There are 40 billion reasons why you should prioritize your tire display strategy. This massive industry ($40b in 2019) is still growing. If you’re a tire shop owner looking for new ideas or an automotive shop trying to diversify sales, here are some tire display ideas and tactics that will drive sales.
Good, Better, Best
Perhaps the oldest display tactic that remains effective is to create a system of good, better and best. The tactic dates back to 1927, when president of Chevrolet Alfred Sloan created a price ladder with a highly priced product, a middle of the road price point of that product and a cheap price point for it, with less features. Now the “G-B-B” method is applied to software, ride sharing and nearly every modern industry. From an economics perspective, you’ll avoid falling into a pricing catch-22. This refers to missed revenue opportunities as some customers would have paid more, and others would have purchased at a lower price.
This can be done with the placement of tire racks and signage along with a thoughtful walkthrough from the salesperson. This strategy is comforting to customers as they don’t feel pressured into the most expensive (best) option right away. From a sales perspective, customers are likely to choose the better option instead of going with the cheapest option.
Variety of Selection
Another overall strategy for your showroom is to provide a wide range of tires for all makes, models, and tire performance types. This sounds like common sense but oftentimes a shop will rely on a single tire display despite a large variety of in-stock inventory. Couple this with physical or digital signage that promotes your wide tire selection and you’ll hit a home-run.
With that said, it’s easy to overwhelm customers with too many options. Sheena Iyengar from Columbia University studies the effects of too much choice. She found customers were 27% more likely to purchase jam when presented with 6 flavors opposed to 24. The best way to avoid this is to create a solid G-B-B strategy with a soft sell on the wide selection.
Big, Bright and Eye-Catching
A great tire display has a mix of flashy displays with informative signage. For instance, you might have a truck bed loaded with tires and a catchy call-to-action above it. Some dealers make Christmas tree and snowman creations made from tires during the holiday season. If you’re looking for something above and beyond, find an artist who uses recycled tires to create sculptures. This could be a statement piece, planter or vase inside your store.
Successful automotive shops must embrace a trend that at one point was said to influence up to $1.7 billion in holiday retail sales - showrooming. This refers to ‘smartphone’ shopping where customers look up reviews and do further research as they shop. Retailers have begun to embrace this trend by placing supplementary info next to products and rethinking their product display strategy.
There’s opportunity for automotive shops to do this with information and signage, along with appealing to the senses.
- Digital Signage - The advantage of digital is the ease of customization and the ability to create an interactive experience. The best way to create with “screen time” is to create your own screen.
- Printed Signage - A simple solution to educate your customers and your staff on individual tire features is to just print them out on a standard 8.5x11 sheet of paper. Place in acrylic holders or tape directly to the tire.
- Smell - The scent of tires might not compete with freshly baked cookies or pan-fried bacon,but online forums from Reddit to BabyCenter are full of people who crave the smell of tires. Of course, you don’t want any particular smell to be overwhelming, but appealing to multiple senses is an age-old proven sales tactic.
- Hands-On - Going with digital signage doesn’t mean you let go of the hands-on aspect. Tire displays are a great tool for showing new vs. worn tread. This provides customers with something to touch and feel. They’ll also learn how to know when tire replacement is needed.
Additionally, you should educate customers on loyalty and rewards programs you offer as an additional incentive. Rewards programs can result into a 25-100% increase in profit for your tire shop.
Stay On The Creative Hunt
As with any marketing or sales promotion initiative, it’s important to embrace your creativity and constantly find and try new things.
- Tire Display Vendors - Peruse websites of vendors who sell tire displays, digital signage and automotive marketing services, they’ll have showroom examples and current trends.
- Google Maps - You can now go “comp shopping” without leaving your house. Use Google Maps to see photos of competitor shops and other types of showrooms in your area.
- Pinterest - Believe it or not, Pinterest has a wealth of ideas for automotive marketers and shop owners. Search tire-related keywords to get ideas from around the world. Remember to also search the European spelling, “tyre.”
Once your tire display strategy is effective, it’s time to focus on customer retention and earning repeat business. Rewards programs drive retention - and even a 5% increase in customer retention can result in a 25-100% increase in profit for your business. Want to learn how BayIQ and can help?