By Ed Salamy, Executive Director
The “Motor City” of Detroit played host to NACE, one of the automotive industry’s largest events. This was the second year in a row that NACE was held in Detroit, and it will return again in 2017, after a stop in Anaheim, CA next year. NACE officials claimed attendance was up from last year, which seemed about right.
The ABPA presence at NACE included myself and Board members Dan Morrissey, Mike Koren, Kim Hicks and Jim Smith. Other than our intrepid group there seemed to be very little representation of the aftermarket parts industry at the show. This is unfortunate, as NACE presents a great opportunity to connect with leaders in collision repair, insurance and estimating software.
Even on the trade show floor there was scant representation of aftermarket parts. LKQ had a booth, along with a few cooling and lighting manufacturers. But that was it, with several smaller companies that had exhibited in the past absent this year. However, both CAPA and NSF had significant displays in prominent positions on the show floor, demonstrating the importance our industry is placing on parts certification.
While many of the NACE educational seminars and breakout sessions focused on technical training for repairers, one of the most anticipated panel discussions was on GM’s dynamic pricing program.
Nick Scheid attended and filed this report:
As I know many of you were unable to attend the GM Panel Discussion Friday at NACE, I would like to offer this observation for the event and the word that comes to mind is “Vanilla”! It is the best way I can summarize it.
It did not provide any key factors about the program other than to state that the 3 primary information providers collaborated with GM & OE Connection to build the platform and make it function as a “seamless” portal from their estimating programs. This obviously should make us all concerned about how they may use your data when submitted, certainly begs to question them or get some NDA [non disclosure agreements].
They did announce that the pilot market for the roll out was in Denver last week so I expect that there maybe some news coming from this area, however it was my understanding that this pilot was only for the functioning aspects of the program and not the actually pricing feature. They indicated that if the pilot goes well then the national roll out could be as soon as October this year.
There were discussions about other OE’s adopting similar programs and obviously no one would answer for other companies’ intentions. But they did indicate the programs from the IP partners were developed to accommodate additional parties, especially since 16 OEMs are now using OE Connection.
GM’s self described purpose for this program was to streamline their successful Parts Conquest program “BUMP THE COMPETITION” and make it easier to facilitate the body shop’s opportunity to price the OE part when the estimate is written, rather than waiting until it has been completed with the alternative parts.
There were only a few questions allowed and ONLY to those in attendance with a media badge. You can find additional information at:
The ABPA will continue to study the potential implications this program will have on our members, and will be working with experts to explore possible solutions. I find it very discouraging that insurers would support GM’s MyPriceLink program, as it will only eliminate competition for popular parts. Once this competition is eliminated, GM will have no need to be “competitive” and will raise their prices.
The social aspect of NACE was, as always, enjoyable. CAPA held their annual dinner at the fine Roast restaurant in downtown Detroit, which was attended by many current and past ABPA Board members. The CCC VIP party at the historic Colony Club was another well-attended affair, where we were able to connect with many leaders from the body shop industry.
All in all NACE was well worth attending, and it was my privilege (along with your Board members) to represent the interests of aftermarket manufacturers at this important industry event.