However, the huge effort to support the automotive and tyre sectors could not prevent a dramatic 20% drop in demand for consumer tyres, which of course had an impact on retail. The repeated closures, coupled with the economic crisis and the closure of some factories due to mobility restrictions have had a major impact on the tyre industry in terms of sales and job losses.

The lockdown has changed shopping habits and the number of trips has declined in all countries. Driving less means fewer new tyres sold. This means that the industry's revenue growth is expected to stagnate over the period 2020-2022 as the pandemic effect continues to dampen the flow of motor vehicles lowering demand. In fact, weaker demand for tyres is expected to bankrupt some small tyre dealers, with small non-employer businesses being the most vulnerable.

Changes in the way tyres are distributed also affect the tyre dealer. Gas stations and auto repair shops are becoming less and less important in terms of sales. This trend is expected to continue. Differences in wholesale, price, service, warranty and performance are no longer essential keys to staying competitive.

During lockdowns, small businesses in particular found themselves in unpredictable circumstances and many had to close their doors. However, the pandemic has created more than just disruption and uncertainty. It sparked a new spirit of persistent creativity.

The pandemic effect has actually changed the way business is done. The market value of e-commerce will be four or five times that of any country in the coming years.

Some tyre retail authorities are confident that it will not be out of reach for the industry to return to 2019 levels in 2021. If possible, how will this be achieved, as habits and opportunities purchasing have changed dramatically. They assume that in 2021 it will only be a question of achieving a “return to normal.” In fact, defining “normal” is the hardest part, although 30% of Western tyre replacement markets are still covered by Southeast Asian tyre manufacturers.

The pandemic effect has actually changed the way business is done. First, consumers have chosen to shop online more than ever. The future of retail emphasises the digitalisation of the world. Cashless and digital payment is becoming consumer behaviour and increasingly relies on digital payment. We are seeing a recovery in the e-commerce sector.

We know that the number of “buy now, pay later” platforms has increased dramatically in some countries. Consumers can visit and compare online e-commerce stores in seconds. Marketing a product has never seen such great competition. The market value of e-commerce will be four or five times that of any country in the coming years.

E-commerce service solutions are gaining importance as online tyre sales offerings become available.

The five largest tyre manufacturers offer motorists online shopping experiences. Customers can buy the products and reserve the assembly through their selected local dealer. Customers can therefore buy tyres directly online, either on a computer or on a mobile phone. The online store provides the tyre options available as well as clear information needed in the selection process to guide consumers to the specific tyre that meets their needs.

At the same time, the fitting network is directly connected to the store via the online planner and allows the consumer to directly make an appointment for the fitting of tyres. Another benefit for consumers is that all tyre and installation costs are paid online and in advance so they can easily show up at the scheduled installation time. This may enrich the activity of some tyre dealers as a member of the e-commerce solution partner network.

Most customers, however, want the approval and perspective of a qualified tyre professional. There is a common belief that tyres are sold, not bought! This nuance focuses on our view that consumers ultimately want to consult with someone who knows how these tyres fit, how they react and most importantly their quality, before making the purchasing decision. Conversely, how will this aspect of customer habits affect the e-commerce tyre network?

On the other hand, it takes huge finished product SKUs and huge warehouses for e-commerce operations to handle thousands of orders every day. Therefore, we are usually talking about a high amount of logistics costs, which represent about 6 to 10 percent of total sales. E-commerce service solutions are gaining in importance as online tyre sales offerings become available.

2020 has been an interesting year for e-commerce in general. Large companies have improved their skills in this regard. Overall, more and more consumers are turning to online sellers, as many tyre manufacturers have seen. However, careful analysis of consumer transactions and changes in customer behaviour must also be done in the everyday environment, including other brands, and the huge data centre entrances must be analyzed very well. Rigorous processes and close cooperation are the best ways to ensure the integrity and quality of sensitive and valuable products.

Therefore, agility and adaptability will be of crucial importance in the global supply chain for mobility in the years to come. Remaining flexible is the effective response to this growing complexity by optimizing current operations while remaining sufficiently adaptable and scalable to meet future demand peaks. To do this, tyre manufacturers need to work closely with their logistics service provider to present and implement powerful new approaches to tyre logistics.

For small and medium-sized enterprises, the message of the past few months is clear: bold strategies are required to survive and thrive in the current economic downturn, and those strategies should include a robust e-commerce plan with a strong cross-component.

It is certain that “online sales” will become more popular in the years to come. Therefore, innovative e-commerce solutions will never stop. In any case, nothing is immune from fierce competition. Businesses of all sizes need smart recovery strategies. Those who are more diligent and see future opportunities are better prepared to survive.

So, it is certain that “Online Tyre Sales” will become more popular in the years to come. Whoever has a robust e-commerce plan is diligent and agile will win in the market. (TT)

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Tegeta Green Planet opened the Light Vehicle Diagnostics course at Tegeta Academy with a presentation for attendees aged 17 to 33. Beyond their chosen vocational field, participants learned about automotive waste management and environmental responsibility.

Shalva Akhvlediani, the organisation’s director, outlined its activities and goals while emphasising Extended Producer Responsibility. The session examined how the automotive sector connects to environmental duty and why used tyres, waste oils and automotive batteries must be collected and managed properly.

Tyre management and RECSOL featured prominently. Attendees traced a used tyre’s path from collection to recycling and learned how waste becomes a source of new resources. RECSOL, Tegeta’s tyre recycling plant, is a significant infrastructure project in used tyre recycling, processing tyres into materials for various uses and supporting circular economy principles.

A core aim is a system where waste is not an endpoint but the starting point for new resources, which requires infrastructure alongside greater public awareness and information on proper disposal. For participants, the meeting linked professional education with environmental awareness, stressing that future automotive professionals should understand this responsibility early.

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Tyres Europe, alongside ACEA (the European Automobile Manufacturers’ Association) and CLEPA (the European Association of Automotive Suppliers), has dispatched a joint communication to EU decision-makers concerning the possible broadening of the Carbon Border Adjustment Mechanism (CBAM) to cover downstream goods. The move comes as trilogue discussions approach.

Tyre producers form part of an automotive value chain already bearing carbon-related expenses for steel and aluminium manufactured within Europe. The proposed expansion would draw additional products into the mechanism’s remit before the existing framework has demonstrated its effectiveness. Resulting costs and administrative requirements would land on downstream manufacturers, tyre makers included, with signatories cautioning that a conceptually sound regulatory effort could become an operational and financial strain.

Endorsing the mechanism’s aims, the signatories nonetheless urge a proportionate scope that shields the entire value chain from carbon leakage while preventing that risk from being pushed further downstream. They advocate extending the mechanism only where a material carbon-leakage danger is evidenced, and request that policymakers ease compliance demands, including via more fitting default values mirroring real production routes.

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NEXEN TIRE has extended its partnership with Zalgiris, reinforcing its commitment to basketball in Europe, particularly across the Baltic region. The renewal builds on a relationship that began in 2024 and reflects the company’s broader strategy of linking its brand to performance, innovation and mobility.

The tyre maker has pursued sports partnerships as a way to connect with fans, sharing in the passion and excitement of supporting favourite teams during major matches and memorable moments. It also values the teamwork, dedication and collective achievement that define team sports, using such ties to build authentic connections and deepen engagement in key European markets. Its collaboration with clubs including Zalgiris and FC Bayern München forms part of this approach.

Under the extended agreement, NEXEN TIRE will gain greater visibility among sports fans in the region. The partnership offers branding opportunities at Zalgirio Arena, such as synchronised on-screen advertising and promotion on LED stands near the court, in a position visible on television during EuroLeague and LKL home games.

The arrangement also includes a hospitality programme allowing NEXEN TIRE to welcome guests and business partners at Zalgiris home fixtures. Through the strengthened alliance, the company aims to share its passion with more fans while raising brand awareness across the region.

Ricky Lee, Managing Director, NEXEN TIRE Poland, said, “Our cooperation with Zalgiris has developed positively since 2024, and we are pleased to extend and strengthen this partnership. Basketball has a particularly strong following in the Baltic region, making Zalgiris an important partner as we continue to grow our presence and engage with fans. We look forward to supporting the team throughout the season and doing our best to create positive experiences for both the players and their passionate fans.”

Paulius Jankunas, President, Zalgiris, said, “We are delighted to continue our cooperation with NEXEN TIRE and build on the partnership we started two years ago. NEXEN TIRE brings extensive experience in sports marketing, and we are proud to work together on creating meaningful projects and experiences for our fans. We look forward to another successful period of cooperation and to welcoming NEXEN TIRE’s guests and partners to our games and events.”

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TBC Corporation, one of North America’s largest marketers of automotive replacement tyres through wholesale and franchise operations, has widened its tyre portfolio through the addition of four new lines under the Multi-Mile Tyres banner. Serving as a value step-up brand, Multi-Mile gives dealers a strong mix of broader product coverage and improved consumer advantages crafted to drive better retail margins, helping retailers offer greater value while lifting profitability. With this expansion, the portfolio now reaches over 85 percent of the vehicle market, offering dealers more ways to satisfy customer demand.

Among the additions are tyres built for rugged and mud terrain use, boasting self-cleaning treads that push out mud and stones alongside dependable traction both on and off the road. Also joining the range are commercial and C-metric speciality tyres tailored to heavy-duty regional and long-haul trucks, together with all-weather tyres that hold the 3-Peak Mountain Snowflake severe snow rating and are made for high mileage and consistent year-round use.

A prominent name in the replacement tyre segment, Multi-Mile carries cutting-edge touring, high-performance and broad-line tyres suited to passenger cars, light trucks and SUVs. Meanwhile, the upgraded Mile After Mile Protection Plan warranty now delivers broader coverage, adding three-year roadside assistance, a three-year road hazard protection plan and a 60-day ride guarantee on top of its extensive treadwear warranties.

Rachel Tibor, Chief Marketing Officer, TBC Wholesale, said, “For more than 70 years, Multi-Mile products have offered cost-efficient, reliable and durable tyre options that enhance safety and performance. With this expanded portfolio, Multi-Mile strengthens its position as a value step-up brand, giving dealers more opportunities to meet evolving consumer needs while offering a product mix designed to support stronger retail margins. We’re continuing our longstanding tradition of supplying the right products at the right time for every type of vehicle and application.”

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