Shares of Monro (MNRO) and other tire and auto parts retailers are sliding after Sears Auto Centers (SHLD) announced that it is working with Amazon (AMZN) to provide full-service tire installation and balancing for customers who purchase tires through the online retailer. Late last year, Monro had disclosed that the company was in talks with the e-commerce giant for a service to install tires purchased on Amazon.com.

SEARS PARTNERSHIP WITH AMAZON: Sears Auto Centers announced that it is working with Amazon.com to provide full-service tire installation and balancing for customers who purchase any brand of tires on Amazon.com. The service will be rolling out to customers across the U.S. over the coming weeks. “With this collaboration, Sears Auto will become the first nationwide auto service center to offer Amazon.com customers the convenient Ship-to-Store tire solution integrated into the Amazon.com checkout process, which is easy and convenient.,” Sears stated. The new Ship-to-Store capability is initially available at 47 Sears Auto Centers in eight metropolitan areas and will “quickly expand” to Amazon.com customers through 400 plus Sears Auto Centers nationwide following the initial launch, Sears said. Also, Sears noted that this will become the first time that DieHard all-season passenger tires will be sold on Amazon.com.

MONRO TALKS WITH AMAZON: During the company’s earnings call back in October 2017, Monro disclosed it was in talks with Amazon for a service to install tires that are purchased through the online retailer. Monro CEO Brett Ponton said on the call, “We are in discussions with Amazon currently right now. I have a tendency to move a little bit slower and methodical in that discussion for two reasons. One, I want to make certain that we have the technology capability lined up to deliver a good experience as we move into test. We want a good experience for the consumer, number one, and also a good experience with Amazon, number two. So, we are in discussions with them. We’re in process of building our capability to make certain that this experience can be seamless, which is requiring a little behind-the-scenes work from a technology point of view to make that happen.”

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