Tyresales.com.au Closes Down After Struggling to Stay Profitable
Car Group, the parent company of Carsales, is exiting its Australian tyre business after failing to achieve sustainable profitability in the competitive tyre retail and wholesale market. The move follows a strategic review and reflects ongoing financial challenges in the sector.
As part of the decision, Car Group has agreed to sell certain assets of its wholesale division, Tyreconnect, to a unknown third party, with the transaction expected to close by the end of February 2025. Meanwhile, the e-commerce platform Tyresales.com.au will shut down on 14 January 2025.
Industry figures have reacted to the news with surprise. Matt Banks, Director of Auto Hero, said he was shocked by the closure but noted that it might bring some balance back to brick-and-mortar tyre retailers, who had long viewed Tyresales as an aggressive price discounter that caused market disruptions.
Founded in the 1990s, Car Group owns several digital marketplace businesses, including Carsales in Australia, South Korea’s Encar, the US-based Trader Interactive, and Chile’s Chileauto. It also holds a majority stake in Brazil’s Webmotors.
More to come..
Written By
Matt Banks
Matt is the founder of Autohero.com.au and has been hooked on cars ever since childhood.
A veteran in automotive since leaving school, Matt has completed his trade as a panel beater and is across all things with wheels.
His first car was a 1967 FORD XR Wagon followed by a string of collectable Holden’s.
Have a question for Matt? leave a comment below.