.
.

Breaking News

Text size: Normal Text Size Large Text Size
January 27, 2014

MTD Facts Issue: tire dealers vs. car dealers

More consumer tires are sold through the independent tire dealer distribution channel than any other, by far. However, it is not the fastest growing channel.

That "honor" belongs to -- drum roll, please -- auto dealerships. While independents account for more than 60% of the consumer tire sales at the retail level, they have only increased their market share one percentage point since 1999.

Auto dealerships, however, have increased their market share from 1% to 7.5% over that same time span.

The 2014 Modern Tire Dealer Facts Issue breaks down both the retail and de facto wholesale (you'll just have to read the story!) tire distribution channels. Auto dealerships may own 7.5% of the market, but collectively, they are not even members of the third-most popular distribution channel.

To find out which distribution channels are in a growth mode and which ones aren't, check out the Facts Issue, which for the 48th year, breaks down the domestic tire market before anyone else does.

For more information about the tire industry in 2013, click on these links:

"MTD Facts Issue: Does a retread cost too much?"

"MTD Facts Issue: Size popularity contest."

Share this:  Share on Facebook Share on Twitter

comments

  1. Ron | January 27, 2014 at 10:09AM
    When I first entered the tire business 36 years ago, I think independents had about 55% of the market. I have seen manufacturers try again and again to force tires through other means and after a while, they realize the best fit is through the independents. It seems they never learn. I must ponder how successful independents would be if the manufacturers would channel half of that support and special pricing at us.

  2. TODD | January 27, 2014 at 11:23AM
    THE TIRE MAKERS TARGETED THE AUTO DEALERS WHEN THEY WERE ALWAYS "OUR" CUSTOMERS. THEY SEEM TO BUILD PROGRAMS FOR THE BIG BOYS BUT NOT US INDEPENDENTS.

  3. Spen | January 31, 2014 at 12:28PM
    The media's use of "Independent tire dealer" is too broad. It can include a small 3 bay shop or a 900 store chain that pays minimum wage. I would like to know the % of "independents" that are small businesses and the trend in market share for them. Thanks.

  4. charley | January 31, 2014 at 12:55PM
    The awful reality about this 7.5% is that we helped, and continue to help it grow as a channel of distribution through our complacent and subservient supply of tires from our inventories. When this travesty started I couldn't understand how or why we should supply tires to a competitor for a pittance in commissions because our suppliers told us we had to do it because it was written in our contracts. I for one, never supported or supplied tires to car dealerships. I can look back now and pat myself on the back while I say--"I told you this would happen."

Post a Comment

First Name:
  Last Name:
Email:
Comment:

Recent News

eNews

Hotwire

Receive the latest MTD eNews in your inbox!

Signup Sign up for our Enews and receive the latest news, trends, and product information right in your e-mail inbox. Join Today!

View the latest eNews:
Monday  |  Tuesday  |  Thursday Edition  |  CTD Online  |  Auto Service

Be Informed : Stay Current
Free Weekly Hotwire E-News
Subscribe Today!