MONTGOMERY, Texas — So how has the market changed for winter tires over the last few years?
How has the all-weather segment affected sales? Do customers even know that an all-weather tire exists?
What truly is the selling season for winter tires?
And what can manufacturers do to help tire dealers sell more winter tires?
Deep in the heart of Texas — of all places to discuss the topic —Tire Business sat down with a group of seven northern-based tire dealers at the annual Point S Owners' Meeting to discuss and debate all things winter tires.
Participants in the roundtable discussion included Travis Newman, Centralia OK Tire Point S, Centralia, Wash.; Tanner Tyler and Rory Tyler, Point S Creswell, Creswell, Ore.; Ryan Thueson, Clair & Dee's Point S Tire & Automotive, Rexburg, Idaho; Nick Fox, J&J Point S Tire, Helena, Mont.; and Mike Simard and Kevin Donnelly, Anchorage Point S Tire & Auto, Anchorage, Alaska.
The dealers first discussed how winter tire sales have evolved over time.
Rory Tyler: What we've seen in our market is the all-weather tire, and its evolution, has really brought some new dynamic to the tire industry. We have a lot of black ice in our area, not as much snow. And to be able to use a tire all year round that will still perform in adverse conditions allows us to have a safe tire at any time that we might get that black ice, because it comes outside of the limits of our studded snow tire season.
Fox: I can say that it has changed. But mostly with the technology in the studless (tires). You get a lot more longevity out of winter tires, depending on the brand. There's a lot more options now as well. And the all-weather tires are moving, but we still are seeing mostly winter tires for our customers who choose that route, as opposed to all-weather tires.
Thueson said he has been in the business since age 12. As he reflected now at age 50, he said all-terrain tires have replaced snow tires for customers.
Thueson: There were a lot of times that even my own family didn't necessarily put studded snow tires on. We just kept all-seasons. And then now, the evolution has gone back the other way where every one of us in the business, the owners within the family, our wives put studded snow tires on their cars.
Thueson and Donnelly lauded technological advancements, noting that studded tires are constructed so much better.
Thueson: There are a few key manufacturers out there that really, really understand that market and know how to put those tires together. For where we're at, it's five months of snow. Once it settles in, it's there til April, and so you never know when you're going to need it.
Donnelly: Tires are wearing longer. Studded tires are doing a better job of digging in, and studless tires have just gotten better. All-weather has gotten better. In Alaska ... we hit all extremes in wintertime: extreme record snow; record rain; record cold; record warm. So we've had pretty much the worst driving conditions possible out there. So for us, we've seen ... people run all-seasons year round having great luck with them. It's really nice seeing that with the studless winter tire technology.
Simard: I'm sure everybody can agree that the best tests are customers, right? So marketing is one thing, but what's working on the road? And for us it's 150 degrees difference in temperature. So having technologies that can work is important. Obviously no one tire is going to serve that need. And we get a lot of people in the lower 48 (states) that say, 'Hey, I can run it on all-season.' Well, you can run all-season right through the stop signs up there sometimes when you're on that black ice. So just really testing it, finding out what works for our customer, with the technology now available to us. Those different temperatures and different erratic weather patterns are very unique to all of our locations.
The dealers agreed that the first snowfall — sometimes just the forecast of the first major snowfall — prompt customers either to purchase winter tires or to get their winter tires installed. Most of the dealerships involved in the roundtable store tires for customers, for a fee.
Rory Tyler: We don't even have to see the snowfall; we just have to have the weather report saying that snow is coming to our area. We're just below the Cascades; it's an hour-and-a-half to get to the top of the Cascades. And that comes down pretty quick, with the elevation and the snow line. So just the threat of snow, we get inundated with customers trying to either get their current product on or purchasing new.
Donnelly: We get snow, and we get hit hard with customers. If we have the threat of snow, the inkling of snow, it stays steady and trickles in. But we still got some in our market (who) wait for it to be on the ground and have 6 inches and can't drive it. It's like, 'OK, I have money, I need them on yesterday.' And it seems this trend hasn't changed in 24 years.
Fox: One hundred percent, everyone waits for the snow, and then it's all out chaos trying to take care of people, working long hours. And it doesn't matter how much education you put out there through marketing.
Thueson: In our area, it seems the first snowfall flushes people out. They change (tires), and then they always have to understand that (the first snowfall) is going to melt off. You might go through a period of two weeks, three weeks, and then the next snowfall comes, and then it just sets in, then that's when people know like, OK, it's here to stay. And then we'll run for the next two weeks. So for us, we really notice the change based on whether it comes early in October, or whether it's late in November.
The closer it gets to Christmas. I lose out to Santa Claus all the time. People will always make the decision to buy winter snow tires or buy presents for the kid and the family. Once Dec. 25 comes and that Christmas has come and gone. I can get 6 feet of snow, and it will not make a difference.
Tanner Tyler: You have to hit them (for winter tires) in November or early December; otherwise they spend their money in other places.
Thueson: You hit January, and all of a sudden it's 'I'm paying for Christmas credit card bills (in mid-January)' and then, 'I have taxes that either I have to pay by April,' or 'My tax return hasn't come yet.' So they're just holding out to get by and then it's this mental game of, 'Well, it's January. If I can live through a couple months, I'm into March. March is spring' — even though the snow doesn't leave til April or May. So it's kind of a mental game, too, with people as far as how it goes and your winter season and snowing how much snow tires to stock. A lot comes back to, when did the snow originally come?
Newman: You can get that first snow or that first break of snow generally November-ish. Sales are great. And we think it's moving after that. After Christmas it dies down.
How can a dealer convince consumers to purchase winter and all-weather tires?
Fox: I think it goes back to education in convincing your customer to try it. And then once they are able to try it in the winter conditions, then they're your best marketing advertisement, right? They're gonna tell their friends and family. ... It's almost like a cult culture, right? Once you're part of the club, you're part of the club, and you're never going back.
Tanner Tyler: Since all-wheel have been a lot more popular, I feel that has also deterred people from purchasing snow tires because their vehicles now have traction in the wintertime. With the old drive system ... they were wanting snow tires. And now I feel like driving on all-season is suitable for them.
Donnelly: Wintertime sales have increased, but our sales have decreased, and that's been due to the last two years of the product shortages of the market. This is a lack of ability to get product. We probably could have sold 1,000 more units last year if we had the tires available to us.
From January to December 2023, Thuesen said sales of studded and studless winter tires at his shop were down 16.5%. He blamed it on weather: snow didn't arrive until just before Christmas.
Conversely, he said the year before, his region had record snow, lasting from early in the season until April. Sales that year, he said, were high.
Thueson: It just goes to that cycle: one year you hit it; one year you don't. ... It all is based on how much snow you're getting. Not really so much even if people wanted winter studded or want to stay all-season; it's just how the snow comes.