T. Mugnier (Nexus): “We now have a level of service on a par with the opportunities in this market!”
His immersive experience in the United States has given him a better understanding of the conventions of the world's leading market and opened the doors even wider to a thriving business for his group. The only requirement in this ultra-responsive market is pragmatism. Thierry Mugnier, Chief Financial & Innovation Officer of NEXUS Group, explains.
Thierry Mugnier: Investing heavily in the United States with a second headquarters was the best way forward! We are based in Dallas alongside our member The Pronto Network, one of the leading American distributor groups. This proximity allows us to better understand the keys to this market with its specificities, to improve and reposition our services (training, sourcing, etc.), and increase the volume of purchases between our members and our suppliers. The United States accounts for 50% of our global turnover. We have assessed our shortcomings and implemented corrective solutions. Fundamentally, this has enabled us to boost our knowledge and mastery of local conventions and begin implementing a number of immediate actions in terms of business development, compliance ratio and integration of American partners.
T.M.: It all depends on their level of investment and their ambitions for success in the world's largest market. Results may not meet targets if there is a lack of commitment. This market is a springboard of opportunities for part suppliers, whether they are already established or new, American or European. It is certainly codified and regulated, but it is pragmatic and responsive! As proof, our own commitment is paying off, with supplier purchasing volumes increasing from 14% to over 20% this year, to be incorporated into the NEXUS Group's overall purchasing volume. We have embarked our American and European partners on a journey that will accelerate in 2026 and beyond.
T.M.: On the American supplier side, we help them develop their local business by investing in MidCap and SmallCap companies, which they sometimes focus on less. This intensive business development strategy, with our teams and those of American groups, combined with a data-driven approach, allows us to use and combine all our strengths. We also help American equipment manufacturers to better understand, adapt and prepare for non-US markets – for example, the Middle East, which offers interesting similarities in terms of vehicle fleets – by giving them the keys to the target markets with the necessary connections.
We support pan-European suppliers with a dedicated strategy. These equipment manufacturers have often understandably favoured lean structures supported by a single sales office. Such structures are effective but can hinder the emergence of significant business.
“The United States is a vibrant breeding ground for business and a powerful lever for growth.”
T.M.: The European fleet accounts for only 10% of the total fleet, ultimately limiting expansion. On the other hand, those who aspire to cover the entire market, comprising domestic brands as well as South Korean and Japanese brands, must ensure they have solid investment capabilities in order to offer a range of compatible products that are properly documented and referenced (Aces & Pies) and adapted to the market (UPC code, etc.).
T.M.: Establishing a new private label in the United States is a challenge, especially in what I would describe as a complex situation this year! When the equipment manufacturer First Brands filed for Chapter 11 bankruptcy protection last September, it was a bombshell in the United States. The group covered 24 major brands in the windscreen wiper, filtration, lighting, ignition and braking sectors, among others (see page 70). All the wholesalers started scrambling to avoid stockouts by finding alternative solutions. This is a fundamental factor to consider in understanding our roadmap with SmartParts. From 2026 onwards, the DR!VE+ brand will expand significantly and will be coupled with domestic sourcing. The team is working intensively with our member Pronto to set up the ranges, catalogues, collections, etc.
T.M.: This partnership in the United States is subject to far fewer constraints, particularly regulatory ones, than in Europe. So we are moving very quickly together to accelerate the manufacturer's penetration – 4th position after Ford, GM and Toyota – in the aftermarket. This means repositioned offerings that are aligned with market expectations: consistency in catalogues and parts numbers, automation of inventory management using EDI, etc. Several months of intensive work have enabled us to eliminate obstacles and move faster and faster to open up the flow of Stellantis parts in the American IAM, improve access to its original parts and private labels, and more. Other topics will follow.