A decade on from the adoption of the free market, the face of aftermarket autoparts
distribution in Poland has been transformed completely. Gone are the inefficient
and poorly stocked wholesale and retail outlets of the old state-controlled Polmozbyt
organisation and the inadequate vehicle servicing structures that were supposed
to serve the fortunate few owning a car. Local entrepreneurs and foreign companies
have now come onto the scene – initially enjoying a buoyant market as car ownership
boomed during the 1990s. Now, however, the number of players and the level of
competition have reached the stage where a process of rationalisation is due to
begin.
Old Polski Fiat Models Dominate Parc
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The composition of the Polish car parc has also changed significantly. Today
less than half the parc comprises the old Polski Fiat models – 124, 126 and
Polonez – which were the mainstay during the communist era. Following the very
large influx of used cars from Western Europe in the early 1990s and annual
new car sales of over half a million units in recent years, the population of
popular European marques – GM, VW, Ford, Fiat, Renault and Peugeot- is high
and growing fast.
This transformation of the car parc has given an opportunity for the new aftermarket
wholesalers to build their presence in the market. Most have concentrated on
the spares requirements of the imported makes and have stolen a march on the
franchised dealer networks of the vehicle manufacturers, who lost significant
market share initially. The latter are now, however, fighting back, but still
only command less than 50% of the aftermarket.
Wholesalers with National Coverage
Some of the new wholesalers have managed to achieve national coverage through
a network of their own regional branches – a commendable achievement when one
considers that many of their counterparts in Western Europe still remain regional
players. However, the cost of operating the branches in Poland is in some cases
becoming a heavy burden, leading many to rethink this strategy and to change
to a system of franchise-style links to independent companies in the regions.
To date very few foreign companies have invested in aftermarket wholesaling
in Poland. Rhiag, the large Italian OE and aftermarket parts company, has acquired
the Holbex chain and the French and German buying groups, Auto Teile Ring, Autodistribution
and Groupe Auto Union, have been actively trying to recruit members. A lot of
companies are still supported by venture capital and are seeking strategic investors.
KGP Director, Rodney Joyce, was invited by the Polish Association of Automotive
Wholesalers to address its Annual Conference in Szczyrk in March 2000. His paper
focussed on the contrasts in the aftermarket distribution structures and practices
in Western Europe and North America as well as the changing patterns of product
usage resulting from changes in automotive technology and the move by vehicle
manufacturers to lengthen service intervals.
Need for Rationalisation and Foreign Investment
The underlying theme of the conference presentations by the Polish companies
focussed strongly on the need for rationalisation amongst the independent aftermarket
wholesalers. Basically there are now too many players at a national and regional
level, all competing for a share of a market which has gone through a period
of rapid growth, but is now stabilising in volume terms and being attacked more
aggressively by the franchised dealer networks. Picking the winners and losers
will be a difficult task.
Another interesting feature of the Polish aftermarket is the arrival of French
retailers, Norauto and Feu Vert, as well as fast-fits, Midas and Maxauto. The
Polish motorist seems to be slow to take to these kinds of outlets, but it is
early days and their networks could well grow in future, particularly as disposable
incomes rise and the convenience/time-saving advantages become more important.
|
Some
Key Players in Polish Aftermarket Distribution |
|
| Wholesalers: | Quick Repair: |
| Auto Art | Maxauto |
| Intercars | Midas |
| Confex-Battek | Hypermarket Outlets: |
| Holbex | Norauto |
| Retailers: | Feu Vert |
| Debica | |
