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Dealerships have a golden opportunity to boost their bottom line and foster long-lasting customer relationships by offering tire sales and associated services. Tires are among the most commonly replaced vehicle components, with the average tire lifespan falling between 30,000 and 45,000 miles. This frequent replacement cycle presents a steady stream of potential revenue for dealerships. By providing a comprehensive range of tire services, including installation, maintenance, and replacement, dealerships can establish themselves as the go-to destination for all their customers’ automotive needs.

Offering tire services not only provides a lucrative revenue stream but also helps dealerships retain customers and build trust. When customers can rely on their dealership for tire-related needs, they are more likely to return for other services and future vehicle purchases. This loyalty is crucial in an increasingly competitive market where customers have a multitude of options for their automotive services. By positioning themselves as a one-stop shop that can handle all aspects of vehicle maintenance, including tires, dealerships can differentiate themselves from competitors and create a compelling reason for customers to choose them over other service providers.

The Benefits of Offering Tire Services

Selling tires presents dealerships with several advantages. Firstly, it ensures a steady stream of service revenue. Customers who purchase tires from a dealership are more likely to trust that location for all their maintenance needs. Secondly, offering tire services prevents customers from taking their business elsewhere, thus reducing missed opportunities and lost revenue.

Understanding the Tire Replacement Market

The tire replacement market in the United States is worth over $24 billion. With the average vehicle age on the road being over 12 years old, drivers are replacing tires fairly regularly. Industry data shows that at any given time, at least 7% of vehicles with over 35,000 miles need new tires. For a typical dealership servicing around 120 vehicles per day, that translates to over 8 customers daily whose vehicles require new tires.

Changing Consumer Perception of Tires

Dealerships often face stereotypes as solely sales-focused businesses. By actively promoting tire installation and sales, dealers have an opportunity to reshape these beliefs. Combining tires alongside existing services demonstrates a commitment to providing comprehensive automotive solutions, thus chipping away at entrenched notions of dealers as purely sales-driven.

Training Staff for Success

Proper training is critical for dealerships venturing into tire sales. Service advisers and technicians must understand basics like when to suggest replacement based on tread depth, damage inspection, and wear patterns. Hands-on learning is essential for mastering seemingly simple practices like torquing lug nuts or balancing new tires. Dealerships can seek training assistance from local distributors, tire manufacturers, or experienced tire centers within their network.

Promoting Tire Services

To effectively promote expanded tire offerings, dealerships should utilize visible signage, window clings, lobby displays, and service counter highlights. These materials remind customers that tires are now available directly from their trusted dealer. Prominent markings help combat assumptions and signal the increased convenience of a one-stop shop.

Proactive Tire Maintenance

One of the most effective ways for dealerships to promote tire services is by checking wear and pressure during routine maintenance visits. As part of oil changes, inspections, and general troubleshooting, service technicians should examine all four tires on the vehicle. Catching issues early allows advisers to consult with customers on next steps, positioning the dealership as an expert resource on tire needs.

Leveraging Manufacturer Rebates

Dealerships entering tire sales can leverage frequent manufacturer rebates to close deals. Major brands like Michelin, Bridgestone, Goodyear, and Continental run near-constant promotions to court replacement business. Staying updated on the latest discounts and passing savings to customers helps drive sales in this traditionally price-sensitive category.

Conclusion

Selling tires delivers transformative benefits for dealerships seeking new profit channels. By offering in-house tire installation, maintenance, and replacements, dealerships can drive customer loyalty and capture additional revenue. Consolidating sales, upkeep, and tires under one roof provides a true one-stop solution, ensuring customers rely on the dealership as their sole automotive resource. With proper training, promotion, and leveraging of manufacturer rebates, dealerships can capitalize on the massive potential within the tire replacement market.


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