Jacksonville-based Tire Outlet is going on the road.
“The convenience of getting tires replaced at your home or work is a major opportunity that we are planning on capitalizing on,” said Rob Duckworth, chief operating officer of Tire Outlet, in an email interview.
Tire Outlet made the decision in February, prepandemic. Customers already were buying food and much else for home delivery, so it seemed to be a natural direction.
It is taking Tire Outlet on a strategic path.
Tire Outlet launched mobile installation with one van that serves 18 ZIP codes, covering much of the Jacksonville area.
Its focus for the fourth quarter and 2021 is expanding the fleet.
“As we grow we plan on adding more mobile installation vans,” Duckworth said.
“If you’re not growing, you’re dying.”
Tire Outlet sells tires and offers installation, rotation, alignment and balancing as well as air conditioning, batteries, brakes, engine air filters and tuneups, oil changes, shocks and struts, and windshield wiper blades.
The mobile service is limited to tire installation, balancing and monitoring. Customers book online at tireoutlet.com/mobile. A convenience fee is built into the cost.
Tire Outlet also is adding brick-and-mortar locations.
Started in 1981, Tire Outlet has grown to 12 stores and is working on a 13th, this one in St. Johns County.
It markets “brand name tires at wholesale prices.”
The target market is middle-income customers wanting economical brands, although Tire Outlet carries a variety of price points.
The Tire Outlet stores operate among seven counties in Northeast Florida, from Ormond Beach in Volusia County to Yulee in Nassau County.
It started by acquiring tire services and converting them to Tire Outlet. The first, in Gainesville, is the only one that doesn’t provide the full line of services.
It bought DeSalvo Tire Service in Jacksonville Beach and calls it Tire Outlet – DeSalvo. It tags its stores with their locations.
Tire Outlet recently opened two built-to-suit locations - in Yulee in Nassau County and, the most recent, at 9213 Merrill Road in Arlington’s Buck Business Park, east of the Southside Connector and Interstate 295.
The 6,720-square-foot store is on about 1.3 acres. New stores will be that size and stock more than 6,000 tires.
St. Johns County is reviewing plans for a 6,720-square-foot Tire Outlet to open in winter 2021 at Parkway Place at Durbin at southeast Race Track Road and St. Johns Parkway.
The real estate strategy is to open in market areas with a growing population.
“We tend to look at locations in Northeast Florida that are up and coming and can provide an opportunity to fulfill market demands. Population density, traffic models, income, and demographics are all factors in our location choices,” Duckworth said.
Sales are doing well, despite the COVID-19 shutdowns.
“We have actually done very well during this pandemic. When all of this first started back in late February, I remember all we were prepping for was the worst outcome,” Duckworth said.
That included protecting cash flow, managing how it was going to take care of its employees, and “looking at every possible way to weather the storm,” including Paycheck Protection Program money.
“We spent a lot of hours preparing the business for multiple scenarios,” he said.
“However, we didn’t prepare for what actually happened – record sales months. At times we were scrambling to find additional employees and dealing with two new greenfield locations that were under construction,” he said.
“All in all, we’ve done well this year and anticipate that we will finish strong as we round out 2020.”
Tire Outlet employs 98 people, averaging eight or nine at each store. It operates a warehouse at 479 Zoo Parkway in North Jacksonville.
As a privately owned company, it does not disclose sales publicly.
