Wednesday, 25 July 2012 22:16

PartsTrader Announces 5-Year Deal with “One of the Largest U.S. Auto Insurers,” Adds Three Managers

In a press statement released to media in New Zealand, PartsTrader announced that it has entered into a “locked-in five year agreement” with “one of the largest auto insurers in the U.S.”

While the release did not name the insurer that it signed the contract with, the New Zealand based PartsTrader has been working with State Farm in the U.S. to test its online parts bidding system for several months now. In the statement, the company said that it has “just completed a four-state pilot of its online trading platform” in the U.S.

A New Zealand news source reported PartsTrader winning a five-year contract with State Farm to introduce its online parts trading platform to U.S. collision repairers by early next year. The online news source said PartsTrader would add about 45 employees in New Zealand and the U.S. as a result of the deal and called the U.S. contract its “first big overseas break, though its value will depend on the volume of car parts ordered.”

PartsTrader US LLC Chief Executive Rob Cooper said, “We have entered the U.S. market with a locked-in five year agreement. If successful, the business will generate a healthy profit and most of it will flow back to our NZ investors,” Cooper said.

PartsTrader said that it “fended off an international field of contenders” to win the contract in the U.S. which is “modeled on the platform [that] has operated in New Zealand since 2004.”

The company said that last year in New Zealand alone, vehicle parts valued at more than $70 million were obtained through the PartsTrader platform, which is used by most of the major insurers and some 80 percent of collision repair shops in New Zealand.

In late June, PartsTrader also announced it hired three industry leaders to its management team. Dale Sailer, David Merrell and Troy Holm will lead the company’s efforts in implementing the PartsTrader system in the collision repair and collision parts markets. Sailer will serve as the company’s Vice President of Business Development.

Merrell joins the company as its National Account Director and Holm is its first Field Relations Manager.

 

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