GM raising the bar for Tire Purchase Growth Incentive

[joecool17]

Boy I love when the General changes the rules in the middle of the game. We are a small store with a quick lube center, but we both utilize the GM tire program. We consistently hit marks averaging in the 3% and 5% with a rare 7%. Does anyone think the rising costs of tires makes it easier to hit these marks? How many of you even use the tire program? There really seems to be not enough cost savings to buy elsewhere. Plus if I were to jump off the program now, I am sure there are other areas I would miss out on.

[Ichabod Farquar]

We use the tire program. However, we are no longer able to hit any incentive level. The program used to be very competitive but we cannot compete with a tire store that purchases a single tire by the truck load to beat our price. This store will not advertise or provide a written quote - so price match cannot be done. With the rebates we used to beat them at half ton truck tires, now they purchase each size by the entire semi truck load and we cannot touch it. We have actually purchased a couple from them and it can be $20-30 per tire less. I don't know what the truck load discount is but it must be massive.

If you drop off the program what will you do about PASE loyalty?

Tires can kill loyalty - we used to do some Mastercraft but no more. Would rather lose the sale than pay the PASE penalty - and that is where we are today. The lesser of two evils is NOT to make the sale - as crazy as that sounds.

[C8RFAN]

We use the tire program. However, we are no longer able to hit any incentive level. The program used to be very competitive but we cannot compete with a tire store that purchases a single tire by the truck load to beat our price. This store will not advertise or provide a written quote - so price match cannot be done. With the rebates we used to beat them at half ton truck tires, now they purchase each size by the entire semi truck load and we cannot touch it. We have actually purchased a couple from them and it can be $20-30 per tire less. I don't know what the truck load discount is but it must be massive.

If you drop off the program what will you do about PASE loyalty?

Tires can kill loyalty - we used to do some Mastercraft but no more. Would rather lose the sale than pay the PASE penalty - and that is where we are today. The lesser of two evils is NOT to make the sale - as crazy as that sounds.

My story is similar to yours... Ever seen the movie wargames? At the end, the computer realizes the only winning move is not to play at all

I do the same as you, Try to stay on program at all costs so it doesnt put the hurting on PASE. Which doesnt always work out that way.... Used cars wants to cheap tires, and they dont care what it does to me