Online Tyre Retailing – Why Is It Important For Tyre Sellers?
Over 480 million internet users as of 2017 and expected E-Retail market jump by 65% in 2018 indicate opportunities for tyre sellers in the online space.
As the internet industry continues to grow manifold, the Indian e-commerce sector is achieving newer heights with each passing day. The boom is influencing every brand and organized retail to have a digital presence on the internet. A report claims that there will be 175 million online shoppers by the year 2020 in India, which were 50 million in 2015. It stated that internet will impact consumer’s 50 percent purchase decisions in the coming years. Gone are the days when the online research was only restricted to apparels or consumer electronics. It has now moved on to different verticals with one such being the automotive industry.
Last year, more than 275,329 cars and above 1,685,814 two-wheelers were sold in India. And to achieve these sales numbers internet played a significant role, in terms of discovery, comparison, road tests and online offers. Moreover, the e-commerce biggies have infused greater levels of confidence among Indian consumers looking for online shopping. Likewise, it has also encouraged people to buy tyres online. Besides the traditional walk-in stores and showrooms, the increasing demand for tyres online has opened another channel for retailers to hunt potential consumers. In the past couple of years, the tyre industry has witnessed a promising increase in the online tyre shopping arena. And why it shouldn’t be, as the online tyre buying habit has seen an exponential rise across the globe.
Besides, B2B (business to business) and B2C (business to consumer) marketing platforms, the lately surfaced trend is of O2O (‘online’ to ‘offline’) platform, which explains the online tyre selling business aptly. So, the buying process starts when:
Step 1) A buyer goes to a particular website and selects the tyre that is to be fitted in the vehicle.
Step 2) The buyer chooses the nearest local fitting station fixes an appointment as per the date and time of tyre delivery.
Step 3) After paying the all-inclusive price on the website, the consumer needs to appear on the appointed time at the chosen tyre garage to get the tyre installed.
With this, the consumer ends up saving both, time as well as money. It saves money due to transparency in price and competition, while going all the way to the tyre store and then getting to the garage for the installation attracts hell lot of time and bucket full of trouble.
By going with the online tyre buying choice, the tyre buyer is also free from any unnecessary tyre ‘selection’ or ‘buying’ pressure from the dealer at the store. As per a survey, nearly 70 percent of the buying decision is made by the tyre dealer, which is obviously not appreciated by most. On the other hand, the online tyre selection endows you to select tyres on merit basis and to your full satisfaction via tyre reviews, their tested performance, user reviews, tyre comparisons together with highly transparent pricing mechanism. Usually people are ignorant when it comes to buying tyres as it involves tedious footwork and as a result, buyers end up spending more money unnecessarily (due to lack of knowledge) on a tyre. However, this scenario was prior to the unfolding of the internet. Nowadays, people are more than happy to go with their ‘own’ tyre selection and comparisons.
The internet user base in India has reached to 481 million at the end of December 2017, which is about 36 percent of the total population. Furthermore, the e-tailing market is likely to jump by 65 percent on a year on year basis in 2018, a study says. But some researchers differ on these stats and as per them, the online industry will grow at a much faster rate than estimated. And these estimations are bound to go wrong with mobile internet marketing coming into the picture; thanks to the foray of Reliance Jio’s market disrupting data offerings, which has taken the population unthinkably ahead in terms of mobile internet usage.
With people acquiring faith in the online purchasing process and becoming conscious that tyres can also be bought online just like the groceries, apparels, gadgets, phones and accessories, the opportunity is really huge and untapped for tyre sellers. And with mobile internet in every hand (courtesy: cheap data offerings from telecom operators), the convenient online experience will influence customers to ditch conventional sales channels and choose digital medium to purchase tyres. Sighting the boom, it has now become essential for the tyre retailers to sell tyres online in order to fulfill the increasing demand for tyres.