If you have recently started a tire dealership, you might be a little overwhelmed by the variety of brands, sizes and types on offer. Which ones should you buy? Which ones should you carry on a regular basis and which ones should you keep to a minimum or buy only for special orders? Obviously, every dealership is different, but Tire World Exports can offer some general advice on managing your stock for maximum efficiency.
5 Basic Rules for Stocking Your Tire Dealership
You understand your business better than anyone. However, it can help to get some advice from a respected wholesaler, who has the experience, as well as a broader view of the tire industry as a whole. Here are 5 tips from Tire World Exports. Read our blog for more facts, figures and advice about tires.
1. Research your Market
The best place to start is with your clientele. What kind of people make up the majority of your customer base? Take not of the kinds of cars that they drive. Even, better, ask them what they need and take note of the common answers. This will give you an accurate indication of which tires are most likely to be in high demand. If you very seldom deal with SUV drivers, then you don’t need to carry too much stock of the larger tires they require.
2. Cover the Main Bases
In addition to your research, you can use some basic market rules of thumb for your initial stock purchases. If the most common cars among your clientele are small passenger vehicles, then you can cover the bases by ensuring that you have the most appropriate tires for that type of car. You can then keep larger tires to a minimum, for example.
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3. Research the Best Brands
Study the brands available and work which ones will offer your clientele the most value. Some brands may be cheaper, but less durable, while others are more expensive but last longer. It is always best to have a wide range to offer your clients – just make sure that your sales staff can explain all the pros and cons.
4. Get Advice from The Wholesaler
While you should do your own independent research, your supplier will also be able to offer you a wealth of information and advice. Speak to their representatives at length about what other dealerships are doing, and which products are most popular in the market in general, and why.
5. Be Careful of Overstocking
As with any business, you always want to be somewhere in the middle between having too much stock and too little. Never having enough stock can drive customers away, while having too much can have a bad effect on your bottom line. Refer to point 2, and keep your bases covered. With tires that are less in demand, you can always place a special order as needed.
Stock Up on All the Tires Your Dealership Needs at Tire World Exports
Tire World Exports stocks all South African-manufactured tire brands for export. Contact us for more advice on the tire market and how to stock your tire dealership.