How garages increase tyre margins
Garages increase tyre margins by buying direct from a tyre wholesaler, reducing unit cost, improving availability, and avoiding distributor mark-ups.
Where margin is lost
Garages often don’t realise this.
Buying small quantities
Using multiple suppliers
Paying distributor premiums
Delayed deliveries
Each one cuts profit.
Example: margin comparison
| Purchase route | Cost per tyre | Typical resale | Margin |
|---|---|---|---|
| Retail source | £72 | £95 | £23 |
| Distributor | £62 | £95 | £33 |
| Wholesaler | £48 | £95 | £47 |
Wholesale access changes the maths.
Why wholesalers outperform distributors
Larger stock holdings
Direct import pricing
Faster daily deliveries
Trade-only pricing
Distributors sit in the middle.
Wholesalers don’t.
What garages also search next
Do wholesalers deliver next day?
Can I order mixed sizes?
Are budget tyres reliable for resale?
Can I hold trade credit?
These are trade questions — not consumer ones.
What happens next?
Most garages:
Consolidate suppliers
Move volume to one wholesaler
Improve margins within weeks

