How The Increased Demand For Alloy Wheel Is Affecting The Manufacturers.

You would not imagine that places like a machine shop and a metal foundry would be affected by fashion trends but that is exactly what is happening too many of the alloy manufacturers today. The fairly recent boom in alloy wheel sales, no longer the domain of prestige car owners or the motor sport racers has meant a change in the way the wheel manufacturers have to go about their business. In some respects this is good news for the manufacturers as the increase in turnover and profits will show in the company accounts, but on the other hand the manufacturers now have to be more and more innovative with their designs and also trying to keep production costs down so that the company profits.

While the desire to have alloy wheels for the average car on the street has led to a big boom in sales and profits for the alloy wheel manufacturers, their marketing departments have to be constantly thinking one step ahead of the competition if they want to be a market leader, rather than a follower of fashion. They have to constantly keep abreast of the consumer’s tastes and try to come up with awe inspiring new designs, which the customers will want to buy for their cars. Once the designs have been approved as a part of the companies range, the manufacturing plants need to be highly flexible, and able to implement the new designs quickly and efficiently, or they risk lagging behind the competition in a highly competitive and constantly changing market.

A prime example of the competition between the manufactures is the Kei Racing and the Kato racing ranges released this year, although both ranges are from the same manufacturer the competition between both ranges is evident. Both have produced an attractive range of alloy wheels at competitive prices and are pushing the boundaries visually and in performance. However this alone isn’t enough to succeed in a harsh and competitive market.

Alloy manufacturers have realised that to be competitive in today’s market, the alloys they produce must be

A) Better than other competitors in price, desirability and performance

 B) Better than the standard factory fit alloy (or steel) wheel supplied with the vehicle

C) Wheel Ranges MUST be advertised and promoted in a manner different to others ranges. The advertising must be unique and attractive to the target audience (this is obviously expensive)

This competition is driving up the quality, performance and value for money of alloy wheels and this is obviously good for the end consumer as competition within the manufacturers community brings down the prices for retailers and ultimately reduces the price of alloy wheels for the customers, this being the main reason why many more people are purchasing new alloys now more that ever before, lets face it you can now buy alloys with tyres for approximately the same price as purchasing new tyres for standard wheels. THIS can only be positive for the consumer in the long run, but what effect will it have on the manufacturers?