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My shop is in a working class neighborhood where used tires are in demand for a lot of individuals and families. Even the higher income individuals are still seeking deals for tires on seasonal wheels. Used tire shops are not a rarity around here, but most are run out of small buildings with tire removal done in the parking lot.
I bought the tire machine to do new tires on, but I was scoping out other shops a few days ago, and the new tire/light service shops are empty (Monroe, Midas, other independent light service shops), and the few shops doing used tires are packed. I know the used tire shops do not pay more than $5 a tire from the supplier, and sell them installed for $35-$45 for most cars, with larger truck tires obviously being more.
I know new tires are a better value, but the market in the area demands what the market in the area demands. I've been swamped all week so I have not had time to even think of searching for suppliers until I put up this post, but I am going to do some research on it hopefully in the middle of next week.
The kicker is, when I did speak to one NEW tire supplier, there is more room left for profit in a used tire install then on most new tire installs (based on local rates).
- 8 months later...
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I’ve run a general repair shop for 35 years and became a small associate tire dealer about 5 years ago. We do not sell used tires for same reasons most of you have already listed. #1 used tires are a liability that sooner or later will bite you in the butt…….and believe me now days law suits abound. #2 like someone said a used tire customer is not going to allow you to do any other services nor will they likely be a repeat customer. #3 why compete with my own new tire sales? I do not begrudge anyone that wants to sell used tires and I understand there are lots of folks that need to save money the best they can....but I just don't think it fits my business model.
I did not like doing tires because the capital I had to tie up was pretty high for a negligible return. I even used to tell my customers to buy the tires from tire rack and had them deliver to the shop.
I spoke to a good friend of mine and he suggested to work out a deal with a local tire warehouse. My guy carries the inventory and I mark up the tires 33%. It is working out pretty good so far.
- 3 weeks later...
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It's fine to sell used tires, but we live in a world where liability is the magic word! Insurance companies hate the used tire industry, I've learned. We repair professional love the word practicality, tho, but we can't let the desire to be practical carry us into a problem situation.
We have to come to grips with the way the general public thinks about things like this. Just because you helped them out in a pinch doesn't say they can't sue you for something that is perceived to be your fault!
In my shop, we sell a few new tires. Also tire repairs and mounting and balancing the customer's used tires that they roll in. It's a service that we use to connect with existing and future customers.
My theory is that if I can keep busy and make a living doing mechanical repairs and servicing without the exposure of a used tire depot, why bother with it?
Regards,
Jonny
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I read the entire topic tonight and found a lot of opinion but little in the way of experience. I am sure a case can be made for liability in selling used tires but history proves that more lives have been taken and money judgements rendered where new tires that failed are the root of the case. I really don't understand the politics in the cases for a ban on used tires in Maryland, Florida, New York and Texas. I do know the legislation in Texas is more about the transportation of WASTE tires similar to those rules in most states and in Maryland the case was being made for the date of manufacture of a tire. Unfortunately, legislators have less experience with tires than auto shop owners who might be thinking about selling tires. When I started selling used tires they were made with Rayon cord and had a very short tread life. Nylon made a much stronger tire and doubled the mileage. The sidewall of a nylon bias ply tire could be very cracked from ozone exposure and continue to run for years but averaged about 30,000 miles total. As radials became more popular due to a smoother ride and longer mileage we learned that the sidewalls did not last after some aging began to crack the rubber. The six or seven years considered in those bills is not unreasonable for most radial tires but should not apply to all tires used on or off the highway. Some of the legislation being considered is directed at the repair of tires which I think expose a dealer to much greater liability. I sell repair material to my used tire dealer/customers and insist they take hands on training to properly repair a tire. I do not sell plugs despite my supplier insisting they can be a great time saver.
Someone mentioned a disclaimer in selling used tires and I want you to know my business has been built on a "no questions asked 30 day guarantee". I will not sell any product I can not stand behind.
] My feeling is that people who are looking for used tires are not the best candidates to up sell.
Exactly my thought. And besides that, EVERY used tire is someone else's reject. The key question is why? I don't sell tires but I strongly discourage my customers from seeking rejects.
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Have you checked out Joe's Latest Blog?
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By Joe Marconi in Joe's Blog5 commentsI recently spoke with a friend of mine who owns a large general repair shop in the Midwest. His father founded the business in 1975. He was telling me that although he’s busy, he’s also very frustrated. When I probed him more about his frustrations, he said that it’s hard to find qualified technicians. My friend employs four technicians and is looking to hire two more. I then asked him, “How long does a technician last working for you.” He looked puzzled and replied, “I never really thought about that, but I can tell that except for one tech, most technicians don’t last working for me longer than a few years.”
Judging from personal experience as a shop owner and from what I know about the auto repair industry, I can tell you that other than a few exceptions, the turnover rate for technicians in our industry is too high. This makes me think, do we have a technician shortage or a retention problem? Have we done the best we can over the decades to provide great pay plans, benefits packages, great work environments, and the right culture to ensure that the techs we have stay with us?
Finding and hiring qualified automotive technicians is not a new phenomenon. This problem has been around for as long as I can remember. While we do need to attract people to our industry and provide the necessary training and mentorship, we also need to focus on retention. Having a revolving door and needing to hire techs every few years or so costs your company money. Big money! And that revolving door may be a sign of an even bigger issue: poor leadership, and poor employee management skills.
Here’s one more thing to consider, for the most part, technicians don’t leave one job to start a new career, they leave one shop as a technician to become a technician at another shop. The reasons why they leave can be debated, but there is one fact that we cannot deny, people don’t quit the company they work for, they usually leave because of the boss or manager they work for.
Put yourselves in the shoes of your employees. Do you have a workplace that communicates, “We appreciate you and want you to stay!”
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By nptrb
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By mikezat
Hi! I got a bunch of engine and cabin filters - leftovers from my store. What's the best way to get rid off the inventory? eBay sales are slow and not an option due to the time it takes to list a filter and due to expensive cost of shipping.
Many thanks in advance,
Mike
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By carmcapriotto
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
Click here to learn more about Top Tier Marketing by Shop Marketing Pros and schedule a demo:https://shopmarketingpros.com/chris/
Check out their podcast here: https://autorepairmarketing.captivate.fm/
If you would like to join their private Facebook group go here: https://www.facebook.com/groups/autorepairmarketingmastermind
The Weekly Blitz is brought to you by our friends over at Shop Marketing Pros. If you want to take your shop to the next level, you need great marketing. Shop Marketing Pros does top-tier marketing for top-tier shops.
Click here to learn more about Top Tier Marketing by Shop Marketing Pros and schedule a demo:https://shopmarketingpros.com/chris/
Check out their podcast here: https://autorepairmarketing.captivate.fm/
If you would like to join their private Facebook group go here: https://www.facebook.com/groups/autorepairmarketingmastermind
In this podcast episode, Coach Chris Cotton from Auto Fix Auto Shop Coaching hosts a conversation with Coach Al and Kevin, a service manager, about the importance of team culture in an auto repair shop. They share their experiences with team-building activities like axe throwing, camping trips, and Christmas parties, emphasizing how these events enhance employee relationships and work dynamics. The discussion also covers their thoughtful approach to hiring and the necessity of appreciating staff. Coach Chris admires their methods and reflects on the value of investing in employees, while Coach Al highlights the inclusion of these practices in their hiring process to attract and retain a committed workforce.
Culture and team building exercises (00:01:00) Discussion about the importance of culture and team building exercises in the auto repair shop industry.
Creating a positive culture (00:02:50) Description of the strong chemistry and positive culture in the shop, emphasizing the importance of mutual support and camaraderie among the employees.
Hiring process and culture fit (00:03:54) Insights into the hiring process, including assessing candidates for their skills and cultural fit through interviews and observations.
Annual Christmas party and other events (00:06:02) Details about the annual Christmas party and other team-building events organized throughout the year, such as axe throwing and other outings.
Christmas party preparations and employee appreciation (00:08:00) Discussion about the process of selecting personalized gifts for employees, the budgeting for the party, and the significance of showing employee appreciation.
Appreciating employees through events (00:11:15) Explanation of the financial investment in employee appreciation events, such as the Christmas party, as a reflection of the shop's commitment to valuing and retaining great employees.
Camping trip tradition (00:16:24) Origins and evolution of the annual camping trip, including the planning process, activities, and the inclusive nature of the event for employees and their families.
Inclusive camping trip and its cost (00:19:07) Inclusion of employees' families in the camping trip and an overview of the costs associated with organizing the event.
Maintaining order during the camping trip (00:20:32) Anecdote about managing noise levels and potential disruptions during the camping trip, highlighting the challenges of organizing a large group event in a campground setting.
Camping Trip Planning (00:21:57) Discussion on the timing and survey process for the annual camping trip organized for employees.
Employee Bonding (00:23:50) Kevin emphasizes the positive impact of team-building events on employee relationships and work dynamics.
Investing in Employees (00:25:27) The importance of investing in employees and showing appreciation for their efforts is highlighted.
Recruitment Strategy (00:26:05) Incorporating team-building events into recruitment discussions to emphasize employee appreciation and engagement.
Connect with Chris:
[email protected]
Phone: 940.400.1008
www.autoshopcoaching.com
Facebook: https://www.facebook.com/
AutoFixAutoShopCoachingYoutube: https://bit.ly/3ClX0ae
#autofixautoshopcoaching #autofixbeautofixing #autoshopprofits #autoshopprofit #autoshopprofitsfirst #autoshopleadership #autoshopmanagement #autorepairshopcoaching #autorepairshopconsulting #autorepairshoptraining #autorepairshop #autorepair #serviceadvisor #serviceadvisorefficiency #autorepairshopmarketing #theweeklyblitz #autofix #shopmarketingpros #autofixautoshopcoachingbook
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
On this Episode of Business by the Numbers, Hunt reflects on his time at the STX conference in Nashville, sharing stories about the connections made and lessons learned from industry experts.
• Economic News Breakdown: We get into the latest economic updates that dropped last Wednesday. Hunt breaks down what these changes in numbers might mean for your wallet and business this year, especially when it comes to interest rates.
• Tax Talk and Government Spending: Hunt explains the proposed wealth tax and what the latest federal budget might mean for us. There’s a lot of talk about balancing the budget without raising taxes too much, and we'll explore what that could look like.
• Capital Gains and Your Money: We take a closer look at potential hikes in capital gains taxes and how these could affect your investments and long-term financial planning.
• Understanding the Numbers: Inflation, GDP... these terms get thrown around a lot. We’ll unpack what they really mean for the economy and for us as workers and business owners.
Thanks to our partners, NAPA TRACS and Promotive
Did you know that NAPA TRACS has onsite training plus six days a week support?
It all starts when a local representative meets with you to learn about your business and how you run it. After all, it's your shop, so it's your choice.
Let us prove to you that Tracs is the single best shop management system in the business. Find NAPA TRACS on the Web at NAPATRACS.com
It’s time to hire a superstar for your business; what a grind you have in front of you. Great news, you don’t have to go it alone. Introducing Promotive, a full-service staffing solution for your shop. Promotive has over 40 years of recruiting and automotive experience. If you need qualified technicians and service advisors and want to offload the heavy lifting, visit www.gopromotive.com.
Paar Melis and Associates – Accountants Specializing in Automotive Repair
Visit us Online: www.paarmelis.com
Email Hunt: [email protected]
Get a copy of my Book: Download Here
Aftermarket Radio Network
Click to go to the Podcast on Remarkable Results Radio
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By carmcapriotto
Thank you to our friends at RepairPal for providing you this episode. As shop owners we were part of RepairPal’s Certified network and you can learn more at RepairPal.com/shops.
Show Notes
Reasons Google will suspend your GBP Adding Keywords to Your Business Name Using PO boxes or virtual office addresses Using your home address for a service area business - mobile mechanics Making major changes to your information - name, address, phone number Adding Reviews - Talk about RV Masters Recent experience Spam Reviews Two businesses sharing an address - same with phone number A competitor reported you Dandy Review Removal: Negative review removal using AI They had to rebrand from ReviewVio because of all the negative reviews and complaints that they received. They over charge and under deliver. It is a 12 month contract - not monthly Writer’s Hand: WriterHand.com's Review Generator AI employs state-of-the-art natural language processing algorithms to produce high-quality reviews in a matter of seconds. The tool is designed to cater to the needs of both individual writers and businesses seeking to enhance their online presence. By simply inputting a few key details about a product, service, or experience, users can obtain well-crafted reviews that reflect a genuine customer's perspective. Embed Social: Use AI tools to help you collect more reviews, reply to reviews faster and make your reviews widget designs. New AI Optimization services: Boost Ninja: Speak on Accurate Automotive GBP Listing being suspended after adding this company to their listing - Supposed to be a Google Maps ranking system by boosting local rankings by targeting top keywords and AI Optimization to your Google listing Problem is when you talk to client’s who have hired companies like this and ask what they are actually doing - the answer is the same: “I have know idea”
How To Get In Touch
Group - Auto Repair Marketing Mastermind
Website - shopmarketingpros.com
Facebook - facebook.com/shopmarketingpros
Get the Book - shopmarketingpros.com/book
Instagram - @shopmarketingpros
Questions/Ideas - [email protected]
Click to go to the Podcast on Remarkable Results Radio
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