How to manage your tire stock

How to manage your tire stock

and ensure availability during the season

The tire changing season seems to surprise the drivers every year. Tire dealers, however, cannot afford to be caught off guard. Dealers need to be ready for the season no matter when it starts, so that they can ensure the best possible service to those surprised customers.

This means tyre dealers need to make sure their stock can match what the customers are looking for. And therein lies the problem: how to know what products and sizes the customers need? How to ensure that you have the needed amounts in your warehouse – not too many, not too few? Not only is good stock management necessary to serve your customers, but also to ensure your own profitability and the turnover rate.

3 simple tips for stock management

  • To maximize sales and productivity, make sure your product portfolio is straightforward. If you have a lot of brand choices in the same price range and the same sizes, your selection becomes scattered and difficult to manage.
  • Get to know the tyre size trends and study last year’s sales to make sure you have the most popular sizes available.
  • Always make sure the oldest products and models are sold out first. This way older models are not left taking up space in your warehouse.

Preparing for the summer tyre season

As mentioned above, knowing the tyre size trends is a big help when deciding what kind of stock to have. Traditionally, 195/65R15 and 205/55R16 have held a significant market share, but their demand is diminishing rapidly. In the future, they will be replaced with more and more tyres in the 17” and 18” sizes. Among other things, this is caused by the increase in the OE sizes for new cars, going even above 18”.

Also 17” UHP and SUV tyres are becoming increasingly more popular. It seems evident that smaller sizes are usually purchased for older cars, and those customers tend to go for the lower price point tyres. For newer cars, where the OE sizes are bigger, more and more consumers choose premium tyres. So, keeping those best seller UHP and SUV tyres in stock is a good bet for the coming summer season.