The sinking of sales channels seems to have become the trend of the tire industry and even the entire automotive industry. Faced with this situation, all tire giants are playing their own "abacus."
According to Pirelli's plan, by 2014, Pirelli has expanded its retail stores in China to more than 3,000. According to Gregorio Borgo, CEO of Pirelli Asia Pacific, in the future, Pirelli’s sales channels will focus on regional development. It is planned that 40% of Pirelli stores open in first-tier cities, 30% in second-tier cities, and another 30% in third-tier cities.
For Pirelli, which focuses on the high-end market, it intends to open 30% of its stores in third-tier cities in the future. It is not difficult to see the intentions of its sinking channels. Will the company continue to sink and develop into four- and five-tier cities?
According to Li Rui, marketing manager of Pirelli's Asia-Pacific brand and channel marketing, the distribution of sales channels mainly depends on factors such as vehicle ownership, 4s shop distribution and personal income. Pirelli's ultimate goal is to cover the high-end market more widely.
“ Pirelli will gradually cover retail stores in cities across the country, not only in big cities. As long as it is our target market, it will not be missed.†Li Rui said.
According to the latest statistics from the company's brand tires, as of March 2013, the company has established 2,840 authorized image stores in China. The person in charge of the company’s media said that, with the exception of Tibet, its retail stores have covered all provinces and cities in the country and are now expanding at a rate of 3 retail stores per day. It is in accordance with this plan that the company has added more than 1,000 authorized image stores last year.
According to the person in charge, the company 's tires are continuously expanding and optimizing its retail channels. This year, it will continue to maintain the momentum of “adding three new stores a day†and further penetrate into second- and third-tier cities. "This year, the company has a strategic approach to the development of the western region and will accelerate the pace of development in the west," said the person in charge.
The situation of Hankook Tire is relatively "secret." According to the introduction of its general manager of China's headquarters, Bian Yingjun, Hantai opened about 300 new stores in China last year. By the end of last year, the total number had exceeded 1,500. As for the current number of retail stores in China and the distribution of regional and city conditions, Hankook Tire Marketing said that the latest statistics are not yet known.
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