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Optimizing the Aftermarket and Spare Parts Program with Your Electric Heater Supplier
Setting Up a Spare Parts Audit Program with Your OEM Heating Partner
Well-executed aftermarket and spare parts programs are increasingly becoming more important to an organization’s reputation and revenue.
Generally, aftermarket sales tend to contribute a higher profit margin compared to initial product sales, as they often involve services, parts, and maintenance contracts that provide ongoing revenue streams. However, there is no one-size-fits-all answer to what percentage of sales aftermarket programs represent.
For industrial equipment such as process heaters and thermocouples, aftermarket sales can be particularly important due to the need for ongoing maintenance, replacement parts, and upgrades. In industries where equipment downtime can be costly, organizations are often willing to invest in aftermarket spare parts and services to ensure the reliable operation of their equipment.
The following list is what we will be discussing in more detail in this blog. These are some of the key factors that can make an aftermarket program successful:
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Product quality
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Product consistency
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Private labelling/shipping
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Lead time
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Support
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Training
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Cost/profit
Product Quality: Electrical process heaters and thermocouples are critical components in industrial applications, and their quality directly impacts performance and reliability. Organizations spend hundreds of hours planning the right mixture of components to optimize the process. High-quality aftermarket heaters and thermocouples made to strict standards ensure consistent temperature control and accurate measurements, minimizing downtime and production disruptions. Some companies even have warranties that require only certified aftermarket parts to ensure proper continuity and, as intended function.
Product Consistency: Consistency in the performance and specifications of aftermarket heaters and thermocouples is essential for compatibility with existing systems and seamless integration into industrial processes. Consistent product quality ensures reliable operation and removes the introduction of variables and added risk of compatibility issues or failures.
Private Labeling/Shipping: Offering private labeling options for aftermarket heaters and thermocouples can enhance brand recognition and loyalty among customers. When a production group needs a part, they pull your part number either from a manual, or from the part itself. Efficient shipping then ensures timely delivery of aftermarket products, minimizing equipment downtime and maximizing operational efficiency. At Backer Marathon, our procedure is to use a company packing slip to fully ensure new product requests come right back to you, the OEM.
Lead Time: Short lead times for aftermarket heaters and thermocouples are crucial for satisfying urgent replacement needs and minimizing production disruptions. Some multi-national OEMs source through country of origin. This can add days or, at times, weeks to the resupply process. Many have started to use a blend of domestic and international spare parts suppliers to both supply replacements parts more quickly, and to diversify their supply chains. Many top spare parts suppliers will work off consignment stock arrangements. If you do not have this supply chain redundancy option currently available in your process, reach out to us by clicking this link and we are happy to discuss options with you. Streamlining manufacturing and distribution processes helps reduce lead times and improves customer satisfaction.
Support: Providing comprehensive technical support and assistance is vital for the successful implementation of aftermarket heaters and thermocouples. Production teams or “end users” may require guidance on product selection, installation, troubleshooting, and maintenance to optimize performance and reliability. It is also likely that your support team may not know all the thousands of components it takes to make a machine run at an optimal level. An increasing number of OEMs are turning their trust to their vendors to handle these issues and generate resolutions on their behalf.
Training: Offering training programs for OEMs, end users, and service technicians enhances abilities to install, operate, and maintain electrical process heaters and thermocouples effectively. Well-trained personnel can maximize the lifespan of aftermarket components, minimize downtime, and ensure safe and efficient operation.
Cost/Profit: Balancing the cost of aftermarket heaters and thermocouples with profitability is essential to the sustainability and growth of an aftermarket program. Competitive pricing should be balanced with the value provided to customers while maintaining sufficient margins to cover costs and generate profits for the business.
If you’d like to learn more or set up a Spare Parts Program Audit for your team, please click the link to send us an email at OEMsales@backermarathon.com and schedule a request.
Why Backer Marathon
Our loyal customers have come to know that we anticipate their needs because we actively search for solutions. This is reflected in our advanced quality planning (AQP) lens focused on all that we do. It allows us to be nimble, congruent, and efficient with processes and production. We and our customers benefit from this lean, lessons-learned perspective for each new-or existing-project we successfully execute.
Backer Marathon is part of the Backer North America Group, serving OEMs globally. Being linked with our sister companies under this umbrella provides a wide breadth and depth of resources, expertise, and experience that OEMs benefit from. We collaborate fully with our colleagues, and will source-and manage-the stock and unique custom-heating solutions you need.
Let’s talk about your next project. Contact us now or call us today at 1 (830) 775-1417. We’re excited to collaborate with you. Nosotros hablamos español.