"Last week, 4/23/24, my car battery died. On the Advance Auto Parts website I found an in-stock $89.99 "Value" battery for my 2013 Chevy Captiva Sport. I had my car jumped and went to the Boynton Beach, FL location to purchase the battery and have it installed as I am an older man without any tools or mechanical knowledge and their website indicates free installation. Employee Thomas S. said that there was no such Value battery for my car. After much back and forth I was told that if my car did not say SPORT on the back of the vehicle then my car was not a SPORT model. After checking and returning inside, I informed him that it does not say SPORT on the back but told him that is the make and model of my car. He proceeded to tell me that the least expensive battery was $214.99. I was so confused and had no choice but to purchase the battery. He then informed me that he only had 3 employees in the store and they could not install or assist me with the installation. I was very surprised as they weren't even busy. After inquiring, he said he did not have any tools to let me use. Without help, I managed to get my car started and take the new battery home and find someone in my community to assist me with installation.
I then went back to the company website to verify the Value Battery by entering my VIN number. Indeed, the $89.99 value battery was displayed as an option. I immediately returned to the store and inquired as to why he had upsold a battery to me when I had requested the VALUE battery which was on the website for my make/model. We went back and forth as he kept telling me that I was wrong. When he realized that I was not going to back down he started to look in the system and say, "Oh, I must have pulled up a different vehicle." I was dumbfounded how that was possible as we discussed what vehicle it was and he had repeated it to me numerous times after telling me that I did not have a SPORT model. "
"I visited my AAP that I've been a customer of for the past 10 years or so. I wanted THIS item and he explained he didn't have it in stock, but could either get it for me OR I could visit the store on Edgewood and Commonwealth as they had 3 in stock. No big deal, I'll go there and get it and I wished the guys, "Happy New Year."
I arrived at the AAP on Edgewood and asked the young lady if she had the product of which she replied, "I have 3, how many do you want? Just 1. Thanks!" and she brings it up to the counter and proceeds to tell me the price is now "36.99." I show her the website and she states, "We don't match our online prices."
OK, let me pay for it online and I'll pick it up. Except I can't pay for it online because the AAP website says the closest store that has it in stock is 40 miles away in St. Augustine. So I asked, "So I can't buy it directly from you for $20,99, I have to go to St. Augustine to pick one up because the APP website says you're out of stock when you actually have 3 in stock?" "That's right" was her response.""
I agree that forward returns are very attractive if this time is different, it just seems like a lot has to collectively go right for things to work out. If there was 1 issue to solve, sure, but with 5 main points to the value creation plan, there are a lot of moving parts there.
Even if we assume that the asset sale has 100% probability and the other 4 have an 80% probability of success (being very optimistic), the whole venture has a probability of ~41%.
Of course it’s not that simple as it’s not all or nothing, even completing the asset sale would be a big plus. And they can achieve varying levels of success on all 5 points which would be a win. But the probability example to me shows that directionally, a lot has to go right here.
All of which I’m sure you guys already understand, but just thought I’d share my thoughts.
I don’t quite agree, Larson. Each of those points are separate and this is essentially a “multiple shots on goal” style.
The more pertinent question is:
1. What did prev mgmt teams try and fail at specifically?
2. “When ahead, get further ahead” is a simple strategy that works. While AAP works to get its stuff tgt, it’s not like AZO or ORLY will hang back. Both will continue consolidating mkt share. Is it worth investing in this over any other business?
It seems like the new leadership's strategic initiatives, particularly focusing on supply chain consolidation and divesting non-core assets, are steps in the right direction. However, as you've pointed out, the execution will be critical.
Further: https://www.reddit.com/r/advanceautoparts/comments/1chzepo/please_read_before_purchasing_a_battery_at/
"Last week, 4/23/24, my car battery died. On the Advance Auto Parts website I found an in-stock $89.99 "Value" battery for my 2013 Chevy Captiva Sport. I had my car jumped and went to the Boynton Beach, FL location to purchase the battery and have it installed as I am an older man without any tools or mechanical knowledge and their website indicates free installation. Employee Thomas S. said that there was no such Value battery for my car. After much back and forth I was told that if my car did not say SPORT on the back of the vehicle then my car was not a SPORT model. After checking and returning inside, I informed him that it does not say SPORT on the back but told him that is the make and model of my car. He proceeded to tell me that the least expensive battery was $214.99. I was so confused and had no choice but to purchase the battery. He then informed me that he only had 3 employees in the store and they could not install or assist me with the installation. I was very surprised as they weren't even busy. After inquiring, he said he did not have any tools to let me use. Without help, I managed to get my car started and take the new battery home and find someone in my community to assist me with installation.
I then went back to the company website to verify the Value Battery by entering my VIN number. Indeed, the $89.99 value battery was displayed as an option. I immediately returned to the store and inquired as to why he had upsold a battery to me when I had requested the VALUE battery which was on the website for my make/model. We went back and forth as he kept telling me that I was wrong. When he realized that I was not going to back down he started to look in the system and say, "Oh, I must have pulled up a different vehicle." I was dumbfounded how that was possible as we discussed what vehicle it was and he had repeated it to me numerous times after telling me that I did not have a SPORT model. "
To capture the point Dan has made I guess?
https://www.reddit.com/r/advanceautoparts/comments/rv6yrc/i_will_never_ever_shop_at_advance_auto_parts_again/
"I visited my AAP that I've been a customer of for the past 10 years or so. I wanted THIS item and he explained he didn't have it in stock, but could either get it for me OR I could visit the store on Edgewood and Commonwealth as they had 3 in stock. No big deal, I'll go there and get it and I wished the guys, "Happy New Year."
I arrived at the AAP on Edgewood and asked the young lady if she had the product of which she replied, "I have 3, how many do you want? Just 1. Thanks!" and she brings it up to the counter and proceeds to tell me the price is now "36.99." I show her the website and she states, "We don't match our online prices."
OK, let me pay for it online and I'll pick it up. Except I can't pay for it online because the AAP website says the closest store that has it in stock is 40 miles away in St. Augustine. So I asked, "So I can't buy it directly from you for $20,99, I have to go to St. Augustine to pick one up because the APP website says you're out of stock when you actually have 3 in stock?" "That's right" was her response.""
Interesting thoughts, good stuff as always guys.
I agree that forward returns are very attractive if this time is different, it just seems like a lot has to collectively go right for things to work out. If there was 1 issue to solve, sure, but with 5 main points to the value creation plan, there are a lot of moving parts there.
Even if we assume that the asset sale has 100% probability and the other 4 have an 80% probability of success (being very optimistic), the whole venture has a probability of ~41%.
Of course it’s not that simple as it’s not all or nothing, even completing the asset sale would be a big plus. And they can achieve varying levels of success on all 5 points which would be a win. But the probability example to me shows that directionally, a lot has to go right here.
All of which I’m sure you guys already understand, but just thought I’d share my thoughts.
I don’t quite agree, Larson. Each of those points are separate and this is essentially a “multiple shots on goal” style.
The more pertinent question is:
1. What did prev mgmt teams try and fail at specifically?
2. “When ahead, get further ahead” is a simple strategy that works. While AAP works to get its stuff tgt, it’s not like AZO or ORLY will hang back. Both will continue consolidating mkt share. Is it worth investing in this over any other business?
Makes sense, appreciate the counterpoint!
It seems like the new leadership's strategic initiatives, particularly focusing on supply chain consolidation and divesting non-core assets, are steps in the right direction. However, as you've pointed out, the execution will be critical.