From OEM to Brand: The Filter Manufacturer’s DTC Success Story — $25M in Annual Sales

Client Background

Industry: Automotive Parts (Oil & Air Filters)
Profile: A Hebei-based auto parts factory with over 15 years of experience providing OEM services to global aftermarket brands.

Client Goals

  • Build a DTC (Direct-to-Consumer) brand to reach end customers and capture brand premium.
  • Solve the challenge of vehicle compatibility to minimize return rates.
  • Expand into European and North American aftermarket sectors and achieve scalable growth.

Main Challenges

  • Complex SKU structure: Thousands of products with varying model compatibility made database maintenance and updates difficult.
  • Low brand trust: Consumers were hesitant to purchase from unfamiliar brands, fearing incorrect fitment.
  • Technical support gap: Automotive parts require knowledgeable after-sales service, which traditional customer service could not provide.

Agency Strategy

1. Data Infrastructure & Precision Matching
A dedicated team was assigned to build and maintain a vehicle compatibility database covering tens of thousands of car models, ensuring accuracy and easy cross-reference.

2. Trust-Building Through Certification
Product listings emphasized OE compatibility, ISO certifications, and laboratory test reports, demonstrating reliability and compliance with international standards.

3. Specialized Customer Support
A professional support team with automotive expertise provided model-specific guidance, significantly reducing incorrect purchases and enhancing customer satisfaction.

4. Amazon Business Expansion
In addition to consumer sales, the brand developed B2B channels targeting local repair shops and distributors, creating a steady business client base.

Key Results

✅ Achieved $25 million in annual sales, with 30% from B2B clients.
✅ Reduced return rates to below 5%, outperforming the category average.
✅ Increased average selling price to 3x higher than OEM pricing.
✅ Built a unique compatibility database, now regarded as the brand’s most valuable competitive asset.

“The hardest part of our journey from OEM to brand was changing our mindset. The 1981 team guided us with data-driven strategies and operational precision.”
— Chairman, Automotive Filter Manufacturer

Core Takeaways

1. Data is the New Moat:
In categories with complex SKUs and high compatibility requirements, a robust data system itself becomes the strongest competitive barrier.

2. Expertise Builds Trust:
Certifications, testing transparency, and professional guidance are the foundation of trust in the automotive aftermarket.

3. Dual B2C and B2B Growth Model:
Balancing retail and business customer strategies ensures stability and maximizes market depth.