How Does the Franchisor Support Big O Franchisees?
A look at the behind-the-scenes logistics operation that gives Big O stores an advantage
Big O Tire franchisees enjoy a special advantage in the market: As independent business owners, they are their own bosses and control the management of their businesses. But they also have a huge network of tire and retail experts at their disposal. Big O franchisees work together to protect and guide the brand, and their input determines the brand’s strategic direction — and they also enjoy the knowledge and resources of tire retail giant TBC Corporation, which also owns Tire Kingdom, Merchant’s Tire & Auto Centers, NTB, Midas, and SpeeDee Oil Change.
Here is some of the help that Big O Tires franchise owners can count on —resources that give our owners a huge leg up on other independent tire stores.
Research to keep your prices competitive:
Big O Tires customers are extremely loyal, but that doesn’t matter if your prices and deals aren’t compelling enough to bring customers in the first time. Most tire buyers research prices online. A typical first time customer may have heard great things about Big O, but they typically start the process by looking for the best deal on either discount tires or national brand name tires. Big O employs a team of researchers who analyze pricing trends in each of our franchisees markets and provide recommended pricing every week — and sometimes even more often. Franchisees are free to set their own prices, which are uploaded to Big O’s website so that price shopping consumers can check their local store and get the information they crave. At the end of the day, customers who come into the store often decide that a Big O brand tire offers the best value — but the initial price listed online is what earns the initial phone call to the store. An independent tire dealer doesn’t have time to research the pricing of hundreds of competitors.
Big O has five warehouses that are solely devoted to regularly supplying our franchisees. The warehouses are in New Albany, Indiana; Denver, Colorado; Salt Lake City, Utah; Phoenix, Arizona; Mira Loma, California; and Benicia, California; and they typically provide deliveries twice a week to most Big O stores, and daily deliveries in many areas. The company’s logistics operation strives to always have the inventory your customers need. Big O tap national databases to see which cars are on the road in your area and the age of vehicles. It uses that information as well as an analysis of your existing store stock to offer to automatically restock your store with the tires your customers are most likely to order. Big O’s scientific approach takes the guesswork out of managing your inventory, lowering your costs and helping you maximize profits. Franchisees can also place orders for specific tires that customers need. Our warehouses carry thousands of different tires, so if you get a call from a customer who needs an unusual size — like a 185/55/16 for a Honda Fit Sport — you can have the right tires quickly delivered to your store.
The ability to see the future:
Okay, not literally. But since TBC gathers so much data about the vehicles on the road, Big O can spot when a particular vehicle becomes popular — and we plan ahead. That odd-sized tire we mentioned above? If the 2014 Honda Fit Sport suddenly becomes one of the most popular cars in America, we’ll spot the trend and start the process of creating a Big O branded 185/55/16 tire! Three years from now, a lot of those 2014 Honda Fits will be needing new tires, and we’ll have the inventory ready when they roll into your shop for the first time.