Point S focuses on consolidation following growth years
Dealer group looks to Northern Ireland and Eire
Point S used the platform provided by the Reifen show in Essen to promote a new private brand tyre, a new Point S website and, of course, to meet with members and suppliers. Tyres & Accessories met with Fabien Bouquet, deputy managing director of Point S Development as well UK managing director John Cowderoy and network development manager Dean Dyoss to find out more.
Looking back to our last meet at the 2012 Reifen show, then all the talk was about the signing of partnership agreements in South Africa, Slovenia and Canada. At this year’s event the retail cooperative shared details of its consolidation strategy. As far as the UK is concerned, this means Point S is very close to achieving its “critical mass” of somewhere around 200 branches (currently the total is 186). The next step is expansion into Northern Ireland, something that is likely to take place during 2014. Businesses in Eire are also said to be interested. Indeed across Europe, Point S reports that it is “close to its target” in all but six markets. Consolidation also means the consolidation of policy suppliers and the consolidation of the Point S image in each market.
As far as marketing is concerned, consolidation means the group is considering national advertising campaigns (currently Point S is said to be in talks with three well-known publications) as well as the option of high profile online marketing, all of which is designed to drive traffic to the Point S website (more on that here).
“After several years of fast and successful developments having tripled the size of our International network since 2006, we are now in a phase of consolidation of our positions in each market, particularly in Europe where we are targeting a minimum 5 per cent market share in the latest countries we have launched [and] to increase even further our total 7 per cent European share in the PCR and TBR replacement market we achieved last year.
“Nevertheless to optimize our geographic coverage in Europe we are planning to recruit 250 additional points-of-sale, in the coming years, to complete our existing European network which is representing 2,180 points of sale. This target is achievable as Point S is representing the best alternative for independent tyre dealers who are looking to preserve their independency as entrepreneurs and to benefit at the same time of the support of an International Group working only for the benefits of its members as owned in most of the countries by our members who are our shareholders.
“Our consolidation strategy is also focused on increasing the retail image and awareness of our trademark as the sell-out support to our members, in addition of competitive purchasing terms, is one of our priorities”, says Fabien Bouquet, deputy managing director of Point S Development.