Technicians and technology

Jan. 1, 2020
Last month I shared my observation that the era of technicians ordering parts by telephone is rapidly giving way to a preference for online ordering.

Last month I shared my observation that the era of technicians ordering parts by telephone is rapidly giving way to a preference for online ordering. The basis of this claim comes from my regular interaction with technicians through a variety of research techniques. Issues such as the demise of the “career counterman,” techs growing more comfortable with technology and the overall lower cost and functional improvements of both hardware and software have contributed to the uptick in adoption at the tech level. This may not surprise a lot of you.

But events of the past month have led me to a conclusion that might surprise you. Technicians are integrating new eCommerce technology into their businesses faster and more aggressively than many of the vendors above them in the aftermarket supply chain. Where just a short time ago manufacturers and distributors were pushing technicians to “hook up,” the techs are now pushing their suppliers to “keep up.”

There are two apparent reasons for this significant leap in technology adoption at the service dealer level. The first driver is market specific. It happens when some reseller gets aggressive about exposing technicians to the concept of online parts ordering, educating them and sometimes incentivizing them. Once exposed to it, most technicians quickly grow to like, even love, the service. They quickly move from using it as a means to occasionally check stock or a price, to digging in and “mining” it for all the information and convenience it has to offer. This phenomenon accounts for the wide variance in adoption from one geographical area to another.

The second thing fostering faster adoption at the technician level is the ease and low cost of getting into it. Relatively speaking, it costs technicians far less to take advantage of modern eCommerce technology than it costs their vendors to provide it. The good news here, as I see it, is that techs have answered the “chicken or egg” question. Some manufacturers and distributors have been dragging their feet on technology investments, waiting for sufficient demand to assure an acceptable return. It’s definitely time for them to pick up their feet and start peddling as fast as they can.

During a recent conversation with a group of about a dozen technicians, the level of technology adoption surprised even me. Ten of the 12 ordered a majority of their parts over the Internet. But, it wasn’t just 50 percent or 60 percent, this group was talking between 70 percent and 90 percent. Of the two that didn’t, one was in his 70s and confessed to being intimidated by computers; the other was so humiliated by his peers that he pledged to the group that he would start taking steps to get online the next morning.

But far more impressive than their rate of adoption was the way they were using technology. Nearly all said they had their computers loaded with the software of between three and six vendors. At any one time during business hours they were jumping from application to application to check their different suppliers. I know what most of you parts sellers are thinking, and no, they are not just price shopping. They are looking for typical sourcing decision information: checking availability, delivery times, brands, technical information and, yes, prices.

PAGE 2

What impressed me most was the voracity they showed for information that is available (and disappointment about what is not.) When we discussed their reaction to parts they receive that looked different from the ones on the vehicle, this group of tech-savvy installers said they would first get online and study the images shown in their eCat (or failing that, the manufacturer’s web site) to confirm they had the right part. The discussion revealed both understanding and willingness to learn more. One questioned the effectiveness of comparing received parts to pictures online, because he thought only “representative” images were presented. Another quickly answered, ”Not at all. That’s the way it used to be. Nowadays, the good ones have the actual product and sometimes in 3D so you can turn it to any angle.” I recall a time when most manufacturer and distributor C-level types didn’t know about “representative images” versus “part-number specific images.”

I realize this situation in this particular market is not typical, but I can tell you it is becoming increasingly more common. There are still markets where the use of connective eCommerce technology is low. I can only assume that those markets are ones where a reseller has not aggressively introduced and championed the technology. When that does happen, I can assure you it will be like starting a fire in a dry forest. It will quickly spread and there will be no stopping it.

Last month I shared my observation that the era of technicians ordering parts by telephone is rapidly giving way to a preference for online ordering. The basis of this claim comes from my regular interaction with technicians through a variety of research techniques. Issues such as the demise of the “career counterman,” techs growing more comfortable with technology and the overall lower cost and functional improvements of both hardware and software have contributed to the uptick in adoption at the tech level. This may not surprise a lot of you.

But events of the past month have led me to a conclusion that might surprise you. Technicians are integrating new eCommerce technology into their businesses faster and more aggressively than many of the vendors above them in the aftermarket supply chain. Where just a short time ago manufacturers and distributors were pushing technicians to “hook up,” the techs are now pushing their suppliers to “keep up.”

There are two apparent reasons for this significant leap in technology adoption at the service dealer level. The first driver is market specific. It happens when some reseller gets aggressive about exposing technicians to the concept of online parts ordering, educating them and sometimes incentivizing them. Once exposed to it, most technicians quickly grow to like, even love, the service. They quickly move from using it as a means to occasionally check stock or a price, to digging in and “mining” it for all the information and convenience it has to offer. This phenomenon accounts for the wide variance in adoption from one geographical area to another.

The second thing fostering faster adoption at the technician level is the ease and low cost of getting into it. Relatively speaking, it costs technicians far less to take advantage of modern eCommerce technology than it costs their vendors to provide it. The good news here, as I see it, is that techs have answered the “chicken or egg” question. Some manufacturers and distributors have been dragging their feet on technology investments, waiting for sufficient demand to assure an acceptable return. It’s definitely time for them to pick up their feet and start peddling as fast as they can.

During a recent conversation with a group of about a dozen technicians, the level of technology adoption surprised even me. Ten of the 12 ordered a majority of their parts over the Internet. But, it wasn’t just 50 percent or 60 percent, this group was talking between 70 percent and 90 percent. Of the two that didn’t, one was in his 70s and confessed to being intimidated by computers; the other was so humiliated by his peers that he pledged to the group that he would start taking steps to get online the next morning.

But far more impressive than their rate of adoption was the way they were using technology. Nearly all said they had their computers loaded with the software of between three and six vendors. At any one time during business hours they were jumping from application to application to check their different suppliers. I know what most of you parts sellers are thinking, and no, they are not just price shopping. They are looking for typical sourcing decision information: checking availability, delivery times, brands, technical information and, yes, prices.

PAGE 2

What impressed me most was the voracity they showed for information that is available (and disappointment about what is not.) When we discussed their reaction to parts they receive that looked different from the ones on the vehicle, this group of tech-savvy installers said they would first get online and study the images shown in their eCat (or failing that, the manufacturer’s web site) to confirm they had the right part. The discussion revealed both understanding and willingness to learn more. One questioned the effectiveness of comparing received parts to pictures online, because he thought only “representative” images were presented. Another quickly answered, ”Not at all. That’s the way it used to be. Nowadays, the good ones have the actual product and sometimes in 3D so you can turn it to any angle.” I recall a time when most manufacturer and distributor C-level types didn’t know about “representative images” versus “part-number specific images.”

I realize this situation in this particular market is not typical, but I can tell you it is becoming increasingly more common. There are still markets where the use of connective eCommerce technology is low. I can only assume that those markets are ones where a reseller has not aggressively introduced and championed the technology. When that does happen, I can assure you it will be like starting a fire in a dry forest. It will quickly spread and there will be no stopping it.

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