Advance Auto Parts, Inc. engages in the provision of automotive aftermarket parts in the United States and internationally. The company serves both professional installers (‘professional’) and ‘do-it-yourself’ (‘DIY’) customers, as well as independently owned operators.
The company’s stores offer a broad selection of brand names, original equipment manufacturer (‘OEM’) and owned brand automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans...
Advance Auto Parts, Inc. engages in the provision of automotive aftermarket parts in the United States and internationally. The company serves both professional installers (‘professional’) and ‘do-it-yourself’ (‘DIY’) customers, as well as independently owned operators.
The company’s stores offer a broad selection of brand names, original equipment manufacturer (‘OEM’) and owned brand automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles and light and heavy-duty trucks. The company operates stores primarily under the trade names ‘Advance Auto Parts’ and ‘Carquest.’
Stores
The company serves its professional and DIY customers through a variety of channels ranging from traditional ‘brick and mortar’ store locations to self-service e-commerce sites.
Advance Auto Parts: The company’s stores, inclusive of hubs are generally located in freestanding buildings, with a focus on both professional and DIY customers. The average size of an Advance Auto Parts location (including stores, hubs, and market hubs) is approximately 8,000 square feet. These stores carry a wide variety of products serving aftermarket auto part needs for both domestic and import vehicles, with product offerings of approximately 23,600 stock keeping units (SKUs), consisting of a custom mix of products based on each store’s market. Supplementing the company’s stores’ inventory on hand, less common SKUs are also available on a same-day or next-day basis from any of the larger hub stores or market hub locations.
Carquest: The company’s stores, including stores in Canada, are generally located in freestanding buildings, with a primary focus on professional customers, but also serve DIY customers. The average size of a Carquest store is approximately 7,500 square feet. These stores carry a wide variety of products serving the aftermarket auto part needs for both domestic and import vehicles, with a product offering of approximately 16,400 SKUs.
Store Development
The company’s stores were located across 48 U.S. states and two U.S. territories, and some stores were located across six Canadian provinces. The company serves the stores primarily from its executive office in Raleigh, NC.
Products
Parts & Batteries: Batteries and battery accessories; belts and hoses; brakes and brake pads; chassis parts; climate control parts; clutches and drive shafts; engines and engine parts; exhaust systems and parts; hub assemblies; ignition components and wire; radiators and cooling parts; starters and alternators; and steering and alignment parts.
Accessories & Chemicals: Air conditioning chemicals and accessories; air fresheners; antifreeze and washer fluid; electrical wire and fuses; electronics; floor mats, seat covers and interior accessories; hand and specialty tools; lighting; performance parts; sealants, adhesives and compounds; tire repair accessories; vent shades, mirrors and exterior accessories; washes, waxes and cleaning supplies; and wiper blades.
Engine Maintenance: Air filters, fuel and oil additives, fuel filters, grease and lubricants, motor oil, oil filters, part cleaners and treatments, and transmission fluid.
The company provides its customers with quality products that are often offered at a good, better or best recommendation differentiated by price and quality. The company accepts customer returns for many new, core and warranty products. Customer returns have historically been immaterial.
Customers
The company’s professional customers primarily consist of customers for whom the company delivers products to their places of business, including garages, service stations and auto dealerships. The company’s professional sales represented approximately 50% of sales in 2024. The company also serves various independently owned Carquest stores with shipments directly from distribution centers. DIY customers are primarily served through the company’s stores but can also order online to pick up merchandise at a nearby store or have their purchases shipped directly to them. Except where prohibited, the company also provides a variety of services at its stores free of charge to customers, including battery and wiper installation; check engine light scanning; electrical system testing, including batteries, starters and alternators; oil and battery recycling; and loaner tool programs.
The company also serves customers online at www.AdvanceAutoParts.com or on the Advance Mobile App. Professional customers can conveniently place their orders electronically, including through MyAdvance.com, by phone or in-store, and the company delivers products to their places of business.
Supply Chain
The company’s supply chain consists of a network of distribution centers, hubs and stores that enable the company to provide same-day or next-day availability to customers. As of December 28, 2024, the company operated 28 distribution centers, ranging in size from approximately 70,000 to 943,000 square feet with total square footage of approximately 8.5 million, including one distribution center dedicated to reclamations. In 2024, the company converted eight distribution centers to market hubs, closed four distribution centers as a result of the 2024 Restructuring Plan and closed one distribution center as part of the normal course of business. Additionally, nine distribution centers were sold as part of the Worldpac transaction.
Merchandise, Marketing and Advertising
In 2024, the company purchased merchandise from over 634 vendors.
Some of the company’s brands include Bosch, Castrol, Dayco, Denso, Fram, Gates, Meguiar’s, Mobil 1, Moog, Monroe, NGK, Prestone, Purolator, Trico and Wagner. In addition to these branded products, the company stocks a wide selection of high-quality owned brand products with a goal of appealing to value-conscious customers. These categories of merchandise include batteries, brakes, chassis, ride control, engine management, filtration, chemicals and other parts under various owned brand names, such as Carquest, DieHard, Driveworks and Wearever. For the DieHard brand, the company owns the right to sell batteries and to extend the DieHard brand into other automotive and vehicular categories. The company granted the seller an exclusive royalty-free, perpetual license to develop, market and sell DieHard branded products in certain non-automotive categories.
The company’s marketing and advertising programs are designed to drive brand awareness, consideration by consumers and omnichannel traffic by position in the aftermarket auto parts category. The company strives to exceed its customers’ expectations end-to-end through a comprehensive online and in-store pick up experience, extensive parts assortment, quality brands, experienced parts professionals, professional programs that are designed to build loyalty with customers and the DIY customer loyalty program.
Seasonality
The company’s business is somewhat seasonal in nature, with the highest sales usually occurring in the spring and summer months. In addition, the company’s business can be affected by weather conditions. The fourth quarter (year ended December 2024) is generally the most volatile, as weather and spending trade-offs typically influence the professional and DIY sales.
Intellectual Property
The company owns a number of trade names, service marks and trademarks, including‘Advance Auto Parts,’ ‘Advance Same Day,’ ‘Carquest,’ ‘CARQUEST Technical Institute,’ ‘DieHard,’ ‘DriverSide,’ ‘MotoLogic,’ ‘MotoShop’ and ‘TECH-NET Professional Auto Service’,, for use in connection with the automotive parts business. In addition, the company owns and has registered a number of trademarks for the owned brands.
Competition
The company’s primary competitors are AutoZone, Inc., NAPA, O’Reilly Automotive, Inc., The Pep Boys-Manny, Moe & Jack and Auto Plus.
Environmental and Other Regulatory Matters
The company receives notices from the U.S. Environmental Protection Agency and state environmental authorities.
History
Advance Auto Parts, Inc. was founded in 1929. The company was incorporated in 2001.