Ongoing five-year plan foresees a 280% revenue increase by 2025
By Décio Costa | 4/26/23 | Translated by Jorge Meditsch
Dana has an ambitious plan to boost its presence in the replacement market. Called 2x+2x, the strategy aims to quadruple the company sales in South America’s aftermarket by 2025.
The company takes 2019 as its basis, the year it consolidated its operation in the aftermarket, restarted in 2017 after a 12 years interval when Affinia distributed Dana’s parts.
According to the company, part of the objective was already reached with the 78% growth registered from 2019 through 2022, elevating South America’s revenue to US$ 851.9 million, with Brazil corresponding to 80%. “The focus is on gaining share where we have expertise”, tells Marcelo Rosa, South America After Market director at Automec.
Dana has four business aftermarket units. Most of the operation, 78%, is in the heavy segment, 6% in light vehicles, 6% in engine parts and 10% in the off-road sector, which concentrates machines. The Brazilian market is supplied by the brands Spicer, Albarus and Victor Reinz—Argentina by Thompson and Colombia by Transejes.
The company has about 230 purchase groups, 600 sales points and about 10 thousand part numbers. More than 80% of sales go to the independent market, and 20% to dealer nets.
According to Rosa, the strategy is based on product and relationship program launches, especially for capacitation. “Those are initiatives to generate demand by a close contact job, as done by Dana Training Academy, mobile training units and e-commerce strengthening.
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