American Tire Distributors - Company of the Year

Company: American Tire Distributors, Huntersville, NC
Company Description: American Tire Distributors is one of the largest independent suppliers of tires to the replacement tire market. It operates more than 140 distribution centers, serving approximately 80,000 customers across the U.S. and Canada. The company offers an unsurpassed breadth and depth of inventory, frequent delivery and value-added services to tire and automotive service customers.
Nomination Category: Company / Organization Categories
Nomination Sub Category: Company of the Year - Transportation - Large

Nomination Title: American Tire Distributors: Driven to Performance

Since being founded as a single tire store in North Carolina in 1935, American Tire Distributors (ATD) has grown to become a $4.9 billion company and one of the largest independent tire distributors in the world.

Over the past five years, ATD has been on a journey of transformation to bring digital, data and technology solutions to the marketplace. Through these solutions, ATD has helped each of its customers, not only compete, but plan for the future of service that end consumers will seek. This journey has established ATD as the most connected and insightful automotive solutions provider in the industry with a mission to support customer and manufacturer growth in every decision made.

In 2019, ATD began undergoing rapid digitization in its sales and supply chain, keeping the company on the forefront of cutting-edge technology and innovation. The results include new customer tools and a consultative salesforce that’s helped ATD create best-in-class partnerships to evolve the replacement tire industry today and into the future.

New Solutions

2019

-ATD released the Profit Optimizer tool, enabling sellers to determine which brands drive the overall profitability for customers. The tool has serviced more than 3,500 customers and generated more than $400 million in revenue.

-ATD debuted a cutting-edge platform, Traction, to customers, setting a new standard for delivery tracking and notifications. Traction was introduced to 130 distribution centers and more than 1,400 drivers.

-ATD piloted electric delivery trucks in California, becoming the first tire distributor to pilot electric vehicles. ATD also launched a companywide Eco Drive Challenge, improving its fleet’s fuel efficiency by 7%.

2020

-ATD launched TireSeller, its eCommerce solution, enabling customers to conduct online transactions through their websites. In nine months, more than 350 accounts were created with over 2,000 units sold.

Expansion & Growth

-ATD sellers have become the most knowledgeable and insightful salesforce with our customized learning platform, Spark, keeping peak knowledge levels and retention high, and creating capacity to learn new topics. This knowledge has contributed to 25% of program sales.

-ATD onboarded two new manufacturers and expanded three brands companywide since 2019, marking the first time a manufacturer joined the company since 2015.

-In July 2019, ATD introduced Third Party Logistics services to manufacturers, leveraging its extensive distribution center network and best-in-class Last Mile Delivery program.

-In March 2021, ATD merged its online tire retailer, Tirebuyer, with Tirescanner, creating an enhancedTirebuyer.comwith a new, innovative business model centered on delivering unrivalled service to tire buyers.

Since 2019, ATD has led transformation in a rapidly evolving automotive aftermarket industry, characterized by smarter cars, higher demand for eCommerce and a more seamless consumer experience. At the forefront, is ATD’s salesforce which has taken a more consultative role that’s allowed for strategic discussions with customers and manufacturers. As sellers have become more knowledgeable through the Spark learning platform, it’s also allowed ATD to harness new digital solutions with the organization able to train and scale in a more effective and agile manner.

These digital solutions have helped ATD better serve its customers. Traction automated delivery tracking, payments and invoices, and while U.S. eCommerce sales increased last year, ATD launched its eCommerce solution, TireSeller, providing customers a way to generate more sales. More recently, the merge between Tirebuyer and Tirescanner, reiterated ATD’s position at the forefront of a market shift to more digital and service-focused business models.

But growth hasn’t stopped there. It’s allowed ATD to play a role as a true industry connector. Through Third Party Logistics services and new manufacturers onboarded, ATD has driven its vision to position its customers for success while differentiating its supply chain to better support manufacturers.

The ability to bring all of this together through technology, data and analytics and an insightful salesforce has spurred ATD forward. In the past two years, the company has experienced 2% year-over-year growth as it has reinvigorated an industry, proving agility and innovation lead the way now and in the future.