PALM BEACH GARDENS, Fla. (Sept. 1, 2016) — TBC Corp. and Michelin North America Inc. have struck a deal to allow Midas auto repair franchisees to offer Michelin-brand tires to their customers at the 1,000-plus Midas locations in the U.S.
“Midas has been a trusted service provider for 60 years, and we are very excited to begin offering our tire lines to their customers,” said Scott Clark, chief operating officer of Michelin North America, in a quote provided by TBC.
“Michelin is a perfect fit for Midas,” said Bill Birkins, senior vice president of franchise leadership for TBC. “Midas is one of the most powerful and iconic brands in auto service and Michelin one of the premium tire brands. Together, we deliver a compelling package that the research reveals customers want — quality, name-brand tires from a well-known car-care provider that they trust.”
Midas stores already carry major brands such as Goodyear, Cooper and BFGoodrich, TBC noted. Adding the Michelin brand reinforces a “multi-faceted makeover” of Midas TBC has been carrying out since acquiring the franchise group in 2012.
Since then the Midas network has experienced a “significant tire sales increase,” TBC said, to the point that when related services such as rotations are factored in, Midas shops generate as much revenue through tires as they do from exhaust, the service with which many people associate the brand.
Building on these gains, plans are under way to accelerate Midas' tire-service expansion significantly in the next two years, with upgrades in distribution, computer support, shop signage and more.
“We are hopeful that the increased emphasis on tires will transform Midas over the next two years and position us for more cars, customers, sales and profits,” said Mike Gould, executive vice president and COO for Midas.
“The big brands matter to consumers, and Midas has them,” Mr. Birkins said, noting that Michelin and Goodyear brands represent more than half of OE fitments in North America and that together, the Michelin and BFG brands account for 15 percent of replacement passenger and 17 percent or replacement light truck tires.
“We are building the capabilities to be a world-class tire marketer and a significant player in the business, offering customers competitive prices, convenient locations and the quality brands they want,” he added.
At the same time, TBC continues to expand the Midas retail footprint, with 22 new franchised locations opened during the current fiscal year.
Depending on location, Midas stores offer a range of tire brands, including Continental, Dunlop, Kelly, Nitto, Sumitomo, Uniroyal and Yokohama, according to the Midas website, in addition to those named earlier in this article.