The Automotive Parts Shortage is Real

Model 1 | January 31, 2022

A man battling the automotive parts shortage while working on a truck in a garage.

2021 was full of unprecedented times for the automotive industry, and one of the biggest challenges now facing dealerships is simply getting the parts they need to keep their customers on the road. 

It’s a self-feeding loop. A global semiconductor shortage has cut the production of new vehicles, leading to a surge in demand and prices of used cars and forcing people to keep their old ones longer. In turn, these vehicles need repairs, which are now increasingly being dragged by supply-chain chokeholds.

1. A Nightmare for All Sides

Whether you’re supplying parts or buying them, no one is exempt from feeling the strain of the parts shortage. With demand high and availability low, everyone is going outside of their normal channels to source parts or find workarounds right now, including dealers.

2. Extended Service Time for Customers

Typically, when parts are on backorder, dealers are able to communicate accurate lead times. The reality of the current parts shortage and supply chain uncertainty creates ambiguity in the wait time for customers. Today, dealers often have to wait several weeks for shipments, with some parts on backorder for as long as two to three months. All of this has resulted in longer repair cycles to get vehicles back on the road generating revenue.

3. The Importance of “Safety Stock”

Many companies report that the importance of their inventory and having the right safety stock are key learnings from the parts shortage. Adapting quickly and improving parts forecasting – focusing on the top 50 – 60 SKUs instead of just the top 10, for example – is a must as dealers move forward in the current environment.

With little relief in sight, companies plead with customers for patience until a shipment comes in. Whatever your experience has been during the parts shortage, we’re here to help you get the parts you need to keep your vehicles up and running.

 Not sure how or where to find what you’re looking for? Call us at 888.993.5040 or email