The nation's largest aftermarket crash parts distributor, Keystone Automotive Industries, has announced that it will begin to sell its crash parts through United Recycler's Group (URG), an association headquartered in Colorado and representing over 330 independently-owned salvage yards, including over 30 in California, Arizona and Nevada. 

"Our new partnership with Keystone Automotive Industries will make it possible for URG members to create a 'one stop shop' for their customers when it comes to providing a full range of automotive repair and replacement parts," said Michelle Alexander, director of the URG Board. "We think it is going to help 'level the playing field' for our independent automotive recyclers as they compete with the consolidators in this industry."

Chief among the consolidators is LKQ Corporation. LKQ has been offering new aftermarket parts as an alternative to used-OEM for over two years through its direct importer, Action Crash. "When an estimator is looking for an individual fender or front end component and we don't have it used, we'll quote new aftermarket as an alternative," said Herb Lieberman of LKQ, a former president of the Automotive Recyclers Association. "What's important is to be very clear to the estimator that you are quoting aftermarket and not used OEM."

Insurers drive business

"The bottom line," said Tom Denton, owner of Knox Auto Parts in Knoxville, Tennessee, a URG member yard, "is that this partnership brings together used parts suppliers with a new and recycled parts supplier in a way that will allow a full product line of automotive parts to be sold to our customers." Denton noted that much of his business comes from DRP shops that are acting on behalf of their insurance customers.

This new partnership could be a needed shot in the arm for recyclers. State Farm insurance recently said that recycled parts as a percentage of total parts sales has remained stagnant - at between 12 and 13 percent - from 2003 through 2005, while the aftermarket segment is rebounding to reach a similar market share (after declining to a low of 9.2 percent in 2000).

Keystone brings range of products

Since 1947, Keystone has been the nation's largest supplier of new and remanufactured collision repair parts, and now has over 130 distribution and service centers.

Keystone's line of new and remanufactured automotive parts inlclude new bumpers and reinforcement bars, remanufactured O.E.M. bumpers and bumper covers, new replacement body panels, new radiators and condensers, replacement lighting, windshields, side and rear auto glass, autobody supplies, rust repair panels for classic cars and trucks, and remanufactured OEM alloy wheels.

One stop shopping

Mike Kunkel, general manager of American Auto Salvage in Ft. Worth said, "We are excited to be partnering with the leader in the field of aftermarket parts. While we are still going to be in the salvaged parts business, this is a nice way to offer our customers one stop shopping for used and quality aftermarket parts. Getting used and aftermarket options on the same call or e-mail should help the repairer achieve the APU expectations they are being held to.

"One of the nice pieces of this is that the repairer will pay the same price from Keystone as they will from a URG recycler. We hope that giving repairers multiple options for parts during the estimating process will drive alternative parts usage in general and used parts specifically."

Natural partnership

"At Keystone, we see this as a great opportunity," said Christopher Northup, vice president of sales and marketing for Keystone. "Everyone involved is going to benefit. This isn't just about selling parts either. We see other ways to work together. For instance, we will be looking to URG members to provide us with new sources of parts for our remanufacturing business, especially plastic bumpers and aluminum wheels."

While implementation plans for the new program are not final, it is anticipated that the collision repair parts in the Keystone inventory will eventually become integrated with URGNet, the computer parts sourcing network used by URG recycling yards.