Where are other tire dealers investing their money to improve shop efficiency? What should you be doing to keep up with the competition?
We answer these questions and more in our first installment of “Rolling with the Numbers,” a new series presented by Wix Filters where we’ll share market data based on research conducted with you – our independent
tire dealer audience.
Each month, we’ll present data on a business-building theme that will provide business intelligence in key shop operations areas to help boost tire dealer profitability. This month, we’re delving into shop productivity and operations. Take a look below at what your fellow tire dealers said about…
- Tactics they implemented to improve shop efficiency
- Their daily car count
- The number of tire brands they carry and the distributors they use
- ASE- and TIA-certified technicians employed at their dealership
- Parts distributors used
NOTE: The survey for this data set was conducted from April 21 through May 25. There were 211 responses from print and digital readers of Tire Review. The survey has a margin of error of 6.7% at a 95% confidence level.
In the past three years, what have you done to boost shop productivity? And please, don’t give us this response…
A majority of our survey respondents said they invested in shop equipment (72%) and technician training (52%), while others focused on investments like new shop management software and new payment systems for customers.
Measuring your success is paramount, and many dealers do this through key performance indicators (KPIs). One of those is car count. Do you know your daily car count? Setting KPIs is one way to track just how far your business has come.
Ever wonder how many distributors and parts suppliers other dealers work with to make their shop sing? What about the number of techs they employ for maximum efficiency? One way to know if your shop is on the right track is by looking at the national average.
According to our survey, independent tire dealerships employ between 6 to 7 technicians on average. Less than half of them hold some type of certification.
Working with the right suppliers is another key to a successful business. According to our data, almost two-thirds of survey respondents said they source all of their tires from distributors. In working with parts suppliers, a majority of survey respondents said they use three or more parts distributors to source their parts.
Lastly, with the proliferation of SKUs and tight tire supply nowadays, we asked dealers how many brands they carried. On average, respondents said they carry between six and seven brands. However, 25% said they carry 12 brands.
Survey Respondent Snapshot 📸
Of the independent tire dealers we surveyed, 44% were owners of a single-unit independent tire dealership, while 21% were owners of a multi-unit dealership. Another 24% were owners of an independent repair facility that sells tires.
More than two-thirds of respondents are owners, presidents or partners in independent tire dealerships, and about 1/3 are managers in some capacity.
Let Your Voice Be Heard
We want to hear from you! Tire Review is conducting its next Rolling with the Numbers on shop management and customer service. The results of this survey will be featured in the September installment of this series.
The survey should only take about three minutes to complete. You can find it here: https://bit.ly/TRCustomerService
After you finish, you can enter for a chance to win a $100 gift card, which you can pick from a list of national retailers. Your answers will remain anonymous and will only be reported in the aggregate. If you have any questions, you can contact Audience Insights Manager Bruce Kratofil at [email protected].