The Tire Review Dealer Panel reports passenger tire unit and service dollar sales rebounded slightly in June and heading into July. Final June 2007 results for tire sales show a stronger demand for retail tires, with unit sales up 2.0% over the same month last year. Preliminary numbers for July show a continuing rebound, up nearly 3%.
Click here for August 2007 Charts
In the individual tire segments, after a strong start at the beginning of the year and a serious slip in late spring, broadline tire sales trended up in June (up 1.7%) and July (up 2%). HP tire unit sales continued their growth performance in June’s final numbers (up 2.7%) and July’s preliminary survey (up 3%), and light truck/SUV tires came back strong in June and July, up 3% vs. the same period last year.
Service Dollars
On the service side, overall service sales (in dollars) continue to run ahead of last year, and were up 3% overall. Both underhood and undercar service sales started off strong, up over 3% and 4%, respectively. July underhood sales are still ahead of the same month last year (up 2% vs. July 2006), heading into the late summer/back-to-school period.
Dealer Comments
Dealer Panel comments provide helpful insights as to issues facing tire dealers today…
• “Most of our customers are feeling the gas pinch and are not buying unless they absolutely must.”
• “Customers are not interested in premium tires right now. They want mid-quality or low end.”
• “OE tire programs are having a negative impact on independent tire dealers.”
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