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Bridgestone Acknowledged for US Recycling Initiative

As a member of the US Environmental Protection Agency’s (EPA) National Partnership for Environmental Priorities (NPEP) programme, Bridgestone’s BFS Retail & Commercial Operations, LLC (BFRC) was honoured recently at the WasteWise & NPEP Conference for recycling some 145,000 kilograms of lead from lead wheel weights in 2007.

In addition to its ongoing efforts to further reduce the impact of lead on the environment, BFRC launched a US-wide environmental initiative in January 2008 to install non-toxic steel wheel weights instead of lead weights in its customers’ vehicles. BFRC, a member of the Bridgestone Americas (BSA) family, was the first of the major chains in the automotive repair industry to make the switch to steel wheel weights in this market. All of BFRC’s approximately 2,000 US automotive service store locations are switching to more ecologically sensitive, non-toxic steel weights, replacing millions of lead wheel weights each year.

7th November 2008/by Tyrepress Editors

Dekk Partner Develops New Structure and Marketing Strategy

While there are a few retail chains such as Dekkman and Vianor operating in Nordic markets, the majority of tyre sales are down to a considerable number of independent operators with one or two depots. For most of these as much as 60 per cent of annual tyre sales are compressed into the four month period leading up to the onset of winter. This figure is higher in the North, where the winter season is both longer and harder. High transport costs, extreme seasonal business and little chance of same day deliveries means that high stock levels are usually required at each retail outlet. Despite these difficulties the independents are generally faring better than the equity chains.

Increasingly, independent tyre retailers in Nordic countries are joining what is now recognised as the leading buying group in the region and one of the most progressive international tyre buying groups; Dekk Partner, founded in 1994.

30th October 2008/by Tyrepress Editors

Grouptyre to add Value through Service Initiative

In 14 months of Peter Harries’ leadership, Grouptyre – the UK’s leading independent tyre wholesaler – enjoyed sales growth in excess of 15 per cent. Attempting to continue this period of growth is Grouptyre’s new MD, Karl Naylor (see page XX) who has worked as the company’s director of commercial operations since 2005. He and the company remain committed to supporting manufacturers and meeting the needs of independent retailers, national account customers and franchised dealerships by improving service levels and adding value throughout the supply chain.

Grouptyre, with its network of 13 members in 33 UK locations (including Northern Ireland), is convinced of the key role it plays within the industry, presenting the wholesaler as “a buffer to smooth availability peaks and troughs.” Since manufacturers produce in batches and cannot afford to hold all products in stock at all times for on-demand orders, they require an intermediary to ease stock congestion. In addition, retailers have neither the space nor the financial muscle to carry all suppliers’ products for on-demand orders. However they do require a readily available supply of the tyres they do not stock, along with a fast and frequent delivery service, to secure consumer sales.

2nd October 2008/by Tyrepress Editors

Virtual Margins in the online tyre business

In recent years the online tyre market has swollen in size (as observed in other retailer sectors). Whilst the proportion of the total market controlled by this sector remains limited, the fact that the number of different e-tail platforms is continually proliferating means online sales could already account for as much as 3 per cent of the European replacement market. With this in mind, knowing more about how these businesses operate is of interest to everyone in the tyre trade.

The latest insight is that the average tyre offered for sale online costs consumers around £69.14, meaning the myth that ‘virtual’ margins are too thin to make business sense could be evaporating. However, the most commonly offered tyre online is characterised as a mid-range brand costing around £60. It seems making money online is all a question of business model.

30th September 2008/by Tyrepress Editors

Proposed Australian Regulation Encourages Winter Tyre Use

The high number of crashes occurring above the snow line in alpine regions of Australia has prompted one Australian state to propose a regulation making the fitting of 4×4 vehicles with winter tyres or snow chains compulsory. The regulation, proposed by the Roads and Traffic Authority (RTA) in New South Wales, would be enforced between June and October and covers the nation’s heavily visited ski areas.

25th September 2008/by Tyrepress Editors

MAM to Target Tyre Market With Appointment

MAM Software is aiming to target the tyre market following the company’s appointment of Graham Dunford as a new Senior Sales Manager for its Autopart ERP solution. Dunford will spearhead the company’s drive into the tyre market, with a focus on increasing its penetration of the retail, wholesale and fast-fit sectors.

MAM Software is reportedly the largest provider of distribution and retail ERP solutions into the automotive aftermarket and has already established a significant user base in the tyre, fast fit and repair sector. As well as supplying national chains such as Formula 1 Autocentres, Mr Clutch, Wilco Fastfit, LSUK and Just Car Clinics, MAM also supports several well-known regional tyre companies and exhaust distributors including CES, Goodtread and Cooper Brothers.

15th August 2008/by Tyrepress Editors

Birmingham Trading Standards Calls for Closer Tyre Repair Controls

Officers from Birmingham City Council’s Trading Standards have called for greater controls on tyre workshops in the city after some were reportedly found to be performing unsafe repairs. This demand was made following a free two-day training course, during which workshop staff failed to correctly repair more than half the punctures they were presented with.

23rd July 2008/by Tyrepress Editors

Goodyear Dunlop MD Discusses HiQ, Christian Salvesen and the Truck Tyre Business

Having spent 17 years working for Procter & Gamble in both national and European positions Mark Brickhill became Goodyear Dunlop UK managing director in May 2007. What followed was something of a steep learning curve. Headhunted from a senior management position overseeing laundry products in Geneva, it was only a matter of weeks before he faced the new challenge of tyres. One year on, and set against an impressive global Goodyear recovery, Tyres & Accessories met Mark Brickhill at the company's Tyre Fort headquarters in Birmingham and asked: How is the UK turnaround going?

Arriving at Tyre Fort in Birmingham, the first thing you notice is the still gleaming Norbert Dentressangle logo that now hangs on the adjacent distribution centre (the Goodyear and Dunlop brands on the side of the huge building excepted). Less than a month after his appointment as general manager was made public, Mark Brickhill encountered something of a sea change in the company's newly revamped distribution setup. In January 2006 Goodyear Dunlop decided to hand over the warehousing and delivery control of most its products to a third party logistics company (3PL). The idea was for Goodyear Dunlop and Christian Salvesen (as it was then) to work together to improve efficiencies and costs for everyone involved. To say feelings about this move in general were mixed would be something of an understatement. And to say the service wasn't as good as all the respective parties had hoped for would be similarly wide of the mark.

21st July 2008/by Tyrepress Editors

Truck Force Turns a Corner

Goodyear Dunlop’s detractors would have the truck tyre market believe that there are serious problems in the company’s commercial vehicle department. Goodyear Dunlop UK, managing director, Mark Brickhill, however, paints quite a different picture. In a recent interview with Tyres & Accessories (to be published in our August magazine) Brickhill gave details of progress in the truck business. Firstly, Brickhill told T&A that Truck Force is already showing signs of being a turnaround success story.

Since the commercial vehicle retail arm separated from the HiQ passenger retail business, and the two chains were each allowed to follow strategies tuned to the respective business areas, both operations appear to be better off. Perhaps the best sign of this is the fact that Truck Force, which was once a significantly loss making operation, is now at breakeven and on schedule to enter profit in 2009. But this doesn’t tell the whole story. From Mark Brickhill’s point of view, the fact that Truck Force has evolved into a service-led operation has had much to do with its improved performance.

21st July 2008/by Tyrepress Editors

Olympic Spirit

Attending the Essen show reminds you just how much trends change. This year there was less emphasis on size and performance, and much more on green issues (see page 52 onwards of the forthcoming July edition of Tyres & Accessories for comprehensive coverage). And yet as many budget tyres are being imported from the Fast East and China as ever. Seeing as I am on the subject of Essen, take the German market for example: here the budget segment has doubled over the last decade and now holds a 31 per cent share of the summer PCR market, according to 2hm & Associates. And while the share of budget summer tyres has doubled over the past 10 years, the share of premium products has fallen to 39 per cent from 50 per cent during a decade. The same analysts put this trend down to Germany’s ageing car parc – the average age is now 8.2 years compared with 6.2 years old a decade ago. Something similar is happening in the UK market with the familiar 40:20:40 (Premium:Mid-range:Budget) boundary lines being continually blurred.

So increased demand equals increased supply from the Far East does it? That’s how it used to work. And there are certainly more radials being exported from China than ever before. Just look at the record number of radial imports into markets like India. As a direct result of this, certain segments are finding it increasingly difficult to source what they are looking for. This is the other side of the supply and demand coin.

The situation is further complicated by China’s willingness to do almost anything to strengthen its place on the global trade map through a successful Beijing Olympics – a policy that has the knock-on effect of complicating various supply chains in the process. Basically it comes down to factory output and China’s national stance on green issues: “Quick tidy up we have got visitors.” The current situation is that the government of the People’s Republic has taken draconian steps to rein-in factory emissions during the countdown to Beijing 2008. And not everyone is aware of the effect this is having on parts of the tyre market.

You see, the name ‘Beijing Olympics’ is actually something of a misnomer. In fact, the 2008 event will actually spread across large parts of China – as far as major tyre producing cities such as Qingdao (which will host the sailing events). This means some factories have had to reduce production from three-shift patterns to just one. And of course this means product output has also followed suit. The result is that some factories only have enough capacity currently available to fulfil their OE commitments and so are prioritising this above export and aftermarket sales.

Here’s one (real life) example of what this means for purchasers from the world of ply wood. Customer X places an order, but due to government restrictions the company involved cannot supply the customer with the product on time. However, despite placing the order in good faith, customer X is also facing difficulties getting his money back because the supplier is either unwilling or will only do so at the current exchange rate. This puts customer X between a rock and hard place. He either has to wait till after the Olympics to get the plywood he has already paid for, or take a hit on the foreign exchange rates. Either way he and his customers ultimately lose out from China’s bid for Olympic glory.

10th July 2008/by Tyrepress Editors

Techking Tires: New Products, Technology and Services in 2008

OTR tyre specialist Techking Tires came to the Reifen Essen show armed not only with new products, such as the 335/80R20 MPT (Multiple Purpose Tire) – the Chinese company brought news of impressive growth and numerous new programmes it is introducing. Techking marketing specialist Benjamin Zhang reported the latest developments to T&A.

“We have set up six private meeting rooms for existing and new customers at our stand,” he said. “For the whole week they are always busy.” This is hardly surprising considering Techking’s explosive growth during the past few years. Evidence of this can be seen from the fact that in 2006 Techking had 5 tyre specifications. Today it has 140, in 20 individual patterns. All tyres are manufactured at the company’s 35,000 square metre Dongying, Shandong Province factory, which was built in 1994.

Amongst Techking’s new offerings for 2008 are combined tyre and rim combination packages. “This has come as a result of customer feedback,” explains Mr. Zhang. “Customers asked for a tyre/rim package. It is easier for us to choose the right rim for a particular tyre.” The Techking marketing specialist reported that the building of a new 330,000 square metre factory for manufacturing OTR and TBR rims is currently in progress, The facility is due to be completed at the start of 2009 and within three years a capacity of 50,000 to 70,000 pieces per annum is planned.

Also new is Tire Watch, Techking’s TPMS project initiated last year. Testing for the Tire Watch project will continue until July and its market introduction is not far off. Tire Watch, Mr. Zhang explains, offers real time monitoring of tyre pressure. A third new product from Techking, introduced this year, is Tire Armor, protective chains for loader tyres, that can be easily damaged on rocks. “New items such as Tire Armor show we not only provide products; we also provide solutions,” said Mr. Zhang.

Yet another significant development for Techking is the introduction of the TSC – the Techking Service Center – Techking is building showrooms in conjunction with local partners in key markets and will provide training to local dealers. The TSCs will offer maintenance services and advice on correct tyre choice, while enhancing the Techking brand image in various local markets. “We have chosen Europe, Africa and Australia as the markets in which to begin rolling out the TSC concept, as in these regions we have stronger partnerships with local dealers,” Mr. Zhang added. The first TSC is scheduled to open in July 2008, and in addition to these centres the company continues to visit its global partners on site. In 2007 Techking representatives visited 50 such partners in various countries.

Techking tyres are sold in approximately 55 markets around the world, with Europe, South Africa and Australia the strongest. European sales account for 25 per cent of the total, Mr. Zhang comments, and currently South Africa is the market undergoing the fastest growth. A new market for Techking is Russia, and it is one that, says Mr. Zhang, presents its own challenges: “It is a different situation from our traditional key customers. The market in Russia is mostly for bias tyres, radials are only being introduced. In Russia we provide potential customers with our ‘Fuel Save Technology’ programme, which includes statistics on the fuel saving benefits of radial tyres.”

On the topic of world markets, much has been said recently about the US decision to impose duties upon Chinese manufactured OTR tyres. While Mr. Zhang confirms the duties charged on Techking products are not as high as for some other Chinese based manufacturers, he admits the US remains a smaller market for the company.

After conquering numerous world markets, Techking is now making itself at home, in its home market. In a situation that is completely in reverse to most Chinese manufacturers, Techking, a traditionally strong exporter of radial products, has only very recently launched its products onto the domestic Chinese market. “Most Chinese mining companies still use bias tyres,” Benjamin Zhang explains. “Most sales in China are for overseas brand equipment. We hope this situation will change soon but realise it takes time to adopt radial technology.” Even more amazingly, in April 2008 the company that has for so long embraced radial technology launched a range of bias OTR tyres. “The first tyres produced after heavy involvement from Techking will serve OE manufacturers in the domestic market,” stated company president Tech Wang in a Techking newsletter. A company representative further comments on the decision to introduce this older technology. “We are not in pursuit of high volume. We feel that giant bias OTR is a necessary supplement to the market at the moment.”

The testing of such new giant OTR tyres, like all the Techking range, can be performed on the company’s drum test machine, which can test up to 63-inch tyres; Techking is the only Chinese manufacturer to have such a machine. And in terms of tyre development, the process at Techking is very customer centred, adds Mr. Zhang: “Techking collects research and development feedback from different markets, and develops custom products for key markets, such as the 29.5R29 ETNT for Canada or 35/65R33 ETNT for Australia.”

26th June 2008/by Tyrepress Editors

TYM International Secures UK Techking OTR Franchise

TYM International recently reached a distribution agreement with Techking Tire Ltd that will see the Kings Lynn-based company distribute Techking OTR tyres in the UK. The distribution agreement follows discussions between Steve Eke (TYM International) and Techking’s Keith Johnston and James Wang in London and at the recent Essen show. Distribution of the new range will become effective in July 2008.

Commenting on the announcement, TYM International representatives said they will make sure that the UK becomes a successful market for Techking in the future: “We at TYM International are committed to offer the best possible service to each and every customer that uses the Techking product. We have a vast amount of storage space allowing us to stock more tyres and the sizes that are needed here and now in the UK market.”

16th June 2008/by Tyrepress Editors

Top 3 Retailers Go Tyre Shopping at Bandvulc

Having just been awarded another long term contract with a major national food retailer, Bandvulc Tyres now manage and/or supply the top three supermarket chains in the UK. According to the company, Bandvulc tyres are now used on almost 65 per cent of all the grocery deliveries within the UK.

Philip West, Sales Director of the Bandvulc Group commented: “Expertise, delivery and a sense of quality in everything we do is what differentiates us from the major tyre manufacturers and competition. I suppose our ethos is the same as our customers’, to deliver quality products and services on time. Through our network of partners we have been successful”.

6th June 2008/by Tyrepress Editors

Making OTR Tyres Last Longer

The ongoing global off-the-road (OTR) and earthmover (EM) tyre shortage continues to cause headaches for the quarrying and mining industries. Woeful tales of expensive tyres, big machines standing idle, lost production and reduced revenues come from all corners of the world – all for want of the right tyre. That’s why this month’s OTR and EM tyre feature sees Tyres & Accessories explore the range of options available for those seeking to help their customers keep their OTR machinery going.

The problem appears to be particularly acute in the largest tyre sizes. As a result some of the larger mining companies have been switching to using 180 tonne rather than 240 tonne trucks as the tyres are more easily accessible. Others are said to be in the process of trialling enormous 260 tonnes trucks as a way of cancelling out the productivity deficits they have encountered due to idle machinery. But all these are costly, time consuming and ultimately temporary fixes. Wouldn’t it just be better to make your existing casings last that bit longer?

Naturally, a great deal has been written about measures being taken to beat the problem. Some operators are hoarding tyres, some are fitting the next best size, some try second hand tyres (with one mining company getting stung by importing 144 dud end-of-life OTR tyres), while still others are reportedly running treads down to minus 5 per cent. There are other ways. Here are some examples of the key methods T&A has encountered.

Retreading: Vacu-Lug Adapts Fleet Experience for OTR Applications

Vacu-Lug Tyres is one example of a company that has been putting its experience in general fleet management to good practise in helping OTR operators lower their overall costs. “In essence it is simple; buy a good quality new tyre, ensure good tyre maintenance and then you will have a good quality casing to retread and greatly extend tyre life,” explained Billy Dillon who looks after a number of Vacu-Lug’s key OTR fleets. Vacu-Lug has adapted the processes and systems it developed for tyre management on the 30,000 vehicles and trailers it currently looks after to help maintain any type of fleet. According to the company, in the first instance it is essential to start with a good quality new tyre. Yokohama has just introduced a new radial 29.5-25 RT41 to the UK market. Following the introduction of the new RT41, 2400-35 and 2700-49 sizes are expected in due course. Whilst Vacu-Lug is obviously keen to offer products from its Yokohama range, the company also maintain fleets that use products from the other main manufacturers.

Vacu-Lug managing director, Tim Hercock explained that, in his opinion, most of the imported economy products that have entered the market in recent years are not suitable for retreading: “Their manufacturers have to save money somewhere and most have done so in the casing construction. They are essentially one-life tyres and whilst initially cheaper to buy will prove costly in the long-term. The products need replacing more frequently, and without retreading, disposal costs can climb. With a good quality new tyre and the right choice of retread it is possible to reduce operating costs by at least 20 per cent.” According to Hercock, it is important to change the new tyre early enough to ensure a second life – trying to squeeze the last few hours out of a large tyre carrying 50 tonnes can prove a costly exercise if the added strain damages the casing.

The choice of retread material is important and the solutions open to customers have grown in recent years. pre-cure has become more popular and at Vacu-Lug is now available for some of the largest sizes such as 2700-49. Those operators who manage their casings properly can be confident of the same casing being returned to them through the pre-cure process. “It is vital to ensure the right pattern and compound is used relative to the end-use and this is where a good dialogue with the retread manufacturer is important. The wrong choice can severely reduce operating hours and impact on other performance characteristics,” Tim Hercock continued.

Given Vacu-Lug’s strong position managing truck fleets in the waste industry, it is not surprising to find that many of these operators rely on them to manage their plant and machinery. The tough terrain and conditions on landfill and associated sites can cause rapid wear and high damage. Polyurethane tyre fill has traditionally been seen as the best way to reduce damage and prolong tyre life and Hercock points out that filled tyres are still suitable for retreading.

The global demand for OTR tyres has acted as a catalyst for some major changes and combined with ever increasing cost pressures most users have been forced to re-think their purchasing options. From Vacu-Lug’s position, the key to controlling operating costs is to have a properly worked out tyre management policy and a good working relationship with the right retread manufacturer.

Flat-Proofing: Zeus Triofill ‘Revolutionising’ Tyre Fill Market

Mention flat-proofing and names like Arnco and Carpenter spring to mind. In Europe the Zeus brand is right up there with them, but T&A has it on good authority that the new Zeus Triofill brand of flat-proofing is already making an impact on the market.

Triofill’s unique feature is that it is based on an innovative three component structure. Most tyre-fills are made up of two different types of polyurethane. Triofill adds a third element – that of granulated rubber, which according to the company, dramatically enhances its performance characteristics, particularly its physical strength. Rösler managing director, Martin Rösler explained that Triofill is greener, cleaner and more cost efficient, offering a greatly improved overall performance.

The new system features a completely redesigned pumping machine. It is also the first electrically driven tyre filling system of its kind, which is quieter and solvent free. According to the company it is easier and quicker to clean, more environmentally friendly and over 10 litres a minute faster than traditional pumps. The new Triofill system includes a flow metre that measures the exact content of the tyre to avoid over-filling, eliminating the need for weighing scales.

The clever thing about the Zeus system is that it runs in a very sound, environmentally friendly, closed loop model. This means that after virgin Triofill flat-proofing material is produced and used for the first time the company collects what would otherwise be a waste product and re-supplies to the customer for a reduced cost. This concept not only means the customer saves on the cost of flat-proofing their next tyres, but also helps the environment because there is not waster – and crucially – no environmental disposal charge.

How does using fill affect performance? The answer to that is a question of perspective. While it would be true to say that using fill (of any kind) reduces load carrying capacity and causes higher fuel consumption in some instances, most modern machinery operates in such a way that it the performance differential isn’t really noticeable. Compared with the huge problem of downtime, this theoretical negative could be considered as relatively insignificant.

From the Zeus perspective, Triofill represents the next generation of fill, in terms of the product’s design its method of application and the closed loop environmental model that surrounds it. The new method employs a completely different formulation that uses an entirely different approach to raw material usage. This is particularly revolutionary in the tyre-fill part of the market because the technology behind the majority of the differing products available has remained largely unchanged for the last couple of decades. Add to that environmental angle and increasingly green-conscious businesses are likely to be interested in a product that claims to tick all the boxes.

The Zeus brand of tyre fill finds its roots in the Dortmund-based Rösler group formed back in 1960 where it began life as a family based, local retreader to the European EM Tyre market. In the late 1970s when flat-proofing products first came to prominence, Rösler started making headway into researching the best way develop a product of its own to compete in this market. At the time the company started as it meant to continue, designing a product that was softer and more flexible than the competitors of the day. This suited the popular soft-sidewall Michelin radial EM tyres that dominated the market at the time, giving Zeus a competitive edge in Europe and providing the business inspiration for the company’s current progress.

Chains: RUD-Erlau Claims its Metal is Best Defence Against Tyre Damage

Tyre Protection Chains don’t need much explaining. The basic concept is to put a one-off investment into wrapping up tyres with chain and keep the tyres going longer by preventing the offending sharp waste, rock or ice from penetrating the tread or sidewall rubber. RUD-Erlau Group claim to be world market leader in this field with a 65 per cent share of the global tyre protection chain market, T&A got in touch to find out more about the humble chain.

Tyre Protection Chains (TPCs) were first developed in the fifties to meet the needs of the wheeled loader by specialist chain maker RUD-Erlau based in South East Germany. Over the years, the basic anti-skid snow chain has evolved in a more advanced tyre defence product in addition to a traction aid. As a result the company’s products can be found in mines and quarries across the globe – producing limestone in Europe, copper in Chile, iron ore in Australia and diamonds in Africa.

Where traction and manoeuvrability is a problem open-mesh TPCs are recommended to increase grip on the road surface. According to the company, the result is “more sure-footed operation and eliminating danger to personnel and property and reducing driver fatigue.”

In relatively dry conditions RUD-Erlau’s TPCs offer varying degrees of protection to match the environment. Stockpiling operations may require the light touch of open-mesh ring system. While close-meshed, case-hardened TPCs with full side wall protection enable loaders of all sizes to go fearlessly into the most extreme mining conditions. In fact, the RUD-Erlau is so confident of the level of protection its products offer company representatives showed T&A photos loaders fitted with Erlau TPCs running on flaming hot and cold steel slag.

The OTR tyre shortage has meant fitting TPCs makes financial sense in a much wider range of off-road quarrying and mining applications. The thinking is, why complicate your life, evaluating and experimenting with other solutions when, instead of hunting for suppliers and laying out good dollars on new tyres at inflated prices a one-off investment in some chains could potentially part worn tyre life indefinitely?

While figures vary from case to case RUD-Erlau gave a few interesting case studies: Amongst them it is interesting to note that a CAT 988B loader running on 36/65-33 DT’s in a German limestone quarry was getting through a set of tyres every 1200 hours at a cost to the operator of US$37,615 per set or US$31.35 every hour. For an investment of $56,200 the company fitted a set of RUD-Erlau Royal X16 TPCs, which extended the tyre life to 12,000 hours and reduced tyre costs to $3.13 per operating hour. Factoring in a conservative chain life of 10,000 hours ($5.62 per hour) the total hourly cost dropped to $8.75 – a saving of $22.60 (72%).

2nd May 2008/by Tyrepress Editors

RUD-Erlau Delivers World’s Largest OTR Tyre Chains

Following the recent completion of a three year expanion and modernization programme of its Aalen, Germany, tyre protection chain (TPC) production facility; RUD-Erlau delivered and installed two full sets of the world’s largest TPCs last month. Called the R 75S Plus the TPCs have gone into service in both Europe and North America.

In Europe the R 75S Plus are protecting all four 52/80–57 tyres on a CAT 994 loading limestone. The other machine to be shod with R 75S Plus is a giant LeTourneau 1850 working iron ore in North America.

1st May 2008/by Tyrepress Editors