Expansion leaving scorch marks for Blackcircles

ONLINE tyre retailer Blackcircles.com has rolled out plans to expand its network of high street garages from 1,200 to 1,600 on the back of a 40 per cent rise in sales.

The Peebles-based company, which sells tyres online and arranges to have them fitted at local garages, also expects to have a Blackcircles branded network of franchises in major UK cities by mid-2010.

Michael Welch, founder and managing director, credits the boost in sales to people searching for bargains online.

"We are taking market share," he said. "Some main dealers and some fast fit brands you go into for your tyres are haemorrhaging business."

A former tyre fitter, Welch, 31, launched the business in 2000.

"When I was working at Kwik-Fit, the Yellow Pages was the place people went for information about products and services, but now Google is the new directory, and we are well placed to take advantage of that with our price position," Welch said.

Welch has hired Alan Littlewood, a former after-sales director at dealership group Pendragon and one of a number of new executives at the Scots business.

"You haven't just got Mike Welch coming up with projects that are going to get half delivered – we have got a team of real professionals that can see them through all the way", said the Blackcircles managing director.

Earlier this year, the firm signed a deal with RAC to provide services to the motoring organisation's seven million members. "We are RAC tyres," said Welch. "That brings with it a lot of credibility."

Welch said the group had two further deals in the pipeline that "could be bigger".

Blackcircles said it was on course for turnover of 17 million in the current year.