Modern Tire Dealer

DEC 2016

Magazine for the professional tire industry

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23 www.moderntiredealer.com acknowledges the customer has been there before by mentioning a previous service date and the service performed. is interaction is the first step to establishing a conversation that uncovers the customer's real need, according to Stearns. Without the "interview" step, a dealer misses opportunities to sell other products and services. "Nine times out of 10, your customers don't know about all the things that you sell. Once they're made aware of it, they have an opportunity to do business with you." Stearns said the interview process takes 30 seconds to a minute. W hen a customer says he came to the store because he needs to replace a tire, the salesperson needs to ask what is happening with the car. e customer may say he feels a vibration. "Now they are starting to give up all the information you need, and you find out there's a lot you can do to help them," said Stearns. e customer may say he wants to make sure the car is mechani- cally sound before a vacation. "You may have things in your store that you could sell them for the trip. is interview process is so critical to uncover what the customer really needs." e third step is for the salesperson to "propose" what he or she can do for the customer. "You may have a bunch of things you want your customer to be aware of, and they may say they don't want to spend money on that. It's a negotiation," said Stearns. e negotiation leads to the fourth step, which is to "adjust" what's been offered and reach an agreement. "Rather than the customer coming in to buy four tires, you've been able to offer a lot of other suggestions that are beneficial to them. But you don't get to that point unless you spend the majority of your time in the interview process," said Stearns. Market your benefits Of course, those customers don't magically arrive on a dealer's doorstep. Customers have a need, whether it is new tires or auto service, and tire dealers want to fulfill that need. Too oen though, dealers only promote the products they sell and the services they perform. Mike Brown, founder of e Brainzooming Group, said that's not the best way to market a business. "So many organizations don't get this," Brown told the 170 people who aended his marketing seminar. "One of the best things is to understand what your brand benefits are. W hat benefits do you provide to your customers? If you can get that, it helps you think about how you market, and it helps you think about new products and services." But a key is to know the difference between a feature and a benefit. "A feature is what we do, and a benefit is how what we do helps a customer." So while a typical tire dealership markets its tires and its services – the features – Brown said they miss out on selling the benefits, such as the safety offered by a new set of tires, or the peace of mind that comes from a thoroughly inspected vehicle, or the convenience of knowing repairs are done while the customer hops in a shule and returns to work. Here's another way Brown suggests thinking about it: What bad things would happen to your customers, or your prospects, if your business didn't exist? What would they miss? Brown posed those questions to Zulma Flores and Oscar Davila. Davila owns Montrose Tire & W heel in Houston, Texas, and Flores, his girlfriend, volunteered to take the hot seat on stage in Brown's classroom. e independent tire dealer was the focus of each of Brown's examples. 2 sales teams, 2 strategies Qingdao Sentury Tire tries something new in the U.S. Sentury Tire USA Inc., which does business as Sentury Tire Americas, is based in Miami. It sells its own Delinte, Landsail, and Sentury tire brands, plus the Pantera private brand for the Tire Alliance Groupe Ltd. Sentury Tire North America LLC was formed to run the new Sentury con- sumer tire plant in LaGrange, Ga., which is expected to break ground in 2017. However, the second U.S. subsidiary of China-based Qingdao Sentury Tire Co. Ltd. also will be marketing the new Groundspeed brand. Lanny Lin, president of the parent company, says the two sales teams will not interact. Groundspeed will "expand our coverage," and be sold to dealers "outside the customer list of Sentury Tire Americas." Rami Helminen, CEO of Sentury Tire North America, says Qingdao Sentury Tire has a lot of dedicated resources in the U.S. "It's not just one team is trying to do everything. We don't want to disrupt what has been achieved so far. We are wielding something side by side, with something new to expand." Although the subsidiaries have a gentleman's agreement not to compete against each other, it's ultimately up to the tire dealer. For example, a dealer could buy brands from both sales teams through competing wholesalers. "It's going to be about managing conflict," says Michael Perkins, senior vice president of sales and marketing for Sentury Tire North America. There won't be any conflict when the new plant in LaGrange is at full capacity, he says. The facility will be able to produce 12 million tires annually no later than 2022, "plenty of product for everyone." Helminen and Perkins plan to price Groundspeed as a Tier 3 tire, but back it with a complete dealer program. They are targeting 2% market share for Groundspeed and any additional brands they add to their lineup. Sales start in January. "Our premium brand is going to be Groundspeed," says Michael Perkins, senior vice president of sales and marketing for Sentury Tire North America LLC (right, with CEO Rami Helminen).

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