There's no doubt that it isn't easy to be an independent tire dealer.
Competition is fierce. Products keep improving and evolving. Consumers' buying habits are changing. Political and economic volatility impact the market daily.
And today's technology will seem outdated by the time you clock out this evening.
But take heart, Mr. Independent Tire Dealer. You are wanted. And needed.
In the July 22 print issue's special report on automotive aftermarket business collectives — franchises, marketing groups, buying groups, affinity groups, etc. — independent business owners remain as relevant in an increasingly competitive marketplace as ever before.
In the last year alone, marketing programs available to dealers grew by two as Maxxis International – USA and Nitto Tire U.S.A. Inc. joined the gaggle of tire companies that offer some form of collective marketing and/or purchasing assistance through an associate or affiliate program.
According to Tire Business figures, these programs brings to 19 the number of associate dealer programs offered by tire makers in the U.S. In addition, franchise groups, independent wholesalers or other marketing collectives offer 23 other programs.
Meanwhile, 15 programs are offered exclusively in Canada, along with a dozen or so tire company programs that are adjuncts to U.S. programs.
All told, the companies profiled in this issue claim to have more than 97,000 points of sale allied with their programs — or roughly three times the estimated number of retail tire dealerships in operation throughout North America. Obviously a lot of retail businesses belong to multiple programs.
And the franchise feeding frenzy doesn't stop there.
RNR Tire Express & Custom Wheels is looking to add up to 50 or more locations in the coming few years, thanks to multi-outlet franchising deals signed in the last few years, and is seeking "qualified multi-unit franchise partners" to open stores in the Las Vegas area, a market it has identified that fits its business model.
Meanwhile, Meineke Car Care Centers said its franchise network has experienced sales growth six straight years, culminating with 2018, characterized as the best year in over a decade.
Meineke execs says they are looking to help existing franchisees expand their business as well as look around for new franchisees.
In Canada, Tire Discounter Group is revamping its program and plans to relaunch it in 2020.
Despite all of the difficulties small business owners face, not to mention the concern about the next great recession that some economists have been warning consumers about, there doesn't appear to be a better time to be an independent tire dealer.
Our advice: Look for more opportunities. Capitalize on the present. And prepare for a prosperous future.