Looking to expand your buying power, network with fellow dealers, enjoy a protected territory, invest in training, beef up your marketing and/or more? Chances are, there’s a tire dealer program group that can help.
“More and more independent tire dealers are turning towards program groups to make the most out of their purchases,” says a representative from BKT USA Inc.
“Independent tire program groups offer a comprehensive suite of benefits and incentives tailored to support dealers in effectively managing their operations and maximizing profitability,” says Bridgestone Affiliated Retailer Nationwide Network Program Manager Mike Bruns.
“Unlike individual independents who may struggle to access such resources, membership in a program group equips dealers with the necessary tools and support to thrive in a dynamic market environment.”
“Program groups are attractive options for independent tire dealers,” says Lynn Sweeney, senior director, sales operations, for Yokohama Tire Corp.
“In today’s dynamic retail landscape, program groups help independent tire dealers stay competitive,” notes Debbie Richards, head of programs and planning, passenger and light truck tires, for Continental Tire the Americas LLC.
“Independent tire dealers are increasingly seeing the need for access to great products, marketing support and business tools that improve their operation and customer experience,” says a representative from Point S USA.
“Leveraging the collective power of other independents who have already vetted these offerings ... is a way to have these economies of scale without being a large, multi-store owner.”
“Groups that offer programs fueled by consolidated purchasing power will continue to grow for a couple of reasons,” says Jason Rook, president and CEO of the Independent Tire Dealers Group LLC (ITDG.)
“First, they offer negotiated manufacturer pricing based on the buying power of all members. Second, they offer another layer of security to the independent dealer who wants to go into the market with a consistent product screen.”
“As larger dealership group consolidations increase, the remaining smaller and independent tire dealers band together for purchasing power and other scalable benefits,” says Aaron Murphy, senior vice president, CMA LLC/Double Coin. “In addition, the buying power of groups allows for more cost-effective ways to source products and services.”
New to the program
A number of program groups — and their administrators — added to their offerings during the past year.
In 2023, ITDG grew its direct manufacturer programs, while adding new and larger distributor programs “to assist retail operations in creating consistent product offerings through multi-channel access to brands,” says Rook.
K&M Tire Inc. rolled out several new boost programs for its Mr. Tire/Big 3 Tire group members, focusing on seven brands: Continental, Cooper, Falken, Hankook, Kumho, Mastercraft and Yokohama.
“Two of the programs offer an additional monetary incentive for dealers who also sell and service commercial TBR tires, increasing the potential benefits and back-end profit building enhancements that much more,” says Gene Bova, northeast RPM, K&M Tire.
K&M also partnered with Garage Guru to offer training.
Point S realigned its market program “to capitalize more specifically on the digital aspects of targeted backyard marketing,” says a Point S representative, with the goal of “driving a dealer’s marketing spend directly to zip codes associated with the store’s location or to conquest other areas within their store footprint.”
Point S also added “a new form of co-op ownership, allowing a non-branded store to become a member with slightly less benefits than full membership, but still allowing them access to Point S purchasing power.”
Hankook Tire America Corp. introduced a new tier to its One program during the third quarter of 2023 to provide members with the potential to earn more rewards.
American Kenda Rubber Industrial Co. Ltd’s Traction program continued its Double Dollar promotions.
During 2023, Bridgestone Americas Inc.’s Bridgestone Affiliated Retailer Nationwide Network published a self-serve dealer performance dashboard on its dedicated portal, affiliatedretailer.net, and also expanded partnerships with social media reputation management, nationwide warranty providers and other vendors.
Yokohama launched a new spiff program for its Advantage members called Advantage Insider Rewards. “2023 also marked the 20th anniversary of the Yokohama Advantage Associate Dealer Program, so we celebrated with special promotions throughout the year,” says Sweeney.
Kumho Tire USA Inc. added quarterly bonus promotions to specific products that qualify on the company’s Kumho Tire Premium Fuel Program, in addition to core bonus awards.
Maxxis International-USA upgraded point-of-sale materials and relaxed volume bonus requirements for its Accelerate group members. “The Accelerate website is always evolving, as well, to improve dealers’ portal experience, while communication through quarterly e-blasts and performance updates both heightens program awareness and ensures that dealers take full advantage of every aspect of the Accelerate program,” says Matt Clak, associate director, marketing, for Maxxis.
Nexen Tire America Inc. says it made adjustments to its Next Level program’s entry level tire order requirements.
What’s next?
To serve their members more effectively, several program groups are planning to add benefits during 2024.
The Hankook One program has adjusted requirements for each tier to incentivize dealers to continue growing their partnership with Hankook. The company also plans to engage with more dealers at events and roll out enhanced promotions.
Giti Tire (USA) Ltd.’s GT Radial Smart program gives dealers the opportunity to earn cash rewards by reaching quarterly targets. Rewards are disbursed in various forms, such as virtual or physical cards, checks and more.
In addition, GT Radial Smart dealers will receive marketing tools and resources in the form of point-of-sale materials, signage and product training. At the end of the year, they will have the chance to catch up on their targets and receive awards, along with an additional volume bonus.
Continental will invest in additional support, strategic partnerships and analytical insights for its Continental Gold dealers.
Kumho says it will continue quarterly promotions through its Premium Fuel program, while also enhancing store merchandising and point-of-sale material offerings for members. Premium Fuel members also will have access to new items through the Kumho store that they can purchase using rewards points earned quarterly.
Toyo Tire U.S.A. Corp.’s Driven program now has five PCR/LTR tire payout levels, with a minimum of at least 60 units per quarter to earn payouts on all Toyo PCR/LTR purchases.
BTS Tire & Wheel Distributors’ BTS Partners Program will offer new training opportunities at no charge to its aligned partner dealers and will provide additional earning opportunities on various tire brands. Members also will be able to earn credits and accruals for equipment purchases, plus discounted pricing on all tire supplies and equipment.
BTS also will offer branding and franchise opportunities, plus succession and financial planning and partnering options.
ITDG says it’s working to ensure that its members have access to alternative programs in the face of looming tariffs and will expand its exclusive tire brand offerings in 2024.
ITDG also is implementing programs to help members stay on the cutting edge of retail, wholesale and warehouse technology, while offering expanded training programs to create a turnkey experience for dealers.
K&M Tire’s program enhancements from 2023 will remain in place for its Mr. Tire/Big 3 Tire members. The company also plans to offer several exclusive PLT consumer rebates, several sell-in purchase incentive promotions, parts rebates, oil programs, ag and commercial tire volume bonus programs, boost programs and more.
Yokohama Advantage associate dealers can now participate in a tire purchase program that allows them to be reimbursed for Yokohama tires on their personal vehicles and an advanced marketing program allows associate dealers to be reimbursed for certain donations when they support a charity of their choosing.
CMA LLC/Double Coin will launch a new dealer portal in 2024.
The Falken Fanatic program will allow dealers to earn up to $10.50 per tire, with the additional $2 per unit on the Falken WildPeak and Azenis lines, with bonuses earned on payable tires when levels are attained.
Falken Fanatic members also will have access to Falken TV, a digital TV format that lets them update their showrooms, educate consumers and more.
In 2024, the Nexen Next Level program has increased unit payouts from $3 to $4 on most PCR tires and from $5 to $6 on most LTR tires.
The Bridgestone Affiliated Retailer Nationwide Network will maintain standardized collaborations with vendor partners, while featuring partners on a monthly and quarterly basis, in an approach designed to facilitate co-branded giveaways aimed at promoting a diverse range of offerings more effectively. The group also will continue to introduce expanded vendor opportunities throughout the year.
U.S. AutoForce LLC says it will focus on introducing new technologies to bring opportunities and efficiencies to its Tire One dealers.
Turbo Tires Wholesale LLC will continue to expand its new Lexani Ignite associate dealer program to reward its dealer base for prioritizing and selling Turbo’s Lexani, RBP and Lionhart brands. Turbo reports that more than 100 dealers enrolled in Lexani Ignite within the first 10 days of the program. The company projects that more than 1,000 dealers will be enrolled in the program by next month.
TireHub LLC recently introduced its new TireHub Plus program, which offers incentives to members. These include a tire protection plan, marketing funds, customer financing, a retail pricing tool, product assortment data, a dealer benchmarking tool and training.
Titan International Inc. is continuing to strengthen and grow its sales and training programs for dealers. These include Titan University, Titan Rewards, Tire Industry Association safety training and access to Titan’s dealer portal, The Hub.
Exxpress Car Care Centers has changed its name to Exxpress Tire Network, while adding a loyalty program for dealers that choose Exxpress Tire Delivery as their primary distributor for a manufacturer’s associate dealer program.
Tire Solutions Inc. reports that it is wrapping up construction on its latest warehouse addition to provide enhanced service to its Tire Solutions Installer dealers. Tire Solutions also will launch a new website in 2024, as well as two new uniform national account programs.
In the franchise category, RNR Tire Express, at select locations, will expand its offerings to include brakes and other front-end services that will utilize the company’s flexible payment options.