Tireco Inc. will launch its first-ever associate dealer program, Milestar Momentum, on Oct.1, promising “a world of exclusive benefits” to participating distributors and dealers.
Milestar Momentum provides quarterly bonus incentives at four pay-out levels that Tireco officials say are on par with what tier-one and tier-two manufacturers offer; a wide array of distributor and dealer resources and support tools, including online training offered through the newly created Milestar Academy program; inclusion in Milestar’s online dealer locator; advanced performance tracking and more.
“This is a significant investment in our brand and to help our distributors create additional pull-through by setting up small retailers across the country on the program,” Andrew Hoit, president, brand division, Tireco, told MTD.
“The tire industry, since COVID-19, has been on a roll with a surge in demand,” he said. “We felt that the time was right to make this investment.”
Program details
Mike Park, Tireco’s assistant director of marketing, told MTD that Tireco created Milestar Momentum “for several reasons,” including strengthening “our partnerships with our dealers” and helping them “tier-up from opening price point lines into a third tier or above, where (the) Milestar (brand) really fits.
“We want to create that value and accessibility and help our dealers be more profitable. An associate dealer program helps us achieve that.
“We looked at a lot of associate dealer programs from other brands and came up with a pay structure that puts us up where the tier-two brands are. This is really what sets our program apart.
“Another exciting thing is our (package of) dealer support tools,” noted Park, citing the company’s Milestar Academy, which also launches on Oct. 1, as an example. Milestar Academy “is where dealers and distributors can log in and get in-depth training to learn more about our products.
“We also have marketing assets and marketing information that we’re launching at the same time to help distributors and dealers really understand the Milestar brand and get engaged with the program. There’s tracking information that’s also available for distributors and dealers” via a platform “where they can log in and track their earnings and so forth.
“Once they are enrolled in the program and are approved,” Milestar Momentum members will receive access to “the Milestar Momentum kit, which will be sent to associated dealers to help them brand their stores with Milestar point-of-sale materials and literature. And associate dealers who are enrolled and approved will be added to our existing dealer locator at milestartires.com.”
‘A flag to fly’ and more
Hoit told MTD that Tireco needed to put its minimum advertised pricing (MAP) program in place before it could launch an associate dealer program. “You need pricing integrity and discipline.
“Mike (Park) and his team over the last year-and-a-half have done a great job of getting that pricing integrity out there with our MAP program. There aren’t too many tier-threes with a MAP or associate dealer program.”
The new Milestar Momentum program “gives (members) a step that we believe is just as compelling as a tier-one or tier-two associate dealer program,” he said.
Small tire dealers “are trying to compete with 800-pound gorillas that buy direct at the lowest possible price, so they need back-end incentives” and support. “This also gives them a flag to fly” and “helps them brand their shop so they can have a go-to flag brand.”
At the wholesale level, Hoit added that “all Milestar distributors will not necessarily be Momentum distributors. There are some requirements” that must be met to become a Milestar Momentum distributor.
“Over the course of the last week-and-a-half, we’ve been doing training to prepare our distributors so they can hit the ground running ... and to make sure we’re hitting the mark. Response has been overwhelmingly positive. They’re excited about it.”