APOLLO SET TO GO THE DISTANCE IN NORTH AMERICAN COMMERCIAL-VEHICLE TIRE MARKET
April 11th, 2021
APOLLO TIRES LAUNCHES IN U.S. AND CANADA WITH AMBITIOUS BUSINESS MODEL AND MARKET-TAILORED PRODUCT LINES
Tire lines developed for the demands of North American commercial fleets
Five years of in-market study, development, testing, and benchmarking ahead of launch
Phased product rollout will cover 90% of the commercial market by 2024
Business approach explicitly designed to empower dealer customers and deliver industry-leading customer service
Apollo Tires has grown to become the 15th-ranked tire manufacturer in the world in just under 50 years. This accomplishment is even more remarkable considering that the company had no footprint in North America.
That changed last year when, as part of its long-term growth strategy, Apollo joined the passenger-tire market in the U.S. and Canada with its premium European brand, Vredestein. The Vredestein launch, preceded by years of in-market research and planning, has been a complete success, with immediately competitive tire lines that are critically acclaimed and beloved by customers.
That paved the way for the second, crucial part of Apollo Tires’ ambitious North American expansion. Today marks the company’s official entrance into the commercial-vehicle tire segment under its namesake Apollo brand.
Apollo’s North American commercial tires will be built in its state-of-the-art manufacturing plants in Hungary and India, which boast the capacity and technical expertise needed to ensure a steady supply of tires to this market. The Apollo truck-tire lineup will encompass a full range of regional, super-regional, coach/urban, and mixed-use applications with fitments for rims ranging from 17.5 inches to 24.5 inches in diameter. 13 SKUs are planned for this year, with that number expanding to 23 SKUs by Q3 2022, and a total of 45 SKUs covering 90% of the marketplace by Q3 2024.
“Apollo may be a new name in the U.S. and Canada, but we are not a new company. Our market entry in North America is preceded by decades of global commercial-vehicle tire manufacturing and distribution expertise,” said Abhishek Bisht, Apollo Tires’ Assistant Vice President, Americas. “We come to market positioned to make an immediate impact by offering a tier 1 Value proposition at a more attractive price, while setting new industry standards for service and support.”
Real-World Tested and Proven
Apollo Tires’ move into the North American commercial-vehicle segment is the culmination of a five-year research-and-development process that provided the insights necessary to deliver not just the right products for the fleets that depend on them, but to also develop a business infrastructure that builds trust and properly serves Apollo’s dealers and their commercial clients.
Apollo’s commercial-tire casings were put into test-fleet service with a U.S. waste-removal/haulage operation to benchmark them against Tier 1 competition across multiple retread cycles under punishing daily use. The results clearly demonstrated that Apollo can ensure quality levels and performance consistency that easily meet or exceed the typical service requirements of the North American fleet customer while delivering outstanding value in terms of total ownership costs across the tire’s lifespan. The product performance reported by a leading independent testing agency pegged the apollo performance in the range of 94 to 119 vs. market leading competition at 100 , for different sizes.
A Business Model That Goes the Distance
“Our R&D efforts made it clear that a successful North American dealer strategy had to be based on transparency,” said Abhishek Bisht. “Our commercial dealers are trusted customers and partners, and we will not compete with them by selling to fleets directly. Our focus is on empowering our dealers to deliver best-in-class value, service, and support to their commercial clients.”
Apollo dealers in North America will have contractually guaranteed exclusive sales territories. A single invoice-pricing structure for the entire dealer network further levels the playing field, with volume bonuses that reward sales performance.
Apollo guarantees 72-hour nationwide product delivery to dealers via a network of domestic regional distribution centers, and all dealers are empowered to resolve customer complaints and process adjustments on site. Apollo’s sophisticated online ecosystem gives dealer teams easy, timely access to sales and training materials, allowing them to easily onboard new employees and stay up to date on new products and processes.
All Apollo commercial-vehicle tires are backed by a 72-month workmanship and material warranty, and Apollo is the only commercial-tire brand to offer a standard, free road-hazard warranty in addition to that.
“This is a thrilling moment in our company’s history that will let us showcase the breadth and depth of our capabilities in one of the largest, most diverse, and most demanding commercial markets in the world,” said Abhishek Bisht. “We know that we have the people, products, and passion to go the distance for our dealers and their clients. Like them, we’re in this for the long haul.”
ABOUT APOLLO TIRES
Apollo Tires Ltd is an international tire manufacturer and a leading tire brand. The company has multiple manufacturing units in India and a unit each in The Netherlands and Hungary. The company markets its products under its two global brands – Apollo and Vredestein, and its products are available in over 100 countries through a vast network of branded, exclusive and multi-product outlets.