22 Tips to Start Tire Business

22 Tips to Start Tire Business

22 Tips to Start Tire Business: Other than a good engine, one of the most important components of any automobile is a good set of tires.

A tire store does not require as much effort as a full vehicle service or repair store.

However, it does offer the same level of profitability and job satisfaction.

This is a good option for anyone who is hands-on and wants to get down and dirty as they watch their career grow.

Opening up a tire store does not have to take up a lot of capital.

You can start small with only a jack and a few tools and afterwards expand as your career grows.

The tire store business is expensive to buy into but profitable once you establish yourself.

The costs include a store, tires and tire-changing equipment.

With millions of vehicles riding Nigerian roads, millions of consumers need tires.

To get in on the action can take hundreds of thousands of Naira.

You need not only tires but also specialized equipment and space for a brick-and-mortar store.

If you can put together the cash, you have a shot at a profitable business.

 Tire BusinessTire BusinessTire Business

1. Make your own decision:

There’s more than one path for breaking into the tire business.

You can start your own store from scratch, buy an existing business, or buy into a franchise.

Buying a store or a franchise takes some of the trial and error out of starting your own business from scratch.

It also gives you an established brand name you can build on.

Of course, you have to find a tire franchise or tire store willing to work with you on terms you can live with.

2 .Funding the business:

If you’re wondering where all the start-up money goes, here’s a breakdown:

  • A wide supply of tires
  • Tire changing and installation equipment.
  • Equipment is more sophisticated than it was 50 years ago, but that increases the price
  • Capable employees trained in handling the equipment.
  • People’s lives are in your hands when you work with tires, so you can’t afford to hire untrained or uncaring individuals.
  • A storefront

3. Get a location for the business:

Some retail businesses can get by operating out of a hole-in-the-wall store.

If you’re not buying an existing store, look for a location that can house a large selection of tires and a garage area for changing them out.

On top of the space needs, the legal requirements are more challenging than, say, a bookstore or a tapas bar. You have to find somewhere that’s zoned for automotive businesses.

The ideal location has lots of car traffic passing by and not much competition from other tire stores.

Pick the best location you can afford; if you pick a poor location in a good area, a chain or new store might buy a better

4. Rent a shop:

location and capture your market share.

If you want to buy rent a store, rather than build your own, due diligence is a must.

Stores don’t always keep good records, and some do some cash business under the table.

That can make it hard to determine how much the business is really worth.

If the store rents its space, check out the terms of the lease.

Part of what you’re paying for is the good location, but a bad lease could make it worth less than it seems.

A tire store is a great way to make a living. This article explains exactly what you need to do to get started.

So you’re in the automotive industry.

Maybe you own a car dealership or you’re a sales manager in a tire shop.

Wherever you work, one of the biggest products you’re trying to get off your shelves is tires.

Customers buy tires for all kinds of reasons.

But what if there was a short, hard-hitting list of ways you could sell more tires than ever?

Lucky for you, the list is right here.

We’ve gathered some of the top sales tips for automotive professionals like you.

So if you’re looking for some fresh ideas to pass along to your sales team, read on.

Thinking about opening a tire store? We tell you what you need to know to get started

5. Launching a Brick-and-Mortar Tire Retail Business

Like other retail sectors, the tire retail industry has been dramatically affected by the advent of Internet commerce.

Cost-conscious consumers often go online to purchase tires rather than buying directly from service providers.

The downside of online retailing is that it limits revenue exclusively to tire sales.

For this and other reasons, many startup entrepreneurs prefer to launch brick-and-mortar tire shops.

Launching a tire shop requires the same skills and fundamentals as any other successful retail establishment:

Good location, reliable inventory management and a team of workers trained in customer service skills.

The only difference is that your tire retail business will also need to include a shop space with enough service bays.

To accommodate anticipated customer demand.

Although this adds a wrinkle to your search for leased space, a quality service area is a non-negotiable feature of your tire retail startup.

6. Revenue Streams for New Tire Retailers

Tire retailers sell tires from brand manufacturers like Goodyear, Dunlop, BFGoodrich and Michelin.

They also provide their customers with a variety of services including wheel alignment, brake service, vehicle inspections, oil changes, preventive maintenance and general repair.

Each of these services represents a potential revenue stream for your startup.

In some instances, you may even be able to generate recurring revenue streams.

By scheduling customers for periodic maintenance or inspection activities.

However, the combination of multiple service offerings is itself a value-added component for customers.

Because it establishes your operation as a one-stop provider for many of your customers’ vehicle maintenance needs.

7. Get the Tips for Competing with others

Tire shops can’t ignore competitive pressure from online retailers. Inevitably, a percentage of customers will purchase tire online and bring them to your shop for installation. To compete, you’ll need to rely on a combination of competitive pricing and consumer education.

For examples, tire retailers often include installation in the price of a new tire. If the customer buys the tire online, he may pay less for the actual tire, but actually pay more after the cost of installation is factored into the final price.

We recommend that startup tire retailers carefully research online and local markets to determine the right pricing for tire sales and installation-only services.

Once you have established the right pricing model.

Draft messaging to inform customers about the advantages of buying tire products directly from your shop.

8. Business Plan Mechanics for Tire Stores

Haven’t created a business plan for your tire store yet? You could be in big trouble.

At Gaebler, we advise new business owners to keep your business plan simple. Ultimately, your business plan is intended to be a resource for you, the business owner.

If your time is limiting, outline the essentials of your tire store’s business plan now and make a commitment to come back to it later.

9. Check out the Competition

Before you open a tire store within your community.

It’s a smart move to find out what the competition looks like.

How are you going to successfully complete with existing firms?

It’s important that you never underestimate the competition.

10. Find Good Remote Business Advice

If you are interested in starting a tire store.

You really ought to learn from folks who are already in business.

Local competitors are not going to give you the time of day, mind you.

The last thing they want to do is help you to be a better competitor.

But, a person who owns a tire store outside of your community will be much more likely to talk with you.

Once they realize that you are not going to directly compete with them in their community.

Many business owners are happy to give advice to new entrepreneurs.

Our estimate is that you may have to contact many business owners to find one who is willing to share his wisdom with you.

Where can you find an owner of a tire store on the other side of the country to talk to?

No problem! Just use the link below and try a random city/state or zipcode.

Then start dialing for advice until you are successful. (BusinessHAB.com)

11. Why You Should Buy (Instead of Start) a Tire Retailer

It’s no secret that entrepreneurs have a strong impulse to build companies from the ground up.

But from a business and financial perspective.

It may make more sense to leverage an existing tire store as your vehicle for world domination.

Existing tire stores are proven operations with dependable revenue streams.

As an added bonus, you’ll also gain the ability to headaches and hassles of startup trial-and-error.

12. Explore Franchising Options

If this is your first venture, your best bet may be exploring becoming a franchisee.

If you planning on starting a tire store, you ought to check out whether buying a franchise could simplify your entering the business.

The link below gives you access to our franchise directory so you can see if there’s a franchise opportunity for you. You might even find something that points you in a completely different direction. (BusinessHAB.com)

13. SELL THE VISIT

Most stores think the way to make more revenue is to sell more product.

In reality the secret is to get more people to come through your door in the first place.

High traffic equals high sales, so do what you must to get people into your store.

Instruct your sales associates to encourage customers over the phone to come in person with their questions.

Offer a simple free service like checking tire pressure.

Your salespeople already know how to sell tires.

So do the legwork to sell the visit and give your team as many people to sell to as possible.

14. MAKE SURE CUSTOMERS CAN SEE YOUR TIRES

This point seems glaringly obvious, but anyone who walks in or even past your store should see your tires.

Load up a truck with tires outside your service entrance.

Display them in your waiting area.

Paint your front window with a giant “We Sell Tires” emblem.

Customers need to be seeing and smelling tires at your location.

So they’ll know instantly that you’re the destination for that product.

It sounds like simple advice, but it’s effective.

15. REGULARLY ADVERTISE SALES AND DISCOUNTED SETS

According to Consumer’s Report, customers are much more likely to buy tires in sets of two and four.

Make the extra push to discount sets of four tires and rigorously market your special prices.

Traditional methods like newspaper ads, ads in your front window, and billboards are effective.

But partnering with other car retail establishments to promote each other’s product is just as important.

Get your name out there, and don’t be afraid to offer product price-matching.

If it gets customers to buy with you over your competition, why not?

16. PROMOTE A BROAD SELECTION AND CUSTOMIZED EXPERIENCE

Many salespeople get on the phone with a customer and spit out a price to get off the phone as quickly as possible. Train your sales team not to do this.

Price and availability are the top two reasons why customers choose to buy tires.

So make sure your associates communicate to the customers.

That you have a broad selection and can sell them tires that fit their budget.

They’ll be much more likely to drop in and see what options you have.

17. GET YOUR BUSINESS ONLINE

Customers almost always Google their tires online before stepping into a store to buy.

So take your business into the digital realm.

Invest in a sleek, well-optimized website and promote your store over social media. Offer a free carwash if customers like your page on Facebook.

Advertise heavily online and get your loyal customers to leave reviews for you.

There are so many resources available to you.

And even if you don’t have the money to create a professional website yet.

You can still get your business on online review sites.

18. PERFORM STATE-REQUIRED SAFETY INSPECTIONS IN YOUR STORE

This one is a huge draw for customers who might not otherwise set foot in your store.

Aside from offering something time-sensitive that all customers need, safety inspections also attract customers that might need new tires.

If they fail their inspection due to tire wear, your team will be right there to offer new tires and a quick sale immediately.

Many customers put off buying new tires until they absolutely need them to pass a state inspection, so take advantage of this easy sale.

19. EMPOWER YOUR SALESPEOPLE

Your sales team knows how to sell, but there are all kinds of ways you can help them out as their manager.

One of the biggest is starting an incentive program in your store to give your team an extra carrot to dangle for customers.

Are you offering free tire rotations for life?

Do they get discounted alignments if they buy a full set of tires?

Give your team something compelling to offer that will set you apart from the competition.

Arming your team with educational materials can also help them teach customer that good tires are a safety precaution and not an expense they can put off.

You can also offer rewards to your top sellers to keep your team excited and setting goals to sell more.

20. MAKE YOUR BUSINESS EVENTFUL AND NEWSWORTHY

Again, this is getting back to selling the visit to your store and not just your product.

Customers can find tires in any number of stores, but you want yours to be the most memorable and exciting.

Host customer-attracting events periodically, even if it’s just a “Spring is Here” event with glazed donuts.

Anything to make your store seem like a hopping, exciting destination.

And when you plan an event, spread the word with newspaper ads and social media blasts.

Participating in community events like charitable donations, service opportunities.

And contests is another great way to get your name out there and build a unique brand for your business.

21. FOLLOW UP WITH YOUR CUSTOMERS

You have a wealth of sales opportunities right at your fingertips. Train your salespeople to collect your customers’ contact information, even if they don’t end up buying with you.

Encourage customers to get on your email or call list.

So they’ll know about future discounts and events.

Then set up a system for reps to follow up on these leads.

Contacting customers who did buy from you but haven’t come back in a while is also important.

Since many businesses ignore customer retention opportunities that could lead to an up-sell.

22. OFFER FINANCING OPTIONS TO CUSTOMERS

You know better than most that good tires are something no car owner can live without.

But what about the people who can’t afford them?

You can still sell to customers who are down on their luck.

By starting your very own no-credit financing program.

Basically you partner with another company that can guarantee your sales.

And take care of any lease-to-own or payment plan solutions for your customers.

You’ll instantly expand your potential customer base, and setting up a program like this won’t cost you a dime.

It’s a great way to expand your revenue and also help out more customer than ever before.

Click, Learn more.


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