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RUST Never Sleeps

Drive!

February 2017

As any businessman knows, it’s no small feat to take an idea that starts in your garage and turn it into a full scale company that generates enough sales every year to allow for more than 100% growth annually. That’s exactly what Tracy Bowes of Rusty Nutz & Rodz did in 2010 when he launched RN&R. He started with literally six shelves and today sells a wide array of products to customers across the country and internationally as well.

It’s the kind of American success story that a lot of us dream of. Clearly it took a lot of hard work, determination, and understanding of the automotive after market as it relates to e-commerce.

I had a chance to talk with Tracy during the SEMA Show and got his take on car culture and what he did to create (and what he’s doing to sustain) his brand. Look for a feature on some his vehicles in future issues! —Ben Oh, Editor

rive!: What directions do you see the automotive after market going in the near future? From business point of view as well as changes you see in general car culture.

Tracy Bowes: The automotive after market is a dynamic environment marked by constant change. To preserve brand integrity many manufacturers have implemented MAP (minimum advertised price) policies. Increased competition has caused margins to erode, and the only way companies can now differentiate themselves is through selection, availability, and service. The competitive landscape is going to force more consolidation. We've been seeing this for a few years, although more on the manufacturing side. Inevitably this will cascade down to distributors and retailers.

We're seeing a dramatic shift in how consumers shop for automotive and restoration parts. Many of our competitors are proud to offer a dozen different full color model-specific catalogs every year. The production and mailing costs aside, we add new products to our line daily. The dinosaurs don't seem to see the asteroid coming, and that's okay. We've invested heavily in the digital space and we're prepared to satisfy the evolving needs of buyers who prefer to shop online. In the next few years you're likely to see the market shift heavily toward companies that have evolved with the times and consumer preferences.