JOIN THE NATION S LARGEST NETWORK

Transcription

1

2 JOIN THE NATION S LARGEST NETWORK OF ELITE, INDEPENDENT AND LOCALLY-INVESTED TIRE DEALERS 2018 Tire Pros Francorp. All rights reserved. Offering by prospectus only. This brochure is not an offer or sale of a franchise.

3 In today s fast-changing retail marketplace, it s harder than ever for tire dealers to enhance their business prospects while remaining independent. Competitive challenges are all around with big-box stores, online retailers, growing super regionals, manufacturer retail stores and car dealers. The Tire Pros franchise system brings tire dealers like you together under a shared brand and gives them access to a team of retail marketing professionals and business consultants who understand changing retail trends and excel at generating traffic and helping convert it to sales. Being a Tire Pros owner also enables you to offer one of the industry s best nationwide tire protection and national service warranties, as well as an attractive consumer financing program. Beyond that, Tire Pros continues to invest in capabilities that help you to sell more tires. With Tire Pros in your corner, you can focus your time and energy on what s most important winning in your market. TIRE PROS FRANCHISEES GAIN ACCESS TO OFFERINGS THAT CAN: Create effective marketing and advertising plans that help generate traffic Convert and measure sales to help you to focus on profitability Drive operational efficiencies through training for owners and associates Help customers via one of the industry s best nationwide tire protection and national service warranties, as well as compelling consumer financing that drives loyalty

4 INDEPENDENT WITHOUT GOING IT ALONE

5 Chances are you got into business so you could go your own way. But today s tire business calls for a more collaborative strategy to reach your goals. The Tire Pros team works with hundreds of independent tire dealers who once felt the same way you do now. The Tire Pros team has proven that they understand their businesses and priorities and can offer the strength and support they need to survive and thrive over the long term. Tire Pros is here to help you navigate the changing times in front of you. Tire Pros owners say that now they are part of something bigger than their individual businesses and they d never go back. A CHANGING COMPETITIVE LANDSCAPE It s no wonder the market is challenging for the independent tire dealer. On-highway miles are down as many millennials are foregoing car ownership in favor of living near where they work. Predicted flat market conditions mean nonbranded independents like you will continue to be challenged to capture business away from competitors who are just as intent on growing as you are. Joining the Tire Pros franchise offers you the same kind of advantages big-box stores use to compete against independents. You gain ready access to advertising and creative promotional power, consumer warranties that build confidence and loyalty, and financing programs that extend your customers budgets and buying power. Working with Tire Pros also helps you enhance your digital marketing strategy, so you can compete against the online retailers who don t have the cost structure of bricks and mortar stores like independents. WHAT BUYING BEHAVIORS HAVE DEALERS NOTICED? I see consumers in the parking lot checking prices or researching tires on a mobile phone before coming into the store. They want it to be easy from start to finish buy the tire, schedule the appointment and manage the payment. RAMPED-UP BUYER EXPECTATIONS There s no doubt the industry is changing fast. Super regionals are growing. Independent dealers are consolidating, and manufacturers are responding by taking their pitch directly to consumers. Even the very keystone of the industry the automobile is changing. The changing industry has dramatically altered buying behavior and customer service expectations. Now more than ever, people in the market for tires are seeking out specific information online instead of at retail stores. Today s consumers expect retailers to offer a hassle-free buying experience from end-to-end from research through service and payment. But the tire and auto service industry has lagged behind other retailers in achieving this kind of seamless experience. Unless dealers meet changing expectations, they risk losing even previously loyal customers. Tire Pros helps its franchisees stay on pace with the evolving retail landscape. HOW DO CONSUMERS DESCRIBE THE IDEAL HASSLE-FREE BUYING EXPERIENCE? I bring my vehicle into the store. They have the tires I need in stock. The salesman knows the product he is selling. They have all tools needed to do the job properly. The mechanic is confident he can do the job because of proper training. I m given the best possible services which include expert advice and suggestions, are treated with respect and caring, as well as given the price of services with no hidden fees up front. No high-pressure sales tactics because I m a woman. It means showing me what they have available and giving me honest recommendations if I have tire questions Tire Pros Consumer Brand Study

6 DIRECT ROUTES FOR KEEPING CUSTOMERS COMING BACK Tire Pros constantly looks for ways to help our franchisees deliver a customer experience that creates customers for life. Here are a few ways Tire Pros helps ensure your customers have confidence in you. NATIONWIDE SERVICE AND TIRE WARRANTIES Tire Pros gives you the freedom to offer your customers two nationwide warranties: 1) Tire Protection, a comprehensive tire warranty featuring free replacement, free flat repairs, tire rotations and a nationwide mileage warranty, and 2) Service Protection, a nationwide warranty that covers most services. Both programs have no chargebacks to the original retail franchise for out-of-area claims. Honored at Tire Pros locations nationwide and thousands of additional service points across the U.S., Tire Pros has one of the industry s best nationwide tire and service warranties featuring complimentary roadside assistance. The $250 Promise assures customers that Tire Pros can find them help when they are stranded. Find out more about Tire Pros warranties at tirepros.com. TIRE PROS PREFERRED CUSTOMER CREDIT CARD The Tire Pros credit card can help build customer loyalty, drive repeat sales, and keep the Tire Pros brand front and center in your customers wallets. Its benefits include: Six months promotional financing on purchases $199 or more Enhanced consumer rebates when using financing during Tire Pros exclusive sales promotions Valuable marketing assistance marketing, in-store POP and other promotional programs A fast credit application process with a decision in minutes The Tire Pros credit card can be used at Synchrony Car Care locations with promotional financing* available and at gas stations nationwide.** 2018 Tire Pros Francorp. All rights reserved. Offering by prospectus only. This brochure is not an offer or sale of a franchise.

7 *Subject to credit approval. Minimum monthly payments required. See store for details. ** Subject to credit approval. Valid everywhere Synchrony Car Care is accepted in the U.S. and Puerto Rico. Gas station purchases are not eligible for promotional financing.

8 EXCLUSIVE AVENUES FOR LEARNING, LEADERSHIP AND INDUSTRY EXPERTISE TIRE PROS RETAIL BUSINESS CONSULTANT SUPPORT Tire Pros Retail Business Consultants (RBCs) work to share the knowledge they ve gained through many years of experience in tire and automotive retailing. Many have worked for some of the biggest names in the industry, and many were also independent retailers. This gives them the ability to share insights that you may be able to leverage in your local markets. Tire Pros RBCs specialize in providing detailed information and assistance with: Store operations, workflow and training Store promotions, selling techniques and product knowledge Industry trends and best practices Analytics, reporting and benchmarking among owners Financial management analysis including P&L, benchmarking, budgeting and cash flow Helping maximize your return on engagement with the Tire Pros program TRAINING FOR OWNERS AND ASSOCIATES New Owner Orientation As a new Tire Pros franchisee, you ll want to get up to speed with all franchise opportunities as quickly as possible. At New Owner Orientation, you ll meet key Tire Pros staff and management and take a deep dive into all program elements: branding and marketing strategies, operational best practices, retail sales programs, cost savings programs, vendor partnerships and more. A particularly rewarding part of Orientation is opportunities to create new relationships with other new Tire Pros franchisees. Tire Pros University (TPU) Training As the name implies, Tire Pros University offers a high-level, owner-specific curriculum on industry-related topics. It is designed to give you a big-picture view beyond your local market to help prepare you to better compete as the overall industry changes. The PROS Partnership Analysis: Professional Retail Operations Solutions This effort, led by Tire Pros RBCs, measures and coaches you and your staff on improved retail operations and sales strategies that you can implement in your store. Training covers a variety of retail business aspects, including: Benchmarking and KPI analysis Improved telephone technique Selling Tire Pros warranties Selling the flexibility and benefits of consumer financing Vehicle inspections Goal setting and performance management Shop productivity/bay management Merchandising Professional image

9 DEALER-LED COUNCILS AND COMMUNICATIONS National Dealer Council The owners who serve on the National Dealer Council act as a steering committee for the franchise system. The Council represents the voice of the owner and works collaboratively with the Tire Pros senior leadership team to make decisions that directly impact the future of the franchise system and Tire Pros brand. Mission-Based Councils These councils focus on providing vision and deliverables aimed at maximizing Tire Pros four pillars of excellence: Technology, Customer Experience, Training and Marketing. Their contributions help give Tire Pros its unique, dealer-driven quality not found in traditional tire franchise systems. Owner Think Tanks (OTTs) Tire Pros OTTs are informal roundtable discussions where local owners share challenges, best practices and ideas with each other. Comments, questions and suggestions are gathered and shared with Tire Pros and ATD management as well as the National Dealer Council for consideration that often result in system enhancements that could benefit all franchisees. Owner Communications Hub Yammer is Tire Pros online internal communications platform that creates robust dialogue between Tire Pros owners and staff. Instant and mobile, the hub enables owners to share relevant news and success stories, and also ask questions of, and solicit advice from, management and fellow franchisees. National Business Conference This event gives Tire Pros owners inspiring opportunities to share the energy created by achievements over the past year and creating excitement about the future of both the industry and the franchise system as Tire Pros continues its path forward. The conference includes keynote speakers, a vendor fair and breakout sessions in an environment where the ambience and entertainment always make it fun for everyone. TireProsOnline Ordering and Resource Center This powerful business-to-business e-commerce site is more than a place to buy tires, wheels or tools and supplies from ATD - it also provides valuable advice and information that can be used to drive each customer s business. Also included are links to franchise news, affiliate vendor programs, training modules, key program documents, and other valuable tools. Owners can access the advanced search features of real-time inventory, and check Purchasing Programs Performance online, among many other capabilities Tire Pros Francorp. All rights reserved. Offering by prospectus only. This brochure is not an offer or sale of a franchise.

10

11 ATD AND TIRE PROS MANUFACTURER PROGRAM ENHANCEMENTS Since Tire Pros is a subsidiary of American Tire Distributors, the largest wholesale distributor in the U.S. and Canada, Tire Pros franchisees leverage the power of the network with industry partners. As an owner, you receive programmed purchase incentives on tires, wheels, equipment, tools, supplies, and many other items. That kind of buying advantage helps give you an edge in your market. Purchase Incentive Program Loyalty is rewarded at Tire Pros. Franchisees receive exclusive access to manufacturer program enhancements and other incentives designed to help improve profitability. Sales Associate Incentive Program Tire Pros ProRewards is an incentive program for Tire Pros retail selling associates that provides them with the ability to earn additional income. These spiffs are aligned to the marketing programs you select. Submissions are done electronically so it s hassle-free. Affiliate Vendor Discount Programs Tire Pros constantly negotiates with industry partners, so you never know what other great programs may be available to you next. Tire Pros offers owner discounts and rebates on a variety of products, including: Wheels Oil Auto Parts Equipment Employee Uniforms Office/Shop Supplies Wireless Phones Point of Sale Software Fleet/Vehicle Credit Card Merchant Services Exterior Signage and Interior Merchandising Displays

12 A HIGH-POWERED ADVERTISING AND MARKETING ENGINE The Tire Pros team knows that tire dealers in all kinds of markets constantly worry about whether they are using the right advertising vehicles to reach their best prospects. As a Tire Pros franchisee, you get expert help in planning and executing marketing strategies, advertising campaigns, social media management and other digital communications that are designed to work best for you. TIRE PROS MARKETING TEAM As a Tire Pros franchisee, owners get full-service marketing assistance from a marketing support team that includes experts in media buying, marketing coordination, graphic design and accounting oversight. The Tire Pros Marketing Team will: Make creative and effective local, regional, and national marketing campaigns available to all franchisees Customize each campaign to feature a franchisee s local identity within a consistent, national brand identity and messaging Provide digital marketing support to enhance corporate branding, reputation management and social media presence Invest and reconcile your co-op earnings effectively to provide maximum impact

13 ADVERTISING AND MARKETING SERVICES ANNUAL MARKETING PLANNING AND MEASUREMENT Your dedicated Tire Pros team works with you to define the business objectives of your shop and create an ad plan to help achieve them. Your advertising expenses are tracked on your unique annual advertising agreement so you always know what s going on. This hassle-free approach to advertising enables you to focus on your customers. MEDIA BUYING AND PLANNING SERVICES WITH CONSOLIDATED CENTRALIZED BILLING The Tire Pros Marketing Team professionally manages and customizes your media planning and buying services across all media channels including print, radio, TV, internet, billboards, direct mail, and digital and social to drive traffic and help maximize return on engagement. Your Media Buyer will: Evaluate media opportunities and provide options that maximize reach and frequency numbers within your designated budget Handle all negotiations, purchasing and billing Your Marketing Coordinators will: Facilitate your creative needs from concept to production Traffic creative assets to all vendors Ensure all creative pieces meet Tire Pros brand guidelines and are approved by you Obtain approval from manufacturers where co-op reimbursement guidelines apply AUTOMATED MARKETING, LOYALTY AND BUSINESS INTELLIGENCE PLATFORM You will have access to Tire Pros ONE Solution. This all-in-one automated marketing and business intelligence platform shows you if your marketing campaigns are generating leads. It also simplifies the process of defining customers and tracking return on investment. Tire Pros owners can use an automated marketing service to send out service reminders and personal marketing messages. The service includes an owner dashboard to help you measure the effectiveness of database marketing. Even better, you can benefit from benchmarking and key performance measurement indicators to compare how you re doing in relation to other franchisees, both regionally and nationally.

14 ADVERTISING AND MARKETING SERVICES VALUABLE EXPOSURE Being part of the Tire Pros team means high-visibility sponsorships are within your reach. Across national, regional and group efforts, compelling creative assets are used to drive brand value and awareness. TIREPROS.COM AND CORPORATE SOCIAL PAGES All owners receive a page on the high-traffic Tire Pros website, as well as opportunities to acquire new customers from Tire Pros e-commerce affiliate program powered by Tire Buyer. Tire Pros dynamic presence on Instagram, Facebook and other social networking sites gives you extra brand awareness and traffic. FULL CREATIVE DESIGN RESOURCES The Tire Pros Graphic Design Team creates customized, store-specific marketing communications and materials to differentiate you and reflect consistent Tire Pros brand positioning. Ad layouts, design and production services, plus radio scripts and options for TV spots can all become part of your Tire Pros marketing strategy. STREAMLINED CO-OP MANAGEMENT The Tire Pros Marketing Team ensures that your co-op earnings are used strategically to drive traffic and reach specific business objectives. The team works directly with manufacturers to ensure all advertising meets co-op guidelines and to manage submission of co-op claims to the manufacturer on your behalf.

15 ADVERTISING AND MARKETING SERVICES CUSTOMER SATISFACTION MEASUREMENT As a Tire Pros franchisee, you benefit from access to your Net Promoter Score, a wellknown measure of customer satisfaction and delivery of key Tire Pros initiatives that promote a hassle-free customer experience. E-COMMERCE AFFILIATE PROGRAM Tire Pros partnership with Tire Buyer offers you an opportunity to acquire new customers through an e-commerce affiliate program on your company website and on TirePros.com. EXCLUSIVE NATIONAL SALES PROMOTIONS AND CONSUMER REBATES Franchisees can participate in exclusive national consumer promotions, which include point-of-sale materials, national social and digital marketing support, full creative assets and digital files, all of which boost your local marketing efforts and provide employees with exclusive selling tools. Tire Pros exclusive promotions also provide enhanced consumer rebates, available when a consumer uses their new or existing Tire Pros Credit Card. MARKET RESEARCH AND ANALYTICS You also get access to media and market analysis including Nielsen/Scarborough to help guide your marketing plans. IN-STORE MARKETING MATERIALS You receive quarterly Point-of-Purchase kits that support Tire Pros exclusive consumer promotions as well as targeted social and digital campaigns to help drive traffic to stores Tire Pros Francorp. All rights reserved. Offering by prospectus only. This brochure is not an offer or sale of a franchise.

16 ATD: GOING THE DISTANCE SINCE 1935 As a subsidiary of American Tire Distributors (ATD), Tire Pros is proud to be part of a great American success story. ATD started in 1935 as the J.H. Heafner Company, with one tire store in Lincolnton, N.C. Never content with the status quo, the company has a long history of supporting the locally-owned tire and automotive service dealer. ATD s size and strong support systems give independent tire retailers like you an edge in adapting to competitive and consumer trends with confidence. As a Tire Pros franchisee, you can tap into the strength and resources of ATD to help you move forward faster in the years to come.

17 AN OWNER-DRIVEN PARTNERSHIP Tire Pros offers you an all-for-one and one-for-all approach. Through everything from National and Mission-Based Councils to Owner Think Tanks and social networking among owners, Tire Pros is designed to help you to stay independent without going it alone. Nothing can match the strength of being part of a group of franchisees who believe that sharing expertise and supporting each other s success is a winning combination. Overall, Tire Pros is built for the dealer, by the dealer, with program elements that can help elevate you in the market and provide significant value.

18 QUOTES FROM CURRENT TIRE PROS FRANCHISEES I truly believe that if it had not been for Tire Pros, my business would not be where it is today. We are financially in the best position we have ever been in. I am thankful for what the total program has done for us. The Tire Pros programs and warranties make us very competitive. We have experienced tremendous improvements in sales, margins, and overall performance of staff members. I wish we would have joined sooner! 2018 Tire Pros Francorp. All rights reserved. Offering by prospectus only. This brochure is not an offer or sale of a franchise.

19 ARE YOU THE IDEAL TIRE PROS FRANCHISEE? The Tire Pros franchise system is looking for ideal independent dealers to grow its network of elite, independent tire retailers. As a Tire Pros franchisee, you want to: Be the best retailer in your market Deliver an unsurpassed customer experience Explore cutting-edge, traffic-driving digital marketing strategies Invest in improving business results through training and much more Ask yourself where you d like to be in 3 or 5 or 10 years. Think about how difficult that journey could be on your own, without the right resources, strategic advice and in-depth understanding of the rapidly changing tire industry. Take a look at testimonials from current Tire Pros Owners at tirepros.com/become-a-dealer, and call franchisee-owners directly. Why? Because the last thing you want to be a year from now is wondering why you waited so long. TAKE THE NEXT STEP Contact your ATD sales representative, call 877-TIREPROS or visit the Tire Pros website. This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for informational purposes only. Offering by prospectus only. Currently, the following states regulate the offer and sale of franchises: California, Florida, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Rhode Island, South Dakota, Utah, Virginia, Washington, and Wisconsin. If you are a resident of, or want to locate a franchise in one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your state. No offer or sale of a franchise will be made except by franchise disclosure document filed with the applicable authorities and in compliance with such rules and regulations promulgated by such authorities.

20 877-TIREPROS 2018 Tire Pros Francorp. All rights reserved.