Using your phone, you could probably order food from a myriad of restaurant options and have it delivered to your front door. If your dog needs a haircut, a professional canine stylist can drive to your house in a mobile pet grooming apparatus and have Fido looking fly in no time. Companies will even come to your house at regular intervals to deliver your freshly washed and folded garments, while picking up your next load of dirty laundry and whisking away. What a time to be alive!
Industries of all types are trending towards mobile. If you can have a new car dropped in your driveway from Carvana, why not have a new set of tires installed on your current vehicle from the comfort of your home? It’s a great idea and it’s starting to catch on. Big name companies are already exploring the market. Goodyear has Roll, Tire Rack has ASAP Tire, and many regional tire establishments across the nation have experimented with mobile.
Do you think it may be worth a gamble?
You may be an automotive expert looking for your next career path. You may be a venture capitalist looking to cash in on the next industry fad. Or maybe you already have a tire shop and are adding a mobile element to reach customers that would otherwise be unreachable. At any rate, you’re interested in investing and are weighing the pros and cons.
The most obvious pro is the sheer potential of the mobility model. Consumers these days are spoiled by convenience and this is the tire industry’s epitome. You’re probably even thinking, “I would personally take a mobile option 100% of the time if I had a choice. It just makes sense!”
Changing tires is simple, but not easy. If you aren’t comfortable with all types of cars, this isn’t for you. Totaling a Tesla by not knowing to use the proper jack points is a good way to lose all your money. And whether you are doing this solo or with a business partner, working days will be long, dirty, difficult, and… did I say long? If you aren’t sure that you can handle business-related or technical problems when they arise, and they will arise, don’t bet your life savings on it.
But if this doesn’t phase you, there are some enticing things to consider.
The cost of leasing a commercial space can easily exceed $100,000 per year. Buying one can cost millions. However, commercial vans cost less than $50,000 and you have options to choose from (Ford, Mercedes, Dodge, Box Trucks, etc). Paying to outfit your vehicle with tire machines, balancers, tools, a power supply and an air system will still pale in comparison to the cost of opening up a full shop.
There are several franchises and independent van builders, like Tread Connection and Go Mobile, that can start you off with a professionally built, top-of-the-line van for the same price that a commercial lease can cost you for a year. But beware: franchise fees add up and can be the sunken cost that prevents you from growing. Do not get caught up in high operating costs! With a little digging, you may even be able to find some used tire vans for sale from previous start-ups. Be sure to ask the sellers about what they’ve learned and why they’re selling.
What red-blooded American doesn’t want to work for themselves? You make the decisions, you set the schedule, you collect the profit and you answer to no one. You get out what you put in.
Making $3,000 in a single day can and will happen. Working all day and losing money can and will happen. Being smart with your scheduling, maxing out your appointment hours and working late nights for commercial accounts can help bring in the bucks. But things can go wrong fast. Equipment or tool failure, inventory hold-ups and good old-fashioned mistakes can ruin multiple days of work and you are ultimately responsible. Be prepared for things to go wrong.
If there is one thing that can be guaranteed about mobile tire shops, it’s that you will retain a higher than average percentage of customers. Brick and mortar shops cannot compete with your customer service. This is your domain. You win just by showing up.
Of course that isn’t entirely true. You still have to put in the work to blow away your customer with the experience.
Being friendly and conversational goes a long way. You are usually at your customer’s home and they will often treat you like guests. This makes building customer relationships easy. They may only need new tires once every few years, but they know people. And those people know people. And after using your mobile service, the thought of taking a car to a old-fashioned shop will seem archaic.
Customers will get a first hand look at the process and they’ll see the pride you take in your work. If you’re using the right equipment, changing an entire set of tires on a car shouldn’t take more than 45 minutes. And you should never scratch wheels (mistakes do happen occasionally, everyone is human).
Working outside in the sunshine can be wonderful. Rainbows don’t affect the business, but they’re nice too. What isn’t nice is inclement weather. Rainstorms, lighting, snow, freezing cold weather, and scorching hot days are all something you have to deal with.
Staying inside on bad weather days means you aren’t generating revenue.
Ask anyone with a new business about how many days they take off, and you’ll probably get laughed at. Adapting to these situations in your respective climates can make or break you.
FYI: Aluminum car jacks and tools don’t rust when rained on.
Tire margins vary with the price of the tire, but they average out to be non-extraordinary. Competition in the industry is a huge factor. Local shops will offer crazy deals to get foot traffic through the door and online retailers sell high enough volumes to allow low markup directly to customers. How can a guy or gal in a van compete?
In the beginning stages, you will have to make whatever sales you can, regardless of profit margins. Using multiple wholesalers helps. Every distributor, whether a local warehouse or online, will price tires differently based on inventory. Being able to recommend multiple options of tires is always an advantage. Having go-to brands that you can source quickly is huge.
You want to sell as many tires as possible, but when all of the tricks up your sleeve fail, still offer your installation services.
Installing tires that a customer picked up at Walmart or bought online is still pure profit.
Demand for mobile tire services isn’t a problem, scaling up is. Consistently selling tires and collecting service fees creates a solid cash flow. But on a small scale, it is far from a money printing machine. This is where the limits of a mobile shop begin to show.
With a regular service bay in a brick and mortar shop, accommodating 15+ vehicles per day is reasonable. When you are spending time bringing the shop to your customers, you are realistically limited to 6–8 appointments per day depending on the amount of labor required for each service. Even if the logistics line up and you can efficiently maximize your schedule, there’s only so many hours in a day.
This means that while it’s possible to get a steady revenue flow coming from a single mobile unit, the ROI will be far from mind-blowing. It won’t be worth the 70+ hour work weeks that you put it. Every owner or operator that I’ve spoken to has come to this realization.
Expansion isn’t just ideal, it is necessary for any sort of long-term mobile tire business. You won’t survive doing everything yourself.
Having a fleet of tire changing vans can be your ticket to retiring in Aruba, but that is a far bigger ambition than you may think. It takes more than the price of a new van to expand. You need space for multiple vehicles and inventory, the budget for increased insurance and maintenance costs, funds to throw into marketing campaigns to generate enough demand, and most dauntingly — be able to staff properly. Getting the right technicians to work these vans isn't an easy task. They will be driving around all day, talking with customers, possibly handling sales, laboring outside and have to be largely self-sufficient. The position demands a much higher than average wage for tire techs, and you will have to pay it. Keeping your employees motivated to accomplish the work needed to keep vans profitable will be something that you may have to get creative with.
I can not stress this enough: Do not jump into this business venture unless you have a plan for expansion. Have a realistic idea of how you will be able to acquire the funding necessary to re-invest. Payroll, taxes, legal fees and the cost of new equipment will add up fast. There’s a good chance that the main reason that you’re considering starting a mobile tire shop in the first place is because you can conceivably afford it. But in this industry, that does not matter if you cannot afford to grow. Trust me.
Acquiring good commercial accounts can be the deciding factor on whether or not you can pay your bills. This is your best weapon for combatting the time limitations that mobile shops come with. Changing tires on Amazon delivery trucks or landscaping vehicles isn’t as sexy as putting new rubber on a Lamborghini, but it is reliable weekly revenue. Going to a single site to replace 20+ tires at once is a much more efficient use of your van than running around to multiple locations all day.
It may be difficult to get started with B2B. You will have to cold call, send strings of emails and knock on some doors. You will get outright rejected more often than not. You may even have to sell your services for cheaper than you’d like. But getting a handful of businesses that will consistently pay for your services is your bread and butter. (It would be a good idea to learn how to change medium and heavy duty truck tires without breaking your back.)
It all comes down to you. The demand for mobile service is there and it is growing. If you have deep pockets and aren’t troubled by any of the risks, go for it. If you already have an established business and think you can easily navigate the mobile market, go for it.
If this is your first time venturing out on your own or if you’re unsure of being able to swing this venture financially, there are a lot of things to consider. Is your geographical area suitable for this type of work? Are the demographics of your location going to want to spend extra money for convenience? Are there a decent number of businesses with vehicle fleets that can benefit from a mobile service near you? Can you physically and mentally handle all the work required to succeed? If you answered “no” to any of those questions, you should look elsewhere to make your mark on the business world.
You need to understand that it is possible to put in an enormous amount of effort, invest your savings, make sacrifices and things still might not work out. This is a difficult business to run day in and day out and nothing is guaranteed. That’s just life.
That being said, there is money out there to made in this fast growing market. If the conditions are right and you are able to go out and get it, I wish you all the best. Just be ready to get your hands dirty.
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To buy a franchise with Mobile Tire Guys, you'll need to have at least liquid capital of $0.
They also offer financing as well as a discount for veterans (We give Vets 500 sq. ft. more of start-up materials). *
| Financing: | Available |
|---|---|
| Training: | Available |
| Veteran Discount: | We give Vets 500 sq. ft. more of start-up materials |
| SBA Approved: | Not Available |
* This information may have changed since first published. We recommend that you always verify fees, investment amounts, and offers with the business opportunity directly prior to making a decision to invest.
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There are many things to think about when it comes to starting your own business. This is especially true when starting a car business.
The beginning of your entrepreneurial journey is an exciting time. It can also cause stress if you are not prepared. If you're looking to start a business in a volatile economic climate, then an auto shop is a great place to look.
Auto repair and tire retailing are considered recession-resistant. Even in the most difficult economic conditions, people still need cars. nine0004
Almost everyone needs reliable transportation to get to work, run errands and get on with their lives. Because automobiles are so important to Americans' daily lives, auto repair services have historically performed well even during an economic downturn.
As of 2018, there were approximately 230,600 auto repair and service shops in the United States.
The industry is expected to continue to grow.
Now is the time to get into the automotive industry. Of course, as with any new business, preparation is the key to future success. Here's what you need to know about starting a car business and how to make your car shop a success. nine0004
The first step to starting an automotive business is to have a clear idea of what your business is about. You must know exactly which car shop you are opening and what services you have. There are many different auto shops, and each one is slightly different.
Many auto shops often specialize in specific repairs. Depending on which store you open, the required equipment may also vary. Some of the auto specialty stores you will come across include the following. nine0004
Car body shops provide body repair services to match the look of your vehicle. These services may include repairing dents and scratches or replacing damaged body panels after a collision.
A traditional auto mechanic will make sure everything looks great under the hood, but he might not be able to help with a new bumper.
As the name suggests, the Transmission Shop specializes exclusively in your vehicle's transmission. This includes transmission service, maintenance and repairs. nine0004
The transmission is an indispensable and complex part of your car. This causes transmission problems that a non-specialist mechanic may not be prepared to fix.
In the end, everyone needs new tires.
This makes tire repair shops and retail stores especially popular with people starting a car business. A steady flow of customers and a product that is always in demand are good reasons to specialize in tire services. nine0004
These are just some of the many car shops available. There are many others, including those focused on inspections, or shops that specialize in auto glass repair or brake services.
Take the time to explore the different options and determine what kind of business you want to open.
The next step in starting your auto shop is to have a business plan. Your business plan is your roadmap for the success of your business. Your business plan should clearly define the following so that anyone who reads it clearly understands the fundamentals of your company. nine0004
There are interesting moments in the plot of the Ford vs Ferrari movie that will help you think about the questions:
Creating a business plan is not an easy task. Many entrepreneurs work with a consultant to ensure that their business plan covers all aspects. Once your plan is in place, you should be ready to take the next step in starting your business.
nine0004
Now that you know what kind of business you are starting and have a plan in place, it's time to decide which direction the business will take. Choosing the right location is a fundamental element of any successful auto repair shop, and it can also be one of the most expensive.
Finding the right place takes time and money, and maintaining it costs even more. Brick and mortar houses are costly endeavors where you have to pay rent, utilities and more in addition to other overheads. nine0004
As more customers want to avoid waiting rooms and the inconvenience of visiting a garage, savvy entrepreneurs are directing tire service directly to the customer. Tread Connection mobile tire service vans have a much lower overhead than traditional conventional buildings.
With a wide range of customers, including both retail and corporate customers, mobile tire service is a convenient and economical option for starting your automotive business.
nine0004
You know what your business should look like. You have drawn up a comprehensive business plan. You have explored potential locations. But how are you going to pay for all this?
If you are not ready to finance your business on your own, there is a good chance you will need a loan approval.
This is where this business plan comes in handy. You will need to present your plan to potential investors, including banks, in order to obtain a loan to cover the cost of equipment, location, wages, insurance, and other expenses. Many entrepreneurs seek Small Business Administration (SBA) loans to make their dreams of owning a business come true. nine0004
Running a business is rarely a one-man show. This is especially true when it comes to a car dealership.
Your business can only be as good as its people. This is why finding and hiring the right employees is one of the most important things you can do when starting a car business.
Reputation is everything when it comes to auto shop success. Your employees and the work they do represent you as both a company and a business owner. nine0004
When customers like your employees and trust them to do a good job, they will come back and tell their friends about it. The same can be said about negative experiences. Make sure you screen your employees carefully and hire the right people to represent your business.
Once everything is in place, you're ready to get started. It's time to start marketing and attracting customers. You will need a website where customers can find your business online and schedule their auto services. nine0004
You will also need to advertise online and in print to get your message noticed by the right people. Once the customers start coming in, it's time to get down to business!
Source:
https://treadconnection.com/starting-an-automotive-business/
In business, there are no other concepts than profit or loss. nine0004 For the sake of a full answer, the team of the Autoportal 100.ks.ua has been interviewing owners of various types of tire shops for several months to tell them about their experience in opening a tire shop. The editors have prepared a complete analysis of the questions:
At the end, you can find out the answers along with expert advice. 5 popular questions for newly opened tire centers:
This is the first and most basic question, let's start with it.
Naturally tire service advertisement. But keep in mind that in an advertising campaign, you need to take into account many factors and issues. In order for advertising to give maximum conversion, you need to give yourself answers to the questions:
The answers to these questions will help you correctly compose the " portrait of the " ideal client. Prepare the company and advertising for this client's visit.
Everyone understands that tire service is a seasonal business. As is already clear, the popularity of tire fittings is growing as needed " changing shoes "car. That is, in the spring, when you need to change the tires for summer and autumn, for winter. During the season, most tire shops switch to round-the-clock operation.
The season opens in spring, immediately after the snow melts and does not frosts are expected.
Drivers immediately go to change their shoes to summer tires. The second peak, autumn, when it suddenly gets colder and there is a high probability of frosts.
Accordingly, at such moments there are queues at tire shops.
Here is an example of all peaks of seasonality based on requests from Yandex statistics
Looking at the screenshots, it is easy to notice these peaks. Some people think that tire shops live for these few weeks. But it's not all that simple. Even during these peak weeks of popularity:
In this case, we can draw an analogy with a bottle and a thin neck. No matter how much water you pour into a bottle, much will not fit into it, because the width of the neck will not allow it.
So here too.
Now We will analyze all the main aspects of the work of tire fitting and tell you how to properly promote tire fitting.
The easiest way to earn more is the " stretch " season. Force drivers to start arriving earlier. But if we are talking about a complex, how to increase the income of tire fitting, this is not enough. You need to come up with a plan to get the most out of each client. nine0004
Those who read various books about marketing or business, they met in them the concept of " customer lifetime value ". It tells about the number that 1 client can bring to you for all time.
For example: On average, a client pays you UAH 300 per visit. For a year, for 2 seasons, he will pay you 600 hryvnia. We add to this figure the fact that you worked well and earned regular customers and this is one of them. On average, a regular customer works with the company for 4 years.
This means that 1 client will bring you 2,400 hryvnia for 4 years of overwork. nine0004
And yes, this is if 2 important conditions are met:
But don't despair. After all, no one says that it is necessary to earn a minimum.
In order to increase the profit of tire service, it is necessary to increase the average bill of 1 client. It can be done by selling additional services or goods.
You can sell anything, from ordinary " stink "to the salon, to cleaning products. But you should understand that if the product is popular and sold on every corner, then there is unlikely to be demand in your store. You need to create interest along with demand.
wheel spools.Which show the tire pressure on the on-board computer.The owner of the car no longer has to check the pressure before leaving.You can also sell a keychain that measures the depth of the tire tread.
Such an accessory is not sold in every store, it is thematic of the tire center, useful - for by purchasing it, may come separately.
Think over a range of similar products, We guarantee you will not only get additional sales, but also new customers in the tire shop.
In addition to seasonal changing shoes, you need to sell additional services to make more money. We immediately set an example: Inflating tires with nitrogen can be a useless service, from the practical point of view. But if the client wants it, then it is better that you could provide him with this service. Because otherwise, he will go to a competitor. nine0004
Add some freebies and " goodies ". For example, instead of the usual black caps, spin caps to match the color of the discs for customers for free. From the side of waste for business - mere pennies. On the other hand, a satisfied and emotional client who will launch a word of mouth.
In general, sales managers from our Autoportal 100.ks.ua advise to provide the following services without fail:
By increasing the average check per client, a tire shop can earn many times more than any effective business plan would show.
How, with a 100% guarantee, to return a client for a second visit to a tire service? There is an effective method.
Calling ahead is a great method. To implement it, tire fitting needs to maintain a customer base. In anticipation of the season, hire a person who will call all customers in a short time and remind them that it is time to change tires. And of course, write him down for a visit. Thus, tire fitting will return customers and make it as busy as possible. nine0004
Most businesses don't do even the simplest things to get a customer back. They just work and rely on their experience and years of work. That people are already accustomed to going to them. But believe me, the right approach and you can take the bulk of customers from these tire centers.
Another super way to win back a customer is tire storage . Yes, we indicated it above in the list of services and this is no accident.
To implement this service, you will need additional premises, but such investments are worth it. The client will come to you in reinforced concrete to change shoes, as you have his wheels stored. And if, in addition to storage, you also sell rubber preservation, then the client will 100% stay with you for a long time. ( nine0158 Preservation of tires - treatment with special means for long-term storage of rubber. )
When a person has just recently bought a car and still does not know who and where does his job well. Or the person is simply not local. When choosing a tire service, only 4 points are important for him:
When setting up and running a business, it is important to keep this information in mind at all times.
The statistics and popularity of the category "24-hour tire service" on the pages of our catalog shows that drivers often look for it.
This means that if the business is not running 24/7, the tire service is potentially losing customers and money. nine0004
You can make an online appointment. The site allows you to extend the functionality of your page and install an additional client capture such as " Callback ". A person can order it and you write it down at a convenient time for both. This functionality is paid.
When ordering outdoor advertising, in order to attract customers, you need to understand where you will place it. Seeing your billboard on the other side of the city, a person is unlikely to go to you, especially if it is a large city like Kyiv or Odessa. Most likely, he will drop into the nearest one that he will meet along the way. nine0004
Advertise only in the area where you are. So that the motorist had to drive a maximum of 20 minutes to you.
This rule ceases to work if you order advertising on the Internet, or on the pages of our Autoportal 100.ks.ua. Let's explain. Our audience is not looking for the nearest tire service, but the best one, which can work out with high quality and do its job with a 100% guarantee. Drivers are willing to pay more for quality services and go further. In order to get such an audience, tire fitting needs to register in the catalog of our website. nine0004
If you provide your services with average quality and ask for the average market price, the business will quickly lose customers. People are used to paying good money for good quality, anything lower on the prairie should be cheap.
Either improve the quality of service and work for the reputation, or...
The companies we host are constantly trying to develop. They buy equipment, ask us what service is better to introduce, can they buy mobile tire fitting?! The main thing is that drivers are fully satisfied.
Such firms receive high ratings from motorists and, accordingly, are high in the TOP search. Everyone else is at the bottom and gets very little. This is one of the secrets of how to promote a tire shop. nine0004
As we have repeatedly mentioned in the material, the quality of services is your everything. You need quality customer service, so that those who want to come back to you, and additional " buns " contribute to this. Quality of service is the main key for the promotion of tire fitting, both mobile and truck.
🥇 The first thing to remember - customer loyalty to your tire service. The quality of service and the sale of additional products contribute to this.
🥈 The second and most important is working with reputation. No matter how well they work, you will have a negative experience with customers and reviews that are not 5 stars.
Do not be upset, but work with them. Offer the customer a free service or fix the problem. Resolve the issue peacefully and he will thank you. And others who hear about it will know that your tire shop respects its customers and is ready to meet. nine0004
🥉 Third - expand your territory of influence. You need to be known not only in your quarter or district, but throughout the city. Advertising is the best tool for business and tire center. Order a couple of city lights or billboards at the crossroads of the city, order an advertisement for car service services on the radio. Do not forget to promote tire fitting on the Internet and place your offer on the official websites of the city. And of course, register in the catalog of tire fittings, on the pages of the Autoportal 100.ks.ua. nine0004
We will be able to effectively attract new and return old customers, the very next day, after registration and complete completion of the profile. And by purchasing a tariff plan, you can increase this number of customers and contribute to the promotion of tire fitting as a brand as a whole.
