Michelin Aims to Double Malaysian Market Share

Amongst Michelin’s plans in Asia is a doubling of market share in Malaysia. Yves Pouliquen, managing director of Michelin Malaysia Sdn Bhd, reports the more than 1,000 outlets selling Michelin tyres throughout the country hold a ten per cent share of the market, and the tyre maker’s goal is to “grow that to 20 per cent.” One means the company has of increasing its presence in Malaysia is via the expansion of its Tyreplus network of independent tyre retailers. A year after its initial Malaysian market debut, the national Tyreplus network contains eight outlets, and Michelin plans to increase this to 50 centres by 2013 through a project Pouliquen says will cost some RM10 million (£2 million).

“We’re looking at setting up these stores in key locations throughout the country and hope to reach out to customers within the passenger car segment. We’re targeting to set up four more Tyreplus outlets by year-end,” Pouliquen told local media. The investment will cover the costs of establishing the outlets plus staff training, marketing and software development. “We need to ensure that the outlets are equipped with the best equipment and well trained staff so that the customers can be well taken care off,” he commented.

According to Pouliquen, Tyreplus outlets currently contribute around 10 per cent to Michelin Malaysia’s total sales. “We hope to have the Tyreplus outlets contribute as much as 30 per cent to sales in three years,” he said. Unlike many manufacturer backed networks, Tyreplus operators are free to offer other brands of tyre; according to Pouliquen, the only restriction they face is an understanding that at least half the products and tyres offered at the outlets must be Michelin items. “The reason why the outlets offer other brands as well is because we want to offer our customers more choices,” he explained.