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Used Tires


Mario

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I recently picked up a tire machine and I am getting a balancer as well. In my area, we have a market of customers looking for used tires, I get asked weekly. I currently don't do ANY tires, but I am strongly considering stocking common sized used tires for older vehicles as these seem to be the customers generally asking for them. I believe it would also be a great opportunity to do brake & front end inspections while the tires are off the vehicle and upsell needed repairs.

 

Do any owners sell used tires and what are your sources for obtaining them (recyclers, resellers).

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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).

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  • 8 months later...

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.

 

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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.

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  • 3 weeks later...

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.

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] 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?

         5 comments
      I 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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Kimberly Cotton (00:14:59) - Yeah., luckily I slept a lot during that time., so it wasn't too bad for me., it was just. I was just down there for a long time, so. Not a big deal. They got me up into a room., and actually, I, I was hungry,, when we finally did make it up to the room,, so I, I think we had tried to order something through the hospital, but they, the time had passed when they were delivering meals and stuff. Kimberly Cotton (00:15:31) - , I did you bring me something or did I? I don't even remember what I had that I. Chris Cotton (00:15:36) - Think I think we, I think I got you, I was able to get you something that you could eat. Kimberly Cotton (00:15:41) - I don't think I was very hungry, but I wanted something small, so. Chris Cotton (00:15:45) - Well. And and to give everybody like the idea of the recovery room you're in, basically, it's just like a long row of beds with like 10 to 15 slots on either side. And when I first went down there, you didn't have anybody next to you. So then we got you some ice water. I think we got you some pudding then or something. Yeah., but because the HIPAA regulations, they were bringing other people down on either side of you, and they had me leave. Yeah., but so we. So we got you to the room and kind of settled in a little bit., and we were trying to manage your pain, and I think, I think one of the important things, if you're listening and you're going to go through this out there, they talk about this. Chris Cotton (00:16:32) - It's not a phantom pain. But what happens is, is where the kidney was. And they insert these robot fingers inside your body and they blow up your abdomen with nitrogen. And and they do this with a robot. And they try to get all the air out, but they can't. And what happens is, is the air or the nitrogen that's left pushes on your diaphragm. And when that happens, your body thinks your shoulder hurts. So it has this like tremendous pain in your shoulder. And I've seen Kimberly,, give birth. I've seen her do all kinds of stuff in 25 plus years that we've been together. And I've never heard her. Yell in pain or anything like that. And oh, maybe that's what had happened. I'd gone and got you something to eat. And then I went and got me something to eat. And when I was coming back, I heard you hollering down the hallway I had. Kimberly Cotton (00:17:30) - Yeah, you hadn't probably been gone 20, 30 minutes maybe. And the pain all of a sudden hit me so hard. Kimberly Cotton (00:17:38) - So I pushed the nurses button and took them, you know, longer than I wanted to them for them to respond. But they finally responded and they said, can we help you? And I said, I need something for the pain. My I'm absolutely excruciating right now. And they said, what on the scale of what to what I'm like, I am above a ten. I mean, this is awful., and so it took them a little bit and then he could hear me moaning and groaning down the hallway, and I think he sprinted to the room after he could hear me., but it just hurts so bad., and it's the strangest thing I don't get it., but it wasn't just one shoulder. It was across my back, right at my clavicle. And it just so hurt, so bad until the pain medication finally kicked in., initially, I had only wanted to stay one night in the hospital, but everybody was like, just see how you feel. See how you're doing. Kimberly Cotton (00:18:41) - Well, the next day, the doctor,, comes. Another one comes in and takes me over, and he looks at me and he's like, yeah, you're spending another night. He could tell the pain on my face. And it wasn't constant, but it was just enough for him to say, yeah, we're going to up the dosage of your pain medication. And you're saying I'm like, okay, so but after they up the dosage, it was much better and much more manageable. Chris Cotton (00:19:07) - So, so out of all the things that they didn't tell us, this was kind of like the big moment or less and not right then. But,, so they wanted me to get her up and have her walking like at 8 p.m. that night. And so that happened. I think we took you for a walk before this happened. Yeah, but but what nobody told us was, was about 30 minutes before you get up to walk, call a nurse, have them give you the pain medication. That way, when you're sore and hurting after the walk, you've already been medicated and you're good to go. Chris Cotton (00:19:44) - So I think I think we walked you that night. I think we walked you a couple times that next day. And then I think the nurse that came in the following night was the one that was like, hey, you guys should be taking pain medication before you walk. And nobody, nobody told us that up until then. And that's,, that's like some Ron White. That's good information to know, right? Like. Yeah. Like,, that would have been handy. That would have been a little handy tidbit for people to tell us., so I, I think... Click to go to the Podcast on Remarkable Results Radio
    • By carmcapriotto
      At VISION 2024, Kim taught a class on customer loyalty. It was incredibly well received and we’ve decided to bring a conversation here in podcast form where she touches on a critical piece of business: creating loyal customers. Listen in for tips, strategies, and just real-talk!
      Thank you to our friends at RepairPal for providing you this episode. RepairPal will help you grow your auto business and you can learn more at RepairPal.com/shops.
      Show Notes with Timestamps
      Loyalty: strong feeling of support or allegiance What that means to me. Companies I am loyal to: Bear Mountain Bakery, Holtz Leather, The Basketry, Smallwoods Simon Sinek’s Ted Talk “Start with Why”: Your purpose, Your cause, Your beliefs We are lonelier & more apart than ever before Maslow’s Hierarchy of Needs Our Core Values We have an intense desire to feel a sense of belonging - even more with digital communication. Unreasonable Hospitality by Will Guidara - Episode 89: https://autorepairmarketing.captivate.fm/episode/089 Create Loyalty by: Being thoughtful and intentional with all you do. Understanding the difference between service + hospitality. Service is black and white. Hospitality is full color. Having authentic connection: Southwest Airlines - the heart, Ciro - my Italian driver, 1st Phorm, Eleven Madison Park Restaurant’s hot dog story, Bear Mountain Bakery, The Basketry, Holtz Leather, Smallwoods. Knowing your clients, understanding them, being present, listening, and being considerate and generous (read the book: Gift*ology). Being a trusted resource. VISION’s speaker: Scott Stratten, said, “If you want to worry about the bottom line, you’ve got to focus on the front line.” (To obsess about how your customers feel, you must obsess about how your employees feel. Customer loyalty comes after employee loyalty How are you taking care of your team? Daily Stand-Up (gratitude and top priority) + a checkin/awareness for me.Team Outings. Letters/notes/recognitions. Mentoring. Schedule emails/slack messages/texts Too many companies leave the human behind. We live in a world where we have an opportunity - responsibility - to make magic in a world that is desperate for it. When you make magic you add to the layers of loyalty being created. Make this part of how you do business. A process. A time, place, a procedure/reminder.  
      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]
      Lagniappe (Books, Links, Other Podcasts, etc)
      Canva - Mood Boards  
      Click to go to the Podcast on Remarkable Results Radio
       


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