Big O Tires Franchise Owners Thrive in Massive Tire Industry
Tire franchise’s advantages help franchisees make mark in competitive industry. Here’s how.
As the only part of a car or truck that actually touches the road, tires are a necessity, not a want for any driver. According to the Automobile Aftermarket Industry Association (AAIA), replacement tire sales totaled $36.6 billion in 2012. Modern Tire Dealer estimates sales were $37.3 billion in 2013. That spending has generated plenty of competition for tire dealers. So, how does Big O help its franchise owners stand out?
Big O Tires franchise owners enjoy a wide range of advantages over independent tire dealers and large chains. First, Big O Tires has a stellar reputation that has been built by great franchisees for more than 50 years. There is no replacement for local owners who are involved in the community and know and care about their customers. Those relationships are one of the keys to the longevity of Big O’s customer relationships. Franchisees are focused on providing great customer service and keeping customers coming back for years and years. While customers fear being gouged elsewhere, they know that Big O will give them solid advice about what they need to do to keep their cars safe, what services they should plan for, and what they can do today to prevent costly repairs down the road.
Additionally, since Big O Tires has more than 400 locations (and its sister brands have a combined 2,700 locations), we enjoy tremendous volume buying power that drives costs down for our franchisees. That allows Big O Tires owners to have better profit margins while maintaining competitive pricing. Big O’s parent company, TBC Corporation, also provides continuous nationwide market research about how area competitors are pricing various tires. That marketing intelligence allows franchisees to adjust their prices, which is critical because most consumers research tire prices online before going to a store.
Big O also has dedicated warehouses to improve supply lines, and franchisees can ask the warehouse to automatically restock popular tire brands and sizes.
The tire industry has changed a great deal over the years, and selling and servicing tires has grown more complex because of vehicle electronics, tire-pressure monitoring systems, and a growing variety of tire sizes. Through group purchasing, Big O Tires can provide franchisees discounts on equipment and supplies so they can offer customers state-of-the-art technology and a broad range of products.
Helping to cement the company’s trustworthy reputation is its nationwide warranty. Even though you buy your tires at your local Big O Tires franchise, wherever you have a problem across the country, you can call Big O’s toll free number, 1-800-351-8545, and TBC Corporation will get you to the nearest shop — whether it’s a Big O Tires or a sister brand — and get you back on the road.
Further leveraging the power of its brand, Big O Tires has worked with manufacturers to make its own brand of tires and other replacement automotive parts, using specifications set by Big O Tires’ franchise advisory committees. That cuts the middleman out of the supply chain, which means savings for franchisees and customers.