Genuine Parts Co.’s decision to separate its automotive and industrial operations into two publicly traded companies is poised to sharpen its B2B ecommerce focus across both sectors.
The Atlanta-based distributor said it expects to complete the tax-free separation in the first quarter of 2027. That would create an independent Global Automotive company and a standalone Global Industrial business operating under the Motion brand. The transaction is subject to customary conditions, including regulatory filings.
The company framed the move around strategic clarity and capital discipline. Its separation also creates two distinct digital commerce organizations with different customer demands, order patterns and technology requirements.
About the Genuine Parts split
The automotive business generated more than $15 billion in sales in 2025. It also operates more than 10,000 locations globally. It serves commercial repair shops, fleets and independent retailers, many of whom depend on real-time digital ordering systems, VIN-based catalog searches and rapid fulfillment.
In the automotive aftermarket, speed and accuracy are critical. Commercial customers increasingly rely on integrated ordering tools tied to shop management software and inventory availability systems. As a standalone company, Global Automotive will be able to focus technology investments on commercial integrations, distributed inventory visibility and pricing automation in a fragmented global aftermarket estimated at $200 billion.
The industrial business, Motion, reported about $9 billion in sales in 2025. It distributes more than 10 million SKUs to over 180,000 customers. Its digital model is more complex, often involving e-procurement integrations, punchout catalogs, automated replenishment and technical sales support for maintenance and automation systems.
Motion competes in a global industrial distribution market estimated at $150 billion. Customers in that market increasingly expect seamless ERP integration, product data accuracy and solution-based digital engagement.
Both future companies said they plan to maintain investment-grade credit metrics and continue investing in technology and supply chain modernization. As independent entities, each will be able to align capital allocation more closely with its specific operating model.
Different priorities for Global Automotive and Motion
The automotive company could expand investment in store systems, last-mile logistics and digital tools that support commercial repair customers.
For Motion, priorities are likely to include omnichannel capabilities, automation-focused sales tools and deeper integration with customer procurement platforms.
Separating the businesses eliminates the need to balance digital spending across two structurally different markets, potentially accelerating technology deployment.
The move could intensify digital competition in both automotive and industrial distribution.
Automotive rivals may face a more focused NAPA (National Automotive Parts Association)-led competitor investing in commercial ordering platforms and supply chain visibility. Industrial distributors could encounter a pure-play Motion channeling capital into technical ecommerce and automation-driven growth.
Separation reflects a broader shift in wholesale distribution, where digital capability is increasingly central to market share gains. As B2B buying becomes more data-driven and system-integrated, distributors with scale and specialized digital platforms are positioned to compete more aggressively.
Genuine Parts said it will announce leadership teams and additional details later and plans to host investor days in the second half of 2026 to outline strategic priorities for each company.
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