Friday, October 10, 2008    

September 1994

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Battery Sales Go Hi-Tech
by Ron Hall, Senior Editor

The biggest benefit to consumers is convenience. They choose the exact product - in this case a battery - needed for their particular vehicle. But the benefits to aftermarket retailers may be even greater, including increased sales, and new avenues for cross merchandising.

All this from a small, relatively inexpensive ($200-$250) shelf-edge computer?

You bet, claims Stephen Alexander, who is both owner of Automotive In-Store Marketing, Sanibel Island, Florida, and vice president of the Automotive Division of HMG Worldwide, manufacturer of merchandising computers. He maintains that these computers -- only 12 inches long, 6 inches deep, 6 inches high - will soon be commonplace in the battery sections of auto parts retailers. Eventually, DIYers will see them attached to shelves in front of products like wiper blades, filters, spark plugs, and chemicals.

These computers have already been developed and extensively tested for retail aftermarket, although Alexander maintains he's not at liberty to say which vendor or retailer will make the next move.

He does, however, point to one lighting manufacturer which is using interactive, shelf-edge computers. Alexander worked with the supplier in developing a program and script that appears on the liquid crystal display (LCD) screen. The screen displays 40 characters across and four lines deep. It holds the information for two minutes, allowing the user to find and touch - usually within arms length - the merchandise it recommends. He says sales of vehicle lighting products for the supplier rose at least 10 percent because of the shelf-edge computer.

Not that the technology is all that new; it's not.

The computers have been appearing in front of such products as Clairol hair color, L'eggs pantyhose, and clarion cosmetics for the last five years or so. In fact, HME Worldwide has installed about 300,000 in retail stores around the world, he estimates.

"They allow the consumer to instantly get the answer to the question - which product or products do I need?", says Alexander. "The consumer does this by touching a pad in response to questions. It makes recommendations based on how the consumer answers some simple questions."

In the case of vehicle batteries, the computer can make "good, better, best" battery recommendations for 54 automobile and 24 truck makes.

"It (computer) knows all the fitments, all the SKU numbers. In fact, it knows everything that's in a printed catalog," says Alexander. "All the applications are in a little chip plus very special installation exceptions."

That tiny chip is the key to the computer's operation. It can be programmed to contain any information and/or merchandising message. And the computer can be upgraded with a new chip in just seconds.

But what it can find out about customers themselves and, more importantly, the vehicles they drive, may ultimately prove the shelf-edge computer's greatest worth to aftermarket retailers.

For instance, it knows what vehicles visited the store, and what make and model year. Now that retailer knows something that store owners typically never know ever really know, the Autographics© of the specific retail store. This information, he maintains, is precious to retailers wanting to serve the needs of their particular market area.

But, will consumers take to these computers? Absolutely, says Alexander. "Consumers love it. It's as simple as using an automatic teller machine or a telephone."

COPYRIGHT NOTICE:"Reprinted with permission from Aftermarket Business, September, 1994, page 18. Copyright by Advanstar Communications, Inc. Advanstar Communications, Inc. retains all rights to this material." To subscribe to Aftermarket Business, call 1-218-723-9477 or email fulfill@superfill.com.

Stephen J. Alexander is an aftermarket consultant, speaker and monthly columnist for Aftermarket Business Magazine. To learn more about other in-store merchandising and marketing issues, contact Stephen Alexander, Automotive In-Store Marketing at 239-395-9203 or e-mail him at salexander@autoinstore.com.



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