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Have you heard about tire brands being ranked by tier?

It's not surprising if you haven't. Ranking brands in this manner (typically as Tier One, Tier Two, or Tier Three) is done on the business side, by tire manufacturers and dealers. But if you're interested in learning where your favorite brand ranks, the answer isn't clear-cut. That's because, despite recognition of the tire tier ranking system within the tire industry, there isn't agreement about the qualifiers for the different tiers. This led to tire tiers becoming a topic of debate in a November 2023 hearing in the United States over a proposed tariff on imported tires. And it's not the first time. It was also a topic in a 2009 hearing. While there isn't a standard when it comes to the tiers, there are some generally accepted ideas about them. At least, some brands find the ranking system beneficial when identifying their competition and creating a marketing plan aimed at consumers like you.

Today's article is a behind-the-scenes look at the debates surrounding tire tiers and how a brand's tier relates to you, the tire buyer.

How Tire Tiers are Commonly Defined

Tire tiers are meant to differentiate between the quality, performance, price, and brand reputation of tire manufacturers. The tier system is often used by retailers and industry insiders to categorize tires into the three groups mentioned prior: Tier One, Tier Two, and Tier Three (with Tier One being the top). While the distinctions between these tiers are debated due to there being no clear-cut definition, there are some ideas that tend to find common acceptance.

Here are some of the commonly accepted distinctions between the tiers:

• Tier One: This tier includes the top-tier tire manufacturers with a high level of consumer awareness. If someone asks you to name some tire brands, it's likely that you'll name a brand in this tier due to their strong marketing and brand reputation. These companies invest significantly in research and development and are often involved in motorsports to test their products under extreme conditions.

• Tier Two: Tier Two brands are considered to be mid-range. They offer good quality tires at a more affordable price point than Tier One but they tend to lack the same level of prestige or technological advancements while still providing reliable performance.

• Tier Three: These are typically budget tire brands or lesser-known brands that offer the most affordable options. While these tires meet basic safety standards, they may not offer the same level of performance or longevity as higher-tier tires. In some cases, a brand is considered Tier Three not because it is a budget tire but because is has limited market exposure and is not globally recognized.

This hierarchy is useful for brands looking to enter a new market or place themselves within a tier so they can identify their competition. If you believe you're a Tier Three tire brand, for example, and you're looking to move into the Tier Two bracket, you need to identify the competition you have now and find a way to inch ahead of those brands until you reach your goal. Similarly, Tier Two brands need to market in a different way to maintain or improve their position.

Disputes and Controversies

The classification of tire tiers is often disputed due to:

1. Lack of Standardization: There is no official body or set of criteria that defines the tiers, leading to a subjective and sometimes arbitrary classification.

2. Marketing & Perception: Tire companies may challenge their tier classification, as it can impact their brand perception and market position. A brand classified as Tier Two, for instance, might strive to be seen as Tier One to justify higher prices and attract customers looking for premium products.

3. Quality Overlaps: Advances in tire technology and manufacturing processes have allowed lower-tier manufacturers to produce tires that can better compete with the quality of higher-tier brands, blurring the lines between the categories.

4. Global Trade & Tariffs: Tariff disputes, such as those in the US, can impact tire tiers by affecting the cost and availability of tires from different manufacturers. Tariffs may be imposed based on the country of origin, which can disproportionately affect certain brands and influence their competitive position in the market.

You can see how it becomes difficult to define tire tiers when there are this many factors at play. Should the tiers be based on the quality of the tire lines, consumer awareness, global market share, brand perception, or a combination of all categories? There's no easy answer. After all, there was over a decade of time between the 2009 and 2023 hearings, yet there are still questions about the tire brand tiers and their role in the industry.

Strategies for Middle or Lower Tier Brands Looking to Attract Tire Buyers

All three tiers compete for your attention, but the middle and lower tiers need to employ different strategies to get your attention and beat the competition. Since these brands don't have the same marketing ability as higher tier brands, they need to be a little more careful in where they choose to invest their money and advertise. Here are some of the strategies that Tier Two and Tier Three brands may use:

• Value Proposition: Emphasizing the value for money, these brands often highlight the balance between quality and affordability.

• Technological Advancements: Investing in R&D to improve product quality and introduce features that are typically associated with higher-tier tires.

• Marketing & Branding: Deploying aggressive marketing campaigns or rebranding to reshape consumer perception and improve the brand's status.

• Niche Specialization: Focusing on specific segments, such as off-road tires, to establish that brand as experts in a particular area.

• Customer Service: Providing excellent customer service and warranties to build trust and loyalty among consumers.

While tire tiers offer a general framework for understanding the differences between brands, you should consider factors such as the specific tire model, intended use, and personal preferences when comparing tires and brands. Reviews, professional tire tests, extra assurances like a treadlife warranty, and consumer feedback can be valuable resources if you're trying to navigate the complex tire market as a tire shopper.

If you're shopping for tires in Farmington, NM or Kirtland, NM, we invite you to visit Treadworks®. We also have a great selection of tires at our J/P Tire location in Durango, CO. We're sure to have a tire that matches your specifications, and we provide a variety of tire services to keep your set in great shape. Whether you're going with a big name Tier One tire brand or trying one of the tire brands in the Tier Two or Tier Three levels, you can count on our team to keep you rolling from here to there and everywhere in-between.