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July 05, 2004 02:00 AM

Directory of retail marketing groups: Part 2 of 3

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    Excel Tire Centres Inc.

    33245 Glasgow Ave.

    Mission, British Columbia V2V 2X2

    (604) 826-9119; Fax: (604) 826-5448

    Web site: www.exceltire.com

    E-mail: [email protected]

    Tim Hollett, president

    Program's name: Excel Tire Centres

    Based on information from its Web site, Excel Tire is an affiliation of independent tire dealers located throughout British Columbia ``dedicated to providing the best customer service, quality products and competitive prices on tires, wheels and automotive services.'' The franchise program, owned by Excel Tire Centres Inc., was incorporated in 1984. The 27 member dealers provide a range of tires and automotive services while enjoying buying power, corporate advertising and, province-wide, a well-established corporate identity. Most shops provide a full range of automotive services including alignments, tire services, brakes, batteries, tune-ups, undercar and exhaust.

    Fees: Up-front fee, annual fees

    Minimum initial investment: Minimal

    Minimum purchase volume: None

    Merchandise: Offers tires (Cooper, Toyo, Goodyear, Dunlop, Michelin, BFGoodrich, Uniroyal); and wheels.

    Insurance: None

    Program features: Advertising/promotion support; volume discounts on tires; warranties; store signage; and exclusive brands.

    Fountain Tire

    8801 24th St.

    Edmonton, Alberta T6E5G4

    (780) 464-3700

    Fax: (780) 464-0920

    Web site: www.fountaintire.com

    E-mail: [email protected]

    Brian Hesje, CEO

    Leroy Hawtin, sr. v.p.

    Nelson Tonn, director of marketing

    Program's name: Fountain Tire

    The Fountain Tire group is a 50/50 partnership-that is, a majority of the 145 participating dealers' 145 stores are 50 percent owned by the store manager and 50 percent owned by Fountain Tire. The company said its ``ownership structure,'' as well as its ``strong relationship with suppliers like Goodyear, NAPA and Quaker State,'' makes its program unique.

    Fees: monthly fee (confidential)

    Minimum initial investment: $10,000 (Canadian)

    Minimum purchase volume: None

    Merchandise: Offers tires (Goodyear, Dunlop, Kelly, Pirelli (farm) GT Radial; Rozzi, Detata, Finn, OE Concepts, Ultra wheels for passenger/LT market; NAPA and Quaker State automotive products including batteries, oil and parts.

    Insurance: Health; liability; property.

    Program features: Advertising/promotion support; volume discounts on tires; warranties; service bay equipment; daily NAPA deliveries; exclusive/protected territories; point-of-sale materials; store signage; business services; credit card program; training/education; store design; Odyssey computer system; and financial services such as accounting, payroll and legal.

    Goodyear

    1144 East Market St.

    Akron, Ohio 44316-0001

    (330) 796-3266

    Fax: (330) 796-6001

    Web site: www.geminicarcare.com

    E-mail: [email protected]

    Jack Winterton, v.p. consumer tire sales

    Cheryl Ward, manager, Gemini program

    Program's name: Gemini Auto Care

    The tire maker-owned Gemini program was created, the firm said, ``as a new brand of tire sales and automotive care.'' It includes more than 870 ``common owners,'' or independent dealers-with more than 1,750 locations-plus more than 600 company-owned stores. Retail outlets include the dealer's name along with the Gemini logo. The program's ``key strengths-from our Gemini board of retailers to many cost-savings programs, along with a strong suite of marketing, advertising and communications tools that every Gemini retailer has-help deliver an outstanding service experience to all customers,'' Goodyear said. The entire marketing, purchasing and dealer-directed program is ``focused on dealer business development and customer education and service assistance to build trust, comfort and confidence,'' it added.

    Fees: $2,700 monthly participation fee for a complete point-of-sale package

    Minimum initial investment: Cost of opening package

    Minimum purchase volume: None

    Merchandise: Offers tires (Goodyear, Dunlop, Republic); wheels; batteries; auto parts and accessories.

    Exclusive brands: None

    Insurance: Health (a pilot test continues, with dealer committee continuing work on expanded benefit offers)

    Program features: Advertising/promotion support; volume discounts on tires; 12 months or 12,000 miles nationwide warranty; service bay equipment to cover core services of tire installation, alignment, air conditioning, heating/cooling, brakes, engine diagnostics and maintenance services; daily deliveries; point-of-sale materials; store signage; a business services purchasing program that includes fixtures and equipment at a discount; credit card program; training/education; store design/planning; and assistance in tracking/measuring 51 elements vs. competitors.

    Goodyear

    1144 East Market St.

    Akron, Ohio 44316-0001

    (330) 796-2121

    Fax: (330) 796-1237

    Web site: www.goodyear.com

    Jack Winterton, v.p. consumer tire sales

    Eric Brown, general mgr., G3-Xpress

    Program's name: G3-Xpress

    The Goodyear-owned affiliated dealer program has about 1,360 outlets in its fold. The tire maker said G3-Xpress dealers ``can retain their outlet identity, but gain the strengths of support that enable them to be auto service-focused or tire sales-focused.'' The company said the program-in which member dealers retain their independent identification-is continuing to grow and currently has 36 G3-Xpress distributors.

    Fees: None

    Minimum initial investment: Cost of opening package

    Minimum purchase volume: $50,000 annually

    Merchandise: Offers tires (Goodyear, Dunlop, Republic).

    Insurance: None

    Program features: Advertising/promotion support; warranties; daily deliveries; point-of-sale materials; store signage; business services; credit card program; and training/education.

    Independent Tire Dealers Group (ITDG)

    14255 US Highway One, Suite 229, Juno Beach, Fla. 33408

    (561) 630-8737

    Fax: (561) 630-8657

    Web site: www.independent-tire.com

    E-mail: [email protected]

    Michael Cox, president

    Ed Long, v.p. sales and marketing

    Program's name: Independent Tire Dealers Group (ITDG)

    The ITDG describes itself as an affinity/buying group and limited liability corporation with 50 shareholders and 90 participating dealers operating some 260 outlets. Its uniqueness lies in the ``flexibility of the program to fit the needs of each dealer's operation''-from single-location to multiple-location dealers. ITDG said it does not have an ``in-house share'' requirement and noted the group ``works well with manufacturer and distributor programs or as a stand-alone independent program.'' The group said it is expanding membership beyond its current states, which include California, Arizona, Colorado, Montana, New Mexico, Hawaii, Nevada and Oregon.

    Fees: Quarterly dues of $600; for shareholders: ownership/stock investment of $35,000

    Minimum initial investment: None

    Minimum purchase volume: $200,000 annually

    Merchandise: Offers tires (Continental, General, Pirelli, Yokohama, Sumitomo/ Treadways, Mohawk, Cooper, Hankook, Kenda, Wanli, Vikrant, Runway, Titan, YKS, Trelleborg); oil (Havoline/Texaco, Shell, Kendall); auto parts (Pep Boys Express, AutoZone, NAPA, Carquest, Exide); wheels.

    Exclusive brands: Runway; Mohawk; Yokohama AS430; Tire Alliance Groupe (TAG)-marketed Continental and General brands

    Insurance: ITDG is in the process of forming an insurance captive company that would initially handle workers' comp, general liability and auto insurance.

    Program features: Warranties; volume discounts; service bay equipment; daily deliveries (where applicable); exclusive/protected areas; business services; a proprietary credit card program; training/education; and membership in the Tire Industry Association (TIA).

    Kal Tire

    P.O. Box 1240

    Vernon, British Columbia V1T 6N6

    (250) 542-2366

    Fax: (250) 542-1218

    Web site: www.kaltire.com

    Thomas J. Foord, president

    Archie Stroh, senior v.p./general mgr.

    Lloyd Higginson, associate dealer development

    Program's name: Kal Tire

    Kal Tire has 51 associate dealers to complement its 125 company-owned stores, which were bolstered recently with the acquisition of several Sears, Roebuck and Co. auto service centers. The company said ``the quality of our group-we are very selective,'' makes it unique. It has plans to expand the program in Ontario.

    Fees: None

    Minimum initial investment: None

    Minimum purchase volume: None

    Merchandise: Offers tires (Bridgestone, Firestone, Michelin, Yokohama, Nokian, Federal, Multi-Mile, Falken, Yokohama, Kumho); mechanical parts; Core Racing wheels.

    Exclusive brands: Federal; Multi-Mile; Falken

    Insurance: Liability, health, property

    Program features: Advertising/promotion support; warranties; service bay equipment; exclusive/protected territories; point-of-sale materials; store signage; business services such as uniforms; credit card program; training/education; store design.

    King Bear Automotive Service Centers Inc.

    130-29 Merrick Blvd.

    Springfield Gardens, N.Y. 11434

    (718) 527-1252

    Fax: (718) 527-4985

    Web site: www.kingbearauto.com

    E-mail: [email protected]

    Angelo Scaglione, president/CEO

    Dana Scaglione, manager

    Program's name: King Bear Auto Service

    Established in 1973, King Bear's franchise program has 24 participating dealers. ``One of the most recognized and trusted names in the automotive industry'' in the New York area for more than 20 years, the company said it has begun a quest to ``become a nationally known franchise recognized for its professionalism and success.'' It claims its franchise system ``can prepare individuals with no prior experience in the automotive industry to operate a prestigious service center in a very professional manner.'' The program is unique because ``all locations are individually owned and operated and have been in business for 10 years or more,'' the company said.

    Fees: $25,000 average franchise fee; 5 percent royalty and 7 percent advertising fees.

    Minimum initial investment: $65,000 to $90,000, with a total investment of $159,000 to $249,000 and a minimum net worth of $200,000-$475,000.

    Merchandise: Offers tires (Bridgestone, Firestone, Dayton, Fuzion, Lemans).

    Insurance: Health

    Program features: Co-op advertising/promotion support; volume discounts on tires; warranties; exclusive/protected territories; point-of-sale materials; store signage; business services; credit card program; training/education; and store design; site selection assistance; lease negotiation assistance; and a two-week training program at corporate headquarters, with on-site training as required.

    Michelin North America Inc.

    One Parkway South, Greenville, S.C. 29680

    (866) 325-5426

    Fax: (864) 458-4094

    Web site: www.michelin.com

    E-mail: [email protected]

    James Micali, president/CEO

    Herb Johnson, general business director, N. American Alliance

    Program's name: Alliance

    The Michelin-owned Alliance program has 208 direct retailers representing 1,100 points of sale in the U.S.; 20 wholesale distributors; 3,300 associate dealer points of sale; 126 direct retailers with 170 points of sale in Canada; and 290 retailers and distributors and 140 associate dealer points of sale in Mexico. Michelin claims it is the only manufacturer offering a dealer program in the U.S., Canada and Mexico.

    Fees: None

    Minimum initial investment: None

    Minimum purchase volume: Yes

    Merchandise: Offers tires (Michelin, BFGoodrich, Uniroyal).

    Exclusive brands: Medalist, Riken, Cavalier

    Insurance: None (but the company said it is considering adding health, liability and property coverage)

    Program features: Advertising/promotion support; warranties; service bay equipment; daily deliveries; point-of-sale materials; store signage; exclusive brands; business services such as uniforms; a credit card program; and training/education.

    Michelin North America (Canada) Inc.

    2540 Daniel-Johnson, Suite 510

    Laval, Quebec H7L 2H9

    (450) 978-4700

    Fax: (450) 978-7593

    Web site: www.alliance-tires.com

    E-mail: [email protected]

    Wayne Kartechner, Larry Bristowe, general business directors

    Program's name: Alliance Tire Professionals

    The program has 126 dealers across Canada operating 170 outlets. Participants are ``certified knowledgeable dealers providing quality service.'' Program offers bronze/silver/gold quality certification process.

    Fees: None

    Minimum initial investment: None

    Minimum purchase volume: 70 percent of annual volume

    Merchandise: Offers tires (BFGoodrich, Michelin, Uniroyal and associate brands).

    Exclusive brand: Uniroyal AS 6000

    Insurance: None

    Program features: Advertising/promotion/public relations support; warranties; service bay equipment; exclusive/protected territories; point-of-sale materials; store signage; business services such as uniforms; credit card program; training/education; store design.

    Northwest Tire Factory L.L.C.

    6102 North Marine Drive

    Portland, Ore. 97203

    (503) 283-6494 Ext. 108

    Fax: (503) 283-9645

    Web site: www.tirefactory.com

    E-mail: [email protected]

    Nick Hodel, CEO

    Dave Garrison, new store development

    Program's name: Tire Factory

    Unique about the member-owned Tire Factory program is that all profits are distributed to the group's 163 members who operate 180 outlets, the company said. The program is looking to expand in 10 western states.

    Fees: $200 per month

    Minimum initial investment: $2,000 capital in company (refundable)

    Minimum purchase volume: None

    Merchandise: Offers tires (Goodyear, Kelly, Dunlop, Hankook, Kumho, G.T., Nokian, Michelin, BFGoodrich, Continental, Cooper, Pirelli, Sumitomo); wheels; equipment; supplies; shocks; and accessories.

    Exclusive brand: G.T.

    Insurance: None (group is considering adding a self-insured or ``captive'' insurance program)

    Program features: Advertising/promotion support; volume discounts on tires; warranties; service bay equipment; daily deliveries (based on weight minimums); exclusive/protected territories; point-of-sale materials; store signage; exclusive brand; business services; credit card program; training/education; and software.

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