In late January, 1,300 consumer and commercial tire dealers and distributors from across North America gathered at the Gaylord Resort in Orlando for the Goodyear Customer Conference. The three-day event themed “Driven to Grow” highlighted the company’s focus on people, products and connected growth strategies for the iconic tire brand.
The alignment of product, process, value and distribution were key themes to the presentations, wrapped around the idea of the “connected business model,” a strategy that brings together five components: the Goodyear brand, its strength in OE, innovative and respected products, dealer and distribution programs and interactive/digital capabilities.
Ryan Patterson, head of North America consumer tire division, addressed the significant shifts in the Goodyear distribution network with a mention of more to come. He said the tire company has gone from more than 50 authorized Goodyear distributors to just 18 in a few short years.
“Our intent is to eliminate excessive and disruptive distribution which undermines the value of what you do for consumers and your alignment with Goodyear,” Patterson said.
He also spoke of the trends in consumer replacement tires and the importance of having a strong value proposition as a company to help grow their business long term, referencing the connected business model for its dealers. He also cited research that shows the company’s strong lead in brand awareness.
“The Goodyear name is so powerful in the minds of consumers that they credit Goodyear with sports sponsorships actually owned by competitors,” Patterson said. “These are bigtime sports, like Major League Baseball, the NHL and NBA. Consumers don’t always know the tire sponsor but when asked, they name Goodyear.”
Aligning marketing activities to build that brand awareness is Goodyear Chief Marketing Officer Scott Rogers. He provided an overview of multiple marketing and sponsorship programs in 2016 – from free tires for “Akron Born” babies during the NBA playoffs to multiple sports sponsorships and College Bowl coverage. Rogers also detailed the ways the digital team has made Goodyear tires easier to buy and how engineers have worked to create new product innovations.
Advancing the conversation on the Goodyear value, Steve McClellan, president, Americas, Goodyear, answered questions solicited from dealers in advance, including pricing strategy, imported tire competition and why it’s important not to sell on price alone.
“The real opportunity for sustainable growth continues to be in the high-value, high complexity large-rim diameter tires,” he said. “You know, almost anybody can make a 17-inch tire that fits a 17-inch wheel. But that does not make the tire high value. Value comes from performance, traction, treadwear, reliability and, of course, the most important one is the service when it’s sold and installed by all of you.”
The event also introduced a slew of new product releases. Detailing those new product innovations was Andy Traicoff, vice president of consumer sales and customer development, along with Doug Whittington, director of commercial sales, and Pierre Jambon, vice president, aviation, OTR and commercial. They also provided information on the expansion of the Goodyear Total Solution program for commercial dealers.
The event sessions kicked off with speaker and best-selling author Chester Elton reminding participants of the importance of creating a corporate culture where employees are truly engaged, which translates into happier customers and business growth. He cited research that showed businesses with employees who love to come to work had growth of 19% as compared to a decline of 30% for those unengaged.
The conference ended with a trend-spotting keynote from Goodyear CEO Rich Kramer and a private performance by Lady Antebellum.
