Ford launches brand to sell auto parts to fix competitors’ vehicles

Detroit (U.S.), Jan. 24, 2017 (Reuters/NAN) In a bid to expand its global auto parts market, Ford Motor Co. is launching a new brand called Omnicraft to sell parts to Ford dealers. It will also sell to other independent repair shops to fix competitors’ vehicles. Omnicraft joins Ford’s established Motorcraft, which makes parts for Ford […]

Detroit (U.S.), Jan. 24, 2017 (Reuters/NAN) In a bid to expand its global auto parts market, Ford Motor Co. is launching a new brand called Omnicraft to sell parts to Ford dealers.

It will also sell to other independent repair shops to fix competitors’ vehicles.

Omnicraft joins Ford’s established Motorcraft, which makes parts for Ford vehicles.

Frederiek Toney, President of Ford’s Customer Service Division, said the global business for automotive parts, which is now estimated at more than $500 billion, and service will expand by 70 per cent in the next six years.

Toney would not say how much of the global market Ford wants to capture, but said that in 10 years the company would be pleased if between 10 per cent and 15 per cent of its parts sales were from Omnicraft.

Suppliers will make the parts, and Ford will sell them at a profit, but says they will be competitively priced, in part to attract independent repair shops and its own dealers.

Having the parts for non-Ford vehicles will allow dealers to increase repair and service business, as well as offer an opportunity to convince owners to look over new Ford cars and trucks while they are at the dealership.

At first, Omnicraft parts will be sold at Ford and Lincoln dealerships of which there are 3,200 in the United States and 10,500 globally.

“Omnicraft will be active in Ford’s major markets around the world.

“As the average age of vehicles increases, especially in mature markets like the United States and Europe, there is more of a need for auto parts, which is no secret.

“It behooves us to try to compete for the life cycle of ownership and not to focus as Ford has on the early years of that cycle,’’ Toney said.

In the U.S. market, the average age of a vehicle on the road is more than 11 years. (Reuters/NAN)