‘Car Dealers Ignoring Profit Opportunity’ Says Group Tyre

Those car dealers not offering a tyre replacement and fitting service are passing up a golden profit opportunity by not offering a one-stop service for fleet, business and private users, believes Group Tyre (UK).

Chairman John Church points out that dealerships are seeing their traditionally profitable sales opportunities, such as optional extras and accessory sales, being steadily eroded, as more and more vehicles leave the factory with higher specifications and features fitted as standard. Add to this the fact that service intervals are growing ever longer and it is easy to see that opportunities for profits are becoming more difficult to find.

Says Mr. Church: “It is surprising that dealerships have been so slow to realise the opportunity that is staring them in the face, as almost three years ago the AA’s head of business development warned that UK dealers should be selling and fitting tyres, but few have embraced the concept of additional activities. Selling and fitting tyres is undoubtedly the quickest and most effective single opportunity to increase after sales revenues and at Group tyre we are uniquely able to assist dealerships in setting up a profitable operation.”

The company offers a designated car dealer Support Team and is the supplier partner for a number of famous marques. The car dealer service includes specialised training, the supply of equipment and racking, stock control and monitoring, same-day delivery and on-going support.

Head of the dealership division is Terry Cuttell, who suggested that owners and fleet operators are looking to their dealerships to provide full after sales support and that includes tyres. He explains: “Drivers want to deal with the team who know their car and maintain it and not only understand its tyre requirements but also respect it during the fitting operation. The correct torque loadings for wheel nuts, care of expensive alloys and precision balancing are, quite rightly, areas of genuine concern.”