ASDA tyres are part of the big mix? as a recent update we are now an Asda Tyres Tyre shop facility for the Halifax area of Yorkshire of the UK.
It was no surprise to me when I saw a recent report from Frost and Sullivan a business reporting company that serves the whole of industry, reporting about trends that may affect the stock markets or share values of large companies. The report can be seen online at… http://www.frost.com/srch/catalog-search.do?queryText=tyres and makes some interesting reading.
The first thing that comes to mind is that the report is a European report, but it still reflects a similar pattern across the major tyre selling countries, including us here in the UK. At the moment (2014) the online market share is said to be 7.8% of the total tyre sales aftermarket, which I thought was on the small size. This still means that there is 82.2% left for the rest of us to share.
In my opinion the internet has opened up the World of tyres to give us all more chance to expand or even to survive. In our own business situation we are now selling tyres from a number of streams and not just the traditional one line of customers driving in from the street. Yes we do have extra competition from the online companies, but in my opinion these are just replacing all the national tyre companies that have now whittled down to but a few. We were always able to compete with these large companies because we could “duck and dive” and change tactics and brands more quickly and that is what we have done with the internet companies.
For instance we were very quickly able to add a sales module from Cam-systems to our own computer systems thanks to the help of Micheldever tyre wholesalers. This helped us to compete against some of the online tyre retailers, but at a local level. The system enables us to set in our own prices based on the MD cost to us price. When we compared our prices we were still competitive, with the major internet companies.
We also became a fitting centre for one of the major players in the UK online market, but this system only gave us a fitting charge. I was a bit reluctant to do this at first because I thought that they steeling our tyre business and saw them as competitors rather than a way of making more profit. We decided to take a chance and went ahead as one of their fitting stations. The thing I did not know was that, out of the first 20 fitting jobs, none of them were our customers, how wrong would I have been if I had decided against the scheme.
So thanks to the internet our traditional tyre business was now coming in to us in three different channels. Other players were starting to emerge?
Enter ASDA TYRES Online Shopping for tyres
Blackcircles online tyre retailer had started a new alliance with Tesco supermarkets offering Tesco Tyres points for tyres bought online. Not long afterwards news came out that ASDA TYRES were going to form an alliance with one of the country’s leading tyre wholesalers, Bond International Tyres, based in North Yorkshire. Bonds are one of our biggest suppliers and I felt a conflict of interest coming on, they were supplying us and also competing against us through ASDA tyres.
This stream of business was to be our fourth way of improving our sales through the internet. After a huge reassurance from Bonds we became an ASDA tyres station. In my opinion this did not conflict with the other online company that we work with, because we only fit the tyres for them but with the ASDA tyres deal we actually got the internet generated sale. In other words they drove a sale into us from their internet selling portal.
At first when you look at this kind of report it should make you worry, but as a small business it gives us more opportunities if we take them. We can now also BUY tyres from some of the companies online in Europe; where for some reason we can get better terms for certain tyres.
Enter Point-S tyres
Point-S tyres are a European buying group made up of small and medium sized independent tyre retailers. They enable us to buy tyres as a group from the major tyre manufacturers. As a small tyre retailer in Halifax the tyre manufacturers were not interested in supplying us, but as part of a group, we can now buy of them and receive previously unknown rebate payments.
One other thing that is up our sleeve at the moment is mobile fitting. The jury is out at the moment with that one but it is a possibility for the future. To conclude, the prediction of internet sales reaching 20% of the total tyre market is good news to my ears and should only bring more good opportunities for the small and medium tyre business that look for them.
Pellon Tyre and Auto-centre offer car and van servicing and repairs to all makes of vehicles. We are members of Unipart Car Care centres and give a nationwide guarantee for all our work and parts. We also sell tyres online from our website www.pellonautocentre.com by using the tyre selector and choosing your tyre size. We offer courtesy cars to local motorists who need to go to work and leave their car with us for work doing. We are also an official MOT testing station and are members of Motor-codes, who carry out checks for high standard of equipment and workmanship.