Tire Analysis: A Side-by-Side Comparison
Factors Affecting Tire Prices
Raw Material Costs
Tire prices are affected by several factors; beginning first with the raw material costs. The primary materials used in tire manufacturing, such as rubber, oil, and steel, can experience price fluctuations due to changes in supply and demand, geopolitical factors, and market speculation.
Inflationary Pressures
Like any other product, tire prices can also be influenced by general inflationary pressures. If the overall cost of living rises, businesses may adjust their prices to account for increased expenses related to labor, utilities, and other operating expenditures.
Transportation Costs
Transportation costs are also affected by several variables including fluctuations in fuel prices, changes to transportation regulations, and disruptions in the supply chain that all can be passed back to the consumers.
Market Demand
Changes in consumer preferences, seasonal fluctuations, and shifts in the automotive market can impact demand for tires. If demand outpaces supply, manufactures may raise prices to capitalize on the opportunity for increased profits.
Price Forecast for 2024
Forecasts suggest that prices will increase throughout 2024. If commodities and transportation costs continue to rise, we could see national vendors passing more of the expenses onto the consumer.
With tires already being a large expense, especially for high mileage fleets, we may see fleets testing different solutions to counteract the growing costs. Some fleets may be inclines to purchase a higher-priced tire with a longer tread life.
Tires are becoming increasingly sophisticated, with advancements in materials, design, and manufacturing process aimed at improving performance, durability, and fuel efficiency. These innovations can drive up production costs, again leading to higher prices for consumers.
Replacement Recommendations
Leveraging EMKAY’s portfolio of historical maintenance trends, the following replacement parameter recommendations are based on average tire lifecycles:
- Autos: Every 50,000 – 60,000 miles
- SUVs: Every 40,000 – 50,000 miles
- Minivans: Every 40,000 – 50,000 miles
- Full-Size Vans: Every 40,000 – 50,000 miles
- Light Duty Trucks: Every 40,000 – 60,000 miles
- Electric Vehicles: Every 25,000 – 40,000 miles
Factors Leading to Tire Wear
Generally, there are a multitude of factors that lead to tire wear. When EVs are considered, there are additional unique factors to consider that lead to tire wear.
General Factors
- Improper inflation
- Misalignment
- Wheel imbalance
- Driving habits
- Road conditions
- Vehicle load weight
- Lack of tire rotations
Electric Vehicles
Electric vehicles face unique challenges:
- Instant Torque and Acceleration: Instant torque and acceleration put additional stress on the tires. The quick torque applications increase tire scrubbing and abrasion of the road. Excessive friction results in faster wear and tear the tire treads.
- Weight and Battery Mass: Lithium-ion batteries, common in EVs, add significant weight and affect the vehicle's weight distribution. This increased weight puts extra strain on the tires, particularly during cornering and braking. As the car turns, the tires experience lateral forces that wear down the tread more quickly.
EMKAY's Historic Tire Spend: 2021-2023
Average Per Tire Expense By Vehicle Type
Average Per Tire Expense By Vendor
EMKAY's Historic Tire Replacement Parameters: 2021-2023
Auto
SUV
Mini Van
Full Size Van
Truck - Light Duty
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