Advance Auto Parts Taps OSRAM Sylvania as Top Partner Amid Turnaround

Advance Auto Parts Taps OSRAM Sylvania as Top Partner Amid Turnaround

📊 Key Data
  • 500+ corporate stores closed by March 2025 as part of Advance Auto Parts' restructuring.
  • U.S. distribution centers reduced from 38 (end of 2023) to 16 (end of 2025).
  • Market hubs expanding from 19 (end of 2024) to nearly 60 by mid-2027.
🎯 Expert Consensus

Experts would likely conclude that Advance Auto Parts' strategic partnerships, particularly with OSRAM Sylvania, are critical to its turnaround success, emphasizing operational excellence and supply chain resilience.

2 days ago

Advance Auto Parts Taps OSRAM Sylvania as Top Partner Amid Turnaround

RALEIGH, NC – January 09, 2026 – In a move that highlights the critical role of strategic partnerships in its ongoing transformation, Advance Auto Parts, Inc. (NYSE: AAP) has named automotive lighting leader OSRAM Sylvania Inc. its 2025 Global Vendor Partner of the Year. The announcement was a centerpiece of “Accelerate,” the company’s annual vendor appreciation and field leader kickoff event held in Orlando, Florida.

The award recognizes a supplier relationship that has become deeply integrated into Advance’s core operations. “OSRAM Sylvania has been an exceptional partner to Advance Auto Parts in 2025, in part because of their strong collaboration with our stores, supply chain, inventory, marketing, and merchandising teams,” said Bruce Starnes, executive vice president and chief merchant at Advance Auto Parts. “The OSRAM team has a ‘yes-we can’ philosophy and their collaboration is a critical element that enables our team members to get customers back on the road.”

While the award celebrates a successful year, it also serves as a clear indicator of the type of collaborative synergy Advance is relying on to navigate a pivotal period of restructuring and strategic realignment. The recognition of OSRAM Sylvania and nine other category-specific winners underscores a broader strategy focused on operational excellence, supply chain resilience, and a revitalized customer focus.

A Strategic Partnership in a Time of Transformation

The honor for OSRAM Sylvania comes as Advance Auto Parts executes a comprehensive transformation plan aimed at restoring long-term profitability and market leadership. After a challenging 2024 marked by significant restructuring costs, the company has shown signs of a turnaround throughout 2025, reporting improved gross margins and a return to profitability in recent quarters.

Central to this strategy is a massive overhaul of its physical footprint and supply chain. By March 2025, the company had completed the closure of over 500 corporate stores and four distribution centers, a move designed to concentrate its presence in markets where it holds a dominant position. Simultaneously, Advance is aggressively consolidating its U.S. distribution network, aiming to shrink from 38 centers at the end of 2023 to just 16 by the end of 2025.

This ambitious consolidation requires impeccable coordination and reliability from its vendor partners. A supplier like OSRAM Sylvania, praised for its deep collaboration across supply chain and inventory teams, becomes an indispensable asset in such an environment. The ability to ensure consistent product flow and high service levels is paramount as the company re-engineers its logistics.

Furthermore, Advance is investing in growth through the expansion of its “market hub” concept. These larger-format stores, which stock up to 85,000 SKUs, are designed to dramatically increase parts availability and enable same-day delivery, particularly for its crucial professional installer segment. The company plans to grow from 19 hubs at the end of 2024 to nearly 60 by mid-2027. The success of these hubs is directly dependent on the performance of vendors who can manage complex inventory demands and support a high-velocity service model, a capability for which OSRAM Sylvania was explicitly recognized.

Beyond the Headlights: A Diverse Ecosystem of Excellence

While OSRAM Sylvania took the top honor, the nine additional vendor awards presented at the ‘Accelerate’ event paint a detailed picture of the multifaceted capabilities Advance Auto Parts is cultivating through its partner ecosystem. The winners reflect a strategic focus on strengthening every facet of the business, from professional services and do-it-yourself retail to back-end logistics and digital marketing.

GSP, a global manufacturer of drive shafts and suspension components, was named Pro Vendor of the Year. This award aligns directly with Advance’s renewed emphasis on its professional customer base, which accounted for approximately half of its sales in 2024. The company has set aggressive goals of achieving mid-90% parts availability and 30-40 minute delivery times for this segment, objectives that rely heavily on partners like GSP.

For the second consecutive year, Valvoline Global was recognized for its contributions, this time as the 2025 DIY Vendor of the Year. The repeat win highlights a durable and highly successful partnership, with Valvoline lauded for introducing innovative products and providing data-driven insights that help drive growth in the do-it-yourself category.

Perhaps most telling of Advance’s current priorities were the dual awards won by GRI Engineering, which was named both Supply Chain Vendor of the Year and Inventory Vendor of the Year for the back room. This double recognition underscores the immense focus on operational efficiency at the core of the company’s turnaround plan. GRI was praised for delivering key performance improvements through operational excellence and a proactive approach to change, directly supporting the complex consolidation of Advance’s distribution network.

Other notable winners included Winhere Brakes as Visionary Vendor of the Year, Premium Guard for E-Commerce, and GlueIQ for Marketing, illustrating that a modern aftermarket retail strategy requires excellence across product quality, digital presence, and brand communication.

The 'Yes-We-Can' Philosophy in a Competitive Market

The praise for OSRAM Sylvania’s “yes-we-can” philosophy speaks volumes about the culture of partnership Advance seeks to foster. In the fiercely competitive automotive aftermarket, where rivals like AutoZone and O'Reilly Auto Parts are known for their operational discipline, a vendor’s willingness to be a proactive, problem-solving partner is a significant competitive differentiator. The ‘Accelerate’ event itself is positioned not just for appreciation, but as a strategic kickoff to “fuel the energy behind the execution of Advance’s strategic plan,” reinforcing this all-hands-on-deck mentality.

OSRAM Sylvania, a subsidiary of the global technology company ams OSRAM, exemplifies the modern, innovative partner that retailers covet. The company is a leader in advanced lighting technologies, including its expanding line of SYLVANIA ZEVO LED products, which cater to a growing aftermarket demand for customization and performance upgrades. This commitment to innovation provides Advance with not just reliable parts, but also access to new technologies that can attract customers and drive sales.

As Advance Auto Parts looks to build on its recent positive momentum, the strength of these vendor relationships will be paramount. The company has publicly stated its intent to “grow our partnership and sales together in 2026” with its top vendor. In an industry defined by the need to have the right part at the right place at the right time, the collaborative ecosystems that retailers build with their suppliers are no longer just a component of the business—they are the engine of success.

📝 This article is still being updated

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