| How You Do Business | Why It Works |
| Quality & Private Labels Products | Setting Up Your Business |
| Warehouse Showroom | A Phone Call Away |
| Turning The Key | Thanks & Congratulations |
Jim Parker, the President of FCI, was born in Missoula, Montana and raised on a farm in central Missouri. He moved to St. Joseph, Mo., in 1971 where he owned and operated a service station for seven years. In 1976, Jim and his wife Beverley founded FCI.
For over 20 years, FCI has been supplying wholesale auto parts to the professional repair center. FCI has built a reputation and customer base second-to-none in the automotive industry. The FCI efficient, service-oriented approach takes all of the effort and aggravation from the repair shop manager by maintaining an organized inventory. By using the "Inventory Management System," our national network of FCI Distributors keeps thousands of repair shops well-organized and stocked with the fast-moving auto parts that they use most often. Our products are produced by major manufacturers and privately labeled under our FCI brands and trademarks.
Initially, the FCI Distributor installs a beginning inventory of one or all of the following productsbelts, brakes, ignition, filters or chemicals. He will then call regularly on the various repair facilities and replace the items they have used.
Unlike most traditional wholesale companies who use the three-step distribution approach, FCI uses two-step distribution with stocking distributors and one-step distribution or factory-direct with non-stocking distributors. The product does not have to go through numerous middlemen, each of whom collects a profit. Ours is a very simple system.
Integral to FCIs way of doing business is our stocking procedures, marketing aids, custom-inventory short-lining and Inventory Management System.
As an FCI Distributor, you will receive exclusive marketing rights to all repair shops, garages, auto dealerships, truck companies, etc. that you set up and no one can service these customers but you. You will select a territory in an area close to where you live, normally less than a 50-mile radius and up to a population of 250,000.
How You Do Business
Using the FCI Inventory Management System, you will service your accounts regularly. As an FCI Stocking Distributor, you will create invoices for the products you sell and normally collect for these products at the same time. You have very little account receivables, so this will help your cash flow. As an FCI Non-Stocking Distributor, you have no inventory, no accounts receivable and no investment. The products are drop-shipped directly from the manufacturer to the repair shop. FCI carries the accounts receivable and pays the FCI Non-Stocking Distributor directly. At the time you restock the inventory or write the order for the direct drop-ship, you will also use this time to tell your customers about new products and specials you have to offer.
FCI offers a unique and exclusive system that works; our way of doing business is like no other. Our Inventory Management System is very much in demand by the garage, which makes your job easy and fun. Normally when parts stores deliver automotive parts, they simply place them on the counter, the garage signs for the inventory and the delivery person leaves. It is then left up to the owner of the garage to put the inventory away, taking time that he usually does not have to give.
The FCI short-lining helps you minimize your inventory and maximizes your inventory turns. Short-lining means when parts are similar, many times they can be used to cover more than one specific application. For example, parts stores often have three different qualities of products: a lesser grade for the older vehicles, a medium grade, and better grade for newer vehicles. We eliminate the first and second lines by only providing a top-quality product that will work for all three applications.
There are numerous factors that helps our unique system work for us when it won't work for the traditional market. According to the APAA (Auto Parts and Accessories Association), the average vehicle in the United States has steadily grown older; the average age is now 8.6 years old. Because of these factor, autoparts sales continue to increase to over $158 billion in 1998. Two-thirds of this amount, or over $103 billion, is attributed to the service repair segment of the industry. Of this $103 billion, most of the automotive aftermarket is handled in the traditional three-step distribution method through traditional warehouses and traditional parts stores. Top of page:
Our unique system works better for the professional installer because they do not have to wait for the parts to be delivered. Other features that make our system unique are quality and our private label. When we put an Inventory Management System together in a professional repair shop, it is absolutely critical that we have an exclusive brand so that our competition is not able to fill the repair shop's shelves between the times we are there to service them. Your protected accounts and the protected private label are what protects this system.
Another factor as to why our system works for the FCI Distributors and why it is difficult for anyone else to copy our program is that the FCI Distributors overhead is much less than in traditional marketing. While the FCI Stocking Distributor operates out of an inexpensive warehouse, the parts stores operate out of a very expensive retail location.
When parts stores purchase their product, they normally purchase their product from warehouses so their Gross Profit Margin will be less. Our prices are typically less than the parts stores and, at the same time, allow our FCI Distributor a profitable margin. We are very price-competitive because of our factory-direct shipments. Only a small part of the parts store's business is designed for the professional repair center. Up to 95% of the parts stores business is designed for the walk-in retail customer.
"Making your mark" is an idea everyone understands; it is something of which you can be proud. Our "marks" are on all our packaging. We are committed to the quality and integrity of those brand names as products worthy enough to lead the market. Each product line is designed to benefit the professional installer with features that impress technicians and their customers alike.
Thermal Gold
The unique heat-shrink properties of Thermal Gold belts, along with their top-cord, bottom-cog construction and seamless manufacturing technology, assure both the repair shop and their customer that one of the finest quality belts are on their vehicle. Our simple demonstration will prove our products quality to the repair shop.
Iron Claw
The Iron Claw brake pads were developed especially for the professional installer. Nitrile rubber added to the composition of the brake pads acts like a miniature shock absorber to absorb the vibration that causes noise. FCI is also adding chamfers, slots and shims.
Performance Max
The FCI ignition line features an inventory of the most-used products; our customers know Performance Max as a quality product. Features of Performance Max ignition point to quality such as the brass terminals on the distributor caps and mag wire for the spark plug wire sets.
Micro Block
FCIs line of filters is also marked by quality and the best manufacturer. MicroBlock transmission filters are made by a major original equipment manufacturer . We also supply oil, air and fuel filters.
Professional Chemicals
Our line of professional chemicals have proven to be one of the most economical and effective automotive line in the industry. We have simple demonstrations that show the differences in chemicals developed for the professional user. We have a program that will allow you to start with just chemicals and add other products as you grow.
FCI knows that the hardest part of any business is getting off to a good start, so FCI will assist you in selecting your area to minimize driving time and maximize selling time. FCI provides training by video tapes or classroom schooling in St. Joseph, Mo., as well as seminars. We provide a toll-free number for you to ask questions or to role-play any problems that you may have with any presentation. Top of page:
Classroom Training
In the classroom you will be shown how to stock repair shops with the fast-moving automotive parts on racks and cabinets made specifically for your inventory. We will practice demonstrations and presentations so that you will be able to prove the quality of the products.
The Warehouse
FCI Stocking Distributors operate out of an inexpensive warehouse. FCI has a complete line of racks and shelving for your inventory, and we can set up your vehicle with displays and inventory to service your accounts.
Placing Product
You will enjoy servicing these accounts and showing them all of the additional products that you can manage for them. These products will also include a complete professional chemical line such as brake wash, hand cleaner, parts wash and lubricants.
Servicing Accounts
After your accounts are set up and you begin servicing them, your relationship with the repair shop managers and technicians will continually grow because the Inventory Management System that you provide is very valuable to them and they will appreciate your regular service.
Adding More Product
You will also add to their Inventory Management System other products such as hose clamps, wiper blades, bulbs, tire repair and additional numbers of belts, brake parts, filters and ignition parts.
As an FCI Stocking Distributor, your service vehicle will be your choice. You can use a cargo van, step van or our specially-designed Warehouse Showroom. The Showroom is outfitted to serve as both a service vehicle to carry inventory to restock your customers as well as a salesroom where you can make product demonstrations, view FCI videos and have private conversations with your customers. It is climate-controlled and equipped with lights and a computer so it can also serve as your office. The inside of this Showroom makes it easy to ask a few minutes of your customer's time to show him the educational tools and demonstrations, while outside it makes an impression of professionalism.
After you have selected your territory, you are invited to receive training in St. Joseph, Mo., in order to learn about our products and service. You will learn bookkeeping and business management skills, product knowledge, and how to order product, add on product and additional product lines, and continue to expand and improve your business. Training will then be on an on-going basis through seminars, workshops, video tapes and other marketing aides.
In St. Joseph, you will meet the folks that will be answering your questions and who will continue to support you on the other end of our toll-free line. These folks will process your orders, advise you about sales and service, and produce weekly publications that will keep you informed, educated and motivated. FCI's Inventory Management System offers you a key to success with a good Gross Profit Margin. Our unique Inventory Management System along with your sales ability will turn the key.
If you live in an area where we already have an exclusive distributor we will put you in touch with the local FCI Distributor and no investment will be required. If you are in an area where there is no exclusive FCI Distributor, then we would like to work with you to see if you qualify to become the area FCI Non-Stocking Distributor. If you decide to stock some of the inventory, i.e. chemicals, your small investment in the inventory that you stock is refundable if for any reason you are not able to sell this product.
Your accounts and/or territory is protected. You pay no franchise fees, no royalties, no advertising fees, and no high-cost storefront rent to pay. You will have low overhead and high profit margin by design. Product liability insurance and product buy-back protection is added protection to help ensure your success. We will be successful because you are successful.
Your Key to Success
Thank you for your interest in FCI and our Inventory Management System. We hope that this information has been helpful in selecting an opportunity that can be both enjoyable and profitable.
Unlike franchising, where you are required to conform to the business process dictated by the company, being an FCI Stocking Distributor or FCI Non-stocking Distributor means you are in charge of your own business in your own area. Your success is your own. You need no automotive experience, just your sales ability and the willingness to learn. We will help you learn new skills and refine present skills because when you are successful we are successful.
Allow me to congratulate you as well as thank you. You've expressed an interest in a challenging enterprise. That is one of the best indicators of a true entrepreneur.
Sincerely,
Jim Parker
President, FCI Marketing, Inc. Home