Skip to main content
EVENT TRACKER
Keep track of rescheduled, canceled industry events with our COVID-affected event tracker - Powered by Snap Finance
Close
Sister Publication Links
  • Rubber & Plastics News
  • European Rubber Journal
tb-logo
Subscribe
  • Login
  • Register
  • Subscribe
  • News
    • OPINION
    • CORONAVIRUS
    • AUTO INDUSTRY
    • BUSINESS/FINANCIAL
    • COMMERCIAL TIRE
    • FACTORY FIXES
    • GOVERNMENT & LAW
    • INTERNATIONAL
    • MOTOR SPORTS
    • NEW PRODUCTS
    • RETAIL TIRES
    • SERVICE ZONE
    • SEMA/AAPEX
    • SMALL BUSINESS
    • TIRE MAKERS
    • SPONSORED CONTENT
    • Tire Cologne canceled; rescheduled until 2022
      New round of Paycheck Protection Program funding opens
      Vaccine may usher sense of normalcy
      Cover-up: More retailers requiring face masks to curb COVID
    • Icahn Auto trims fiscal 2020 operating loss despite 14% lower sales
      Oshkosh unit gets contract for new USPS local delivery vehicle
      Sumitomo adds treadwear-detection to 'Sensor Core' toolkit
      New Porsche 911 GT3 to feature Michelin fitment
    • Icahn Auto trims fiscal 2020 operating loss despite 14% lower sales
      Oshkosh unit gets contract for new USPS local delivery vehicle
      Yokohama sets ambitious goals through 2023
      Conti recalling 94,000 Conti-, General-, Barum-brand LT/SUV tires
    • TravelCenters plans 6 TA Express sites in California in 2021
      Carlisle TyrFil broadens recycling technology options
      U.K. retreader Vaculug to promote tread rubber supplier Vipal
      TMC moves spring conference online, sets trade show for September
    • Oshkosh unit gets contract for new USPS local delivery vehicle
      Conti recalling 94,000 Conti-, General-, Barum-brand LT/SUV tires
      Cooper expands recall of Cooper, Mastercraft grand-touring tires
      DOT issues 13 tire plant ID codes in 2020
    • Yokohama sets ambitious goals through 2023
      OK Tire secures exclusivity for Blackhawk tire brand
      U.K. retreader Vaculug to promote tread rubber supplier Vipal
      Execs: Goodyear acquisition of Cooper will benefit dealers
    • Bridgestone World Solar Challenge canceled due to pandemic restrictions
      Pirelli, Goodyear ink sedan racing series contracts in Canada, Europe
      Goodyear extends partnership with Nürburgring race circuit
      BFG to support ATV/UTV racers in WORCS series
    • Michelin launching ‘eco-responsible' performance tire for sporty EVs
      Martins Industries launches products in 3 categories
      Carlisle TyrFil broadens recycling technology options
      New McLaren supercar incorporates Pirelli's Cyber Tyre system
    • Icahn Auto trims fiscal 2020 operating loss despite 14% lower sales
      Cooper recalling 430,000+ whitewall LT tires in multiple brands
      OK Tire secures exclusivity for Blackhawk tire brand
      NPW hires Switzer as national sales manager
    • Automotive Lift Institute introduces Check360 inspection, label
      Martins Industries launches products in 3 categories
      Marinucci: Effective road test may eliminate issues
      Our View: Shops must alter ways to attract, retain talent
    • SEMA scholarships and loan forgiveness now available
      WTC hosting webinar Jan. 20 on load-capacity standards
      Denver's Brian Sump named AAPEX Shop Owner of the Year
      DUB, TIS Wheels founder Myles Kovacs is SEMA Person of the Year
    • Trade groups oppose minimum wage increase proposal
      New stimulus package fixes PPP loan confusion
      Vaccine may usher sense of normalcy
      2020 Review: PPP loans give boost to small businesses
    • Michelin launching ‘eco-responsible' performance tire for sporty EVs
      Goodyear, Cooper deal creates tire production synergies
      Goodyear promotes Helsel to senior VP, global operations role
      Tire dealers see possibilities in Goodyear, Cooper deal
    • Sponsored By Yokohama Tire Company
      7 questions to ask consumers when they need tires for a crossover SUV
      Sponsored By Yokohama Tire Company
      Stocking Tires for Crossover SUVs
      Sponsored By AppointmentPlus
      Three Important Lessons Learned for the Tire Business During a Pandemic
      Sponsored By Yokohama Tire Company
      7 questions to ask consumers when they need tires for a crossover SUV
  • SHOP FLOOR
    • BALANCING
    • DEMOUNTING
    • SAFETY
    • TIRE REPAIR
    • TPMS
    • TRAINING
    • VEHICLE LIFTING
    • WHEEL TORQUE
    • Video: Balancing Tire
      Safety tips for wheel balancing
      An introduction to wheel balancing
      Wheel weights: Balancing form with function
    • Video: Demounting
      Tire changer types, tips and trends
      How to clear rim rust and corrosion
      An introduction to demounting, mounting and inflation
    • Video: Safety
      Customers
      Considerations for shop safety policies
      Introduction: Creating a culture of safety
    • Video: Tire Repair
      Essential tools, materials and equipment for tire repair
      An introduction to tire repair
      How to properly patch a puncture
    • Video: TMPS Service
      The life-saving work of TPMS
      An introduction to TPMS service
      The importance of proper relearn procedures
    • Video: Training
      Internship ideas to attract tech talent
      Choosing the right auto service tech school
      Intro: Finding and training technicians
    • Video:Vehicle Lifting
      The gravity of proper lift points
      Safety essentials when using jack stands
      An introduction to lifts and lift safety
    • Video: Wheel Torque
      The importance of torque specifications
      Introduction to proper wheel installation
      Torque check and recheck recommendations
  • Multimedia
    • VIDEOS
    • PHOTOS
    • PODCASTS
  • Events
    • ASK THE EXPERT
    • LIVESTREAMS
    • WEBINARS
    • SEMA LIVESTREAMS
  • Data
    • DATA STORE
  • Resources
    • DIRECTORY
    • CLASSIFIEDS
  • ADVERTISE
  • DIGITAL EDITION
  • Awards
    • Tire Dealer Humanitarian Award
MENU
Breadcrumb
  1. Home
  2. News
April 07, 2000 02:00 AM

Goodyear unveils Gemini `lab´ store

  • Tweet
  • Share
  • Share
  • Email
  • More
    Print

    CANTON, Ohio (April 7, 2000)—Mad scientists and bubbling cauldrons aside, Goodyear is stepping into the "laboratory" to experiment a little with a new look and feel for its fledgling Gemini Automotive Care concept.

    As the replacement for the tire maker´s tired Certified Auto Service (CAS) format rolls toward its first-year anniversary in June, the company has unveiled its stand-alone prototype Gemini outlet—with a caution that it would be a constantly evolving "work in progress," a place where experiments in customer service and marketing would be the norm, rather than the exception.

    Brand new, with floors in the 10-service-bay area clean enough to, well, host a party on, Goodyear did just that. Members of the media and trade press were invited to a house-warming tour of the company-owned store March 28, three days before it officially opened for business in Jackson Township, a half-hour ride south of the company´s Akron headquarters.

    Several Goodyear officials used the opportunity to conjure an image of a customer- and family-friendly place featuring service desk modules with cherry-colored inlaid wood, the latest in shop equipment and an easy-to-maneuver showroom. There´s even a "Wall of Pride" where personnel certifications and photos highlight the store´s employees.

    What they outlined is a program that far overshadows its 15-year-old CAS predecessor in components—but also in price.

    How expensive is Gemini?

    The program´s new tagline says "We´re Making Drivers Smile," but Gemini may not be having the same effect on some independent dealers, who face monthly fees that, on the low end, are five times those of CAS.

    For Gemini´s first year, dealer monthly costs vary from $835 per outlet to $1,430—compared with a flat $166 fee per CAS store.

    However, Steven M. Schroeder, Goodyear´s manager of trade marketing for North American Tire, was quick to tell journalists the second-year fixed-cost structure has been lowered to a range of $474 to $1,074 per store. The variance in monthly program fees takes into account the disparity in advertising and marketing costs determined by specific markets, based on population density, a Goodyear spokesman explained. Consequently, a dealer in a rural area might pay the low-end fee, while one in Los Angeles or New York City would face top-tier pricing.

    The Gemini program is overseen by a dealer advisory board, with assistance from Goodyear. One outcome has been that as Goodyear continues to expand the program´s elements, it also will give retailers greater freedom to pick and choose the ones they want to use—and pay for.

    One key component of the program that has become optional to retailers is database marketing, which includes monthly direct-mail pieces. A Goodyear spokesman said that element worked for some dealers but not for others. Some decided they´d prefer to do it on their own.

    Gemini currently includes 750 company-owned and about 1,000 dealer outlets.

    Mr. Schroeder said that about 65 percent of the former CAS dealers have switched to Gemini. Given the program´s high standards, though, Goodyear did not expect all dealers in the CAS program to qualify for or desire to join Gemini, he added.

    "We´re confident that with the new program for year two, we should be able to get to our goal of 2,000 retailers by signing 200 to 300 more," Mr. Schroeder said.

    At the store opening, Marco Molinari, vice president, sales and marketing, for Goodyear North America, said Gemini is about maintaining the competitiveness of the independent dealer channel.

    Gemini, he stressed, is a "retailer-driven proposition" that allows dealers to set their own monthly fee by selecting from the program´s menu of offerings.

    Goodyear is 100-percent committed to Gemini in the dealer distribution channel, Mr. Molinari said.

    That commitment is underscored by the tire maker´s own retail stores, which he said are fully aligning their investment and marketing efforts with Gemini, including identification, vehicle services, training and product offerings.

    The program´s goal, he added, is to "provide a good shopping experience so that consumers leave the store with smiles on their faces.

    "We´re doing something that´s important by investing in the small independent dealer channel.... We believe that still can be the place of choice for people looking for value, for a positive buying experience—not just for speed and price, as is the case in some other buying channels."

    The Jackson Township store will be treated as a "learning lab" to improve the customer experience, with the goal of being the best in the industry, said John Peer, Goodyear´s director of retail operations. Store Manager Kerry G. Bartman said the store will try out various approaches, such as modular, upscale furniture.

    This year, Goodyear plans to open 26 new company-owned Gemini stores and remodel about 100 of its old CAS locations, Mr. Peer said. While not all Gemini locations nationally will look like the "lab" store—due to building and property configurations—plans call for all sites to be remodeled within two to three years to make them more appealing to customers.

    The cost to re-identify and refurbish company and dealer stores varies from $2,000 to $8,000 per outlet, depending on the area it´s in, Mr. Schroeder said.

    Heading into Gemini´s second year, Mr. Schroeder said the program will include:

    *An enhanced Blue Ribbon (new-store development) program for Gemini retailers.

    *Goodyear lease-controlled facilities for Gemini retailers.

    *Development of a Goodyear "Gemini" performance tire brand.

    *Enhanced co-operative advertising and additional co-op funds based on total sales growth.

    *Availability of three dedicated Dunlop tire lines.

    Different from CAS, Gemini´s objective is to "drive tire sales," Mr. Molinari said, as opposed to the old auto service center operation, which had service at its heart.

    With CAS going away, and some dealers declining membership in the new program, Mr. Molinari said Goodyear´s dealer channel has migrated in two directions: those who had, for instance, a 65/35 or 70/30 mix of service to tires and are predisposed to Gemini; and others who "have migrated to tires and are focusing on tire retailing."

    Aside from new signage and reworked showrooms, Gemini´s big gun remains its advertising budget. Of the amount pooled from monthly program fees, Mr. Molinari said about 63 percent—roughly $13 million—is being used nationally for advertising. An equal amount is being spent at local levels, Mr. Schroeder said, through co-op accruals.

    Still, some dealers have decided Gemini is not in their stars, based purely on financial considerations.

    One former CAS operator, who asked that his name not be used, told Tire Business he questioned the overall value of the Gemini program, although he still wants to handle the company´s brands.

    His basic objection: the program´s cost, which he felt was too high simply for point-of-purchase displays and new uniforms. He said his multi-store dealership would have to spend tens of thousands of dollars annually for Gemini, and he feared his sales wouldn´t make up for that.

    Mr. Molinari acknowledged he has heard complaints about Gemini´s cost structure being prohibitive. However, the program contains 17 elements, he said, and "to cost all that out was a certain dollar amount. Everything that is paid by the retailers goes into the stores 100 percent, and then back out to fund those 17 activities."

    The cost is higher, he conceded, but as with anything else in life, "we had to deliver value for the investment."

    Dealers have to "decide what that investment is, and also whether it delivers the value." &Copy;

    Letter
    to the
    Editor

    Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Tire Business would love to hear from you. Email your letter to Editor Don Detore at [email protected].

    SIGN UP FOR NEWSLETTERS
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    Newsletter Center

    Staying current is easy with Tire Business delivered straight to your inbox.

    SUBSCRIBE TODAY

    Subscribe to Tire Business

    SUBSCRIBE
    Connect with Us
    • Facebook
    • LinkedIn
    • Twitter
    • RSS

    Our Mission

    Tire Business is an award-winning publication dedicated to providing the latest news, data and insights into the tire and automotive service industries.

    tb-logo
    Reader Services
    • Contact Us
    • About Us
    • Site Map
    • Industry Sites
    • Order Reprints
    • Customer Service: 877-320-1716
    Partner Sites
    • Rubber & Plastics News
    • European Rubber Journal
    • Automotive News
    • Plastics News
    • Plastics News China
    • Urethanes Technology
    RESOURCES
    • Advertise
    • Privacy Policy
    • Privacy Request
    • Terms of Service
    • Media Guide
    • Editorial Calendar
    • Classified Rates
    • Digital Edition
    • Careers
    • Ad Choices Ad Choices
    Copyright © 1996-2021. Crain Communications, Inc. All Rights Reserved.
    • News
      • OPINION
      • CORONAVIRUS
      • AUTO INDUSTRY
      • BUSINESS/FINANCIAL
      • COMMERCIAL TIRE
      • FACTORY FIXES
      • GOVERNMENT & LAW
      • INTERNATIONAL
      • MOTOR SPORTS
      • NEW PRODUCTS
      • RETAIL TIRES
      • SERVICE ZONE
      • SEMA/AAPEX
      • SMALL BUSINESS
      • TIRE MAKERS
      • SPONSORED CONTENT
    • SHOP FLOOR
      • BALANCING
      • DEMOUNTING
      • SAFETY
      • TIRE REPAIR
      • TPMS
      • TRAINING
      • VEHICLE LIFTING
      • WHEEL TORQUE
    • Multimedia
      • VIDEOS
      • PHOTOS
      • PODCASTS
    • Events
      • ASK THE EXPERT
      • LIVESTREAMS
      • WEBINARS
      • SEMA LIVESTREAMS
    • Data
      • DATA STORE
    • Resources
      • DIRECTORY
      • CLASSIFIEDS
    • ADVERTISE
    • DIGITAL EDITION
    • Awards
      • Tire Dealer Humanitarian Award