Car press

The tyre market has become highly competitive. Internet has proven to be a new and effective means of distribution that gives a competitive advantage.

It's a well-established fact that the best ideas are born of daily observation and personal need. As an amateur racing driver, Alexis Nerguisian was reminded at every competition of the high cost of tyres. "When I realised that internet was perfectly adapted to ordering tyres, I set to work. Pneus-online.fr was created in November 2001. From 1000£ in 2001, the turnover has jumped to 60,000£ in 2002 and 400,000£ in 2003. "It's the beginning of April, 2004, and we have already surpassed our 2003 results." Supported by two companies, one French and one Swiss, the site sells in France, Switzerland, and Luxembourg. It plans to extend its activities to all the surrounding countries.

AN ULTRA SIMPLE WAY TO ORDER
Three numbers and a letter. You just need to know the dimensions of the tyre you're looking for, or find them on the tyres currently mounted on your vehicle. You then enter them into the window on the site's homepage. Select the speed index, the manufacturer if you have a preference, and the site will show you information on the available products. Once you have indicated the number of tyres to be delivered and your contact information, you can pay for your order either by payment card in a secure environment, bank transfer, or cheque, for those who still have reservations about online payment.

THE SAVINGS
Alexis Nerguisian claims that his products are priced 30% to 50% below market prices. How can he manage these kinds of rebates? He gives three reasons: "The first is that we are 100% internet. All orders take place on the web. That's why there are no phone numbers on our site. We avoid getting calls that way." By the same token, the personnel is reduced. Besides the director, there is only one employee working in the Dardilly offices(Rhone). "Secondly, we are supplied as needed by our wholesale and manufacturing partners. We do not have our own stocks. Finally, the volumes allow us to lower prices." The founder believes that they can be compressed even more. He thinks this might be possible if the partnership proposed by a "reknowned" manufacturer becomes a reality.

WHAT ABOUT MOUNTING?
There is a stumbling block to buying tyres yourself: How do you have them mounted? Few people have the appropriate equipment. It would be awkward or inconsiderate to ask this of your mechanic given that he also sells tyres. Alexis Nerguisian has found a solution. He has created a circle of mechanics, automotive centres, and mounting locations that are happy to accomodate his clients: "There are currently 300 of them. It's not inconceivable that their numbers increase, creating a network and a recognised name." CHL is a body and general repairman in the 15th district of Paris who also sells tyres. He nonetheless agreed to mount those of pneus-online.fr clients, "three or four times a week". "If I refuse to do the mounting, that won't make the client buy from me - my prices are higher. By mounting their tyres, I earn 13 euros [8£]. Coincidentally, we sometimes find repairs that need to be done (brake pads, body touch-up). We offer to do the repairs, and certain clients accept. It's additional profit. The tyre market has become very difficult. I'm sometimes forced to lower my prices by more than 13 euros [8£]. That's why I've decided to be realistic and share the market."https://www.pneus-online.fr/

What the Clients Think

The clients contacted - all said they had no personal ties with the site's founder - confirm discounts of 20% to 40% compared with market prices. Marielle Tesson, a restaurant owner in la Creuse who buys a dozen tyres per year, appreciates the fact that prices includes shipping. Manuel de Bastos, manager of a stud farm close to Rouen (Seine-Maritime), praises the "faultless professionalism: a rapid response and tyres perfectly packaged". Like his friend at France Télécom, an auto network executive now equips his fleet through the same channels. Alain Michelet, who is a parts retailer in Haute-Savoie(Europièces, 300 to 400 tyres per year), is equally satisfied but would like to see the delivery time reduced from 4-5 days to 24-48 hours.

Excerpt from "LARGUS" Thursday, May 13, 2004