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PSA to restructure UK parts distribution with 30 dealer hubsBack

PSAUKPSA is pushing ahead with the restructuring of its parts operation in the UK to boost efficiency and provide more frequent deliveries of parts to Peugeot and Citroen dealers.

Currently the warehouse in Coventry delivers to over 500 outlets across the UK but PSA is appointing 30 dealers to act as regional hubs to deliver parts to dealers three times a day.

The new system will be more efficient, cheaper to run, offer more frequent deliveries and will also help to boost trade sales.

It is part of a European-wide strategy to boost parts business in the face of mounting competition from independent distributors like Euro Car Parts, which is now owned by US company LKQ
LKQ is the largest supplier of aftermarket and recycled collision replacement parts and refurbished collision replacement products in the US and Canada. It is moving Euro Car parts into new areas like collision parts, competing directly with OE parts from carmakers.

According to director of parts and service PSA UK Richard Dyson, PSA is running dealer pilots in the West and East Midlands, Manchester, Cornwall and Devon. “The efficiency is those hubs will be delivering three times a day. We will be delivering to 30 rather than 500 locations. “Delivering to 500 sites every day is horrendously expensive,” said Dyson. The European project will be completed by March 2017.

Source: Motor Trader

Posted by Leana Kell on 08/05/2015