G.S. Sareen, CEO and president of Omni United (S) Pte. Ltd., discusses what’s next for the company’s Radar brand and more in this MTD exclusive.
MTD: How was the first half of 2024 for Omni United and its Radar line? What were some achievements and highlights?
Sareen: We are (up) well over 50% year-over-year. Business has been great so far, but what happens with the freight situation and all that's going on in the world remains to be seen. I’m sure there will be headwinds.
MTD: When we last talked, you discussed the concept of "premium accessibility." Do you think U.S. tire dealers and consumers are ready to embrace this idea?
Sareen: Yes, I think more so now, with the freight situation and everything becoming expensive. Whenever these times come, people tend to look for real value. Some (people) associate value with (being) inexpensive, which is kind of a marketing spin people have put on consumers for a very long time.
What makes some products premium and others non-premium? It’s a gray area. Is premium the size of the manufacturer? Is premium the size of market share? Is premium (having) OEM fitments? Is premium quality? Everyone has their own answer. We thought we would hang our hat on product quality, so it started from there. And what we are doing very aggressively now is (manufacturing) products that can perform at premium levels and still be (sold) at a very competitive price. If we can keep our prices competitive, then we can provide access to a much bigger cross-section of consumers. This is literally what premium accessibility means.
MTD: Omni United continues to invest in new products, recently expanding the Renegade line and introducing new winter and all-weather Radar brand tires, the Dimax Winter and the Dimax All-Weather. How have these products been received and how are you positioning them?
Sareen: We are expanding the Renegade line with the upcoming launch of the new Renegade HT range later this year. Designed by the renowned Italian design house, GFG Style, this visually stunning product is currently undergoing testing in the U.S. Our goal is to blend stylish aesthetics with the performance of a premium tire.
Additionally, we are positioning our Radar 2.0 products as our premium offering, known as The Premium Collection. We have begun differentiating The Premium Collection from our legacy products by adopting a more refined and aesthetic visual identity - prominently featuring our brand's unique red color, which we associate with a premium. This differentiation is evident across product design, performance, branding and marketing strategies, which positions these higher than our legacy products, enabling the market to derive greater profit from these products.
MTD: Radar brand tires are produced at plants in India, China, Thailand and Indonesia and Omni United is planning to start manufacturing in Europe. Is there a timeline to start building tires in Europe?
Sareen: Yes. We are in very advanced stages of conversations. I’m sure when we speak next, I will be able to tell you that we have this sorted out. We should be able to wrap it up very soon.
MTD: Are there ongoing investments that you’re making at your other manufacturing facilities?
Sareen: All the time. What happens is that as capacities increase with manufacturers – and they have to increase capacity to optimize their economies of scale – they lean on us for additional volume. And additional volume typically comes from new product development, new sizes and new ranges for new markets.
MTD: What can your U.S. dealers and distributors expect to see from Omni United and Radar during second half of 2024?
Sareen: We plan to ramp up our marketing efforts to increase brand visibility. Later this year, we will launch the HT Pro, our new all-weather product. We are in the process of signing a major U.S. retailer. Based on its success, we may introduce a second product for independent tire dealers.
Additionally, we have piloted our Radar RED (Radar Elite Dealer) program for retailers in several states and aim to expand it. This program incentivizes dealers with cash and other rewards for their loyalty to Radar. We have numerous initiatives underway.
