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Thread: Partstown getting bigger

  1. #1
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    Partstown getting bigger

    PartsTown’s parent company PT Holdings has acquired Heritage.

    It’s amazing to me what they’re doing. They bought 3Wire last year and Whaley’s the year before. They’re gobbling up service companies as well. What’s next?

    It’s not a stretch to say that they will change the future of the commercial food service industry.

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    Do they sell equipment?

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    Not yet.

    They started out as an OEM parts supplier to the commercial food equipment service industry. Then they started buying up service companies. Then other parts suppliers.

    https://youtu.be/baEjqc-FzTA

    The industry is basically divided up into regions across the country. The bigger the region you have with the most factory/CFESA certified techs gets you all the warranty claims in the area and more money off of the list price of parts. Regions are as big as the entire southeast in Whaley’s case or as small as a few counties. The thing with PartsTown is they are controlling more and more of the parts industry AND the service industry. Imagine if all of Ford’s, GM’s, Honda’s and Toyota’s dealership garages were owned by one company. And the same company owned all of the Advance Auto’s, Napa’s, O’reilly’s and Autozone’s as well.

    That all sounds good and we’ll for the customer but for the other guy making a living in the same industry it’s a little unnerving. And when one company has that much control.... who knows what could happen.


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    Quote Originally Posted by itsiceman View Post
    Do they sell equipment?
    No. However, they do seem to have behind-the-scenes affiliation with certain equipment manufacturers. That's evidenced by calling those certain manufacturer's tech support line and end up getting PartTown tech support team on the line.


    Quote Originally Posted by VanMan812 View Post
    PartsTown’s parent company PT Holdings has acquired Heritage.

    It’s amazing to me what they’re doing. They bought 3Wire last year and Whaley’s the year before. They’re gobbling up service companies as well. What’s next?

    It’s not a stretch to say that they will change the future of the commercial food service industry.
    I can't find any news on that yet, but I still have no reason to doubt you.

    Last year, PartTown even got a piece of my former company. Ecolab sold off their Equipment Care leg to Audax and was renamed Smart Care. PartsXpress was also let go in that package and, somewhere in the mix, PartsTown acquired PartXpress from Audax.

    PartTown is now ALSO getting into supplying parts for HVAC. They partnered up with York this past August to kick off that future expansion.

    https://www.partstown.com/about-us/p...ship-with-york

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    Quote Originally Posted by ECtofix View Post
    No. However, they do seem to have behind-the-scenes affiliation with certain equipment manufacturers. That's evidenced by calling those certain manufacturer's tech support line and end up getting PartTown tech support team on the line.




    I can't find any news on that yet, but I still have no reason to doubt you.

    Last year, PartTown even got a piece of my former company. Ecolab sold off their Equipment Care leg to Audax and was renamed Smart Care. PartsXpress was also let go in that package and, somewhere in the mix, PartsTown acquired PartXpress from Audax.

    PartTown is now ALSO getting into supplying parts for HVAC. They partnered up with York this past August to kick off that future expansion.

    https://www.partstown.com/about-us/p...ship-with-york
    I did not know that they were also supplying HVAC parts. I’m not really all that surprised.

    And yes, Partstown does offer part identification for certain manufacturers. Basically, they go to a manufacturer and say -we will take over your entire parts department from identification to warehousing to distribution. In turn you let go of your existing parts department and offer all of the parts at a discounted rate to Partstown-. In doing this the manufacturer saves money on labor and warehousing and Partsown gets the parts just above the manufacturer’s cost but then still sells them for list price.

    I’m sure you knew that already ECtofix. Just thought I’d explain it for anyone else that was unaware.

    And who knows, with one foot in the door they may soon get into equipment sales or even acquiring entire manufacturers.


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    Quote Originally Posted by VanMan812 View Post
    I did not know that they were also supplying HVAC parts. I’m not really all that surprised.

    And yes, Partstown does offer part identification for certain manufacturers. Basically, they go to a manufacturer and say -we will take over your entire parts department from identification to warehousing to distribution. In turn you let go of your existing parts department and offer all of the parts at a discounted rate to Partstown-. In doing this the manufacturer saves money on labor and warehousing and Partsown gets the parts just above the manufacturer’s cost but then still sells them for list price.

    I’m sure you knew that already ECtofix. Just thought I’d explain it for anyone else that was unaware.

    And who knows, with one foot in the door they may soon get into equipment sales or even acquiring entire manufacturers.


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    They already are partnered with Perlick for their parts department.

    Sent from my SM-G975U using Tapatalk

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    Wondered what smart care was. Thanks

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    You missed one. Whaley Foodservice. Who's next? Seems no one wants the service end.

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    Quote Originally Posted by VanMan812 View Post
    Not yet.

    They started out as an OEM parts supplier to the commercial food equipment service industry. Then they started buying up service companies. Then other parts suppliers.

    https://youtu.be/baEjqc-FzTA

    The industry is basically divided up into regions across the country. The bigger the region you have with the most factory/CFESA certified techs gets you all the warranty claims in the area and more money off of the list price of parts. Regions are as big as the entire southeast in Whaley’s case or as small as a few counties. The thing with PartsTown is they are controlling more and more of the parts industry AND the service industry. Imagine if all of Ford’s, GM’s, Honda’s and Toyota’s dealership garages were owned by one company. And the same company owned all of the Advance Auto’s, Napa’s, O’reilly’s and Autozone’s as well.

    That all sounds good and we’ll for the customer but for the other guy making a living in the same industry it’s a little unnerving. And when one company has that much control.... who knows what could happen.


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    If your techs are better in both knowledge and customer service then there is nothing to worry about. I go head to head daily as an owner against a new tech or a tired tech and they lose every time. The last one was a university they lost big because they forgot what customer service was,

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    Quote Originally Posted by EjBreeze View Post
    If your techs are better in both knowledge and customer service then there is nothing to worry about. I go head to head daily as an owner against a new tech or a tired tech and they lose every time. The last one was a university they lost big because they forgot what customer service was,
    I think that’s only partially true. It’s hard to get the new restaurants as clients when all of the warranty work goes to some company backed by Partstown. What about parts sales? Partstown is driving down prices all the time. Restaurant owners have been buying parts direct from them for years. Look at the big chain restaurants, many have contracts with Partstown and they get parts just above list price.

    Service is only so profitable. Parts sales add a tremendous amount to my billing every month. And it seems like Partstown is always chipping away at it.


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    Restaurant are not my key focus. Dodging the bankruptcies is hard enough. Manufactures and secondary suppliers still offer a retail price. The busiest establishment trust you if you are fair.

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    Quote Originally Posted by EjBreeze View Post
    Restaurant are not my key focus. Dodging the bankruptcies is hard enough. Manufactures and secondary suppliers still offer a retail price. The busiest establishment trust you if you are fair.
    I get it. I just have this feeling like I’m the little mom and pop hardware store and Home Depot is coming to town.


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    Not at all. Now is the time to excel in service. Show up when they call and handle their needs then and there. My customers don't have the time to do this searching for better prices themselves. Those buyouts only help me. The internet is great. For example. I asked my buyer to buy a Honeywell International S8610U3009 Module from Allpoints the other day for 185.00. I was quickly put in my place saying there were several on eBay for 94.00. So go look at Partstown prices. They are no better.

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    Quote Originally Posted by EjBreeze View Post
    Not at all. Now is the time to excel in service. Show up when they call and handle their needs then and there. My customers don't have the time to do this searching for better prices themselves. Those buyouts only help me. The internet is great. For example. I asked my buyer to buy a Honeywell International S8610U3009 Module from Allpoints the other day for 185.00. I was quickly put in my place saying there were several on eBay for 94.00. So go look at Partstown prices. They are no better.
    Are you an ASA for any manufacturers?


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    No just 30 years self-employed. And about to retire. Any tech should think if their work will offer the retirement that they seek. I doubt many companies will respond.

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    Isn't PartsTown's biggest competitor Amazon or the likes of Zoro ?
    As a owner/operator I rarely buy parts from PartsTown. I typically can find it cheaper elsewhere. Unless it's truly a proprietary part.
    I think their more geared towards the hotside but I could be wrong because I just don't use them enough.

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    Congratulations on 30 yrs. and (hopefully soon) retirement.

    I can see now how PartsTown’s business deals don’t really effect you at all. The company I work for and myself in particular are in a different position though. I had a response all typed up but it’s not really for an open forum like this one. I’ll just say that I’m seriously considering being self employed like you.


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    You should. It is the largest site that needs to worry about us small guys. Most of those in control can't fix a toaster.

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  21. #19
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    Quote Originally Posted by VTP99 View Post
    Isn't PartsTown's biggest competitor Amazon or the likes of Zoro ?
    As a owner/operator I rarely buy parts from PartsTown. I typically can find it cheaper elsewhere. Unless it's truly a proprietary part.
    I think their more geared towards the hotside but I could be wrong because I just don't use them enough.
    Don't think we ever got anything from them. I think I did need to talk to them about some Perlicks

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    Ive told the local supply houses ill purchase what I can in stock but if you have to order it I might as well get it on line. It gets delivered to my door the next afternoon, I don't have to drive an hour round trip to pick it up in the late afternoon!

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