As the next Tyrexpo Africa Show takes place in just over three months time in Johannesburg. Once again this leading tyre and garage event in Africa will see an extensive amount of tyres being promoted ranging from leading manufacturers brands right through to the increasingly popular ‘budget’ labels.
As a prelude to the show, SingEx’s PR Consultant – John Stone has recently been researching the international tyre market in order to reach a viewpoint on two of the industry’s most controversial questions – What is the difference between major A brands produced by leading manufacturers such as Michelin, Bridgestone, Pirelli, Goodyear Dunlop, Continental and Yokohama and more economically priced budget tyres? So are cheaper tyres effectively a ‘false market’ when it comes to quality, comfort and safety? Also how intensive and dedicated are tyre dealers/retailers and garages in actually explaining the varying qualities and benefits of individual brands to their customers?
Without a doubt there are many conflicting views on this matter but generally there are several facts we can establish instantly. Firstly that premium brands produced exclusively by the leading manufacturers are always going to cost considerably more than any other tyre range because they carry the name of an established and respected producer and therefore are expected to give motorists a higher level of driving performance, improved wear, grip and fuel efficiency.
So what about budget branded tyres? How do they defend themselves against such aggressive statistics? Well in fact quite positively as producers clearly state that the word ‘budget’ refers to price and not quality. Having spoken to a number of budget tyre producers they universally state that budget tyres do not necessarily represent poor quality and the measure comes down to what a motorist actually expects from their tyres. Broadly speaking budget tyres are more suited to driving at slightly slower speeds and for urban roads and cars that average annual low mileages. Therefore these brands seem perfect for second family vehicles where distance is not so much of an issue.
So the distinction is clear…or is it? As the international market now also has an increasing number of mid-range brands which confusingly sit between premium and budget ranges. These tyres are sometimes offered by major tyre companies under a different name and are promoted as being the perfect compromise between leading and budget brands as they provide additional tyre wear and fuel efficiency than cheaper budget tyres. It is also worth noting that the introduction of EU Labeling on tyres including the provision of clear performance levels has significantly improved the chances of European drivers making a good judgement about the tyres fitted to their vehicle.
So having established that, depending on individual driving styles, there is a difference between major and budget tyre brands. What about tyre dealers/retailers and garages? Do they actually have a policy of always explaining the differences in quality, performance and value for money? This is a difficult question to answer because it all depends on the staff and company policies of each dealer whether it’s a leading chain of sales outlets or individual independent businesses.
From information and analysis within the industry, SingEx has been led to believe that roughly 40 per cent of businesses will adopt a professional and conscientious approach to helping their customers buy the right type of tyre for their driving needs. However that leaves 60 per cent who continue to put profit before personal service and where possible will always sell the brands that reap the most profit.
As previously stated the tyre industry is becoming ever-increasingly competitive meaning that profit from tyre sales becomes an important lifeline for helping safeguard against difficult trading periods. Also this situation is not helped by the remarkably low interest and complete apathy by a majority of consumers who still regard buying tyres as a ‘stress purchase’ and simply do not appreciate how important they are in terms of safety and comfort.
So what can we make of the statistics above – Can cheap tyres be a false market? Well not really as it’s primarily a question of ‘horses for courses’ and just because a tyre is branded in the budget category does not necessarily mean it’s is poor quality. However common sense tells us that budget brands are more suited for urban area driving at slower speeds in cars that only do relatively low mileage. On the other hand, for higher speed levels on motorways and extended annual mileage, major A brands are always going to be the right choice.
When it comes to a tyre retailers attitude towards the merits of individual brands. Only time will tell whether quality of the product can ever overcome the attraction of profit on a sale.