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03.01.2013

Middle East Dealers Visited Limoges Plant

Reconditioned spare parts Turnover Evolution (Middle East) 2012 vs. 2011 is +107,9%

 

One of the main 2012 levers for the Renault Trucks Spare Parts business in the Middle East region has been its Spare Parts Reconditioned offer.

After the 2007 - 2008 business bubble which was followed by the general economic crises, the Renault Trucks running trucks population, in the Middle East, started to become older. This situation has nowadays created a huge potential in terms of reconditioned spare parts in most Gulf countries.

2The Reconditioned offer is an excellent opportunity in order to improve Renault Trucks competitiveness and Market Share, especially where, in some markets, Renault Trucks is facing some difficulties in selling certain new parts due to the OEM low market price.

Most of the biggest fleet customers in this region are currently having their own reconditioned processes for same spare parts. These are carried out with their knowledge, methods and machinery which are giving a final product, that in terms of quality is not as Renault Trucks can guaranty thanks to its high quality standards of production. This result can only be obtained by its professional and industrial processes which the delegation had the chance to see during their visit to Renault Trucks Limoges factory.

 

That’s why Renault Trucks is offering the same warranty terms as the genuine Renault Trucks new parts (1 year warranty).

In order to develop this kind of business during the last year, Renault Trucks in the Middle East decided to implement certain key actions as:

  • Adjusting the price positioning, comparing reconditioned parts to the equivalent new parts offer (engine and gearbox  -10/15% , equipment as alternator, starter engine, injector, air compressor -15% up to 30%)
  • Promoting the offer with dedicated leaflets.
  • Increasing the parts availability and reducing lead time, Renault Trucks ensured the right stock level in Dubai’s regional warehouse for reconditioned parts.
  • Organizing a visit in Renault Trucks plant in Limoges with some of the main actors in the Middle East network, in order to introduce them our best in class factory.

RT

Of course this is the first step, in the coming year Renault Trucks will need to reinforce this offer and improve its efforts.

An important challenge will be organized during 2013 and the dealer winner will participate to an excitant trip with his biggest customer.

SOME FIGURES

Reconditioned spare parts Turnover Evolution (Middle East) 2012 vs. 2011 is +107,9% (November YTD)

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