3 Reasons Tire Buying Has Shifted

Tire purchasing and inventory management is not what it used to be. There are several factors that are changing the way that fleet managers are purchasing and managing their tire inventory.

Storage Concerns

Tires aren’t as cheap as they used to be and storing them does not make as much sense as it ties up capital and supply is typically short to begin with. In addition, past advantages to buying in bulk for quantity discounts are just not an option anymore. With supply being as tight as it is, it just doesn’t happen that way anymore reducing the opportunity for storing tires on location.

Theft Concerns

Tires walk, and with prices on the rise, they are walking even faster. Theft is another reason to not store on location. Even if quantity discounts were available, you would likely lose a few due to theft and completely eliminate your marginal difference. Theft is simply to prevalent to be ignored.

Tight Supply

One of the biggest concerns is tightened supply. We heard about this as a possiblity a few years back, and we are right in the thick of things now. Supply is short and that makes it hard to manage the inventory in light of the fact that storing your nuts for the winter makes less sense than before.

Solutions

We Outlined a few ideas that would be useful to fleet managers in light of these changes:

• Hedge Your Purchase Price: A lot of smaller and larger fleets are beginning to negotiate deals with tire manufactures at a set inventory pace and a set inventory price to more easily manage their supply and demand while keeping their costs at a fixed rate.
• Increased Security: If storing tires is your only option due to operational needs, consider spending the money on upgraded security to prevent theft to as little as possible.
• Rent Storage Trailers: Renting a storage trailer to store your tires keeps them secure, off the ground, and accessible. Renting a storage trailer is cost-effective and simple to do and is a quick and efficient solution to management of your tire inventory.

Storage Trailer Rentals

Prime Trailer Leasing Rents Storage Trailers in Colorado, Utah, and Nevada and we have very affordable rates and a great supply for 45, 48 and 53 ft storage trailers to meet the needs of all our customers. Check us out and let us help serve your needs.