Michelin buys into online retailer

CLERMONT-FERRAND, France (April 14, 2015) — Group Michelin has acquired a 40-percent stake in Allopneus S.A.S., a French Internet tire retailer, for $64 million, in order to “expand its online range and extend its commercial presence.”

Michelin “will become more adept at dealing with the different modes of online and offline searches and purchases, thereby pursuing its strategy to improve the services offered to customers,” the tire maker said.

Based in Aix-en-Provence, France, Allopneus sold 3 million tires in France in 2014, which represents 7 percent of the French replacement market, according to Michelin.

The tire maker went on to say that one in two motorists intending to buy new tires seeks detailed information in the weeks preceding the purchase, and in France “three out of four consumers seek this information online, and currently 13 percent of them will make their actual purchase online.”

Michelin CEO Jean-Dominique Senard said this engagement is “entirely consistent” with Michelin's strategic line.

“Getting Michelin to grow means understanding our markets in detail, so as to anticipate and satisfy the needs of our customers,” he said. “This alliance between two pragmatic

companies manifests our desire to satisfy motorists to whom we are able to offer a simplified and financially advantageous path from searching for information on the Internet through to getting their tires fitted by professionals.”

Allopneus was founded by and still run by Didier Blaise. It employs more than 200.

Mr. Blaise said by partnering with Michelin, Allopneus “will be able to accelerate its growth by benefiting from the strength of the Michelin Group and the expansion of its offering, in particular thanks to the Euromaster distribution network, a Michelin subsidiary.”

This shareholding is subject to validation from the French Competition Authority.

Allopneus offers a wide range of tires, including motorcycle, ATV, agricultural and medium commercial in addition to passenger and light truck, plus wheels. Allopneus' website carries “approved” labels by both Michelin and Continental A.G.