Chicagoland Suppliers Resisting PartsTrader

By Kristen Hampshire, BodyShop Business

On Sept. 17, 2012, State Farm announced that the pilot program for PartsTrader was being expanded to Chicago, and collision repairers would start actively using it in December. In short order, they reported that 475 of 477 Select Service repairers in Chicago had registered for the program. Today, State Farm says all 477 have now signed up. But supplier participation is another story.

More than a few repairers are reporting that many suppliers are actively resisting PartsTrader. One shop reported that State Farm sent it a letter indicating only 48 percent of its suppliers had completed the registration process. The insurer says 266 suppliers of all part types to date are participating in PartsTrader.

“Data provided by PartsTrader suggests Chicago suppliers that are actively participating in the quoting process are generating more parts orders overall than those who have opted to only receive fax orders,” said George Avery, claims consultant with State Farm.

And as roll-out continues, Avery says that PartsTrader data also suggests repairers are shifting to participating suppliers from fax-only suppliers.

One repairer says PartsTrader has been shutting down its fax service at 5 p.m. Then, at 8:30 a.m., the fax machine is spitting out pages of parts orders that had been entered via PartsTrader at 3 p.m. the day before. He said PartsTrader has stated the fax service will end in 2014. He also said it seems PartsTrader is “punishing” dealers that have chosen the fax route. Evidence, he claims, is listing one of the largest Chrysler dealers in the area as an Isuzu/Suzuki dealer.

“That took several phone calls to change, and who knows if it will change back?” he said.

Read the full article – Chicagoland Suppliers Resisting PartsTrader

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