2010 was a big year for tire wholesalers and tire retailers alike. Manufacturers raised prices across the board, and automotive businesses worked hard to stay in the black working with smaller profit margins. And yet despite all the doom and gloom surrounding the current economic situation, things do seem to be improving.
According to a “state of the industry” survey coordinated by Modern Tire Dealer, nearly 60% of tire retailers estimated their unit sales were up by an average of 10% in 2010. More than 68% said that their dollar sales were up by an average of 11%.
If you think that’s impressive, wholesale tire distributors posted even better numbers. More than 70% of tire wholesalers said their unit sales were up by an average of 13%; More than 82% said their dollar sales were up by an average of 14%!
These are pretty surprising numbers considering all of the bad news coming out of the automotive and tire industry these days. When 70% of the retailers and 80% of wholesalers report sales that were no worse than flat in 2010 as compared to the previous year, that’s actually something to smile about.
Only time will tell what 2011 has in store for our industry, but the results of this quarterly survey are certain promising. Check back in a few months for an analysis of the latest survey results.
Filed under: Tire News
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