| Let's face it people, the world is changing. Whether it's | | | | passenger market. But mass merchandisers have |
| the increasing price of fuel, the improved performance | | | | captured 17 percent of the market and manufacturer |
| of cars, or the increasing number of online stores | | | | outlets claim 10 percent. Online tire sales make up |
| offering discount tires direct to the US public. | | | | about 4 percent. |
| Recent reports suggest competition amongst tire | | | | "The challenge is that competition from the Internet and |
| sellers has intensified, with the new wave of online tire | | | | national retailers has increased. Tires are getting more |
| stores gaining ground over the independent dealers | | | | expensive. Even though they're lasting longer and the |
| (the traditional market leaders). | | | | number of units aren't climbing as fast as dollar sales, |
| This intense competition is mainly due to the | | | | everyone wants a share of that," said Skip Potter, |
| decreasing market, as demand for tires falls. The | | | | executive director of the Chesapeake Automotive |
| Rubber Manufacturers Association states that: | | | | Business Association, which represents locally owned |
| "...The passenger replacement market will decrease by | | | | tire service centers in Maryland, the District and |
| approximately 3.2 percent in 2006 to nearly 196 million | | | | Delaware. |
| units..." | | | | I believe a shift in the market is happening as we |
| This decline could be due to modern tires being durable | | | | speak. Discount tire centers make it cheaper, easier, |
| and lasting longer than they used to. People are also | | | | and more convenient to buy tires than traditional |
| driving less as a result of increasing gasoline costs. | | | | independent stores. Growth of discount tire stores are |
| Despite the new competition of selling discount tires | | | | strong. Nowadays there's no reason why we shouldn't |
| direct, The independent tire dealers still dominate the | | | | buy tires direct. |
| market, accounting for 69 percent of the replacement | | | | |