Dealing with Slow Times - Tire Review Magazine

Dealing with Slow Times

The tire business can be a seasonal one. It can also be geographical. Depending on where you’re located and what time of year it is, as an independent tire dealer, you may experience heavy sales periods followed by dry spells.

Things you can do to avoid a total drought:
• Have a “limited-time only” sale on certain tires and accompanying service. During a slow period, it may be more economical to sell merchandise at a discount rather than just let it sit on the shelf for several months. However, this strategy won’t work if customers are not aware of the reduction or if there is no time limit on the sale. Use special mailings, ads and signage in front of your dealership to announce the sale. Experts say it usually takes a discount of 25% or more to motivate customers.sale_16

• Offer flexible financing. Promotions such as “90 days same as cash” or “No payments until fall” can bring in customers who otherwise might have waited to buy their new tires or wheels. In some instances, “Buy a set of tires and get a free alignment” or “Buy one set of tires and receive wheels at half price” can be attractive to customers, but it is a more appropriate strategy for lower-priced items.

• Having a clearance sale (50% to 70% off retail) is typically a successful way to get customers into your dealership during slow periods. Display clearance items in the back of your store so that customers will see your full-priced or partially discounted displays as they walk through the showroom.

• Make your off-season sales part of your regular yearly plans and schedule them well in advance. If you wait until the middle of your off-season to start planning sales and special offers, you might be reluctant to part with money for advertising because cash flow is already down. It’s always smart to budget early in advance for the off-season and arrange advertising ahead of time. You might be able to negotiate a price reduction by paying for advertising several months in advance.

Save

You May Also Like

Tire Industry Labor Shortage: Improve This to Keep Employees

I’ve spoken to many representatives from manufacturers, wholesalers and retailers who report that techs, counter people, drivers and even white-collar team members have walked off the job, failed to report, or given notice, and their businesses have been impacted by these departures. This isn’t just a tire industry issue—and goes beyond the tech shortage that

Tire Industry-Labor Shortage-Great-Resignation

I’ve spoken to many representatives from manufacturers, wholesalers and retailers who report that techs, counter people, drivers and even white-collar team members have walked off the job, failed to report, or given notice, and their businesses have been impacted by these departures. This isn’t just a tire industry issue—and goes beyond the tech shortage that has plagued the industry for decades.

Consider Software Solutions to Streamline Operations

Representatives from several software providers share how solutions drive efficiency and profitability, as well as what to look for when considering a system in your shop.

software-solutions-stock
How Data, Analytics Can Boost Profitability for Tire Retailers

By collecting and analyzing data about a dealer’s sales history, inventory levels and market demand, data and analytics platforms can analyze the performance of each dealer’s store and recommend actionable improvement opportunities.

How to Start the PPP Loan Payback Process

For many PPP loan recipients, it is time to start the repayment process—or file for PPP loan forgiveness. Read on to find out which portion of your loan may be forgivable and how to apply for forgiveness, as well as how to start the repayment process.

Creating a Positive Work Environment

Larry Sutton of RNR Tire Express shares seven different practices that have helped him create a positive work environment.

Other Posts
Using Data to Enrich the Customer Experience

Attaching data or a number to a vehicle’s service record adds a level of transparency to the discussion, and moves it from an “opinionated upsell” to a true, fact-based service need.

Coats Tread Depth Data
Microlearning Makes the Tire Industry Smarter, More Profitable

Microlearning modules can be customized to company and team member needs, where participants can learn through their own experiences and at their own pace.

Setting Up for Success: The Importance of Onboarding New Employees

Onboarding serves to not only give a new employee practical information that they will need in the job, but having that information gives them confidence as they start out in their new position.

employee-onboarding
Online Reputation Management

Eighty-eight percent of consumers trust online reviews as much as they trust personal recommendations.

Online-Business-Management