Apollo set to become a global player TDAFA honours 2010 top achievers
Focus on APOLLO TYRES
ContiPartner ‘Win an Audi Competition’ a big hit Customer Service – more than skin deep?
The Pirelli 2011 Calendar!
Vol 16 • December 2010
Conversations with Indian tyre mogul Onkar S. Kanwar
I n t r o d u c t i o n • 1
Contents
A
One-on-One Conversations with Indian tyre mogul Onkar S. Kanwar.........................
3
Focus on Apollo Tyres Today, they are a multinational, multimillion US dollar company that is not afraid of taking big risks on the road to becoming a global force to be reckoned with................................................................................
9
Competition WIN The 2011 Pirelli Calendar!.............................................................
17
Industry News TDAFA honours top achievers for 2010 ............................................... SA’s Best Supplier of Tyres Services Announced................................... Algorax – Joint Winner of Responsible Care Award................................ Leader Rubber Company Consumable Department Upgrade................ Boto brand OTR Radials exceed performance expectations................... Tandem Tyres exhibits at Electra Mining Exhibition................................
19 21 21 21 23 25
Manufacturing SA Tyre manufacturers come under fire................................................. Dunlop voted South Africa’s Most Iconic Tyre Brand............................. Grabber AT is launched in Europe.......................................................... Goodyear’s unique offering turns public waste into community value... Tyre safety survey shows safer tyres......................................................
29 29 30 32 34
Conti Corner The ContiPartner “Win an Audi” Competition a big hit!..........................
36
Dealer Profile Supa Quick gets supa creative................................................................
39
Goodyear News Spirit of Africa rolls on Goodyear Wranglers.......................................... Fantastic first retail store for Nairobi.......................................................
42 43
Talking Tyres Customer Service – More than skin deep..............................................
47
World News Pirelli confirmed as exclusive F1 supplier from 2011............................. Conti gives employees a cash ‘thank you’.............................................. Hankook announces sixth global manufacturing plant in China............. Goodyear and NASA honoured for innovative ‘spring’ tyre...................
50 50 50 50
Competition, Subscription, Website . .......................................
52
Front Cover: Courtesy Apollo Tyres Editor
Liana Shaw
Technical Consultant
Wray Shaw
Reproduction
Diane van Noort
Printing
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note from the
editor
2010 is drawing to a close and as we begin winding down for the festive season, it’s time to reflect on some of the year’s most prominent events. The recession is far from over yet we’re beginning to see small signs of recovery in the vehicle manufacturing sector (always a good indication that consumer confidence is on its way up). For the tyre industry however, it’s been a tumultuous year, what with labour action and wage disputes to more recent allegations of tyre price fixing which are about to be brought in front of the Competitions Commission Tribunal. With all four of the local tyre makers implicated, there could be some hefty penalties in store. Only time will tell what the findings will decide, but we will keep you updated on this and other stories as they happen. Further afield, Indian-based tyre manufacturer, Apollo Tyres, shows its mettle with long-term strategies in place that the company believes will not only raise its position in the world tyre rankings, but more importantly perhaps, propel it towards becoming a serious global player. We bring you an in-depth account of the company’s manufacturing and operational activities, which suffice to say, did not fail to impress on a recent visit to India. For the full story, together with an exclusive Interview with company founder, Onkar Singh Kanwar, turn to page 3. Also in this issue, we cover the recent TDAFA awards, take you to Germany for the launch of the new Grabber AT by General Tire, and offer you the opportunity to win a copy of the coveted 2011 Pirelli Calendar via our quarterly competition. All this and much more! Happy holidays and safe motoring until we meet again in 2011.
O n e - o n - O n e • 3
Conversations with Indian tyre mogul
Onkar S. Kanwar Curiosity combined with a healthy dose of scepticism, would best describe my mood as I board an Emirates flight and travel half way around the world to the Indian capital New Delhi, to meet up with India’s leading tyre maker, Apollo Tyres. In South Africa, very little is known about Apollo Tyres prior to its acquisition of Dunlop Tyres in 2006, (incidentally, one of only two Dunlop affiliates in the world to be exempt from the Goodyear-Dunlop acquisition), thereby possibly giving rise to a misleading impression of a company that surprisingly, not only has an impressive track record on home soil, but is well on its way to becoming a global player in every sense of the word. At least…that’s what I’m about to discover.
4 • O n e - o n - O n e Â… “ Â? ”  • † – ” – ‡ — ” ˜ ‡ Â?Â?Â? Š
 Â
ˆ‚ ‰ ‚
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€ ƒ ƒ€
At Apollo’s Head Office in Gurgaon (Delhi’s burgeoning business hub) – a remarkably striking building that has gained international recognition for its architectural design and environmentally-friendly features – I meet founder and Chairman Onkar S. Kanwar. I’m instantly struck by the warmth and humility that emanates from the man who’s not only responsible for the success of Apollo Tyres, but also happens to be a prominent world figure that frequently rubs shoulders with international politicians, dignitaries and business icons alike. He invites me into his spacious office for a brief interview.
‹Œ ‰ ‚Žƒ ‘„ƒ’Š
Â
Thank you for meeting with me Mr Kanwar. After a grand tour of the
Â? Â?
Apollo Head Office premises this morning, I’m extremely impressed by what I’ve seen. Aside from the aesthetic and architectural integrity of
Â? Â? Â
the space, your headquarters boast a myriad of welcome facilities such as a staff canteen, a well equipped gym, exquisitely manicured gardens and the services of a doctor who is available to your staff on a weekly basis. Impressive, to say the least! Thank you. Apollo Tyres has a proud heritage and will always strive to excel, both in product quality as well as in the care and upliftment of its valued staff and the community at large. Providing a space that is environmentally friendly as well as comfortable for our Apollo family was at the forefront of my mind in the original planning phase of our headquarters.
‹ith purchase of a
Personnel who are healthy and well looked after is something I’m
Wheel Aligner,
particularly passionate about.
Wheel Balancer,
Tell me, how did it all start? By default, my father entered the tyre business in 1977 by building and commissioning a small tyre plant in the south Indian state of Kerala.
Tyre Changer,
Back then India was a controlled economy so when this business opportunity arose, complete with a valid manufacturing licence (no easy feat at the time), my father felt it was too good to pass up.
or Pipe Bender... Purchased in & 2010.
But he lived in New Delhi and had no knowledge or real interest in tyre production, not to mention that his core business interests lay in steel pipe and tube trading, an entrepreneurial venture which kept
Â… †   ‡
him very busy.
  �€ ’ ‡ ’ ‹”  … ‡ ” ˜
Given that he was not all that interested in what was happening in faraway Kerala, management and other problems soon emerged,
Â… †   ‡
culminating in a halt in production. It was then that I suggested that he allow me the opportunity to take over the tyre business. Thankfully, he agreed.
€ ‚ƒ „ €‚
When I first arrived in Kerala as a young man, it was not to an enthusiastic Â? Â
 �  � ��
reception but to anti-management slogans. Tyres were being returned
O n e - o n - O n e • 5
faster than they were being produced and total losses accumulated to Rs 300 million (US$6.5 million)! Worse still, I had no knowledge whatsoever of the industry that I had just entered. How did you find the strength to press on in the face of such adversity? As daunting as the prospect was, I was determined to find a way to make it work. Suffice it to say that youth and determination were on my side. First was the challenging process of identifying and communicating with a despondent staff force. I decided that honesty and transparency was the best way forward so I laid out the facts before them: we could either close our doors there and then or work together to build Apollo Tyres into a Rs 1 billion (US$22 million approx) company in the very near future? Not surprisingly, many were incredulous at my declaration. But I was not deterred. Disbelievers were invited to leave with no hard feelings. Many did
Apollo Tyres Headquarters by night
leave, but those who stayed were excited about a new beginning and were prepared to exercise their talents and tyre knowledge in helping me to steer the company towards success.
Do you foresee greater growth for the passenger car market in India? As the road infrastructure improves, I’m sure we’ll see a growing number of passenger cars on the roads. That said developing the infrastructure is not
And so I found myself with a young team that was willing to stretch itself.
as straightforward as it sounds. India is a democratic country and as such,
Next came the arduous task of securing the necessary finance to restart
developers are obliged to obtain the necessary clearances before mapping
the business, something that was ultimately achieved via a series of visits to
out new routes. The process can be lengthy, particularly when small land
banks and financial institutions.
owners are expecting compensation in return for their cooperation in relocating to make provision for a new road.
What other initiatives were implemented? Back at the plant we took the decision to only focus on the big ticket items
The good news is that an emerging market presents scores of opportunities
- particular sizes of truck and agricultural tyres that were the highest sellers
for the private sector and this is especially relevant for a country such
- which meant that with immediate effect, we would stop producing the
as India where the public sector is being brought into the market. Total
vast variety of tyres we were manufacturing for the car and truck segments.
denationalisation is what the Indian government is ultimately striving for!
Focusing on niche markets is something we still live by today. The passenger
How refreshing! But to go back….how long did it take for you to reach
car tyre market in India remains small (only about 50 000 cars) whereas the
the Rs1 billion figure?
commercial sector is massive due to more than 80% of all Indian cargo
The journey was not easy – every day we encountered a new problem
having to be transported by road.
and every day we had to come up with a fresh solution, but eventually, in October 1986 (seven years after we set our sights on it), we hit the Rs 1
Cognisance of this led us to become the first tyre company in India to adopt
billion mark. Collectively we were able to save Apollo Tyres from catastrophe
a segmentation policy, a decision that has paid off. We were the first to punt
whilst also creating a successful new entity in the Indian business scene.
the effects of load on mileage and the first to introduce tyre packaging. We were also the first to run a customer loyalty programme, the first to care for
You must feel a great sense of reward with this achievement?
customer health, family and safety and the first to invest in multiple product
It is rewarding, but we still have a way to go. We don’t profess to know it
innovations.
all. The only thing of which I’m certain is that change is constant…..what
In addition, we took the decision to grow closer to our distribution base via
ready to embrace change as well as be able to work to prescribed timelines
exclusive dealerships that were branded ‘Apollo Radial World’ and ‘Apollo
in order to grow.
is good enough today may not necessarily work tomorrow, so we must be
Tyre World’. There are some 10 000 retail outlets, 5 000 of which actively sell our brand. It’s ever more important to remain in close contact with them
From where did you source your technology?
today as we did in the past - they operate in a tough business environment.
When my father first acquired the Kerala plant, the technology was coming
6 • O n e - o n - O n e
from the American company General Tires. Our association with this brand
the future. What would you say have been the key lessons learnt along the
and later with Continental, continued for some time, but alongside this,
way?
Apollo Tyres has a strong R&D department of its own.
I believe setting and striving towards bold goals is the most important lesson that I’ve learned. When bankruptcy threatened to close us down we set a goal
Bear in mind that most of the technology sourced externally was in radial tyre
to be a Rs 1 billion company. When we were nobodies, we wanted to be the
construction which the Indian market was not yet ready for. Even now only
most trusted tyre brand in India. When we lacked the capability to manufacture
12% of the country’s commercial transport companies are running on radial,
passenger car tyres, we pledged to become the best in this category too. When
but as the road infrastructure improves we estimate that in the next 3-4 years,
our revenues reached US$500 million, we set our sights on becoming a US$2
radial tyre use should reach the 25% mark.
billion company. And when India was the only market we knew, and knew us, we set the goal to become a global player in the next five years!
Of course Apollo Tyres is now producing radial truck tyres as well as bias ply. We view ourselves as a global company that is based in India and as
In my view goals need to be simple and clear and must translate to every
such, will continue to strive producing products that are comparable with
employee, irrespective of their function. But goals in themselves are not
the best available globally. The new face of Apollo is a cosmopolitan one
sufficient. Dreams materialize only when we work to realise them by putting
with numerous business associates on board stemming from developed
the necessary processes in place. In a crisis situation, it’s also important for
nations. They bring a wealth of knowledge and technical expertise to the
you to remain detached so that you can make unpopular decisions. And as I
table as they work alongside local university graduates, engineers and
mentioned earlier, transparency is key, particularly in difficult times.
scientists. Most importantly, focus on your people – they are the ones responsible for From a manufacturing standpoint, globalisation dictates that you have the
implementing your company’s goals. How employees are treated, the reward
right products and quality, or you will not survive. We are now competing
and recognition process and whether they feel they are a valued part of the
with global tyre manufacturing giants from the West who have all established
company, are all important factors to success. My advice is to put in place
manufacturing plants here – and they’re here to stay.
initiatives that make your staff feel they are a part of a larger whole before a crisis is experienced.
Quality and consistency in supply is also key if we are to enter the Original Equipment market, a new goal which we’re actively pursuing.
What is your vision for the next five years? On a business front we plan to expand our global footprint and to become the
With which vehicle manufacturers have you made headway?
most desired brand in the eyes of the customer with the technology edge to
In India alone our OE journey has already begun with OE approval being
meet their needs. As far as our people are concerned we want to be seen as the
granted by the likes of Ford, VW, Suzuki, Tata, Mahindra, GM, Hyundai, and
‘Most Desired Employer’ as well as a Creator of leaders and an organisation that
Fiat to name a few. Negotiations are currently underway with BMW, Mercedes-
promotes learning. Last but by no means least, we will continue to contribute
Benz, Audi, Nissan, Renault, Honda and Toyota.
to the community and society at large via our business and social responsibility activities.
And further afield? Are you pursuing OE involvement outside of India? The financial returns may be slight but the OE market is an important one, one
Was it your vision from the start to become a leading market player?
which serious tyre manufacturers cannot afford to ignore. OE recognition is
Yes, from the beginning my aspirations were extremely ambitious. But
vital for brand building, it creates repeat demands, increases market presence,
accomplishing all that I set out to do is evidence that with hard work and
enhances internal capabilities, evens out seasonality in sales and demands that
determination anything can be achieved if you set your mind to it.
manufacturers keep up with the latest tyre technology if they are to compete effectively.
Onkar S. Kanwar is living proof of this. Together with his son Neeraj, Vice Chairman and Managing Director of Apollo Tyres, they have steered the
Which foreign OE markets are you looking to penetrate?
company in becoming India’s leading automotive tyre manufacturer,
In the European market discussions are taking place with VW, Audi, Fiat
with operations on three continents. Onkar has been active in Indian
and Mercedes-Benz in conjunction with our newly-acquired European
government think tanks and headed India’s largest industry association
brand Vredestein. Similarly, in South Africa, via the Dunlop brand, vehicle
FICCI, and other industry bodies. He recently established a state-of-
manufacturers such as VW, GM, Nissan, Ford and Fiat are in the pipeline.
the-art research and health care facility called Artemis Health Institute, thereby now also moving into the health services industry.
It would appear that Apollo Tyres is continuing with its ambitious plans for
Research source: Leader to Leader.
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8 • O n e - o n - O n e
F o c u s o n A p o l l o T y r e s • 9
Apollo
fixes eyes firmly
on the World
Once upon a time they were a small, unknown tyre
plant in southern India, battling to produce any products worth selling. Today, they are a multinational, multimillion US dollar company that is not afraid of taking big risks on the road to becoming a global force to be reckoned with.
Inspired by my brief visit with Onkar S. Kanwar, I now meet with fellow senior management to find out more about the journey that has led to the undisputable success of Apollo Tyres. Vice Chairman and Managing Director, Neeraj Kanwar explains that during what they refer to as the ‘Wonder Years’ (2005-2010), an off-site workshop with a cross-functional group, facilitated by a management consultant, identifies areas to focus upon and financial targets to aim for. This initiates a journey called ‘Passion in Motion’ to be a US$2 billion company by the year 2010 based on the three pillars of People, Quality and Technology using the rigour of the Six Sigma process. The acquisition of Dunlop South Africa in 2006 is the first step towards becoming a global player. This is followed in 2009 by the acquisition of the Vredestein brand, which is viewed as a way of entering the mature European market and further enhancing its recognition as a global player. Apollo’s approach to the European market is bold: arrive at a single price for all of Europe with transparent and non-negotiable prices and focus exclusively on retail, not wholesale. This is complemented by an equally ambitious long-term strategy to potentially triple Apollo sales in the next
Vice Chairman and Managing Director, Neeraj Kanwar.
1 0 • F o c u s o n A p o l l o T y r e s
Apollo’s Corporate Headquarters.
three years by means of multiple retail stores and high sell out prices. Consensus is reached that the combined R&D knowledge of the two companies coupled with a range enlargement, growing OE contacts in Western Europe as well as positive tyre tests in Winter 2010, should comfortably achieve these aims. It is obvious to me that both parties (Apollo and Vredestein) are extremely excited over the merge. It’s no secret that Vredestein has been on the lookout for a credible partner for some time and finally, according to Rob Oudshoorn Head of European Operations, they have found the right fit.
Off-the-Road Tyre Building in progress.
A visit to Limda As no media visit would be complete without a closer look at the company’s very heart of the operation, I alongside members of the European press who are there for the same reason – to catch a glimpse into this growing force that is slowly but steadily commanding the world tyre stage – board a flight to the Apollo Limda plant located in Vadodara, in the western Indian state of Gujarat. First established in 1991, Limda is an energy efficient plant, yet despite the notable energy reduction in its operations, bias production out of this plant continues to rise. Moreover, a new Auto-Chemical Mixing system further enhances the plant’s environmentally-friendly status whilst also making for
Limda Plant Display Area.
F o c u s o n A p o l l o T y r e s • 1 1
Limda Plant Exterior.
greater accuracy by virtue of its ability to eliminate all direct human contact.
are produced in the first year with no field failures reported to date.
With a capacity of up to 500 tons a day, the Limda plant is the single largest
We are all equally impressed to see that Limda plant’s Research & Technology
manufacturing facility in India today. Measuring 525 000 square metres in size,
wing (the R&D dept will eventually move to the newly-established plant in
this plant manufactures passenger vehicle, truck-bus and farm radials, apart
Chennai) is fully equipped with modern and sophisticated technologies –
from light and heavy commercial vehicle, farm and off-the-road cross ply tyres.
including simulation machines and high-end computing devices – which
Speaking of off-the-road tyres, its OTR facility, which began production in 2009, is a state-of-the-art facility that produces most of the ultra large OTR
are leveraged by a talent pool from India’s most premier management and engineering institutions.
tyres required for the Indian market. Here, material handling equipment is
More impressive still, the average age of the company’s R&D professionals
developed in-house to effectively handle semi-finished components and
is 25, with all staff members in possession of engineering diplomas
green tyres of this volume and size. Notably, more than 1 000 OTR tyres
or science degrees. In addition, they undergo a structured training/
The European press, Liana Shaw, editor of SA Treads and key Apollo personnel.
India dancers native to Gujarat entertain at the Limda plant.
IN MADE A
CHIN
1 2 • F o c u s o n A p o l l o T y r e s
The Chennai plant is proclaimed to be the most advanced tyre manufacturing facility in the Asia region.
certification programme as well as being exposed to cross-functional
OEMs and leading suppliers across the world on collaborative
responsibilities so as to ensure complete ownership of their respective
research initiatives.
workstations.
When it comes to plant equipment, no expense has been
We’re told that their product development cycle can take anything
spared here. In evidence is the very best the world has
from 9 months up to 18 months, depending on the application,
to offer from countries as far flung as Finland, Canada,
and that no less than five years are spent on preparation and
USA, Czech Republic, China and Italy. And as far as their
base work ahead of Apollo entering the European market. Apollo
radial tyre production is concerned, Satish Agarwal, Chief
officially launched in the European market at this year’s Reifen
of Manufacturing, tells us they aspire to no less than the
Essen Show in June of this year.
manufacturing standards benchmarked by tyre pioneers
Interestingly, Apollo also partners with various established universities,
such as Michelin. As such, only high-precision machinery is employed in the plant to ensure consistency and uniformity. He says that when sourcing new machinery they always look for equipment that can deliver the highest precision levels, assure consistent in-process component quality, achieve the best uniformity levels and offer the most competitive cycle time. He claims similar standards are aspired to in their choice of environmentally friendly materials which are sourced from renowned and globally approved sources. The company is now also capable of processing all reinforcing materials in-house as well as silica compounds in line with global requirements. What is more, aside from an exhaustive indoor testing capability and facility, the organisation works with some of the best testing facilities in the world such as IDIADA Spain, ATP Germany and NTC Italy. World-class tyre plant establishes in Chennai Next, we jet off to Chennai located in the heart of India’s ‘Detroit’ in the
Tyre making at Chennai.
southern Indian state of Tamil Nadu to visit Apollo’s third Greenfield
F o c u s o n A p o l l o T y r e s • 1 3
Grand entrance to the Chennai plant.
project, which also rates as it ninth manufacturing facility globally and
single major tyre manufacturer in the world. The new 210 000 sqm plant
its fourth in India.
(now almost 90% complete) which began construction in December
More important, with a few sections of the plant still under construction, once complete, this state-of-the-art radial truck, bus and passenger
2008, is already producing 5 500 passenger tyre units and up to 1 100 truck tyres a day.
manufacturing unit is proclaimed to be technologically, the most advanced
By 2013/2014, volumes are expected to increase to 16 000 PCR
tyre manufacturing facility in the Asian region.
and 6 000 truck tyres a day with the plant operating 365 days of the
For this project, which will involve a total of 128.56 acres of construction, Apollo has pooled consultants and people with know-how from every
year. And capacity is such that it could eventually accommodate the production of up to 30 000 passenger tyres and 9 000 truck tyres a day.
2011
2nd China (Guangrao) International Rubber Tire & Auto Accessory Exhibition
15, 16 & 17 May 2011
Guangrao International Expo Center, Shandong, China
Organizer: China Council for the Promotion of Int’l Trade People's Government of Shandong Province Exhibition Organizing Committee Tel: +86(0)546-7797255, 7797455, 7797755, 7797855 Fax: +86(0)546-7799111, 7799333 Email: chinagrtyre@chinagr.gov.cn
Website: www.chinagr.gov.cn
1 4 • F o c u s o n A p o l l o T y r e s
Tyre mixing department.
Peter Becker, Chief of Research & Technology and
automation in order to improve cost efficiency via throughput. Mixers
formerly with Dunlop-Goodyear, explains that a good mix
are all automated as is the tyre handling system, while the tyre building
of the latest technology, world class equipment from the
machines imported from Holland, deliver a 35 second cycle-time.
US and Europe together with Apollo’s ability to produce its own machinery for specific applications, gives the new Chennai plant a leading edge. This zero-emissions manufacturing concern features three key differentiators: ergonomics (for enhanced staff comfort and productivity); safety (the aim being to constantly be aspiring to an accident-free zone) and
Tyre building
Together with its high level of automation, the Chennai plant is further defined by its unique recruitment and skill set requirement, a non-unionised culture and its benchmarking of processes and efficiency. It is obvious that the plant operates on the most modern high productive machines from Europe with qualified engineers at all work stations. Equally noteworthy is its full fledged tyre testing capability and climate controlled environment for critical processes.
Steel Cords being processed.
F o c u s o n A p o l l o T y r e s • 1 5
Steel wire
Investment in the Chennai plant thus far amounts to US$330 million,
from developed countries so as to be able to produce products that are
with total expenditure expected to exceed US$ 550 million, a move that
comparable with the best in the world.
signifies total commitment on the part of top management to reinvest in the business. What makes this even more remarkable is that investment of this nature is seldom seen in family-owned concerns that are all too often seduced by the onset of sudden wealth.
I thank him for his frank reply and acknowledge the humility which appears to be infectious in this company to which he adds: “For the moment we are satisfied with the technological developments and product quality we are producing. The next step is to become a market
The tour over, I ask Peter Becker whether the Chennai plant features
leader via innovation and technological advancements. We’re not there
any cutting-edge equipment unique to this operation. He responds that
yet…but we’ll get there.”
at this stage, Apollo is a follower, not a leader. The aim thus far has been to adopt the very best technology and manufacturing practices available
Of this I have no doubt. One of the reasons Chennai was chosen as the location for this world-class plant – aside from the commercial nature of the region - is its proximity to the country’s top educational institutions which are churning out India’s next generation of scientists and engineers. There are no ‘blue collar’ workers at this plant, only professionals. Through their knowledge and talents and the efforts of Apollo’s growing number of global colleagues, I can foresee even greater things for this dynamic company in the future, particularly once they achieve their OE aspirations. Currently, at number 14 on the global rankings, Apollo’s next goal is to break into the top ten. Later that evening at an informal dinner, I manage to corner Neeraj to ask him whether he’s planning any more acquisitions in the near future. The mischievous look in his eyes as I pose the question is a dead give-away. He says: “I’m young, I’m determined and I have a passion for this business….. watch this space!” To date, Apollo Tyres has firmly cemented its presence on three
Tyre making
continents…only four more to go!
The new Cinturato P7TM tyre, compared to the previous model, offers the following advantages:
C o m p e t i t i o n • 1 7
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1 8 •
I n d u s t r y N e w s • 1 9
2010 TDAFA Industry Awards were presented to each of the five category winners, Andrew Wilson of Snap On for Supplier of the Year, Debbie Martin of Dunlop for Tyre Manufacturer of the Year, Yusuf Tayob of Malas Retail for Tyre dealer of the Year, Charles Pitout of CFP Tyres for Tyre Importer of the Year and Nic De Waal of Bosal for Non Rubber Supplier of the Year.
TDAFA honours top achievers for 2010 On October 22, I was one of 280 guests who attended the annual TDAFA Awards function at the Bryanston Country Club. The turnout surpassed the organisers’ expectations, making the evening as one of the best attended awards function in the association’s history.
and this award indicates that we’re getting it right.” As for the Tyre Dealer of the Year award, this is viewed as the premier category by the industry. This year, nominees hailed from all over the country. Hi-Q Riverside in Nelspruit, Richards Bay Tyres and Malas Retail in
The industry awards encompass five categories spanning the broad tyre
Pretoria vied for the top award. And, not surprisingly, it was the spectacular
and fitment sector with each category featuring two nominees and an
Pretoria retail facility of Malas that scooped the premier award.
outright award winner. TDAFA’s National Director Vishal Premlall says that, as in previous awards, the categories endeavour to recognise companies that have excelled in all subsectors of the industry besides just rubber products and suppliers. Nominees for the Supplier of the Year Award included Leaderquip,
“I think the winners in the five awards categories reflect the dedication and enthusiasm these companies feel for their industry and their products,” said Vishal Premlall after the event. “They have put an incredible amount of work and effort into their operations, delivering quality products, excellent service and optimal customer satisfaction. They fully deserve these
Snap-On and Automotive Equipment (AEI). The award was won by
prestigious awards.” He added that next year’s event will include a new
Snap-On. The award for Tyre importer of the Year featured SA Tyre, CFP
category “Tyre Retreader of the Year”.
Tyres and Michelin as nominees, with CFP winning the category.
Industry icon Mervyn Jevon also featured in the evening’s proceedings by
Nominees in the Tyre Manufacturer of the Year category included Dunlop,
way of a special tribute for his loyal support of the TDA for more than 50
Goodyear and Continental, with Dunlop winning the overall spot.
years. Jevon opened his first Jevon’s Tyres dealership in East London in
The Tyre Manufacturer award is based on a survey completed three times
1960 and has been an active member of the association ever since.
a year by Association members who nominate manufacturers based
The formalities over, the guests were entertained by a duo of comics, the
on five key criteria: product quality; customer service; stock rotation;
inimitable Marc Lottering and Joey Rasdien who also led through the awards
availability and warranties. The process is adjudicated by a panel of
proceedings.
judges comprising an independent auditor, representatives from the five major franchises, a motoring media representative, the chairperson of the motoring guild a representative of the Consumer Council and three members of the TDAFA National Executive Committee. Luis Ceneviz, CEO for Dunlop comments on the award: “We are honoured to accept this award. We see it as a fantastic reward for the effort we have put into bringing the Driven by Precision positioning of our Dunlop tyre brand to life. We’re striving for a culture of excellence in every aspect of our operations, from manufacture and distribution to the service customers receive from our sales offices and consultants
Hermann Erdmann (National Chairman for the TDAFA), Mervyn Jevon – 50 years loyal service to the Tyre Dealers Association, Vishal Premlall (National Director for the TDAFA)
2 0 • I n d u s t r y N e w s
I n d u s t r y N e w s • 2 1
SA’s Best Supplier of Tyres Services Announced Trentyre was named South Africa’s Best Supplier of Tyre Services in the fifth annual Focus on Excellence Awards at a prestigious event in Johannesburg last week. The event recognises and honours superiority in the South African transport industry. The Focus on Excellence Award programme is based on extensive research conducted by independent research analysts Scott Byers. Thousands of senior players in the transport operator industry were selected at random for telephonic interviews during the second quarter of 2010. They were questioned about which products or supplier companies they considered best and why. The final nominations are the result of Scott Byers Comparative Customer Satisfaction independent performance measurement.
Algorax – Joint Winner of Responsible Care Award
Leader Rubber Company Consumable Department Upgrade
Algorax (Pty) Ltd has been
Leader Tread has revamped its consumable department. Along
named a joint winner of the
with Frikkie Niewenhuizen taking over this section, the company
South African Chemical and
has also employed Danny Kirsten, who between them, have over
Allied Industries’ Associations
80 years experience in this industry.
Responsible Care Award for
Leader Tread now carries a comprehensive range of consumables
2010. The award was presented to Mr Alan Shone, Algorax Site Manager, at the Chemical and Allied Industries’ Association (CAIA) Annual General Meeting
for both retreading and repair shops which includes rasps, buffing blades, couplers, airline equipment, curing envelopes, curing tubes, polyprop, as well as its new range of Leader Rubber Company Chemical Cure patches and envelopes. Allegedly, these LRC patches and envelopes are doing exceptionally well in the
held in Johannesburg at the end of October.
market, with only positive feedback from customers. For further
The Award recognises Responsible Care signatory companies in the
info – please contact the sales desk on sales@leadertread.co.za
chemical industry that have made the most significant improvements in
And that’s not all! Another new addition is its very first “Mobile
their safety, health and environmental (SHE) performance for the year.
Warehouse” which is stocked with a full range of consumables
Joint winners, Idwala Sales and Distribution and Algorax were noted for
in order to assist customers with their immediate requirements.
their strong performance on criteria including community interaction, management commitment, SHE improvement programmes, Responsible Care awareness, social responsibility programmes and product stewardship. Algorax Award The award is particularly momentous, given that Algorax celebrates its 50th Anniversary and the completion of its plant improvement project this year. Project 2010, the plant improvement project is an investment of around one hundred million Rand and has resulted in significant structural and environmental improvements to the Algorax plant. Algorax will continue to strive for continuous manufacturing and environmental improvements, which will have a positive impact on the plant and its surrounding environment and community.
OTR RADIALS es ll OTR Machin a r fo le b a it u lS 25” to 35” in e g n ra e iz s l Full e Radials ‘E’ and ‘L’ typ ial el Belted Rad te S t s u b o R l construction sistant tread l Abrasion re compound ed tread area rc fo in re lt e l Steelb ad patterns l Modern tre lity standard l Global qua rer Warranty l Manufactu Hour
er
= Low Cost P
TESTED & PROVEN
FOR ORDERS & INFORMATION Contact: Ken Martin or Marlin Pillay Tel: 031 764 5058 | Ken: 083 387 8403 | Marlin: 071 880 9247 | Fax: 086 558 8382 Email: ken@tafrica.net or marlin@tafrica.net OnLy AvAILABLE fROm
Transafrica Tyre & Wheel Exclusive
Distributor for RSA, Lesotho, Swaziland and Botswana
I n d u s t r y N e w s • 2 3
Boto brand OTR Radials exceed performance expectations Transafrica Tyre & Wheel, the sole and exclusive Distributor for BOTO brand OTR radials, reports that the BOTO branded product is not only meeting performance expectations, but exceeding them in many instances. Ken Martin, who heads up Transafrica BOTO, has indicated that a number of leading plant operators have been evaluating tyres for up to two years versus competition, and are now fully satisfied that BOTO is their brand of choice. Martin highlighted that OTR tyres are one of the largest costs for any plant operator, and that this product segment is highly specialized and technical. He added that it takes time to generate reliable and meaningful results, which become the foundation for significant future cost savings for fleet
BOTO radial fitted to dumper at Oosthuizen Safika Mpumalanga.
operators. Some fleets which have tested BOTO successfully include Scribante Construction, Oosthuizen Safika, and Diacor Diamonds, who have all
35T articulated dump trucks, where 26.5R25 BOTO GCA3**E3 tyres are achieving a lower cost per hour compared with the Original Equipment brand supplied on the new Caterpillar machines (see photograph). Mr Tertius Naude of Oosthuizen Safika, a leading transporter and plant operator in Mpumalanga, indicated that BOTO OTR E3 two star tyres were first placed for testing on Bottom Dumpers late in 2008. These tyres have provided cost effective, trouble free performance, and Oosthuizen Safika are now also using BOTO L5 products successfully on their Front End Loader fleet. Martin added that the common message from these leading plant operators is that BOTO brand OTR radials is the way to go for great value for money,
Diacor Northern Cape specifies only BOTO brand OTR for its fleet of ADT machines.
reduced costs, and minimum downtime. For more information contact Ken Martin on 0833878403 or ken@tafrica.net
evaluated the BOTO product over a two year period. Scribante Construction run a large fleet of Articulated Dump Trucks in the Witbank and Rustenburg regions, and now specify BOTO after testing the product versus numerous other imported brands. Mr Mike Maurice of Scribante added that BOTO is providing trouble free performance, with the lowest cost per hour based on their testing. He also indicated that the reinforced buttress/shoulder area feature of the BOTO tyre protected the sidewall from damage, which is important in their demanding operating conditions. Another satisfied customer is Mr Hennie van Wyk of Diacor Diamonds in the Northern Cape, who has tested the BOTO product extensively on his
Scribante use BOTO brand OTR on their Articulated Dump Trucks at Witbank.
2 4 • I n d u s t r y N e w s
ELECTRA MINING SHOW 2010
OTR SPECIALISTS AFRICA NRCS (SABS) APPROVED AND ITAC CERTIFIED All our products carry a manufacturers’ guarantee which is supported by Tandem Tyres in Southern Africa
Contact us: Tel: +27 31 765 2650 Fax: + 27 31 765 2695 Website: www.tandemtyres.co.za
I n d u s t r y N e w s • 2 5
TANDEM TYRES EXHIBITS AT ELECTRA MINING Showing its mettle, Tandem Tyres exhibited at this year’s Electra Mining Exhibition, a decision which the company claims has strengthened the company’s reputation, not only in South Africa but in the sub-Sahara region as well. With 65 years combined of tyre knowledge and
experience, together with a growing product line that includes light truck bias, truck bias, truck/bus radial, OTR bias, OTR radial tyres and a tyre pressure monitoring system that is working to good effect at many sites, From left to right – Nico Wolmarans, Mike Nel (director), Shelley Main, Alyssa Khan, Riette Jerrard, Roger Mohanlal and Altus Cock.
the company says it is well positioned to service the growing needs of the local market.
PERFORMANCE IS A MATTER OF SHAPE One step ahead in Reliability, Grip & Saving. RINGTREAD is the preferred tyre solution for the largest fleets in the world because of its unbeatable strength. The innovative ring-shaped tread converts a quality casing into a high performance RETREAD without any weak points. Choosing RINGTREAD means highest reliability - more grip - more mileage and considerable fuel saving.
www.ringtread.com Ringtread Accredited Dealers: Auto & Truck Tyres, Barden Tyre Services, Dynamic Tyre Solutions, Tyre Magic Marc Stock - marcs@ringtread.co.za • Cell no: 083 252 0073
28
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Manufacturing
Manufacturing
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SA TYRE MANUFACTURERS come under fire On 6 September Bridgestone SA released a statement that it had been
marketing representatives, coordinated the timing and the average
granted conditional leniency for its past involvement in contraventions
price increase of tyres, agreed on the discount structure to given to
of the Competition Act, which conduct is now the subject of a complaint
tyre dealers and messages to be given to the market explaining the
against other tyre manufacturers.
increases.
According to industry sources, the Competition Commission has referred
The main customers of the participants to the cartel are tyre dealers
a complaint of collusive tendering, price-fixing, information exchange
who purchase tyres for resale to consumers, vehicle manufacturers
and market allocation against four tyre manufacturers and suppliers,
who purchase tyres for new vehicle models and the government which
including Apollo Tyres, Goodyear, Continental and Bridgestone as well
procures tyres for state owned vehicles and fleets through a tender
as industry body, the SA Tyre Manufacturers Conference (SATMC).
process managed by the State Tender Board.
The commission’s investigation was prompted by a complaint alleging
It is alleged the commission’s investigation found that the SATMC was
that the tyre manufacturers simultaneously adjusted their prices around
used as a platform for what has been termed ‘coffee table discussions’
the same time and within the same parameters.
to determine price increases and general coordination in the market
As a result of the complaint, on April 2 2008, the commission conducted
among the tyre manufacturers.
a search and seizure operation at the premises of Bridgestone, Apollo
The commission has requested the tribunal to impose an administrative
and SATMC.
penalty amounting to 10% of the total turnover of each of SATMC,
In its application for leniency, Bridgestone allegedly admitted that it held
Apollo, Goodyear and Continental.
telephonic discussions and met with its competitors during the period
We will continue to follow this case and report on the findings of the
1999 to 2007 to agree in principle that they should cooperate to ensure
tribunal in later issues.
stability in the market. The meetings, which were attended by the manufacturers’ sales and
*The investigation also found that importers of Yokohama and Michelin were not involved in the cartel conduct.
Dunlop voted South Africa’s Most Iconic Tyre Brand In recent independent research commissioned by
upmarket and professional tyre fitment experience that
Rapport and City Press newspapers on South Africa’s
ensures the customer’s needs are satisfied.
Icon Brands, Dunlop was voted number 1 in the category of Tyre Manufacturers – exciting news for a premium brand that has focussed on reinventing its image and positioning to make a bold impression on the hearts and minds of South Africa consumers.
The research was carried out by TGI South Africa, which is part of an international network of marketing and media research surveys present in over 60 countries around the world. In the 3rd national brand survey measuring the usage of more than 8 000 brands
Iconic brands are those brands that through customers,
in 19 different product categories by South African
loyalty and usage become not only symbols of the users’
consumers, TGI conducted more than 15 000 face-to-
status and personalities, but also brands that come to
face interviews with South Africans living in communities
epitomise the country in which they are created. Dunlop was the first tyre
with a population size greater than 8 000, to discover which brands came
manufacturing company in South Africa and with over 100 years of heritage
out tops in the country. The research was not based on awareness or liking,
in the country’s motoring industry has entrenched itself as a household
but on which brands consumers are committed to in the very real sense of
name. In addition, Dunlop has consistently sought to increase their offering
putting their hard-earned cash towards.
with advanced products and value adding service. Recent highlights for the Dunlop brand have been the successful introduction of the ‘Driven by Precision’ positioning and the rollout of the dynamic Dunlop Zone store concept that brings the Dunlop commitment to precision into the retail
The research results were published on the 8th of August, reaching a readership of over 3.5 million people with a combined buying power of R26 billion per month.
environment. These touch-points for the Dunlop brand best illustrate
Apollo Tyres South Africa would like to thank South African consumers for
the reason for consumer loyalty – the brand’s dedication to providing an
recognising the iconic status of the Dunlop brand.
30
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Manufacturing
GRABBER AT IS LAUNCHED IN EUROPE That global tyre makers are constantly challenging themselves to come up with new innovations and technologies was borne out recently by my recent trip to Dusseldorf, Germany, where I, along with members of the European press, put the new Grabber AT to the test. The launch of General Tire’s successor to the AT2 model, which was designed specifically to offer high grip and good handling on off the road, took place at the Land Rover Experience Centre in Essen. According to company representatives, the new tyre performed around 3% better than its predecessor, whilst driving characteristics in the wet improved by up to 10%. Luckily, the launch took place on a typical Autumn day with rain dominating the proceedings, thereby enabling us to put these claims to the test. Allegedly, offset rows of angled tread lugs of different sizes provide good grip when driving off-road, interlocking well with the ground, both longitudinally and laterally. Further, the tyre’s circumferential tread lugs are still in their design to ensure that the forces needed when starting off and braking are transmitted directly to the ground. Together with the V-shaped tread grooves, the tyre shoulder, which is open in alignment with the traction grooves between the tread lugs, makes for fast self-cleaning and optimum grip on slippery ground when ‘mudbaths’ loom, as they surely did on the day.
Manufacturing
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31
What is more, angled, central tread lugs, separated by channels of different
Surprisingly, the new Grabber AT also showed its mettle on the road when
widths, provide extra grip during off-road driving, as we well discovered when
we took the Range Rovers for a quick spin on the Autobahn. Apparently, this
navigating our Defenders and Land Rovers along the Centre’s well-mapped
is due to the compound which was developed to provide a healthy balance
out 4x4 course, characterised by a number of obstacles and various off-road
between the demands made by off-road driving on the one hand and use on
conditions.
the road on the other. Therefore, the tyre is rugged enough to resist gashes
And that’s not all! With its even pressure distribution the tyre’s large ground contact patch ensures optimum driving performance in sand and slush
and scuffing and yet at the same time, provides safe grip for the transmission of braking and steering forces on both wet and dry roads.
and on wet grass. This feature is particularly evident in slush, courtesy of
The tyre is also said to deliver a particularly high mileage as well as reduced
the additional traction ridges in the base of the flowing tread grooves, which
noise levels – something I can personally attest to.
interlock with the ground thereby ensuring high grip.
Look out for this impressive new tyre which will be available through
To enhance its resistance to damage, tyre developer Eckhard Quentin made
Continental Tyre SA, and is scheduled to hit the 4x4 market in the first quarter
sure that the lugs were sufficiently stiff yet supple.
of 2011.
32
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Manufacturing
GOODYEAR’S UNIQUE OFFERING TURNS PUBLIC WASTE INTO COMMUNITY VALUE
Truth about trashapproximately
540 oduces • South Africa pr ste per year. million tons of wa cled but waste can be recy bout 95% of this •A dfills. on dumps and lan it mostly ends up prised of dfill gas is com early all of lan •N of which on dioxide, both methane and carb the ozone gases damaging are greenhouse layer. waste has irect impacts that • The direct and ind generally ent and society is on the environm ing, poor a lack of plann spurred on by and lack man indifference service delivery, hu industry. consciousness by of environmental
Goodyear has uniquely extended its award-winning environmental and community care policies to its employees and the general public with the provision of streamed waste collection bins that facilitate recycling and generate funds that are ploughed directly back into needy community
RECYCLING MAKES TREASURE OUT OF TRASH – Goodyear tyre builder Lindisile Mange, pictured here with Goodyear Risk Control Manager Rene van der Merwe, fills recycling bins at the Uitenhage plant with tons of tins. The enviro-friendly company has specially made the bins available to the public for streamed waste which is collected, sold and recycled. Funds generated are ploughed back into needy community projects.
projects. The innovative tyre company is currently the only manufacturer to provide
manufacturing facility as well as Goodyear’s offices in Walmer, Port
an offering of this kind anywhere in the Eastern Cape. Goodyear is also the
Elizabeth, in a unique joint venture with the Waste Trade Company. Cans,
only manufacturer across all industries in South Africa that can boast a true
plastic and paper can be dumped in specially provided streamed waste
zero waste policy. Globally, the company aims for ‘zero waste to landfill’
collection bins.
and ‘zero harmful emissions’ in its tyre manufacturing processes.
The waste is collected,
Goodyear Risk Control Manager René van der Merwe said that, as
transported and sold
environmental awareness grows, many people would like to contribute to
by the Waste Trade
the health of the planet by recycling their rubbish, but don’t know what to
Company to recyclers
do with it.
– true to Goodyear’s
“There are currently not a sufficient number of bins available publicly for streamed waste. Goodyear has been recycling its factory and office waste for some time already, so it made sense for us to extend the collection system to the greater community. These extra bins cost us next to nothing, but hopefully they will make it easier for people to adopt good recycling habits,” she said. Collection points have been set up in the parking areas of the Uitenhage
‘zero waste to landfill’ philosophy.
Transport
costs are deducted from the revenue and the balance is used to invest in selected worthy charities and community projects.
difference We can all make ance
a differe • We can all make s energy, e other hand, save • Recycling, on th ces our saves money, redu saves resources, jobs. pact and creates environmental im everyone ste for recycling, • By separating wa d play a energy efficient an can become more ing up the planet. small part in clean can is the , one recycled • As an example r three ring a television fo equivalent of powe keep a glass bottle could hours and a single urs! burning for four ho 100 watt light bulb
M a n u f a cEt vu er ni nt gs
•
33
Extremely dangerous: below 1.5 Bar or above 2.9 Bar
34
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3318 TYRES
Manufacturing
7%
7% Dangerous
86%
Fine
TYRE SAFETY SURVEY SHOWS SAFER TYRES Tyre maker Bridgestone South Africa has published data obtained during
Bridgestone Public Relations
its Tyre Safety Survey for 2010 which shows that standards of tyre
Manager, Mandy Lovell, said
maintenance in South Africa have improved since 2009.
that 7% of the tyres sampled
Retailer Pick n Pay assisted Bridgestone by permitting the annual survey to be conducted in the parking lots of its stores. Armed with a pressure gauge, tread depth meter and a tyre data collection sheet, Bridgestone tyre experts sampled parked cars at random and recorded the results.
fell
into
the
“extremely
Extremely dangerous
Tyre Safety Results 2010 Assessment Criteria. Tyres were divided into three categories depending on inflation pressures: Fine: 1.8 Bar - 2.9 Bar Dangerous: 1.7 Bar - 1.5 Bar Extremely dangerous: below 1.5 Bar or Above 2.9 Bar
dangerous” category, with another 7% in the “dangerous” bracket. “This means that 86% of the tyres sampled were in good condition and
In 2010, a total of 3318 tyres fitted to 829 vehicles were surveyed. Any tyre worn to under 1.6mm was flagged as being unsafe, as were tyres
correctly inflated, which is a slight improvement over the 2009 survey which found that 85% of the tyres sampled were in good condition,” she added.
which were outside the target pressure range of 1.8 to 2.9 kPa. A tyre at
In the tread depth test, 4% of tyres sampled had less than 1.6mm of tread
a pressure of more than 2.9 kPa is dangerously over-inflated and causes
remaining, a considerable drop from the 2009 figure of 10%.
reduced roadholding, as well as being less able to resist penetration by sharp objects lying on the road surface.
Regular tyre checks were one of the easiest ways motorists could improve their safety on the roads. It is recommended that motorists check tyre
A tyre at a pressure of below 1.8 kPa is under-inflated, meaning reduced
pressures at least once every two weeks and inspect the tyres for wear and
roadholding and faster tyre wear. As with tyres over 2.9 kPa, tyres under
damage at the same time. Incorrect inflation and tyre damage can result
1.5 kPa were recorded as being extremely dangerous. At this low pressure,
in increased running costs and even a tyre blowout, which could be fatal.
the tyre builds up excessive heat during driving and may disintegrate,
Regular tyre pressure and condition checks should be part of every driver’s
resulting in a blowout.
car care habits.
www.leadertread.co.za
SAFETY... QUALITY... DURABILITY...
RELIABILITY...
important ingredients that keep us
ahead of the pack!
I S O 9 0 0 2
T +27 11 473 8200 F +27 11 474 8659 E info@leadertread.co.za
One-on-One
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35
WIN 1 OF 5 AUDI A3 SPORTBACKS
Buy a set of 4 new Continental tyres and you could soon drive off in your very own Audi A3 Sportback 1.4T FSI® worth R264 500
Ebony + Ivory 15040
*Terms and Conditions apply, see in-store for details. Competition begins 26 July 2010 and ends 31 December 2010.
Find your nearest ContiPartner dealership at www.contipartner.co.za
The ContiPartner “Win an Audi” Competition
A
great offer deserves a great TV ad, and that’s exactly what ContiPartner, together with their advertising agency, Ebony+Ivory, have done. “For too long, tyre retail ads were just that – retail ads all about the offer. It was all about the hard sell, the offer and a give-away to entice consumers to buy a brand of tyres in exchange for a gift. The challenge was to differentiate ContiPartner by building the brand while promoting an offer of premium quality and status, values that go hand in hand with the Continental brand. We believe this has been achieved!” exclaims Dieter Horni, Managing Director of Continental Tyre SA.
A BIG HIT!
Volume 4 | April 2010
From Continental’s “At long last, Desk tyre retail ads are becoming concept Valued Partners, driven,Dearand a measure of class and sophistication is seems that July 2010 is the month of great excitement! ContiPartner being Itisinjected into the brand, and we are glad to about to become the best – loved and most talked about brand in be leading the we’re field in 5this South Africa, because giving away new Audiregard,” A3 Sportbacks! added Russel But, here’s where it gets even better: We’re running a cool Dealer Stewart, Marketing Manager for Continental Tyre SA. campaign to up the stakes even more!
I know you are curious as to how this Dealer campaign will affect or the daily running of your fitment centre. Don’t worry, it’s not So, whatyou was the big idea? Buy a set of four Continental tyres, and difficult or as involved as you may think. stand aTochance win one ofwhich five Audi Sportbacks! An offer recap on ourto main competition, starts on 26 A3 July 2010 ends on 31the December 2010, African your customertyre has toindustry. buy 4 new The competition not yetand seen in South Continental tyres to qualify. Once they have paid for their tyres, you will issue them a very standardsimple. invoice. The Once customer then their were bought, the mechanics were theSMS’s tyres name, your dealer number and their invoice number to 32300 to participant simply their invoice number enter. It’s as easy asSMS-ed that! We mentioned in our June issue that we to a short code. A creating a really awesome TV ad with the mind, randomwere computer draw selected ancompetition invoicein number and matching and I know you’re eager to see it. If you’re lucky, you can catch it on the 26th of July 2010person, when it firstupon flights. Just in case you missthe original invoice cell number and that producing it, CLICK HERE for a media schedule highlighting the channel and won thetheAudi Sportback. time theA3 ad will flight again.
Making the Ad The ad was shot on location in Boksburg, Gauteng. Call time on set was at 6:00am in the freezing Jo’burg cold, but things soon started to heat up as the action got under way. The Audi used for the shoot was fitted with ContiSportContact 3, allowing the ad to also demonstrate the performance abilities of Continental tyres. From the dusty interior of a warehouse, to the wet, over a ramp and over concrete bumps, the tyres demonstrated their ability to handle the toughest conditions, experienced daily on SA’s roads. So, after an exhausting day shooting a TV ad, announcing a great offer, showing the performance abilities of a great tyre brand, what was the outcome? We are pleased to say that as of October 2010, we have 3 very happy winners, here’s how they discovered their good fortune and the reactions each had!
Now, here’s where you come in:
Conti Corner
•
37
OUR WINNERS! WINNER 2:
WINNER 1: PROF. RICHARD PIENAAR
JOHANNESBURG
WINNER 3: DR. MOHAMMED ISMAIL
The prognosis? We need new tyres, STAT!
Not a very nice thing to say to anyone, let alone your dad, especially after he’s won the first Audi A3 Sportback in our Win a Audi Competition. The impassioned cry came from our winner – Professor Richard Pienaar’s son, on hearing his dad had won his dream car. But jealousy won’t get you one, buying 4 new Continental tyres could! So, will dad let him at least drive it? “Only if he asks nicely!”
In giving his family’s vehicle a new lease on life by replacing its tyres, Dr. Ismail has found himself behind the steering wheel of a brand spanking new Audi A3 Sportback.
Once the choice had been made, and the 4 new tyres selected, the sales rep pointed out the fact that he now qualified to enter the Win an Audi competition. Not being interested in competitions (except the odd Lotto ticket and raffles for a good cause), he SMS-ed his invoice number and promptly forgot all about it. Until he got a call from Taryn Hatchuel , Client Service Director at Ebony+Ivory, telling him he’d won! “You know,” he muses, “I’ve always driven Toyotas, because my brother owned the Bryanston Toyota dealership years ago. And, I have always told my family that if I ever did decide to get a ‘nice’ car, it would definitely be an Audi.”
CAPE TOWN
DURBAN
“I hate you, I hate you, I hate you!”
It all happened one day, before heading down to Scottburgh, when the time finally came for the tyres on Professor Pienaar’s Toyota to roll into that great big scrapheap in the sky. And, after enquiring about all the replacement possibilities, he selected the brand he knew and trusted best – Continental tyres at Jody’s Tyres in Constantiakloof.
SHU’AIB ISMAIL
The good doctor, while sitting in front of his TV was reminded to change his tyres when he saw the ContiPartner TV ad. Since he’s always fitted Continental tyres to his cars, Dr. Ismail visited Edge Tyres ContiPartner in Mt. Edgecombe the very next day, and bought his set of four Continental tyres, ably assisted by Andrea, the owner’s daughter. This of course qualified him to enter the competition, but since the doctor had never won anything before he was a bit skeptical. But, Andrea wasn’t letting him off that easy she had a strong feeling that the next winner was going to come from Edge Tyres ContiPartner. She persuaded Dr. Ismail to SMS, which he reluctantly did, and the rest, as they say is history! Being a doctor, nothing quite fazes Dr. Ismail, except winning an Audi! When we asked Dr. Ismail what was the best part of winning the car was, he replied, “That new car smell, of course!”
PROMOTION
Third Audi A3 Sport Given Away to Disbelieving Winner Shu’Aib Ismail didn’t want to enter the ContiPartner Win an Audi competition – he didn’t think he had a chance of winning the prize. So dealer Bashir Parker had to virtually force him to SMS his details for the competition. The lesson is, even when you think you don’t stand a snowball’s hope in hell, just try... you never know. Because the unthinkable happened. Shu’Aib’s name came up as the winner of the third A3 give-away. “I can’t believe it!“ said Shu’Aib when told of his good fortune. When he came to collect his prize he added: “I can’t believe it...I still can’t believe it!“ As he climbed into his brand-spankingnew car at the ContiPartner dealership, he remarked: “You know, I just can’t believe it!“ But we think he finally started believing as he drove away because it was then that he started hooting like crazy, as only a proud new-car owner can. Continental Tyre SA would like to thank all the ContiPartners who have supported this campaign and assisted to make it a success, without the dealers who sell the tyres a promotion of this scale would not have been possible. From everyone at Continental Tyre SA, happy holidays and drive safely!
DWF BS/513119
We focus on excellence in every single tyre. In everything we do, we focus on providing superior quality and safety, on constant innovations, environmentally friendly concepts and performance under the most demanding conditions. But above all, we always focus on putting all our knowledge and all our effort into every single tyre.
For your nearest Bridgestone Authorised Dealer, visit our website at www.bridgestone.co.za
Bridgestone South Africa
Dealer Profile
The Crouwkamps – Dolf, Elna, Chris
•
39
SUPA QUICK GETS SUPA CREATIVE
What makes some shops stand the test of time, despite tougher trading times and growing competition from other entities in the vicinity? With this question in mind, I head for Brentwood Park Benoni where I’m about to meet a family-owned retail store that’s been in existence for more than 20 years.
40
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Dealer Profile
Run by the Crouwkamp siblings, Dolf, Chris and Elna, the store – formerly
Adds Dolf: “Were it not for all these affiliated services which
a Fastfit outlet – switched alliances 14 years ago as a means of securing
enable us to sell up, I don’t know if we would still be in business.”
better buying power, and hasn’t looked back since. And this in spite of the recent closure of some five opposition store in its surrounds.
Of course the fact that the Crouwkamp family has been living in the Benoni district for years and are active members of the
Dolf says they owe their longevity mainly to the Supa Quick brand as well as
community, probably also has a lot to do with their ongoing
to their primary tyre supplier, Bridgestone-Firestone. Astoundingly, close
success….after all, people buy from people.
on 99 percent of total sales in this outfit are either Bridgestone or Firestone as the Crouwkamps pretty much refuse to stock anything else.
“It’s true,” claims Dolf. “We know everyone in the area and everyone knows us. But it’s more than that. To us, the customer
I ask how he manages to remain competitive in today’s multi-brand
is King… or Queen. We go out of our way to ensure that each
environment to which he responds: “I really don’t have the capacity to
and every person visiting our store, irrespective of gender, age
carry stock of every singe tyre brand in every single size. Thankfully, we are
or race, is treated in a courteous, friendly and respectful manner.
aligned to two premium well recognised brands in the market and as such,
Customers are unlikely to support you in the future if their first
we don’t encounter much resistance from customers. Of course, should
shopping experience is an unpleasant one, even if they know you.”
a customer come in to replace, say, one tyre, and wishes to match what’s currently on the vehicle, we will make a plan.”
Dolf further claims that it’s critically important in this business for store owners to regularly update their wheel alignment and wheel
Dolf further explains that the trading climate is such that they really can’t
balancing machines. “No dealership today can afford a come-
afford to turn away even a single sale.
back of this nature. I always make sure that our machinery is in tip-top shape and that all the machines are properly calibrated
He claims: “Gone are the boom years of the 80s and 90s. Consumers are
and so far, I’m happy to say we have had very few come-backs.”
currently very strapped for cash, particularly as the recession is far from over. Price is everything now, and you have to be able to accommodate
Interestingly, Supa Quick Benoni is one of few tyre fitment centres
this dynamic without compromising on brand integrity or margins….not
to still offer on-vehicle wheel balancing, something which Dolf
an easy task!”
also believes to be an important service.
To counteract the margin erosion on tyre sales, Dolf and his team branched
When I ask him to name his biggest challenge to his business,
out into a full fledged vehicle servicing some years ago, a move that has
he reiterates that growing competition from rival brands remains
proved extremely fruitful. On inspection, I was pleased to see that the
at the forefront of his concerns. That said, he’s obviously doing
workshop was full to capacity and that every available lift was occupied. This
something right……..well done on your achievements thus far
was also the case with the alignment bays. And much like the rest of the
Crouwkamp family and here’s to the next 21 years!
franchise group, Dolf and his team also offer the full range of underbody services including exhausts, brakes, batteries, shocks and CV joints. A motivated staff force ensures each customer is greeted with a smile.
42
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Goodyear News
SPIRIT OF AFRICA ROLLS ON GOODYEAR WRANGLERS “In the testing sandy conditions we encounter during Spirit of Africa, there is no tyre to equal the Goodyear Wranglers.” Legendary
racing
driver
Sarel
van
der Merwe – founder and host of the exhilarating annual event – was adamant in his choice of tough new Wrangler AT/ SA tyres to carry the Spirit of Africa 2010 Volkswagen Amarok vehicles. Van der Merwe lays out the routes, he’s seen the soft sands of the red Kalahari
“Goodyear’s Supply Chain and Production
and white Namib dunes laugh at man and
areas pulled out the stops to ensure enough
machine ... but his trust in the Wranglers is
tyres were produced in time. Once the
unshakable.
vehicles landed, we removed all the spare
“These tyres are flexible, their tread is high, their grip is fantastic and they have been engineered and built to endure extreme terrains. The Wranglers have always performed brilliantly in the past and this year the new AT/SAs have been as impressive as I expected.” Myles
Dent,
Goodyear
wheels and used those to keep the vehicles on the go between suppliers. “We finished with two days to spare, which gave the crew at VWSA extra breathing time. It was a huge exercise accomplished thanks to a great team effort by Wilberforce Madlingozi, Khaya Tsawu, Thembinkosi Thompson,
Manager
Marketing
and
Communications, said the exciting, fiercely competitive was “the ideal playground for this unbeatable Wrangler and the perfect opportunity to show off its exceptional performance capabilities.” Making it happen While Goodyear was agreeing to partner with Volkswagen in the Spirit of Africa, the 23 Amaroks for the event were still on a ship on their way to Port Elizabeth. When they reached land, they needed to be stripped and specially prepped by various suppliers. Kevin Slabbert, National Sales Manager: Consumer OE, said the Goodyear team rose
Chris Tye, Peter Henning and myself.” Three days into the Spirit of Africa, Van der Merwe called to thank the Goodyear team for their professional support and to report on how well the tyres were performing in the tricky Kalahari conditions. “Volkswagen were so impressed with Goodyear’s excellent support and product performance, that they requested we fit Wranglers to the Amarok double-cabs starring in the television commercial. This was done by Hi-Q Cape Town’s Peter Alterskye and his team.” It’s an action-packed commercial, in which Van der Merwe and SA rally hotshot Gugu Zulu follow a crow’s flight over vast, rough terrain. You can see they’re having fun ... and little wonder that their tough, ‘go anywhere’ Amarok is perfectly teamed with rugged, ‘get there’ Goodyear tyres.
to the challenge, fitting and balancing the race-
The Wrangler 265/65R17 AT/SAs used in the commercial are produced
ready Wrangler AT/SA tyres in just three of the
in the Uitenhage plant. Wrangler is one of the brands fitted as original
five available days.
equipment to the Volkswagen Amarok.
FANTASTIC FIRST RETAIL STORE FOR NAIROBI After a decade of steady growth in Kenya, Goodyear has opened the doors
dealers in Kenya and the two big competition groups here have their own
to further expansion with its first equity-owned retail store in busy Nairobi.
branches.
Simply called the Goodyear Fitment Centre, the well-groomed store is
“Opening our own retail store is the first step towards a bigger future for
ideally situated in large semi-industrial premises on the main road in from
Goodyear Kenya. One consideration was whether we would upset our
the capital city’s airport. Managing Director of Goodyear Kenya, Jacques
established dealer network, but most of the independent distributors have
Nell, said with pride that there was “no other tyre store like it in the country”.
a shared Goodyear identity so there has been no clash of interests.”
“The store looks beautiful and we are really proud of it. Its opening created
In atmospherics, the new one-stop Goodyear Fitment Centre may be
excitement – we embarked on a two-month long marketing campaign
compared to South Africa’s Hi-Q dealerships. The interior is spacious,
which paid off - and it has been exceptionally well received.”
stylishly illuminated and well appointed, with touches of aluminium and
Nell, who has been with Goodyear for more than 25 years, has been a
light grey décor elements giving the store a polished, clinical feel.
driving force in building the tyre import and distribution business over
Along with tyre products and services, the centre also offers attention
the last ten years. Before leaving South Africa, his last position was that of
to batteries and suspension. The wheel alignment machine and other
National Commercial Manager for Trentyre.
undercarriage equipment are state of the art.
Goodyear Kenya deals directly with its agricultural and earthmover tyre
“The Fitment Centre’s staff of eight have been put through their paces with
customers, while the company’s commercial arm, Tread Setters, takes
both technical and customer service training. Customers should hardly
care of truck tyre customers and retreading facilities. Until recently,
have finished their free, steaming cup of coffee when they are on their way
Goodyear passenger tyres were sold only through a network of about 200
out again. This is a uniquely positive tyre retail and service experience for
independent dealers in Kenya.
Kenyan customers. ”
“Quite simply”, he explained, “demand for Goodyear products has grown bigger than our distribution network. There are only so many independent
Kenya’s enthusiastic Goodyear Fitment Centre staff, from left: Carl Badenhorst(General Manager), Brian Mboga (Fitter), Emmanuel Owino (Fitter), Jayne Wangui (Customer Care), Ruksana Kassam (Branch Manager), Faith Ogutu (Customer Care), John Maina (Fitter) and Stephen Anekeya (Fitter), with Jacques Nell (Managing Director, Goodyear Kenya).
44
•
Bandag News
New logo for Bandag
application specific treads
In a fast paced environment, we are faced with change, new options and
After a decade of performance validation for
constant innovation. It is safe to say that Bandag has kept up with these
the Application Specific® range and as part
demands and has consistently adapted to changing customer needs
of Bandag’s continued focus on its premium
through constant product and service innovation, offering fleets options
product offering, a renewed logo has been
that not only suit their needs but deliver optimum value while doing it.
launched to not only identify these products, but to also stamp Bandag’s approval on them
The Bandag Application Specific® product range is just one of these.
as best in class for their specific application. In
With original Bandag designs and proven rubber compounds that have
addition, the new logo emphasises that products
outperformed its closest rivals, you can be rest assured that Bandag’s
in this range are original tread patterns, which are
Application Specific® product range is designed to deliver premium quality
exclusively, Designed by Bandag.
and best in class performance.
One such Application Specific® product is BMS (Bandag Mixed Service). BMS has rapidly become Bandag’s champion product proving to be a nemesis for previously established designs. So much so that it is outperforming Bandag’s reputable BZY tread design. Tests conducted by Launched just over ten years ago, the Application Specific® range has
Bandag show up to a 25% better performance using BMS as opposed to BZY.
grown steadily and now offers eight original tread designs, many of which
This level of product performance is testimony to Bandag’s commitment to
have been copied because of their superior performance at fleet level.
lowering fleet operating costs, making you more competitive!
The Application Specific® tread range caters for all your transport needs
But, don’t take their word for it, contact your nearest Bandag or BTS
by providing a comprehensive range for Longhaul, Regional and On/off
Franchisee and take the Bandag Challenge! For a list of franchisees or to
road applications.
contact Bandag, visit www.bandag.co.za
With the reliability you get from Bandag, your fleet can take on anything. 8182 Bandag Strip Ad.indd 3
www.bandag.co.za 5/15/08 4:39:38 PM
Ta l k i n g Ty r e s
•
Customer Service More than skin deep
The tyre industry undoubtedly despises
If the latest tyre survey done by Bridgestone is anything to go
the notion that tyres are a grudge
paying marginally more attention to the condition of their tyres.
by, South Africans have, on the balance of probabilities, started
purchase, but for Mr and Mrs Average
According to Bridgestone, there has been a positive trend with
that’s what they typically are. But it’s
legally compliant rubber – but the picture is still overwhelmingly,
the quality of service rendered that determines the outcome
more motorists maintaining suitable tyre pressures, and driving on tragically gloomy. “Although there appears to have been a general improvement since we started the surveys, the statistics remain alarming,”
By Colin Mileman
said Bridgestone’s public relations manager Mandy Lovell. “Too many motorists are not checking their tyre pressures regularly or replacing worn or damaged tyres.
47
48
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G T aol ok di ny ge aTr y rNeesw s
“In 11 surveys conducted around the country since 2007, during which more than 16 000 tyres on over 4 000 vehicles have been inspected in eight major metropolitan areas, just over 78 percent of all the vehicles inspected were at or above the acceptable tyre pressure level of 1.8 Bar,” the report states. Indeed, the most recent survey, conducted in Rustenburg, revealed that some 20 percent of the cars tested had tyre pressures of below 1.8 Bar, and a disturbing eight percent of these were lower than 1.5 Bar. I’m sorry, but I just don’t get it! Aside from service costs and petrol, tyres represent the biggest running cost on a car. I recently had to replace the tyres on my wife’s Renault Clio, and that took a not insubstantial R2 000 chunk out of our bank account. And my car’s much more expensive tyres are worryingly teetering on the brink of replacement too … Yet it’s alarming to witness how many people are driving around oblivious to the fact that one or more of their car’s tyres are not just marginally below pressure, but nearly flat! We know all too well that people seem disturbingly dismissive of the dire safety implications. But it boggles the mind that they’re equally unconcerned about the hole that’s being burned in their pockets as the available life span of the tyre evaporates in a haze of heat, rim-pounding flex and flailing rubber.
visited. It seemed locked in the dark ages, with a noisy, somewhat grimy reception area and cars constantly nudging past. This certainly didn’t compare favourably to the refined serenity of a glass-divided carpeted
Come on – it doesn’t take an engineering degree to spot a tyre that’s
lounge with complementary coffee and cold water on tap, matched to a
running low, and we need to get people into the habit of taking a cursory
broad selection of crisp newspaper and magazine titles to peruse.
glance every time they walk towards their car. Next stop, regular pressure checks.
Not surprisingly, we handed over the keys, left our details and abandoned the scene hoping for the best. Call one arrived well under an hour later to
Back to the grudge purchase. I did lots of shopping around for the Clio’s
clarify the model year, the tyres were already done and wheel alignment
new tyres, and found discrepancies of as much as R100 per tyre for exactly
was in progress. We hadn’t even had time to have a coffee and call two
the same item. All good as I saved over R600 with wheel alignment and
notified us that the car was ready.
balancing factored in.
It was a case of promises delivered, and more. The tyre replacement and
On that topic, it was surprising to find that some multi-branded franchises
wheel alignment were executed perfectly, the invoice explained in detail
charge nearly double the price for alignment and nail you per wheel for
and, fortunately, there were no unbudgeted add-ons – considering that
balancing, where ‘my’ shop offered free balancing in the cheaper purchase
we’ve often landed up paying hundreds more for the bewildering array of
price and a much more reasonable alignment fee.
‘added value’ extras currently on offer.
I thought I had done a fantastic job, but my wife was less than enamoured
To sum it all up we left pleasantly surprised, and I felt somewhat vindicated
with my choice of tyre outlet, located way off her beaten track, down down
that my downtown choice was anything but down in the dumps.
downtown …
It proved that the concept of customer service and many years of retail
Admittedly, despite being a manufacturer-approved fitment centre, it lacked
experience go well beyond a fancy façade or a lavish lounge – and that our
the flash and sophistication of the modern suburban retailer we traditionally
hard-earned extra R600 would have done little more than fund the latter …
Colin Mileman is a freelance motoring journalist,
cars and bikes as they come, and has extensive knowledge
photographer and advanced driving specialist with over
of all motoring-related matters, including the topic of tyres,
13 years of experience in this field. As a former editor of
having run the annual and highly regarded Topcar tyre tests
Topcar and Topbike magazines, he’s as enthusiastic about
for several years.
World News
•
49
50
•
World News
CONTI GIVES EMPLOYEES A CASH ‘THANK YOU’ As a means of thanks for their contribution to the company’s recovery from the recession, Continental AG’s 146 000 employees worldwide will receive a one-off payment.
PIRELLI CONFIRMED AS EXCLUSIVE F1 SUPPLIER FROM 2011
Executive Board member responsible for human resources, Heinz-
Italian tyre firm Pirelli, will supply all the Formula One teams from 2011-
crises last year, our employees throughout the world demonstrated their
2013 with six types of tyres: four for dry weather, one for rain and one
commitment, working hard to contribute substantially to Continental’s
Gerhard Wente, announced that a total of 45 million euros has been set aside for this purpose. “After the serious economic and financial
speedier-than-expected recovery,” he said. “In recognition of this
intermediate tyre. Pirelli, which has supplied tyres exclusively for the GP3 championship this year, will also supply the GP2 championship from 2011, thereby becoming the sole provider of tyres for the most prestigious single-seater championships in global motorsport. The FIA (Federation Internationale de l’Automobile), the Teams, represented by FOTA (the Formula One Teams Association) and Formula One’s organising body, represented by FOM (Formula One Management) have chosen Pirelli as their exclusive supplier, based on the specific proposals from the Italian company to guarantee technical and operational stability to the competitors. Pirelli’s return to Formula One also has a firm eye on the future, as in full collaboration with all the teams, research into new tyre developments is a
commitment, the Executive Board decided on the one-off payment for the spring of 2011, even though the company is still facing several major challenges.” Exactly how much an employee will receive depends on where he or she lives, however. While Continental’s 45 000 workers in Germany will receive 400 euros, those employed in lands with ‘lower living costs’ will receive only 200 euros.
(www.tyrepress.com)
HANKOOK ANNOUNCES SIXTH GLOBAL MANUFACTURING PLANT IN CHINA Hankook has announced that it will build its sixth global manufacturing
vital part of this exciting programme.
plant in Liang Jiang Xin Qu in the Chongqing Municipal of China, investing
Pirelli is planning to make important investments in corporate
US$954 million in the project, which will cover approximately 53
communications, in order to make the most of the high profile and
000sqm. It will break ground in the first quarter of 2011 and is expected
cutting-edge technology that go hand in hand with supplying Formula
to be completed by the end of 2015. Upon completion, the plant will
One, using resources and budget that has already been set aside for this
produce a total number of 11.5 million passenger car and truck and
purpose.
bus tyres, generating sales of US$1 billion annually, according to the
Consequently, Formula One will become a vital calling card for the Pirelli
company. It will also create about 4 600 new jobs in the region.
brand, helping its commercial and industrial expansion without disrupting the company’s long-term financial strategy. The global visibility guaranteed through extensive media interest in F1, together with dynamic plans to leverage Pirelli’s involvement in an activity central to the company’s core business, represents a unique opportunity for the brand to maximise its return on investment.
(Pirelli Tyres, Milan)
The newest plant, Hankook’s third in China, is expected to solidify its current global position particularly in the Chinese market, boosting its production scale to become the world’s fifth largest tyre company within a few years, the Korean manufacturer stated. The agreement indicates the company’s ongoing growth strategy to establish a solid production platform, a company statement said.
(www.tyrepress.com)
GOODYEAR AND NASA HONOURED FOR INNOVATIVE ‘SPRING’ TYRE The National Aeronautics and Space Administration (NASA) has
tyre (which Goodyear also contributed to) that was previously used on
applauded the Goodyear Tyre & Rubber Company for developing
the Apollo Lunar module, so as to allow for broader exploration and the
the airless tyre, capable of transporting large, long-range vehicles
eventual development and maintenance of planetary outposts.
across the surface of celestial bodies.
The Spring Tyre was installed last year on NASA’s Lunar Electric Rover test
The tyre, developed last year, is constructed out of 800 load bearing springs and is designed to carry much more than the wire mesh
vehicle and put through its paces at the Space Center in Houston where it performed successfully.
(Goodyear Tyre & Rubber Holdings)
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52
•
Competition / Subscription
Congratulations!
to our previous competition winner
Tayob Hameville of Brucedondas, Cape Town whose correct answer wins him a set of tyres or wheels to the value of R5000 from Autoquip.
quarterly competition QUESTION: Name the photographer responsible for the 2011 Pirelli Calendar? ANSWER: ������������������������������������������������������������������������������������ Name: ����������������������������������������������������������������������������������������� Company: ������������������������������������������������������������������������������������
Click www.sa onto treads. to ente co.za r!
Win…
… a 2011 Pirelli Calendar!
Address: �������������������������������������������������������������������������������������� ��������������������������������������������������������������������������������������������������
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