Low profile tires have lower aspect ratios, generally less than 50 and shorter sidewalls as compared to standard tires. Low profile tires have larger treads and are stiff and are made from advanced rubber compounds and additives.
Increase in demand for enhanced ride handling, superior traction, and rapid response while driving is boosting the low profile tire market. Demand for powerful and sports or performance vehicles, such as SUVs, is rising owing to an increase in young buyers of vehicles. Increase in sales of SUVs and performance sedans is driving the low profile tire market. Low profile tires have low rolling resistance and hence, offer superior fuel economy. Regulatory boards such as the European Union have started labelling tires according to fuel economy, grip, noise, and emission. Enactment of similar mandates globally is projected to fuel the adoption of low profile tires. Rise in concern about vehicle safety and technologies such as ‘Run-Flat’ technology is boosting the demand for low profile tires. These tires contain lesser amount of rubber and thus, enables the use of a larger-sized wheel. Rise in demand for larger wheels, in order to enhance esthetic appearance, is expected to drive the demand for low profile tires.
Low profile tires are expensive, generate more noise, and undergo more wear due to wider contact area. Therefore, several consumers prefer cost-effective standard tires, which in turn is restraining the low profile tire market
The global low profile tire market can be segmented based on rim size, vehicle, sales channel, and region. Based on rim size, the low profile tire market can be segregated into 13 inch-15 inch, 16 inch-20 inch, and above 21 inch. The 16 inch-20 inch segment accounts for a notable share of the low profile tire market owing to high sales of vehicles that have rim sizes between 16 to 20 inches.
Based on vehicle type, the global low profile tire market can be classified into passenger vehicle, light commercial vehicle, and heavy commercial vehicle. Low profile tires are highly preferred for passenger vehicles in order to enhance driving comfort and hence, the passenger vehicle segment held a notable share of the market. Tire manufacturers such as Continental AG have developed low profile tires for light & heavy duty applications with higher load carrying capacity. Penetration of low profile tires is considerably low in light & heavy commercial vehicles; however, it is expected to rise considerably during the forecast period owing to advancements in rubber technology.
In terms of sales channel, the global low profile tire market can be segregated into OEM and aftermarket. Low profile tires are usually OE fitted by automakers and currently, the OEM segment holds a higher share of the market. The aftermarket segment is projected to expand significantly as several consumers prefer to use the OE similar low profile fitment in the aftermarket. Several enthusiasts with standard tire fitment in OE are opting for low profile tires in the aftermarket for enhanced ride handling, which in turn is boosting the aftermarket segment.
Based on region, the global high performance tire market can be segregated into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. Europe and North America accounted for a major share of the global low profile tire market, owing to consumer affordability and high sales of premium vehicles in these regions.
Key players operating in the global low profile tire market are Bridgestone Corporation, Continental AG, Goodyear Tire & Rubber Company, Michelin, Pirelli & C.S.p.A., Sumitomo Rubber Industries, Ltd., Yokohoma Rubber Co. Ltd., and Cooper Tire & Rubber Company.
This study by TMR is all-encompassing framework of the dynamics of the market. It mainly comprises critical assessment of consumers' or customers' journeys, current and emerging avenues, and strategic framework to enable CXOs take effective decisions.
Our key underpinning is the 4-Quadrant Framework EIRS that offers detailed visualization of four elements:
- Customer Experience Maps
- Insights and Tools based on data-driven research
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- Strategic Frameworks to boost the growth journey
The study strives to evaluate the current and future growth prospects, untapped avenues, factors shaping their revenue potential, and demand and consumption patterns in the global market by breaking it into region-wise assessment.
The following regional segments are covered comprehensively:
- North America
- Asia Pacific
- Latin America
- The Middle East and Africa
The EIRS quadrant framework in the report sums up our wide spectrum of data-driven research and advisory for CXOs to help them make better decisions for their businesses and stay as leaders.
Below is a snapshot of these quadrants.
1. Customer Experience Map
The study offers an in-depth assessment of various customers’ journeys pertinent to the market and its segments. It offers various customer impressions about the products and service use. The analysis takes a closer look at their pain points and fears across various customer touchpoints. The consultation and business intelligence solutions will help interested stakeholders, including CXOs, define customer experience maps tailored to their needs. This will help them aim at boosting customer engagement with their brands.
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The various insights in the study are based on elaborate cycles of primary and secondary research the analysts engage with during the course of research. The analysts and expert advisors at TMR adopt industry-wide, quantitative customer insights tools and market projection methodologies to arrive at results, which makes them reliable. The study not just offers estimations and projections, but also an uncluttered evaluation of these figures on the market dynamics. These insights merge data-driven research framework with qualitative consultations for business owners, CXOs, policy makers, and investors. The insights will also help their customers overcome their fears.
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The findings presented in this study by TMR are an indispensable guide for meeting all business priorities, including mission-critical ones. The results when implemented have shown tangible benefits to business stakeholders and industry entities to boost their performance. The results are tailored to fit the individual strategic framework. The study also illustrates some of the recent case studies on solving various problems by companies they faced in their consolidation journey.
4. Strategic Frameworks
The study equips businesses and anyone interested in the market to frame broad strategic frameworks. This has become more important than ever, given the current uncertainty due to COVID-19. The study deliberates on consultations to overcome various such past disruptions and foresees new ones to boost the preparedness. The frameworks help businesses plan their strategic alignments for recovery from such disruptive trends. Further, analysts at TMR helps you break down the complex scenario and bring resiliency in uncertain times.
The report sheds light on various aspects and answers pertinent questions on the market. Some of the important ones are:
1. What can be the best investment choices for venturing into new product and service lines?
2. What value propositions should businesses aim at while making new research and development funding?
3. Which regulations will be most helpful for stakeholders to boost their supply chain network?
4. Which regions might see the demand maturing in certain segments in near future?
5. What are the some of the best cost optimization strategies with vendors that some well-entrenched players have gained success with?
6. Which are the key perspectives that the C-suite are leveraging to move businesses to new growth trajectory?
7. Which government regulations might challenge the status of key regional markets?
8. How will the emerging political and economic scenario affect opportunities in key growth areas?
9. What are some of the value-grab opportunities in various segments?
10. What will be the barrier to entry for new players in the market?
Note: Although care has been taken to maintain the highest levels of accuracy in TMR’s reports, recent market/vendor-specific changes may take time to reflect in the analysis.