Tyre Dealers Will Emerge As Specialists

Tyre Dealers Will Emerge As Specialists

With increasing technology and service-oriented approach and thrust on transparency in the pursuit of delivering service excellence towards the end-user, tyre dealers will evolve to be seen as providing the values expected of a specialist and not a generalist, says Satish Sharma, President (Asia Pacific, Middle East & Africa) and Whole Time Director, Apollo Tyres. 

“In terms of the changes, we will see more transparency ushered in by the technology and change in mindset. The new generation is more data-oriented, so testing and other data will be asked. I believe the service aspect and data-oriented approach will get expanded. A ‘24x7 for 365 days’ kind of service availability will be seen. Retailers are still looked upon as generalists. More and more specialisation will be happening, as the tyre is an engineering product and you want the right quality, assurance and replacements. So, retailers will emerge as specialists. There are also some regulations, such as tyre labelling and end-of-life, coming in. I’m sure the tyre retailers will have a role to play in the regulatory changes that are happening. So, the evolutionary journey is happening in bits and pieces. But given that the change is speedy, we are hopeful that this is the direction we will go,” explains Sharma.

The Indian tyre retail business has witnessed tremendous changes in the recent past. Earlier, a tyre dealership business was not seen as an aspirational choice. Still, with the evolution of finance for commercial vehicle tyres, the emergence of passenger car and motorcycle tyres as a specialised business – which offers a lot from the service angle – is producing a new breed of entrepreneurs who see the tyre retail business as a vocational profession. 

“Today, we are seeing entrepreneurs who have gone from a single retail outlet to multiple retail outlets looking at the benefits of covering the geography. Many of them are also having multiple retail outlets with various brands. On the two-wheeler tyre side, the traditional tyre retail outlet is not able to cater to that market, but they are available at mechanical shops or even puncture shops. At some places where the scaling has happened, one has also seen the entry of some professionals,” adds Sharma.

Tyre service is also emerging as a source of revenue. Specialisations around fitment, alignment balancing, nitrogen filling and other services have generated a sizeable portion of revenues. As radialisation is happening in the commercial tyre segment, dealers are also expanding their business on highways.

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New challenges are cropping up for dealers with the emergence of new business models, where tyre companies are catering to end-users directly through supplying tyres on rent or on a CPKM basis and selling on their own websites. However, Apollo Tyres prefers to keep its partners as an integral part of its new business models. Sharma explains, “Providing tyres as a service is happening in the commercial tyre segment, where few tyre companies go directly to the end-user. However, Apollo Tyres has never gone that route and does not believe in going that route. We sell and service only through our dealer partners, and that’s been our preferred choice. When we opt for new business models, we always take care of channel conflict in our organisation. Even if we have to provide services directly to the end-user, we will train our dealer partners to provide the services. That’s the way we handle it. And I believe that’s the right way to handle it. In the passenger tyre segment, many local dealers are selling tyres online with the help of e-commerce portals. That’s why you normally won’t find the desired product on these e-commerce portals, and it’s not a very efficient business as of now.

Apollo Tyres had launched an e-commerce portal, shop.apollotyres.com, for passenger car and two-wheeler tyre customers two years ago to cater to the online selling tyres business. With the portal, consumers can purchase their chosen tyres online and book an appointment with Apollo Tyres’ dealer nearest to their location to get the tyres fitted and serviced. The Indian tyre major also has a portal for commercial vehicle tyres. Consumers can directly buy tyres on the portal, but the commercial transactions are passed to the dealer servicing the customer’s needs. “However, this business model, again in its nascent stage, is not as if it’s put the world on fire. For e-commerce for tyres, there’s a long way to go, simply because the customer realises the quality of service you can actually get by going to the dealer counter and having a good relationship with a tyre specialist – because you need the services repeatedly. As the bouquet of services at a tyre dealer is increasing, you can go to a tyre dealer even for a puncture. If this business model takes off, we are already a foot inside the door,” adds Sharma.

Apollo Tyres will launch a digital experience centre to reach its targeted consumers widely. However, the company firmly believes that a real- life experience of the product better impacts the consumers. In line with this, it is making efforts to train its dealers, setting up a standardised format for its branded retail outlets such as Apollo Zones, Apollo Corner, Apollo Points and Apollo CV Zones. “With our branded retail outlets, we have changed the perception of a tyre shop from a dusty looking shop to a dust-free and air-conditioned outlet, where products can be browsed on digital screens. Products are placed so that one can touch and feel them. Our outlets are very friendly and gender-neutral to encourage women to purchase tyres independently. So, we engage our customers with products more meaningfully,” explains Sharma.

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Apollo Tyres is also focusing on expanding its footprint in the rural area. With local entrepreneurs and service forces called rural experts, Apollo Tyres has around 4,500 touchpoints, including about 250 AVK/ ARD and more than 1,000 REDs , in the rural network at the start of FY21 . It also launched the ‘Apollo Tyres Sarpanch’ initiative in March 2021 to enable it to have the most comprehensive tyre distribution network in the rural segment. 

Apollo Tyres recently has launched its Vredestein brand in India. With the brand, the company will initially cater to the demand for tyres between 15 inches and 24 inches, which are generally needed for the luxury and executive premium segment. The company is also working with BMW to supply the Vredestein tyres for BMW 2 and BMW 7 series as OE fitment. “We are cherry-picking the business partners. To create awareness, we are associating ourselves with targeted communities and consumers. We are also engaging ourselves with golf tournaments and providing riding experiences on the F1 tracks,” adds Sharma.

In the tyre retail business, data will gain importance to generate new customers, retain older ones, serve them and manage the business more efficiently. However, dealers may be good at maintaining the balance sheets but they are yet to get hands-on with generating data on the best tyre models, sizes, brands and fast-moving inventories. As per Sharma, “Today, dealers have mistrust with the company manufacturers, and they don’t want to share their data on inventory, the movement, speed and velocity of the inventory at the same time. But as the dealers are getting more and more into digitalisation, they’re seeing the benefits of data. Their minds are also opening up. And so, it’s a journey which needs to be travelled.”

Apollo Tyres, Manchester United Football Club Extend Strategic Partnership

Apollo Tyres - Manchester United Football Club

Apollo Tyres, one of the leading tyre makers in the country, has extended its strategic partnership with Manchester United Football Club, one of the world’s most iconic football teams, for an additional three years.

The partners stated that the renewal of the enduring partnership highlights a mutual commitment to excellence, innovation and shared values. This 12-year alliance has been instrumental in connecting both entities with millions of passionate fans globally, yielding highly engaging campaigns and delivering significant value, both in the realm of sport and business.

Since its inception, the partnership Apollo Tyres' stated has propelled its brand equity, leveraging Manchester United's unparalleled global visibility and deep emotional connection with its loyal fanbase. This association has not only bolstered Apollo Tyres' reputation and amplified consumer trust but also solidified its standing as a premier tyre manufacturer.

The renewal follows the recent visit of Manchester United's first-team players, Andre Onana, Diogo Dalot and Harry Maguire, to Mumbai. Their visit marked the official launch and commencement of activities for the fifth season of the ‘United We Play’ programme, providing an opportunity for direct engagement with fans in India.

Neeraj Kanwar, Vice Chairman and MD, Apollo Tyres, said, “We are thrilled to continue our association with Manchester United, a club that embodies passion, performance and global reach. Our partnership has been instrumental in amplifying our brand equity by aligning with a club that represents passion and perseverance. Together we will strive to create even more exciting experiences for fans, leverage new opportunities in digital and on-ground engagement, and strengthen our brand presence across key markets. We are also excited to expand our impact through a grassroots football initiative that aims to nurture young talent and promote access to the sport at the community level.”

Omar Berrada, CEO, Manchester United, added, “We are delighted to extend our successful partnership with Apollo Tyres, a valued and long-standing member of the Manchester United family. During our 12-year relationship, we’ve not only created impactful global campaigns but also delivered meaningful initiatives at the grassroots level, from youth development to sustainable infrastructure.”

“As we move into this next chapter, we look forward to continuing on our shared legacy -- driving further engagement with our fans around the world and creating lasting value both on and off the pitch,” added Berrada.

Nokian Tyres’ Flagship Winter and Summer Tyres Earn Finnish Quality Recognition

Nokian Tyres’ Flagship Winter and Summer Tyres Earn Finnish Quality Recognition

Nokian Tyres plc has been awarded the prestigious Key Flag symbol by the Association for Finnish Work for its flagship Hakkapeliitta winter tyres and Hakka summer tyres.

The Key Flag, a nationally recognised emblem, is granted to products manufactured or services produced in Finland that contain a minimum of 50% domestic content based on break-even cost.

“We are proud of our Finnish heritage and our northern knowhow which is represented in our premium Nokian Tyres Hakkapeliitta and Nokian Tyres Hakka products,” said Ville Nikkola, Head of Sales, Finland at Nokian Tyres. “The Key Flag symbol is a sign of Finnish work and very well known among consumers. We are extremely happy to be able to present it next to our tyres manufactured in Finland for Nordic drivers.”

The Hakkapeliitta winter tyres and Hakka summer tyres are both developed and produced at Nokian Tyres’ factory in Nokia, Finland. The company’s global research and development centre is also located at the site, and both products undergo rigorous testing in Finland, including winter trials at the Ivalo test facility in Lapland.

This recognition is the latest in a series of Finnish quality accolades for the company. Nokian Tyres has previously received the Key Flag for its heavy machinery tyres, wheels, and retreading materials. Additionally, its truck and bus tyres carry the Design from Finland label, underlining their Finnish design pedigree.

Founded in 1898, Nokian Tyres began manufacturing tyres in 1932. The company introduced the world’s first winter tyre in 1934, followed by the first Hakkapeliitta-branded passenger car winter tyre in 1936. Since then, the brand has become a hallmark of Nordic winter driving.

“The Nokian Tyres Hakkapeliitta winter tyres, as well as the Nokian Tyres Hakka summer tyres,, are designed to withstand the challenges of their northern home: the harsh winters with ice and snow as well as the summer months from the first sub-zero mornings of the spring to the heavy rainfalls of autumn,” Nikkola added.

Nokian Tyres emphasised that both product lines are still made in the same factory in Nokia as their early predecessors. Over the decades, the plant has been modernised and now runs on electricity sourced entirely from CO2-free sources. Most of the steam used in the facility also comes from CO2-free fuels. Since 2015, the factory has sent no waste from tyre production to landfill.

The company has further strengthened its sustainability credentials by obtaining the International Sustainability and Carbon Certification (ISCC) PLUS for the Nokia passenger car tyre plant. The certification enables the integration of sustainable raw materials into tyre production at the facility.

“The Nokian Tyres Hakkapeliitta winter tyres are already a legend of Nordic winter roads and are, just like the Nokian Tyres Hakka summer tyres, still made within the same factory walls in Nokia as their predecessors in the 1930s,” Nikkola concluded.

Hankook Tire All Set For 2025 Jakarta E-Prix

Hankook Tire is gearing up to electrify the 2024/2025 ABB FIA Formula E World Championship as the series returns to Jakarta on 21 June for Round 12 of Season 11.

After a one-year absence, the Jakarta International E-Prix Circuit (JIEC) will once again host the high-speed spectacle, set against the vibrant backdrop of Ancol’s shoreline. The 2.37-km track, celebrated since its debut in Season 8, blends high-speed straights, sweeping turns and a technical final section – inspired by the rhythmic flow of Java’s traditional Kuda Lumping dance. The challenging layout, combined with Jakarta’s intense tropical heat, will test drivers’ skill, endurance and tyre strategy to the limit. Powering every team will be Hankook’s GEN3 Evo iON Race tyre, purpose-built for Formula E’s cutting-edge electric race cars. Its advanced tread design and specialised rubber compound ensure superior grip, stability and heat resistance – key to handling Jakarta’s demanding conditions.

Sustainability remains a core focus, with the tyre incorporating 35 percent eco-friendly materials, including natural rubber and recycled fibres. Designed for extended durability, each tyre is fully recovered post-race and processed through Hankook’s recycling programme, reinforcing the brand’s commitment to reducing motorsport’s environmental footprint while pushing the boundaries of electric racing performance.

Maximilian Günther, the DS Penske driver and winner of 2023 Gulavit Jakarta E-Prix (Race 10), and most recently, the 2025 Jeddah E-Prix (Race 3) and 2025 Hankook Shanghai E-Prix (Race 10), said, “Jakarta delivers a unique blend of technical complexity and extreme climate. It’s a true proving ground for drivers and tire management. The enhanced grip of the GEN3 Evo iON Race tyre allows us to push harder through technical sectors without sacrificing traction. We’ve already observed gains during simulator sessions, and we’re optimistic about translating that into on-track performance.”

Yokohama Rubber Concludes Mizuho Eco Finance Loan Agreement

Yokohama Rubber Concludes Mizuho Eco Finance Loan Agreement

The Yokohama Rubber Co., Ltd. has signed a Mizuho Eco Finance (Mizuho Environmentally Conscious Finance) loan agreement with Mizuho Bank, Ltd. on 17 June, reinforcing the company’s dedication to sustainable growth and decarbonisation.

This environmentally conscious financing programme supports companies transitioning to a decarbonised society by evaluating their climate-related initiatives and disclosures. Yokohama Rubber qualified for the loan after achieving high scores in Mizuho Bank’s environmental assessment, which examines corporate efforts in emissions transparency, greenhouse gas reduction and long-term sustainability goals.

The company has committed to reducing CO₂ emissions by 40 percent by 2030 (compared to 2019 levels) and achieving carbon neutrality by 2050. These targets, along with Yokohama Rubber’s focus on emissions reduction across its supply chain, contributed to its strong evaluation. Under its sustainability slogan, ‘Caring for the Future’, the company integrates social responsibility into its business strategy, aiming to create shared value by addressing global environmental challenges.