Big O Tires Case Study
In late 2017 we received a call from Jerry Tidwell (the owner of several Big O Tires franchises in the Phoenix, Arizona area) asking if we could come up with a solution for the problem he was facing.
“What everyone does not seem to know, is that Big O Tires also offers Tire Alignment Services and oil changes.”
He explained that everyone knows that Big O Tires sells tires, (it says it right in the name and it’s a clear as day) but, what everyone does not seem to know, is that Big O Tires also offers tire alignment services and oil changes.
His business had built a very strong and growing customer base for tire sales, however he was seeing no growth in the other high margin services that his business has to offer. He asked if the LookOurWay design and creative team could come up with a plan that could help solve his problem without breaking the bank.
The Problem & Opportunities:
We first started by listening to our customer to learn more about the business and the situation we were trying to improve.(Note: An effective solution can’t be created, unless a problem or opportunity is first identified.) In this case, we determined both a problem and several opportunities. The first opportunity was that the brand was extremely strong and had already amassed a dedicated and consistent customer base. The second opportunity was that the business was in an excellent location with significant daily car cross traffic. The problem (as discussed before), was that the people were simply not aware of the other two core services that Big O Tires offered (oil changes & tire alignment services). How do we solve the brand’s problem as well as take advantage of the opportunities that have been determined?
“We decided to isolate one advertising message and install that set of custom advertising products for one month to gain data and to analyze the results.”
We felt that the businesses excellent location (with significant car cross traffic),was a tremendous opportunity that could be the key to solving the main problem at hand. Our creative team felt this built-in traffic would allow for the brand to communicate it’s desired message with both it’s existing customers as well as potential new customers. Our creative team set out to design a series of custom designed Air Dancers®, feather flags, banners, and nylon balloons to promote each of the three main revenue centers (tire sales, tire alignments, and oil changes). We worked with Big O Tires to create designs that were “on brand” and within guidelines. In order to keep the advertising message clear and simple, it was decided to create 3 different sets of custom designed products with 3 different messages (tire sales, tire alignments, and oil changes). Note, that all the products used for this promotion cost less than $1,500 all together (including all three message designs).
We decided to isolate one advertising message and install that set of custom advertising products for one month to gain data and to analyze the results. The below advertising message calendar was adopted and the custom products were switched at the start of the each month to promote the new targeted message:
- TIRE SALES: January 1st – 31st
- OIL CHANGE: February 1st – 28th
- TIRE ALIGNMENT: March 1st – 31st
We achieved better results than expected and it’s a true testament of the power of promotional marketing and the proper way to use sign/image marketing to promote your brands intended message
“The number of tires sold increased by 20% and the revenue from tire sales increased by 22%”
January 2018 – TIRE SALES
The number of tires sold increased by 20% and the revenue from tire sales increased by 22% compared to January of 2017.
The set of advertising products that were used was (QT: 2) red tire sale Air Dancers®, (QT: 2) custom “TIRE SALE” feather flags, and reusable outdoor balloons. People drive by Jerry’s location every day and all they needed was to be reminded to purchase their tires here. The combination of feather flags, Air Dancers®, and outdoor vinyl heliumless balloons show a direct correlation with the increase in Big O’s tire sale compared to the prior year. By setting up these inexpensive products every day, more people made appointments and more tires were purchased.
February 2018 – OIL CHANGE:
The number of oil change services increased by 20% and the revenue from oil change services increased by 14% compared to February of 2017. The set of advertising products that were used was (QT: 2) red Air Dancers®, (QT: 2) custom “OIL CHANGE” feather flags, custom “OIL CHANGE” banner, and stock vinyl heilumless balloons.
“The number of tire alignment services increased by 38%”
March 2018 – TIRE ALIGNMENT:
The number of tire alignment services increased by 38% and the revenue from oil change services increased by 34% compared to February of 2017. The set of advertising products that were used was (QT: 2) red Air Dancers®, (QT: 2) custom “TIRE ALIGNMENT” feather flags, and stock vinyl heilumless balloons. Jerry believed that people were forgetting to bring their cars in for regular tire alignments and if they did, they were bringing their cars somewhere else. Most people know that tire centers do tire alignments as well as tire sales, but how many people actually bring their cars in on a regular basis? LookOurWay felt that tire alignments are a simple message to portray on a feather flag. The LookOurWay design and art department custom made feather flags designed to let everyone know about tire alignments. During the month of March, Jerry put these flags up every day and ensured they were clearly visible from the road. He saw his location perform 38% more tire alignment jobs than in March 2017. The total revenue from tire alignments increased 34% from the year prior. This is a direct effect of the custom tire alignment feather flags displayed at his location. People who drive by his location every day may never think of their next tire alignment. When they saw a tire alignment feather flag, they gave Jerry a call to schedule an appointment.
People drive by Jerry’s location every day and they needed to be informed that they can and should get their new car tires, oil changed, and tires aligned at his location. The combination of feather flags, Air Dancers®, banners, and outdoor heliumless balloons show a direct correlation with the increase in Big O Tire’s monthly sales & customer transactions from the prior year. By using the recommended cost effective promotional products from LookOurWay, Big O Tires achieved their desired outcome.
LookOurWay’s cost efficient advertising products work! Our creative design team can help your business to create the plan, the designs, and the products to increase sales.