the channels for your industry, it is particularly important that you pay attention to the respective volume shift and specialise in the most diverse channels. This may mean that your own business network needs to be empowered. You will not be able to completely do without your sales representatives in the future. Rather, they can be deployed when a car parts customer specifically requests it. In addition to the Internet, customers will therefore continue to have the opportunity to clarify their concerns with a real, advising person.

Seek out partners specifically with whom you can carry out digital disruption. Together, you are usually stronger. An important point of your digitalisation is that it exploits all new technological possibilities that are relevant to your industry. In this area, it is particularly important that you adapt your previous core activities to the needs of customers. With new technology, you have the opportunity to utilise a wide variety of channels and ensure more effective customer support for all customers in the future. Through self-service, you have the opportunity to selectively collect customer data. This allows you to offer your customers individualised offers through premium calculations in the future.

In many cases, more employees in the IT area need to be addressed due to the additional work. You can only move your company forward if the IT department continues to develop. In this context, you should clarify which functions your customers will be able to use in the future. To do this, you need to filter out certain data that is very important for a changeover. You can only offer an improved application if the customer data is imported promptly and correctly.

Which points and when exactly they need to be reorganised must be defined in the strategy. The task of the IT department will be to clarify which points are already possible and where solutions still need to be worked on. Every step must be scrutinised so that, in the end, relevant and up-to-date customer data is available for further use.

Depending on the type of your business, different procedures will arise, with which you can easily improve your old system and revise the data stocks. Often, a large part can be migrated into a new system without any problems.

System adjustments are necessary

A digital disruption in the automotive parts and spare parts industry will certainly bring many adjustments your way. You must, of course, remember to define these adjustments within your own parameters. Your aim should be to become a customer-centric organisation that is considerate of customer wishes.

As sensitive structures and customer data are involved, it is particularly important that you think carefully in advance about who you entrust with which task. The management should be informed promptly about problems and further developments so that they can intervene quickly if necessary. Only entrust the project to experienced employees who are committed to digitalisation. You cannot afford delays after the planning phase.

Other companies in your sector will face up to the problem at the same time and could pass you by on the market. The responsibility of the management means that all employees have a fixed contact person who is familiar with the implementation of digitalisation. Nevertheless, the management should always ensure that day-to-day business does not suffer as a result. After all, a change can take many months, during which business must continue. Small start-ups in particular are much better off in this respect. They could become a threat to many large and long-established companies. New companies have long since adapted to the latest technology. They have usually chosen more modern methods to stay in contact with their customers. Keep an eye on the market at all times so that you can react accordingly if necessary.

Many surveys and studies show that many companies in the insurance and banking sector are already making step-by-step progress in modernising their corporate model. In some cases, they have already implemented the strategy well. Companies that are not yet in the planning phase can often draw inspiration from these companies. The biggest challenge of digital disruption is the speed at which technology is advancing. The rapid pace of innovation is particularly difficult for small companies. They have to apply a high degree of pragmatism, mobility and flexibility in order to implement their own strategy as quickly as possible.

Bet on digital offerings

When it comes to digital disruption, the most important thing is to achieve a cross-divisional strategy. It must fulfil most customer wishes and be technically and financially feasible for your own company. Social networks such as Facebook are being used more and more by many customers. The number of smartphone buyers has also risen sharply in recent years. Customer expectations in terms of service and the flexibility of companies are also rising sharply. Both business and private customers want their company to offer a particularly wide range of services, transparent prices and optimum advice.

The company's platforms and websites must be easy to use and understand. As a company, you need to understand value creation and prioritise customer needs in your operations. If you put the customer's wishes above everything else, you will be able to completely discard your old business model.

Of course, it will also have been important to you in the past that your customers are satisfied. However, new technologies still offer many opportunities in this area that you may not have even considered until now. If you have discovered the right technology for you, then you are one step closer to beating your competitors and positioning yourself better on the market.

The digital transformation is progressing rapidly. Not only insurance companies, banks and marketing departments have had to consider how to tackle the transformation of their businesses.

Many companies in their sector have also started to rethink. According to surveys, half of all German citizens see the Internet as a major advantage for conducting their personal transactions. They have a wide variety of channels at their disposal that they can use for their transactions. With the help of technological progress, digital disruption can disrupt the entire value chain.

For many years, the internet has been used not only by business customers but also by private customers. Over three-quarters of all German citizens go online frequently. The figure is even higher for those under 40. For the younger generation, the internet is an important tool for managing their daily lives. Banking transactions are carried out, goods are ordered, and communication with friends takes place.

Every day, a lot of advertising is also broadcast for the most diverse fields, which is consciously or unconsciously absorbed by internet users. An estimated two billion people regularly use the internet. This trend is also rising here, as children are already very familiar with using the internet. Today, every household has a mobile phone, tablet or smartphone.

Internet providers almost daily outdo each other with new offers, making it easy for users to gain access to all internet sites. All devices can be used almost 24 hours a day, regardless of location. This made it particularly appealing to private users to incorporate the internet into their daily lives. Goods could be ordered without a problem after shops closed, or music and games could be downloaded.

The number of smartphone buyers soared into the hands of consumers in recent years, so much so that the mobile phone industry was in the black. Following the internet came LTE, offering users particularly fast internet. Long upload times or website interruptions are rather rare these days. In many areas, LTE (long-term evolution) can achieve speeds of up to 300 megabits per second. In addition to mobile phones, many new servers are still being purchased today to go online at any time. A small disadvantage of this growth is that the amount of data has increased significantly. The amount of data is now estimated at around 7.9 zettabytes. This data volume corresponds to a measurement unit of a trillion gigabytes.

This figure makes it clear that every internet user leaves a trace. Users of your website also leave behind data and information that needs to be evaluated and processed by you. The extent and speed at which the internet will advance in the future is not yet foreseeable. Handling personal data is made increasingly easier for many users, as customers can rely, for example, on you not sharing their data with third parties and protecting it accordingly.

Many customers go online

You will also have noticed in your branch that more and more customers are shying away from going into the branch. More and more customers are reaching for their mobile phones to get in touch with you or using e-mail to clarify problems. Customers always want to be reachable and, above all, informed. Customers also expect the same from their company. Customers have high expectations that should not be disappointed. Many customers find it very convenient if they can also find your company on Twitter or Facebook to find out about certain products. At the same time, an improved internet presence gives all customers in the car parts and spare parts sector the opportunity to contact you outside of opening hours.

It is perfectly normal for customers to order their goods themselves from you. If they don't require any advice, they can order exactly what they need quickly and easily. Should advice be necessary, the customer will contact you of their own accord.

It used to be common for every salesperson to approach customers directly to offer them extensive advice. Customer behaviour has changed considerably here. Many customers know exactly what they want and don't want to be unnecessarily held back from their shopping. Customers often already have sufficient information from the internet.

If you need feedback from your existing customers before digitalisation, then get a picture of your company on the internet yourself. Have many customers spoken positively about your service on the most diverse networks? It is often useful to start special surveys. Guestbook entries and reviews are also important indicators of your customers' satisfaction.
Even if customers do not always request sufficient advice when it is not required, they do wish for a 24-hour service. Not all companies in the car parts and spare parts sector can meet this demand. The internet offers you many possibilities.

Are you already represented on many comparison portals? Then you have done a lot of things right in the past. In future, offer your customers a variety of options, such as channels, to get in touch with you. In many areas, more than half of customers want personalised advice and support.

If you look more closely at customer requests, you'll quickly find a contradiction. This is primarily because the nature of advice has changed in the customers' wishful thinking. An online chat fulfills the wishes of all customers. They have access to this system at any time and therefore quickly receive the desired answer. For this, customers don't even need to get in their car to speak to you in person during opening hours.

Many customers look for a trustworthy and modern partner in the automotive parts sector. By offering a wide variety of channels, you provide your customers with an optimal service.

The needs of customers could change rapidly in the future as a result of digital disruption. There may be improvements in the area of pricing in particular. To ensure that customers receive their desired product at the most favourable conditions, they will certainly find what they are looking for on a wide variety of aggregators before making a purchase.

An aggregator is a platform on which a wide variety of prices and conditions can be compared directly with one another. Customers can therefore always choose the most favourable retailer for each product, as they can see all the details of the providers at a glance. Of course, there are also many loyal customers who will contact you directly with their requirements. However, if curious customers do use an aggregator and filter you out as the most expensive provider, they will be disappointed with you as a company. You should therefore always keep an eye on the market in terms of price so that you don't miscalculate with your pricing policy.

Digital transformation is opening completely new doors for companies and customers. Customer behaviour has changed dramatically over the course of time. If you don't stay on the ball now, your company will fall by the wayside. Many customers want a cross-channel option from a contractual partner. An optimal solution would be a mixture of analogue and cross-channel channels so that the customer can choose flexibly. Some sectors, such as banks or insurance companies, have long offered their customers a wide variety of channels for conducting business. This can be made available to the customer in the form of a service or shopping portal, for example. Customers in the workshop equipment or car parts sector have the same expectations.

Many customers will approach you directly with their needs when required. However, the situation is quite different in rural regions. Compared to other areas, more emphasis is placed on consultation and presence in rural districts. This could be due, in part, to the older age of the residents and the poorer internet connectivity. These customers, too, would still like to receive adequate support from you.

In many rural areas of Germany, for example, representatives speak of hybrid customers. These customers wish to be advised in person, but also online. Younger customers, as well as customers with a higher income, on the other hand, prefer to use the online version of your company. A big advantage is that by sending customer data, you get an accurate picture of your customer.

• Where does he live, what does he earn and how has he behaved towards your company in the past?

By analysing and evaluating the data, you can create personalised offers specifically for this target group. As a company, you can only benefit from customers having the opportunity to write down their wishes and opinions.

You can use the data from surveys and opinion polls to incorporate them into your new strategy. Even later, you should keep all channels open for customers to communicate directly with you. This will allow products to be improved in the future. At the same time, you give your customers the chance to actively participate in shaping the products and services. This strengthens the sense of unity. When customers notice that their wishes have been heard, they will continue to thank you for it with their loyalty.

The internet is a good way for you to quickly identify any defects in a product. Perhaps a car part or two has withstood many tests, but becomes brittle or wobbly with prolonged use. With customer suggestions, you can quickly and easily remedy this. Many customers identify with a company when they feel they are understood.

Provide your customers with their own community for this. On the pages, customers can, for example, discuss the installation of some spare parts or the benefits of workshop equipment. Many questions that would certainly have been directed straight to your customer service can thus be clarified without any problems.

Digitalisation for small and large companies

Not only large but small companies in their sector are affected by changing customer behaviour. For a small company, digital disruption is a good opportunity to position itself better in the market. If new customers are convinced by the strategy or company policy, the size of the company plays only a minor role for them. Rather, it is important to them that they have many channels available to clarify their concerns as quickly as possible.

When it comes to your online presence, make sure you maintain a clear approach. As many users will access your website from a smartphone, you should pay particular attention to not using overly long texts. Customers would have to scroll too much to find the information they want.

At the same time, you should remember to choose web design that is easy on the eyes. After all, customers should spend a long time on your website to find out as much as possible about your products. A website is like a company's business card. It must clearly distinguish itself from other companies, but at first glance reflect which industry it is.

You should always make sure that the order page of your website is easy to find. Only the most important data for an order should be requested. Otherwise, older customers in particular will become impatient. Customer data should always be stored centrally during digitisation. This has the advantage that the data is promptly available to all employees at the head office and the sales representatives. Changes must therefore be implemented promptly on all portals. This prevents errors from occurring if orders are booked twice or address changes are overlooked.

Digitalisation offers you a wide range of ways to build even closer ties with old and new customers. Use social networks and channels to build up a personal base. Above all, utilise the opportunity for customers to express their wishes and suggestions directly to you. This will enable you to respond more quickly to problems and customers will stay with you even after a problem.

The digital age can no longer be stopped. It now encompasses all areas of life. The problem of digital transformation has long ceased to be confined to a handful of industries. Nowadays, all sectors are being called upon to change their corporate policies in favour of customer wishes. Take your example from startup companies. These firms are usually much more modern and well-represented on the internet. As a company, you can only benefit from the digitalisation and openness of your customers. However, before you can enjoy the benefits of new technologies, a fair amount of work lies ahead of you. Within a few months of implementing the transformation, you should already be able to recognise positive successes in your customer engagement.

Companies that have already started to create a digital business model have a clear advantage. They will have built up a head start by now and flood the market with innovative solutions. In the automotive parts and spare parts industry, there are many opportunities to inspire your own and new customers. If the wishes of the customers are firmly integrated into the company structure, your company will be able to operate much more successfully in the future. If your system cannot store the flood of data or you do not want overcrowded servers, then simply use clouds. This is a kind of small cloud in which your data can be stored. You can therefore use external storage space that has adequate protection. Third parties will not be able to view your data. On the contrary, you have access to the data at all times and can also change it if necessary. The additional storage space can be reduced or increased at any time. This has the advantage for you that you are much more flexible. In addition, the external outsourcing of data ensures that your systems in the branches are not overloaded, but work faster.