sa treads dec 2014

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Magazine for the tyre trade

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  • Vol 2

    0 D

    ecem

    ber 2

    014

    a new set of tyres to the value of R5 000.00 courtesy of Maxxis

    Resale of waste tyres causes concern

    Exclusive interview with Riaz Haffejee SRSA

    Best Drive premium fitment chain is launched in SA

    New Truck and Bus tyre range from Dunlop

    Bandag honours BTS franchisees

    Fo

    cu

    s

    on

    u

    sE

    D T

    Yr

    Es

  • Syn

    c - 1

    071

    5 -

    Tre

    ad S

    .A

    EMERGENCY TYRE ASSISTANCE DOWN TO AN ART

    Tel: +27 11 439 6000, Fax: +27 86 682 7027, e-mail: info@bandag.co.za or visit www.bandag.co.za

    Breakdowns can leave you dead in the water, but you neednt be left to the sharks. With Bandags Emergency Tyre Assistance (ETA) programme you can be covered throughout South Africa 24/7, 365 days of the year. ETA has one easy to remember toll free number, efficient service, consistent on-road pricing and comprehensive reports. Thats what we do.

    10715 - ETA ad - Tread S.A.indd 1 2011/11/08 1:45 PM

  • Editor Liana Shaw

    Technical consultant Wray Shaw

    reproduction Diane van Noort

    Printing TYPO Colour Printing Specialists

    Distribution Prestige Bulk Mailers

    Advertising Liana Shaw

    Contents A note fromthe editor

    The festive season is just around the corner

    and with it happy times ahead relaxing with

    family and friends. But for some, travelling

    on the countrys major routes to and from

    the Coast could have dire consequences.

    Driving under the influence or when tired,

    excessive speeds and vehicles that are not

    roadworthy are some of the causes cited

    contributing to serious road accidents, but

    what is not commonly known, is that tyres

    are another major contributor to the rising death toll in this country.

    The legal tread depth limit currently dictates that a tyre must sport a minimum of

    1.6mm across its entire circumference, a law commonly ignored by motorists as

    is evident by the number of worn tyres currently in circulation. Part of the problem

    lies in that this important legislation is seldom enforced or even policed. But

    another, equally grave scenario involves the growing number of badly worn tyres

    being resold as second-hands to consumers.

    Our lead story takes an in-depth look at this current crisis and its implications.

    Thankfully, both industry and government appear to be giving the matter the

    serious consideration it deserves. Proposed initiatives to counter this problem

    are discussed on page 12 while our resident columnist, Colin Mileman, further

    suggests that educating the consumer around the perils of driving on worn or

    unsuitable tyres, is of critical importance.

    On a lighter note, the Retail sector has been particularly active this quarter. The

    recently established Tyres & More franchise (a member of the TiA Group of

    companies), is continues to expand its national footprint with a range of new stores,

    while Continental Tyre SA has proudly unveiled its new retail offering to market in

    the form the Best Drive suite of stores, which promises to enhance the tyre-fitting

    experience to unprecedented levels, they claim. All this and more in this issue.

    Of course the most exciting development of all is the recent acquisition of Apollo

    South Africa (Dunlop) by Japanese-based manufacturer, Sumitomo Rubber

    Industries, currently ranked number 5 in the top 10 global tyre company listings.

    The implications of this to the South African tyre maker are outlined in our exclusive

    interview with CEO Riaz Haffejee as he maps out the way forward for the companys

    future.

    And last but by no means least stand a chance to win a new set of tyres to the

    value of R5 000.00 courtesy of Maxxis (renowned for its high tech range of 4x4

    tyres) by entering our quarterly competition, either via www.satreads.co.za or on

    fax (011) 658-0010.

    If you are navigating those roads remember to take extra special care over the

    festive season.

    Till we meet again in 2015.

    I n t r o d u c t i o n 1

    Publishers Sky Publications cc PO Box 702

    Douglasdale, 2165

    Tel: (011) 658 0011

    Fax: (011) 658 0010

    Cell: 082 851 6777

    E-mail: satreads@mweb.co.za

    Website: www.satreads.co.za

    one-on-one With CEO Sumitomo Rubber South Africa, (SRSA), Riaz Haffejee .......2

    Focus on Resale of waste tyres on the up! ....................................................... 12

    retreading Bandag/BTS Conference 2014 acknowledges franchisees ....................................................................................... 24

    Manufacturing New Dunlop Truck & Bus Range Announced ................................... 26 Sumitomo Rubber South Africa announces R1.1 billion investment plan ........................................... 26 Continental named SAs top tyre brand at Peoples Wheels Awards ............................................................... 27

    Distribution New Tyres & More Automotive Fitment Centre Opens in Lynnwood.......................................................................... 28 New Tyres & More Automotive Fitment Centre Opens Its Doors in Kempton Park CBD ............................................ 29 Premium tyre fitment reaches South Africa ...................................... 30

    Talking Tyres Tyre Forum Dont negate Educate .............................................. 33

    Goodyear news Goodyear partnered with Rainer Zietlow on his record-breaking drive across three continents ...................... 36 Goodyear recognised as a Top Employer ......................................... 37

    competition, subscription, Website ................................... 40

  • 2 O n e - o n - O n e

    srsA ouTLInEs sTrATEGY For sA MArKET

    WE WILL run our oWn rAcE

    Arguably one of this years most significant developments has been the acquisition of local manufacturer, Apollo Tyres South Africa (Dunlop), by Japanese-based Sumitomo Rubber Industries. Indian-based Apollo Tyres originally purchased Dunlop Tyres SA in 2006 and went on to invest a considerable sum of money into the South African operation, most notably, in the Ladysmith tyre factory.

    In May 2013, allegedly in a move aimed at consolidating its two global brands Apollo and Vredestein Apollo Tyres formally announced the closure of the transaction with Sumitomo Rubber Industries (SRI) which saw SRI taking over Apollo Tyres SA including the Ladysmith passenger plant as well as the Dunlop brand rights that Apollo had in 32 African countries, for a sum of US$60 million.

    We caught up with CEO of the newly formed Sumitomo Rubber South Africa, (SRSA), Riaz Haffejee, to map out the way forward for this local tyre maker.

  • 2 O n e - o n - O n e

    www.stamfordtyres.co.za

    SUMITOMO RUBBER INDUSTRIES, JAPAN

    Its Summer Time and what better way to enjoy the holidays by purchasing

    four of the above Falken passenger or 4x4 tyres (15 or larger) and

    receive a Falken 12 can cooler bag absolutely free!

    Terms and conditions apply.

    The campaign commences on the 1st November 2014 and ends on the 31st December 2014.

    The gifts will be available while stocks last. The gifts are not redeemable for cash.

    This promotion only applies to purchases of Falken ZE912, FK453, FK453CC,

    Wildpeak A/T or Wildpeak H/T tyres.

  • 4 O n e - o n - O n e

    The announcement certainly took the market by storm

    Riaz. What was the reaction internally?

    The initial shock was quickly replaced with excitement

    and optimism for the future as we began the process of

    outlining SRIs objectives for its South African operation

    via dedicated Road Shows across the country. We

    took the decision to do this not only in a bid to inform

    our customers of our strategy to market, but more

    importantly perhaps, in order to explain SRIs vision for

    this part of the world to our staff force.

    Do you believe that SRI is a good culture fit for the

    South African organisation?

    First, Sumitomo is a world-class tyre company , currently

    ranking number 5 among the worlds most reputable tyre brands. Second,

    Japanese brands generally have the performance and engineering edge over

    most tyre makers , and this is seen in a positive light by both customers and

    staff alike.

    SRI enjoys much success in Japan courtesy of its grounded history. And

    whilst it is not the biggest tyre maker in Japan, it is certainly not the smallest.

    My experience with SRI management thus far leads me to believe that the

    company is pragmatic yet also aggressive in its approach to market, a winning

    combination in my opinion, and one that instils confidence in our future

    association with them.

    I must add that our parent company is flexible when it comes to its stance to the

    local market, opting to take the lead from the local management with respect to

    what is right for our market.

    They have come to understand that the South African tyre market is mature and

    in that we need to take a step beyond the current retail experience, if we are to

    grow our marketshare.

    Have you ascertained how you are going to achieve this?

    Primarily and most importantly, by focusing on the basics and reverting back to

    a culture that embraces unparalleled customer service. In my view, this begins

    from the minute your customer enters your premises.

    A