How Can Tyre Distributors Expand Markets?

How Can Tyre Distributors Expand Markets?

Regarding the overall situation of the tyre industry and the competitive market, tyre distributors are thinking about how to earn money. Therefore, how to expand the market?

Distributors can use the following market development strategies according to local conditions. At the same time, distributors can combine multiple development strategies according to their specific situations to effectively expand markets. 

Ⅰ. Tyre distributors carry out peripheral expansion and replication 

This is the most common way for truck tyre distributors to expand their markets. Specifically, this strategy refers to carrying out intensive cultivation in a certain regional target market as a "base area" for market expansion.

They should make the "base area" market bigger, stronger, deeper, and more thorough and become the foundation and backing for tyre distributors to expand to other regions in the future further.  

After the base market is stable and has an absolute advantage, it will gradually roll forward and penetrate the neighbouring areas. Finally, it can achieve "From a little spark may burst a flame" and occupy the entire regional market. 

This strategy is relatively stable and orderly in market operations. The most important thing is that tyre distributors can concentrate their limited resources on the most critical market. The aim is to prevent the front line from being too long and prevent the stalls from being too large. 

Otherwise, tyre distributors will have large fluctuations and losses caused by insufficient follow-up support.

Ⅱ. Tyre distributors break up the whole into parts 

It refers to dividing a regional market into several interrelated "zones", each of which is then divided into several corresponding "dots", and each "dot" can be connected into several closely related "lines". It can sort out the market, highlight the key points, grasp the key, and drive the overall situation.  

In particular, distributors with larger regional markets need more careful analysis and research. 

It is necessary to highlight the flexibility of market development, the unified deployment of and coordination of each area. This strategy requires effective coordination to get the start of the overall market. Therefore, tyre distributors have to find the entry point for each region.  

Then, each entry point can drive the market. The comprehensive 'break up the whole into parts' strategy is a typical market expansion method to maximize win. However, it requires distributors with solid abilities in market control and resource integration to reach the market synchronization effect of each area and then achieve strategic development. 

Ⅲ. Leapfrog development of tyre distributors 

Distributors usually follow the principle of "first good, then bad" to develop their target market. They will first select and occupy the most attractive target area.  

Secondly, they will select and occupy attractive areas, and it does not matter if the areas are adjacent to the original areas.  

This strategy is an operational strategy that prioritizes the "gold market" occupation. 

Distributors can jointly develop market expansion strategies with tyre companies. At the same time, the resources of the enterprise and distributors can be effectively integrated. Then they can quickly occupy the market and prioritise establishing their competitive advantages in the regional market.

Ⅳ. Store integration of tyre distributors 

The distribution of each region should be centred on a central town (county) as much as possible to integrate stores, which can achieve the economic radiation effect.

In many cases, it can base on three sides like a triangle, which means three towns can be chosen as strongholds.  

When the three town markets are fully occupied, the triangular regional market among the three towns will be affected to a certain extent, and circular regional markets around the three towns will also be affected.

According to the actual conditions of local markets, tyre distributors can either adopt a "tripod structure" method, a "fan-shaped" stronghold method, or a concentric circle method. 

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