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Newsletter| Your update on what’s new from DENSO After Market Sales

Issue number 38 | October 2014

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Around 140,000 visitors over the four days attended the international trade gathering, which took place from 16 – 20 September 2014. Trade buyers flocked to the DENSO stand wanting to find out about the latest additions to DENSO’s aftermarket ranges. It proved a resounding success, generating new business leads and also enabling existing customers to ‘rediscover’ what DENSO has to offer, with its world-leading OE expertise reflected into its aftermarket products.

The 130 square metre stand occupied two floors, where DENSO’s European sales

Standing tall at Automechanika FrankfurtThe curtain has come down on another extremely successful showcase for DENSO After Market at last month’s Automechanika Frankfurt

network were on hand to offer advice to both existing and potential customers on the ground floor. Upstairs, invited guests were able to relax and enjoy a bar and hospitality area.

Automechanika also served as the ideal platform to announce the launch of the new DENSO After Market website. This was supported by further news on its OE fit Hybrid Blade and the expansion of the multi-brand Automotive Diamonds customer rewards scheme, the independent aftermarket’s fast-growing web-based loyalty rewards programme.

DENSO After Market’s presence at this year’s exhibition certainly assured all involved of its strong position as a leading aftermarket supply partner. This was thanks in part to a raft of programme expansions, development plans and major brand partnerships.

Automechanika again proved why it remains one of Europe’s most important automotive aftermarket trade exhibitions. A total of 4,631 companies from 71 countries showed their offering to around 140,000 international visitors from workshops, industry and trade.

DENSO After Market’s Marketing Communications Manager Hedy Borreman, said: “We are delighted with the amount of success we’ve had at this year’s Automechanika Frankfurt, where we’ve simultaneously targeted further business growth through developing new relationships and re-confirmed DENSO’s foothold in the aftermarket. This year we continued to enhance our presence so that visitors could fully experience the quality and benefits of DENSO’s products and services. Already we look forward to attending the show in 2016 with great optimism.”

Inside this issue…> ‘Automotive Diamonds’ news update> DENSO Europe app launch> New corporate video> DNBA’s expansion plans> Chinese firm acquisition> Interview with DENSO Europe’s

Director After Market Sales

DENSO Newsletter: Your update on what’s new from DENSO After Market Sales Issue number 38 | October 20142

They will join founder member TRW Automotive Aftermarket and subsequent partners DENSO After Market and Girling, both of which joined in 2014. This news supports the fundamental objective of the programme; to allow for aftermarket growth and sustainability by rewarding garages for their loyalty to numerous leading global brands.

Together, the brands represent an interesting portfolio of products from which to collect valuable ‘diamonds’: belt drive and timing systems from Gates; lighting products from Philips; and filters from Sogefi Group. These products will sit beside TRW’s ‘Corner Module’ of braking, steering & suspension products, and ignition, thermal and electric products from DENSO.

Commenting on the news, TRW’s Garage Communication Manager, Alexander Knorn, said: “This is great news for the industry as a whole. All the partners offer products that perfectly complement each other. In a hugely competitive market and an ever shifting global landscape, it’s reassuring to be partnering with those that share our visions of safety, quality and excellence in customer service.”

Hedy Borreman, DENSO After Market Communications Manager, added: “In addition, the ‘Automotive Diamonds’ programme directly channels product and promotional information to the garages, as well as enabling individual partners to execute bespoke campaigns.

“A greater number of partners will allow us to communicate to a wider audience, thus making the programme more beneficial to the installer.”

Launched just three years ago under the name of TRW-Diamonds, and renamed Automotive Diamonds in early 2014 to reflect the addition of the DENSO and Girling brands, the programme continues to go from strength to strength; gathering momentum as it attracts more partners.

Garage mechanics earn points or ‘diamonds’ on products purchased, which can then be redeemed for rewards of their choice. Regular, focused promotions are driving more traffic through the programme; allowing more people to benefit and making a proven positive impact on sales.

‘Automotive Diamonds’, the independent aftermarket’s fast-growing customer loyalty rewards programme – of which DENSO After Market is part – has announced three new OE quality partners across its key European markets: Gates Europe, Philips Automotive Lighting, and the Sogefi Group with its brands Purflux, CoopersFiaam, Fram® and Sogefi Pro.

‘Automotive Diamonds’ announces three new partners

Find out moreDetails can be found at: www.automotivediamonds.com. The website is available in English, German, French, Spanish, Portuguese, Polish and Dutch.

DENSO Newsletter: Your update on what’s new from DENSO After Market Sales Issue number 38 | October 2014 3

‘Automotive Diamonds’ announces three new partners

Launch of DENSO Europe appThe DENSO EUROPE app, which can be downloaded for free, includes many features, not least a selection of DENSO products in its four business groups Electronic Systems, Information & Safety Systems, Powertrain Control Systems, and Thermal Systems.

For those wanting to find out more about DENSO’s history, philosophy and its people, there is a corporate section that provides a useful source of information.

One of the most interesting and useful aspects of the app is that it provides all the latest career opportunities, connecting potential future candidates to densojobs.com, DENSO’s European recruitment portal.

Furthermore, for users wishing to become more acquainted with DENSO via social media, they can access DENSO’s LinkedIn pages or contact DENSO via the @densoeurope Twitter account, as well as keep abreast of all the latest products and technologies on the densoeurope YouTube channel.

DIGITAL NEWS

> The new DENSO EUROPE app is now available for both iPhone and Android-based smartphones at the Apple Store and Google Play.

What do you think of the new app?DENSO is interested in receiving your feedback on the app, so please email your comments to internal.communication@denso.nl

Also, with the opportunity to sign up to the DENSO After Market Newsletter, it really does seem as though users have everything they need at their fingertips.

To download the free DENSO EUROPE app now, available for both iPhone and Android-based smartphones, visit the online Apple Store or Google Play.

DENSO Newsletter: Your update on what’s new from DENSO After Market Sales Issue number 38 | October 20144

DIGITAL NEWS

Technologies and products included in the video are:• Diesel engine management system

• Hybrid vehicle products

• Stop/Start system products

• Air-conditioning related products

• Driving control and safety products (HMI/Sensing/Information communication technologies)

• Small motors

• Motorcycle-related products

• Micro-grid products

New corporate video unveiled DENSO Corporation has launched a new corporate video showcasing its environmental and safety technologies and products.

The video, which is just under five minutes long, gives an impressive insight into the impact that DENSO’s technologies and products make in modern everyday life. It will be aimed at a number of key audiences, including new customers, suppliers and visitors to DENSO’s many locations, as a means of becoming more acquainted with the brand and communicating the breadth of DENSO’s technologies and products available.

As a varied cross section of visitors come through DENSO’s doors each year, all over the world, from VIP guests to press and students, the video is an excellent platform to promote DENSO’s capabilities. DENSO After Market’s Marketing Manager Communication Hedy Borreman, explained: “The new corporate video has provided us with an excellent means of introducing our business to potential customers and also to demonstrate to existing customers the capabilities of DENSO as a leading global supplier of OE quality parts. The feedback we have received so far from viewers has been extremely pleasing and we welcome further comments.”

> The new corporate video provides an excellent platform to promote DENSO’s capabilities.

Find out moreYou can view the video here by clicking: http://denso-europe.com/news/video

> The video shows the breadth of DENSO’s technologies and products available.

> Hedy Borreman, DENSO After Market’s Marketing Communications Manager.

> The five minute showcase is an eye-opening journey for new and existing customers alike, as well as suppliers and visitors.

DENSO Barcelona (DNBA) is to herald a new phase in development and growth with further plans for expansion. Plans are already underway to build a new Technical Centre, which will be in place by the end of the year, in order to better support the new product and technology development in Europe. The size and facilities of the existing Inspection Centre and Training Centre will also be enlarged and improved.

Founded in 1989 and now employing 650 people, the site has since expanded no fewer than eight times, with 2,000 square metres to be added to the current, vast plant size of 28,000 square metres.

Production started in 1991, comprising the manufacturing and assembly of Electronic Control Unit (ECU) for A/C, Air Flow Meter, O2 sensor and Instrument Panel products for major global customers including Toyota, Nissan, FIAT, Volvo, Land Rover, Jaguar and Ford.

DENSO Barcelona’s General Manager, Eduard Macia said “The expansion will give added value to our business, enabling us to bring European designs to our customers and further strengthen DENSO’s presence on the continent.”

A new phase for DENSO Barcelona has begun in order to cope with production demands.

DNBA welcomes further expansion

DENSO acquires stake of Chinese aftermarket firm

DENSO Corporation has acquired a 34 percent stake of Hefei Dyne Auto Air Conditioner Co., Ltd., a compressor manufacturer in China, to help grow automotive aftermarket compressor business globally.

> DENSO Corporation’s 34 percent stake acquisition of Hefei Dyne in China will mean expansion of DENSO’s product line-up of aftermarket Compressors and enhancement of its air-conditioner business.

Hefei Dyne, established in 2002, manufactures a wide range of high quality, cost-competitive aftermarket compressors sold in North America, Europe, Central and South America and Asia. This means that DENSO’s aftermarket Compressors will now be manufactured by Hefei Dyne and sold through DENSO’s extensive global aftermarket business network.

As one of the world’s largest OE suppliers of A/C Compressors, DENSO units are specified as original equipment by most major vehicle manufacturers. DENSO First Time Fit® A/C Compressors are manufactured and tested to the strictest OE standards, for unparalleled performance.

This new investment will expand DENSO’s product line-up of aftermarket Compressors and enhance its air-conditioner business.

DENSO Newsletter: Your update on what’s new from DENSO After Market Sales Issue number 38 | October 2014 5

Issue number 38 | October 2014 6

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Q. How is the business performing?“DENSO After Market has enjoyed healthy growth in its past financial year. This shows that we have a strong offering and adapt successfully to each market and customer base. It also highlights how – despite economic uncertainty and market changes in certain regions – DENSO After Market has continued to invest in all areas of its business. Our aim is to be equipped to fully support and add value to our customers’ businesses going forward.”

Q. What investments is DENSO making to differentiate from competitors?“The role of a supplier is increasingly encompassing. Our focus is therefore on providing choice, availability, support, quality products and training; and we have invested in all areas of our business including infrastructure, distribution, products, services and customer support. Investments have include new warehouses in Spain, France, Germany and Russia. We

> DENSO A/C Compressors.

Inte

rvie

w> DENSO Engine Management Systems.

> DENSO Starters & Alternators.

have relocated our UK warehouse to a larger premises. In Italy, we have invested €9 million in a fully automated warehouse for DENSO Thermal Systems. We also invest in bringing even more original DENSO technologies to the aftermarket faster. Equally we invest to drive through efficiencies, so that customers receive the highest possible quality at the best possible prices.”

Q: How do you respond to the ‘price vs quality’ parts debate?“The economic crisis has led to significant changes within the aftermarket. However, it is vital that quality is the key driver for all. Cheaper parts, which cannot offer the necessary technologies and perform poorly, are increasingly being understood to be a false economy. Quality of course comes with certain costs attached. Last year for example DENSO Corporation invested 9% of its consolidated sales back into R&D for OE products. This ensures we deliver products at the very top of the quality spectrum, which ultimately find their way back to the aftermarket.”

Q. What DENSO products offer particular growth opportunities for customers?“Our all-new, not remanufactured, A/C and Starter & Alternator products have no core surcharge, hence less administration: superior products, made from genuine parts, at a competitive price. Customers can also benefit from our expanding Engine Management Systems ranges, many of which are first to market.

“Preparation for electric and hybrid vehicles is vital. DENSO’s OE leadership in this field enables us to bring relevant products to the aftermarket faster than many competitors. For example, we have already introduced eight Electrical A/C Compressors covering Toyota and Lexus Hybrid vehicles; and Stop-Start Starters for Volkswagen and BMW aftermarket applications.”

Q. How do you implement DENSO’s OE expertise into your aftermarket programmes? “As DENSO’s OE pedigree has grown, so we have expanded our OE quality, nationally-relevant European aftermarket programmes. “Our expert Product Managers based in The Netherlands build these programmes in conjunction with DENSO Corporation in Japan, and our national Sales Managers. Our ranges now deliver an extremely wide and deep supply solution featuring many DENSO-patented innovations. “We also draw on DENSO’s OE expertise to enhance the in-depth technical and service support we offer to our European aftermarket customers.”

With Steve Richardson, Director After Market Sales at DENSO Europe.