Parts Town Unlimited reported $2.3 billion in 2023 revenue, crediting continued growth in B2B ecommerce from new features. That’s an increase from $1.8 billion in 2022.
The Addison, Illinois-based parent company of Parts Town is a commercial kitchen parts and accessories distributor. 20% of the growth was organic, Parts Town said. Much of the growth was driven by international food service equipment parts and heating, ventilation and air conditioning (HVAC) parts, the newest category.
Parts Town is a privately held company and does not regularly report revenue figures.
“We are proud of the continued growth of the business, improved customer service, new innovations, and growth of our team,” said Steve Snower, CEO of Parts Town Unlimited. “Our vision is to be the global leader in high-tech distribution of mission critical replacement parts, and 2023 was just a step on our journey.”
Looking ahead, Snower laid out milestones he expects to see in the coming months as the company works toward these goals.
“We have a big plan for 2024 with continued high growth expectations and new innovations, including our recently launched PartPredictor technology and the opening of a major high-tech distribution center later in the year to open up massive capacity for growth and further improve the customer experience,” he noted.
Parts Town ecommerce additions
The distributor continued to grow its digital business in 2023 with beta testing of its PartPredictor tool. It uses data from millions of repairs to determine the right parts from original equipment manufacturers (OEMs). PartPredictor officially launched in Q1 of 2024 and is off to a successful start, Parts Town said.
“PartPredictor’s unique approach ensures that the recommendations provided are not just theoretical but based on millions of actual service calls where industry-leading technicians successfully resolved similar issues on identical equipment,” the retailer said in a statement. The tool uses artificial intelligence (AI) to predict the most frequently used parts of pieces of equipment that typically need to be repaired. It also provides a “fix rate” of the percentage of successful repairs made using a specific part.
Parts Town’s mobile app also surpassed 325,000 downloads in 2023. The app allows clients to view parts, place orders, track orders, chat with customer service, and view manuals and diagrams.
Expanding fulfillment offerings
In the fall of 2023, Parts Town introduced same-day delivery to more than 125 locations across the U.S. Customers shopping on partstown.com can search the online marketplace for locations with the part they need in stock. Then, if they’re within 20 miles of a participating location they can choose same-day delivery to receive the part within two hours and track delivery in real time.
Parts Town also expanded the delivery window so customers can receive purchases as late as 9 pm. There is also an option for one-hour in-store pickup.
“With Same Day Delivery, we’re not just providing parts; we’re delivering solutions for the most urgent needs,” Emanuela Delgado, senior vice president of growth and innovation, told Digital Commerce 360 in December.
Same-day delivery is an expansion of a 2022 pilot in the Chicago area. Parts Town says it is working on expanding the service to more service companies.
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The post Parts Town Unlimited grows revenue 25% in 2023 appeared first on Digital Commerce 360.
