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04.2014
APR. 2014 VOL. 40 NO. 4
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MAG/Tucker Rocky Merger
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OEM Update: BIG News From Triumph
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Rick Fairless’ Allstate Sweepstakes Bike
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Contents
Volume 40 Number 4 MotorcyclePowersportsNews.com
Apparel University
EDITORIAL
Merchandising to All Markets By Alisa Clickenger
Editor – Brendan Baker bbaker@babcox.com Cover photo provided by Joe Bonnello
Dealership Operations Spring is Here, Finally
Managing Editor – Greg Jones gjones@babcox.com
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All the News that Fits by Robin Hartfiel
February Confidence
Columnists & Contributors
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The Road Ahead by Brendan Baker
Shifting Gears
Editor-at-Large – Robin Hartfiel robinhartfiel@gmail.com
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NPA Pre-owned Monthly Recap by Jim Woodruff
Eric Anderson Steve Dodds II Steve Jones Mark Rodgers Margie Siegal Alisa Clickenger Jim Woodruff Heather Blessington Cyclepedia Press ART
BIG News From Triumph
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OEMs by Robin Hartfiel
Don’t Read This!
Graphic Designer – Kelly Gifford kgifford@babcox.com
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Confessions of a Customer by Eric Anderson
Powersports Profile
26
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Official Publisher of the AIMExpo Show Daily and Show Directory
By Babcox Research Department
Dealer New Units in Stock
32
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Inventory Report by ADP Lightspeed
The Brothers Powersports
34
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Destination Dealership by Margie Siegal
February 2014 F&I Department Performance
36
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Best Operators Club by Steve Jones
Expert Advice: Five Ways to Boost Sales Expertise
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46
Peak Dealership Performance by Mark Rodgers
Do You Deliver on Your Online Promise?
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Web Savvy by Heather Blessington
April Product Focus Chains and Sprockets .......................................................... 38 Products that Get Riders in Gear
Evidence: An Objection’s Worst Enemy Finance & Insurance by Steve Dodds II
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Oils and Lubricants ............................................................... 42 The Lifeblood Products of Any Machine
MPN (ISSN 0164-8349) is published monthly by Babcox Media, Inc., 3550 Embassy Parkway, Akron, OH 44333 U.S.A. Phone (330) 670-1234, Fax (330) 670-0874. Periodical postage paid at Akron, OH 44333 and additional mailing offices. POSTMASTER: Send address changes to MPN, P.O. Box 13260, Akron, OH 44334-8660. A limited number of complimentary subscriptions are available to individuals who meet the qualification requirements. Call (330) 670-1234, Ext. 242, to speak to a subscription services representative. Paid Subscriptions are available for non-qualified subscribers at the following rates: U.S.: $69 for one year. (OH residents add 5.75% sales tax) Canada/Mexico: $89 for one year. Canadian rates include GST. Other foreign rates: $129 for one year. Payable in advance in U.S. funds. Mail payment to MPN - Circulation, P.O. Box 75692, Cleveland, OH 44101-4755.
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THE
Road AHEAD
By Brendan Baker
ADVERTISING SALES Publisher Greg Cira Associate Publisher Sean Donohue
gcira@babcox.com (330) 670-1234 ext. 203 sdonohue@babcox.com (330) 670-1234 ext. 206
Display Advertising Sales Roberto Almenar Tom Staab Bobbie Adams
Spring is Here, Finally!
Doug Basford David Benson Dean Martin
T
here’s something about spring when it finally arrives and you live in a climate where you haven’t seen your lawn in more than three months. And it’s more than in the air for a lot of powersports dealers, too. Being more of a kinesthetic-kind-ofguy rather than a rational-numbers-guy, you can feel spring in everything from the food you eat to the sports you watch and the parts and vehicles you stock up on. Subsequently, the numbers reveal a lot of reasons to be upbeat about spring as well. In this issue you will find the results from our second annual Powersports Industry Profile (see page 26). And while there are no huge breakthroughs for most dealers, there aren’t any major pitfalls either. A number of things strike me about this year’s study, and remember, I’m not a numbers guy: More shops have been able to convert larger average ticket items than in the previous year. To me, that says that more of you are doing things right and that the ratchet strap around your customers’ wallets is beginning to loosen again. It looks like you’re doing the little things to get the customers coming in the door. But it also looks like, and correct me if I’m wrong, many of you are also still having some sleepless nights worrying about business. You are worried about profitability and how you are going to
make it and keep it. You are worried that your once loyal customer is going to find some great deal on the Internet and leave you like a bad date: no call, no letter and no forwarding address. These are legitimate worries, but ones I suspect you will always have even when business is up significantly. It’s innate as a business owner or manager to worry. One of the things you aren’t too worried about, according to the survey is mass merchandisers or even other powersports dealers. I think that brick and mortar businesses are always worried that someone is undercutting you on the Internet, and they probably are. But what they can’t offer is that touchy-feely thing you do with your inviting showrooms and cool-to-the-touch goodies. I walk by a rack of helmets and I want to try them all on. Some people collect shoes, I like helmets and gloves. Finally, the big winner of the Kindle Fire HDX was Charles Smith, owner of Smith Marine, LLC in New Britain, Pa. Charles says that business has been up this year with all of his product lines. The snow had a lot to do with it we suspect as he sells quite a few Ski-Doo snowmobiles along with other BRP products. Smith Marine has been in business since 1947. Very impressive! Congrats to Charles! t
Jim Merle Glenn Warner John Zick Don Hemming
ralmenar@babcox.com (330) 670-1234, ext. 233 tstaab@babcox.com (330) 670-1234, ext. 224 badams@babcox.com (330) 670-1234, ext. 238 dbasford@babcox.com (330) 670-1234, ext. 255 dbenson@babcox.com (330) 670-1234, ext. 210 dmartin@babcox.com (330) 670-1234, ext. 225 jmerle@babcox.com (330) 670-1234, ext. 280 gwarner@babcox.com (330) 670-1234, ext. 212 jzick@babcox.com (805) 845-1400 dhemming@babcox.com (330) 670-1234, ext. 286
ADVERTISING SERVICES Advertising Services Valli Pantuso
vpantuso@babcox.com (330) 670-1234 ext. 223
CIRCULATION SERVICES Circulation Manager Pat Robinson Circulation Specialist Star Mackey
probinson@babcox.com (330) 670-1234, ext. 276 smackey@babcox.com (330) 670-1234, ext. 242 Official Publisher of the AIMExpo Show Daily and Show Directory
For show publications advertising information call Sean at 330-670-1234 , ext. 206.
AFTERMARKET MEDIA NETWORK Babcox Media Headquarters 3550 Embassy Parkway, Akron, OH 44333 (330) 670-1234 Fax (330) 670-0874 Babcox Media California 735 State St, Suite 409, Santa Barbara, CA 93101 (805) 845-1400 Fax (805) 324-6015 CORPORATE
Brendan Baker, Editor
Bill Babcox, President Greg Cira, Vice President, Chief Financial Officer Jeff Stankard, Vice President Beth Scheetz, Controller Copyright 2014, Babcox Media, Inc.
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Inside the Industry Riding Side By Side: Tucker Rocky / Biker’s Choice Merges With Motorsport Aftermarket Group
of the companies and similar cultures,” Etter says. “Developed together, we thought we could create a stronger company than we would individually.” Both businesses share a common entrepreneurial culture that is very driven around the customer. Secondly, there is very little overlap and very little redundancy when you look at the two businesses side by side. MAG is a very strong brand group and Tucker Rocky
dealers may be nervous about what this merger could potentially mean, both companies plan to remain focused on the overall growth of the powersports On March 27, Tucker Rocky / Biker’s industry. Choice announced it had agreed to “Tucker Rocky and Biker’s Choice will merge with Motorsport Aftermarket continue to demonstrate fairness and Group (MAG). LDI Ltd., LLC, the sole transparency to our customer and shareholder of Tucker Rocky / Biker’s supplier partners and continue to Choice, will become the majority promote an environment of customer shareholder of the combined company and vendor confidentiality,” Courtney when the deal closes in the says. “Our goal will continue second quarter of 2014. to be to achieve long-term Leonard Green & Partners, sustainable growth for the L.P., the current majority industry and us. The average shareholder of MAG, will dealer in that respect should retain a significant minority expect a continued level of interest in the combined service to help promote their company. growth. J.A. Lacy, president and “We are committed to CEO of LDI, will become making the brick-and-mortar CEO of the combined customer population viable. company, which will operate We need their success. So under the Motorsport they shouldn’t see a change Aftermarket Group name. in that respect, other than, Brian Etter will continue in his over time, we should be Brian Etter Dan Courtney role as president of MAG’s stronger to provide more branded product, media and services to them, and that is online retail operations, while Dan has a very strong sales organization and the intent.“ Courtney will continue as president of logistics platform. This merger is an example of both parties Tucker Rocky / Biker’s Choice. MPN “From the brand side, we have long being enthusiast-driven companies, and it is spoke with Etter and Courtney about the wanted a dedicated sales organization an indicator of a mutual optimistic view of merger, their expectations and what it and the ability, logistically, to get product the industry and an investment in the means for dealers and the industry. to dealers on a timely basis,” Etter says. industry to be better. Although the merger was announced “We’ve had good distributor “These businesses have been around on Thursday, March 27 and two partnerships, but we now believe that for quite some time and they will still go companies were right back to work on this is the missing piece to the puzzle to to market much the way they do today,” the following Monday, the process of have an in-house sales organization.” concludes Etter. “It’s important to keep in merging Tucker Rocky and MAG wasn’t a For Tucker Rocky, the merger perspective that by far the largest hasty decision or entered into lightly. provides access to MAG’s brands, which percentage of aftermarket sales are “We have been customers and suppliers will strengthen Tucker’s product portfolio driven at the local dealership level. We of each other for a lot of years and have and improve the dealer experience, expect that to continue and we fully had discussions around the similar visions according to Courtney. While some support that.” t
RE: BACKFIRE: MAG/TR Merger Wow… wonder if this means they will be hiring? Motorcycle Industry Jobs Via Facebook How quick will they start selling to the public? Martha Larimer Earl, NC Via Facebook
One of the all time bigest mistakes in our industry. I hate to write them off them as a supplier. Rick Chupp, Owner Cycle Outfitters Indianapolis, IN
sharing these brands with a formidable competitor. First rumors were that Drag dropped the brands but from what I have been able to gather, this is not the case. Dean Kelly Associate Publisher, Retired MPN Magazine
Is all a buzz with chatter about Vance & Hines, PM and RSD....it will be interesting to see how much Drag will feel about
Editor’s note: If there are industry issues that we should be addressing, please feel free to let us know at bbaker@babcox.com. t
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April is 'AMA Go Ride! Month' April 1 marked the beginning of the fourth annual "AMA Go Ride! Month." The 30-day celebration of all things motorcycling is sponsored by the American Motorcyclist Association and encourages motorcyclists nationwide to
celebrate the thrill of riding on the street, track and trail. Each week during AMA Go Ride! Month, the AMA will focus on a special motorcycling theme with press releases and frequent posts on Facebook and Twitter. Also, each Friday in April will be designated a Freedom Friday,
where the AMA will focus on an issue that threatens riding freedoms. Marshall Distributing to Supply Coldwave Apparel Through 2019 Marshall Distributing will continue to be the exclusive supplier of Coldwave snowmobile apparel in the United States. The 2014-15 line of snowmobile apparel is now being offered to dealers. “The current, new line of Coldwave is streamlined for 201415 to bring the brand back to the roots that made the Coldwave line so popular with snowmobilers across North America. As we take the Coldwave brand forward our focus will always be offering quality snowmobile apparel at reasonable prices,” said Chuck Herman National Sales Manager of Marshall Distributing.
The “Sno Storm” series will be a new line from Coldwave for the upcoming year with a soft, yet durable outer material. The Sno Storm product line is 100% water proof and breathable and comes with a removable hood in men’s, ladies, and youth sizes. The majority of the new offerings will all have retail pricing below $200, and nothing in the line will exceed $250 retail. “We look forward to extending our relationship with Marshall Distributing, the leader in the snow industry in the US,” said Dave Nicholas from Coldwave. “They have helped us grow the brand over the last 20 years to a leadership position within the market, and we expect them to take it to new heights.” The new 2014-15 Coldwave product line will be featured at the
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Inside theIndustry snow shows in late summer and through the fall months. REV'IT! and RawHyde Partnership Offers Riders Greater Adventure REV'IT! Sport USA has signed on as a partner in RawHyde Adventures’ "World of Adventure," an online portal serving the needs of the dedicated adventure rider. The partnership will help offer the best gear for two-wheeled passions. Working with the World of Adventure, REV’IT! will continue to deliver top-performing gear into the hands of riders who demand it the most. The World of Adventure was launched by RawHyde Adventures to help serious adventure riders find local, like-minded riding communities and connect with the brands best equipped to serve their needs. Through the site, riders will find access to tours, rallies, products and other information. Harley-Davidson and Edelweiss Team Up For HarleyDavidson Authorized Tours In an exciting new partnership, Harley-Davidson is teaming up with Edelweiss Bike Travel as part of its Harley-Davidson Authorized Tours program to offer riders a brand-new selection of premium riding tours across Europe and Africa. “We are thrilled to be working with Edelweiss, whose experience in motorcycle touring makes this a natural fit for Harley-Davidson. Only the best and most experienced tour operators manage the HarleyDavidson Authorized Tours service, so it's great to have Edelweiss on board. They understand the Harley-Davidson Authorized Tours experience and share the passion of our riders,” said Trevor Barton, Harley-Davidson Authorized Tours Manager. Edelweiss Bike Travel has more than 30 years of expertise in worldwide motorcycle touring and has created a range of once-in-alifetime touring rides for both new and experienced riders. The new Harley-Davidson Authorized Tours provided by the Edelweiss team include a breath-taking ride through the beauty of the Bavarian Forest and ancient Habsburg Empire, a spectacular journey through the rugged scenery of Scotland and an unforgettable adventure through the stunning landscape of Morocco on the African continent. “We are extremely excited to be working with such an iconic 8 April 2014 | Motorcycle & Powersports News
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Inside the Industry offers access to some of the most incredible locations of the world and takes riders on epic journeys along some of the best roads for HarleyDavidson motorcycles. Participants can book tours as an individual or as a group, and can select from five different tour types, available across five worldwide motorcycle brand in HarleyDavidson. We take great pride in providing the world with the finest choices in motorcycle touring so we look forward to welcoming HarleyDavidson enthusiasts on a number of unforgettable tours in years to come,” said Rainer Buck, CEO of Edelweiss Bike Travel. Harley-Davidson Authorized Tours operates more than 200 tours globally each year. The program
regions. Total Parts Distributors Inc. Becomes Sole Distributor of MTECH Motorcycle Apparel in U.S. Headed by lifelong motorcycle rider and enthusiast Jose Iglesias, Total Parts Distributors has a long history of distribution throughout the Americas. Originating in Spain with offices now in Miami, the company maintains a broad vision of the
motorcycle industry on several continents. “We are very excited to provide such high quality motorcycle apparel for touring and adventure riding consumers,” said Iglesias. “MTECH already has a strong foothold in the European market. They have a reputation for making a high quality product that appeals to discerning riders.” MTECH has decades of experience providing protective clothing and gear for the motorcycle and automotive industries. With a strong foundation in motorcycle race wear, the company has now turned their attention to developing everyday riding apparel. Combining state-ofthe-art technologies with appealing designs, they have developed street and adventure apparel lines for men and women. “MTECH has brought the focus
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Inside the Industry back to quality instead of branding, and we believe that their products will be very successful in the United States,” said Iglesias. Polaris Enhances Offerings Through Acquisition of Kolpin Outdoors, Inc. Polaris Industries Inc. has announced the acquisition of Kolpin Outdoors, Inc., a privately held, Wisconsin-based company that develops branded and private label powersports accessories. Committed to innovation and growth, Kolpin is a leading aftermarket accessory brand delivering purpose-built and universal-fit Off-Road Vehicles (ORV) accessories and outdoor lifestyle products. This acquisition adds Kolpin to Polaris’ growing parts, garments and accessories (PG&A) business. The terms of the transaction were not disclosed. “Acquiring Kolpin Outdoors, Inc. creates a multitude of growth opportunities for our PG&A business, which is a key contributor to Polaris’ top-line growth and profitability,” said Steve Eastman, Polaris’ vice president of PG&A. “Kolpin is a trusted brand among ORV riders, hunters, outdoorsmen, and landowners who value the quality and reliability Kolpin builds into their powersports accessories. Their lineup of exceptional products and deep consumer and retail relationships will help Polaris expand our aftermarket accessories portfolio and enhance our traditional and online distribution channels. ” Kolpin products will continue to be sold under the Kolpin and Cycle Country brands, with customized private label products available through its Premier O.E.M. business. Polaris will further develop Kolpin’s established brand by applying its product innovation and engineering acumen to Kolpin’s operations, and leveraging its existing dealer and consumer relationships to extend the brand’s
exposure. “It gives all of us at Kolpin great pride to become part of the Polaris family. Although different in size, we share many of the same values; small town roots, quality products, life-style brand focus and a rich heritage in product innovation,” said Tom Lutes, president and CEO of Kolpin. “I am confident the combination of Polaris and Kolpin will further enhance the value of our brand to both our consumers and distribution partners alike.” Since 1943, Kolpin has had a rich history of providing customers with a wide array of hunting products, accessories and innovative aftermarket solutions. Kolpin has an intimate knowledge of the outdoor lifestyle market that closely complements Polaris’ core powersports business. EBR Motorcycles Will Return for 2014 AIMExpo The American International Motorcycle Expo (AIMExpo) has announced that American motorcycle manufacturer Erik Buell Racing (EBR) will return to the 2014 show this October 16-19 in Orlando, Fla. EBR was a founding OEM exhibitor at the inaugural
AIMExpo last October. EBR took advantage of the exclusive all-in-one platform offered at AIMExpo and received stellar response from dealers, members of the industry, media and consumers. The East Troy, Wis., company has made a name for itself as a result of the innovative American craftsmanship of its motorcycles, including the 1190 RX that was
10 April 2014 | Motorcycle & Powersports News
globally debuted at AIMExpo last year. With the opportunity to connect to its current dealer body, expand its dealer network and introduce new models, EBR eagerly awaits the opportunity to build on its success from the inaugural AIMExpo. “We are returning to AIMExpo in 2014 because the inaugural event last year was a great success for us,” said Gary Pietruszewski, Vice President of global sales at Erik Buell Racing. “It’s an opportunity for us to spend quality time with dealers, the media and motorcycle enthusiasts. The timing is perfect, too, since it coincides with new model introductions and is late enough in the season that dealers and their staff can more easily attend.” EBR plans on expanding its presence at AIMExpo in 2014 by offering demo rides. Additionally, several of EBR’s professional race team riders will be in attendance to meet with dealers, media and consumers. “The opportunity to welcome EBR back as one of our founding OEM exhibitors is significant for AIMExpo,” said Larry Little, Vice President & General Manager, Marketplace Events Motorcycle Group. “The brand has boldly paved its own path in the powersports marketplace thanks to the craftsmanship and fine detail of its motorcycles, and we are happy to showcase their cutting edge products. We look forward to EBR’s return and can’t wait to see what they’ll come up with next.” With over 275 exhibitors already committed to AIMExpo in 2014, the event continues to cement its place within the powersports marketplace. Companies looking to take advantage of the AIMExpo platform should contact an AIMExpo Account Manager toll free at 855MCShows (855-627-4697) or visit AIMExpoUSA.com. t
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By Robin Hartfiel
SHIFTING GEARS Printing All The News That Fits
I
n case you missed the slick news at MPN online, Motul USA has a new director of sales and marketing. Longtime aftermarket industry guy Ron Aparicio says, “It is an honor to be associated with the Motul brand, which is known throughout the world for its development of lubricants and related products for both automotive and motorcycle applications. I look forward to further expanding the Motul brand in North America.” Motul USA president Dave Wolman adds, “We are excited in welcoming Ron to our organization. His proven leadership in sales and his deep involvement in the industry will help guide us with our expansion in the USA.” •••• Also announced via MPN online, but certainly worth repeating is the fact that Sullivans Inc. has a new national sales manager. Already a top salesman for Sullivans and a lifelong motorcycle fanatic, Brandon McDowell is now managing Sullivans’ team of sales associates. “We anticipate that his professionalism and extensive sales experience will be an invaluable asset to the company, ensuring continued growth and the augmentation of our brand’s impact in the marketplace,” says Sullivans VP Derrick Welch. “Sullivans and its core dealer products, led by Joe Rocket and HJC, have withstood the industry’s downturn,” says McDowell. “I look forward to working with the team in furthering our efforts at being the dealers’ go-to source for their helmets, jackets, gloves and beyond.” Dealer is the operative term: McDowell is tasked with refining communications from dealer to upper management. The goal is to amplify the already strong sell-through of Sullivans’ brands on the retail floor. •••• Heads up! Schuberth North America has hired Acorn Woods for PR and social media support, but is still looking for a couple positions, including a national sales manager (based in California) and a special events/van driver. “We are excited to work with Acorn Woods
Communications,” said Schuberth N.A. VP Randy Northrup. “They are skilled marketing professionals as well as enthusiasts who get it. Their work with other companies with similar goals makes collaboration and promoting the Schuberth brand easy.” Acorn Woods owner Ron Benfield adds, “We are looking forward to working with the Schuberth team to secure a top-tier position for this premium brand in the U.S. and Canadian marketplace. As enthusiasts, we look forward to bringing the Schuberth helmet experience to the world.” •••• Bike Week in Daytona marked the move of road racer and road warrior Bryan Desimone from Küryakyn’s consumer marketing manager up to rally operations manager. Dealers can find him overseeing Küryakyn’s big rigs at rallies across the country this season. In his spare time, he will be contesting the Vance & Hines XR1200 road racing series. Desimone actually started his career in the trenches at a local dealership. He served as parts manager and sales associate at Destiny Motorsports where he doubled unit sales from the previous year in 2006 (and grew another 20% in 2007), so he can walk the walk as well as talk the talk. •••• Steve Lawler is the new North American brand manager for Husqvarna. “We are heading into a landmark year for this historic brand, and Steve is going to be a big part of bringing Husky back to its premium status,” said VP Brad Hagi. Lawler is based out of the all-new facility in Murrieta, California (see last issue). “This is a once-in-alifetime opportunity,” Lawler said.
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“I think the sky is the limit to where we can go with Husqvarna, and I’m very excited to be a part of the team.” •••• Speaking of Husqvarna, the Swedishturned-Italian brand that is now made in Mattighofen, Austria, has a new international director of racing. Former motocross racer Robert Jonas is now Husqvarna’s head of motorsport. The Austrian National MX Champion in 1998 and 1999, he became a KTM 125cc factory rider in 2000 while also working as a KTM test rider. When an injury curtailed his racing career, Jonas joined KTM’s road racing department in 2005. “Appointing Robert as Husqvarna’s head of motorsport sends out a very clear message that Husqvarna is extremely serious about all of its motorsport activities, which are a strategic tool for the continued growth of the brand,” said KTM CEO Stefan Pierer. “He is someone we trust implicitly and who has the experience and enthusiasm to lead Husqvarna’s growing and vibrant motorsport department.” Husqvarna will officially compete in the MXGP series, Enduro and SuperEnduro World Championship, International Extreme Enduros as well as the Moto3 class of the FIM Road Racing World Championship. •••• Custom Chrome has made some big moves as it expanded its European footprint and promoted Louis Casarez to president/CEO. Casarez has spent the past 15 years with the V-Twin aftermarket industry giant as well as its parent company DIC in Korea. While in Korea, he served as a Design Engineer for the Motorcycle Division where he was heavily involved in developing RevTech Engine and 6-speed transmission development. t
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Recap
Pre-owned monthly
By Jim Woodruff
NPA Pre-Owned Monthly Recap: February Confidence
Riding Season Is Here! February’s pre-owned wholesale performance continues to affirm dealers confidence in the 2014 riding season as they stock up for spring. February brought sizable increases in the Average Wholesale Pricing (AWP) over prior months across the majority of popular powersport categories. Off-road pricing has
grown the most, with the ATV category up 12 percent and the MX category up 7 percent. Pricing fell in the dual-sport category, which can be highly volatile month-to-month due to limited volume. We also saw an increase in AWP across all on-highway categories. Both the domestic and metric cruiser categories have climbed steadily – domestic cruisers are up 7 percent over the last three months while metric cruisers are up 4 percent and sportbikes are up 10 percent. Natural Spring Market Rise? Seasonal history shows that prices generally climb in the spring and fall in the winter. Is February’s price growth a natural behavior of the spring market, or a result of increased dealer demand? The answer is likely both. If we compare January and February 2014 to the prior two years, recent prices are clearly an improvement over the same period in 2012, which is a reflection of increased dealer appetite. If we compare the AWP from 2013 to 2014, which had similar mixes of product quality and model age, the results vary by category. This suggests that the upward trend over the prior three months is primarily the typical seasonal effect. The story will likely shift as the weather unfolds later in the year. Spring 2014 is beginning with the hope and enthusiasm we saw last year. If the weather holds as 2014 takes shape and historical trends repeat, we should see strong wholesale prices for both on-highway and off-road segments through May. t
MPN has partnered with National Powersport Auctions (NPA) to provide our readers with a monthly recap of pre-owned wholesale powersport sales results. NPA is the largest provider of pre-owned vehicles.
All data is owned by NPA and provided to MPN specifically for this column. For more information, please visit www.npauctions.com or call 888.292.5339.
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OEMs Triumph
By Robin Hartfiel
BIG News From Triumph Recidivism Returns
Photos by Joe Bonnello
B
y definition “recidivism” is a tendency to relapse into a previous condition or mode of behavior. For Triumph’s unveiling of the Thunderbird LT and Commander, it is a return to being the biggest, baddest bike around. Slipping back to its old ways, Triumph plans to take back the American marketplace with a parallel twin … make that a BIG parallel twin. “Nobody has our heritage,” Triumph North America CEO Greg Heichelbech told the media types gathered at Southern California’s Rancho Bernardo Inn for the launch of the Thunderbird Commander and it’s LT (Light Touring) stablemate. In addition to the media, Triumph invited a group revisionist history writers, including Brian Klock, the Castrol Land Speed Record streamliner and the guys from retro classic specialists British Customs, LLC. “We now have an opportunity to write a little history of our own,” claims Heichelbech. The original history of the Thunderbird is uniquely American – including the “Thunderbird” name itself. According to Heichelbech, Triumph’s boss Edward Turner stayed at the Thunderbird Lodge on Route 66 during a fact-finding trip to America and the name stuck. (Little known fact, Ford had to license the T-Bird name
from Triumph for its iconic cars, not the other way around). The Americans had been pressuring Turner for a larger displacement bike than the old Meridienmade 500s, so the 650cc Thunderbird TR6 was launched in 1949. In the U.S., bigger always seems to be better and the “new” Thunderbird beat hometown hero Harley in terms of torque and acceleration. Fast-forward to February 2014 and Triumph returns to this “bigger is better for the Americans” philosophy. The recidivist strategy seems to be working. By tapping into history rather than avoiding it as Triumph did when the brand was first brought back into the U.S. in 1994, Triumph has improved profitability 200 percent, boosted revenues 80 percent, and increased retail sales by by more than 50 percent. The secret? “We got here by designing and executing a new strategic plan to accelerate growth by enhancing dealer profitability, promoting brand heritage, significantly increasing awareness, expanding the distribution network and streamlining the infrastructure.” In other words, they succeed the same way they originally did in the U.S. More important is the dealer’s role in this
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success. Last year Triumph’s network of 225 franchised dealers retailed roughly 13,000 units and Heichelbech’s team is forecasting big things for 2014, hoping to exceed 16,000 bikes in an otherwise flat market. The key to these big plans is an expansion to 300 dealers. Opportunity is knocking for the right retailers. “A bike like this was not even remotely fathomable when we brought the brand back,” says former Triumph exec Michael Lock. After starting with Triumph’s export sales department in 1991, Lock later went on to become the first CEO of Triumph North America, personally recruiting the
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OEMs Triumph original dealer network in this country. “I think the statute of limitations has expired, so I guess I can be telling you this,” laughs Lock. “Honestly we didn’t fully understand America’s nostalgia fascination. When John Bloor brought the brand back in Europe, it was based on performance and capability for a hardcore group of riders, having a sense of history was not a driving factor in design or model mix.” Lock now admits what worked in Europe didn’t work as well for Triumph over here. “We were selling reliable transportation in Europe, not a leisure past time, which motorcycling is for many Americans.” Despite these inherent limitations, Triumph managed to make some inroads into the U.S. market before Lock left in 1997. Having the advantage of hindsight, he has a unique perspective on what Triumph has been able to achieve in recent memory. “The easy thing is to design the bike, difficult thing is to make the U.S. customers feel a sense of authenticity and
have some heritage they can tap into. The buying audience is over 40 years old and they are asking themselves, ‘do I see this motorcycle in my life…it is not a commodity or product in a box, it really is a lifestyle.” He adds that the European brands headed by BMW, Ducati (Lock also help engineer the Italian’s turn-around from 2002-2010, but that is a story for another time) and Triumph are succeeding in engaging the American consumer with a sense of history and selling a lifestyle. “Mind you, this isn’t actual history,” he notes. “Triumph never had a 1,700cc twin in its past! However, there is a certain believability to the mystique of Triumph offering a big parallel twin and the concept of massive amounts of torque makes old punters get misty-eyed remembering riding back in the 1950s,” explains Lock. This modern day mythos just seems to work. The fact of the matter is Triumph claimed 45 horsepower for the original TR6 Thunderbird, but it was the incredible torque that was the hallmark
18 April 2014 | Motorcycle & Powersports News
for that machine. History re-writes itself as the new 1,700cc Commander and Thunderbird LT deliver on the promise of tons of torque. “It felt as if I could turn the globe on its axis when I left the stop light,” says MPN’s resident road tester Eric Anderson. “I fully expected to be able to see the sunrise again as the torque monster turned time back.” Okay, so that is a little bit of an exaggeration … but not much! The new Commander produces more than 105 pound-feet of torque and 83 horsepower on the Cycle World dyno. Eric wasn’t the only one impressed with the Thunderbird Commander. “…with solid handling, instant and copious amounts of power, superb comfort and excellent fit and finish, they’re credible options to the me-too V-Twin machines populating the market now,” said Andrew Cherney in Motorcycle Cruiser’s May 2014 issue. “The Triumph Commander nails the classic cruiser formula,” concludes Cherney. Looks like history is set to repeat itself. t
19-20 confessions_Layout 1 4/10/14 1:41 PM Page 19
Confessions OF A CUSTOMER
By Eric A nderson
Don't Read This!
Hope & Change Hit The Powersports Market
I
F YOU DON’T WANT TO CHANGE, DON’T READ THIS! Change is one of the most difficult and rewarding elements of business. However, many people in the powersports industry absolutely refuse to implement change. If this is you, this column isn’t for you! Being something of a newbie to the MPN editorial staff hasn’t held me back from my usual rants, industry impressions or retail shopping adventures, and I still call it like I see it from a retail customer’s perspective. The shopping experience is important to me, especially now — post-recession and pre-renaissance — and unlike political rhetoric, this change is very real. It isn’t just the powersports industry, the entire world of retail has changed. Amazon is now delivering Nissan Notes and Jukes to your front door. Costco is now showing warehouse shoppers the latest Kawasakis and new Ford trucks in their entry area. The goal is to catch “new eyes” from people who normally wouldn’t wander into a motorcycle shop in the industrial section of town. Both of these changed business models still include the franchised Nissan, Ford and Kawasaki dealer in the transaction because they are the state-approved motor vehicle dealer who has to deliver the product. The local powersports dealer gets new eyes on his products and Costco makes its money from more memberships. What Costco and Amazon do extremely well is catch my attention from “out of left field” with new products I wouldn’t normally search out. More importantly, they are catching the eyes of potential motorcycle and UTV buyers who normally won’t visit your store. They have access to the eyes, but they are not as
knowledgeable or dedicated as you or me. Rather than viewing them as the enemy, change your perspective. Costco is reaching “new buyers — buyers who will end up buying from you. Changing to this out-of-the-box concept of partnering with a “big box” retailer can be hard, but I hope you see the merit. The key to success in showing off your products in off-site places is simple. Look
for places where the heads of the family go together. The two decision makers in a household are usually husband and wife… and how often do you get both in your store at the same time? I would suspect rarely. Women control the purse strings on discretionary income in America… PERIOD. Start looking around your community more creatively than you ever have before. Think about parades, 4th of July celebrations, rodeos, high school football games, movie theater lobbies, charity events and shopping mall displays. It’s not just the community spirit you are capturing — it’s new eyeballs. When families see something exciting together they talk about it in that moment. That moment is fleeting, but extremely important and something
for spouses or parents to act on. Today, people have less time to drive to your store, ask questions and ogle new bikes. Instead, we can Google that from our mobile devices. Industry trend watchers noted this decline in floor traffic to auto dealerships. Automotive aftermarket parts and services are plentiful in most towns, so people can avoid the dealer with what most customers feel are inflated labor rates and OE-only parts. This thinking is changing how some people see motorcycle dealerships. There are now more choices in the motorcycle market with independent shops for accessories and services. Have you seen the mobile motorcycle mechanics services yet? They are basically like food trucks, but with a lift and tools instead of a fryer and cooktop. In San Francisco you can even rent garage space and tools to work on your own bike. So how do we battle, blend or accept this onslaught of swirling retail change? 1.) Build Overall Shopping Experience (in store and online) - Personalize by name, invitation, phone call, email - Inspire imagination (sell dreams, not products) - Build and market special events - Send newsletters, Tweets, FB posts - Kill them with kindness 2.) Make Your Customers Your Destination - Go where the customers are - Go where household heads are together - Show your products in off-beat places that don’t cost you much - Look at “pop-up” showrooms MotorcyclePowersportsNews.com 19
19-20 confessions_Layout 1 4/10/14 1:41 PM Page 20
3.) Surprise Us! - Demos, special rides, midnight madness sales, scavenger hunts, poker runs, etc. - Make it easy, safe and exciting for newbies to join your community - Use our first name when addressing us digitally or in real life Hopefully you can implement these changes. If you can’t, you don’t have much hope of surviving the changing business paradigm! t
Start looking around your community more creatively than you ever have before. Think about parades, 4th of July celebrations, rodeos, high school football games, movie theater lobbies, charity events and shopping mall displays.
20 April 2014 | Motorcycle & Powersports News
The long-running Confessions of a Customer™ is one of columnist Eric Anderson’s commitments to the industry, which includes his retail sales training efforts and service to the MIC Board of Directors. He has built several well-known aftermarket brands and is the founder of Vroom Network, an industryspecific consulting company specializing in marketing, training and brand development.
21-25 Apparel U_Layout 1 4/10/14 1:39 PM Page 21
Apparel University Merchandising Success for All Markets Photos By Joe Bonnello
By Alisa Clickenger
W
hether your dealership sells sport bikes, cruisers, café racers, quads or adventure bikes, there’s a common theme among every customer who walks through your door: they all want to look the part. This is great news for dealers because it means you have the opportunity to inspire, enlighten and enrich your customers, all while helping your bottom line. Despite the groaning we hear about e-commerce this and Internet that, there is still nothing like face-to-face interaction with customers. The truth is, Americans’ attention spans are shrinking, and that is to your advantage. Only four percent of Internet surfers stay on a Web page for more than 10 minutes. Yet, the average
customer who walks through your door will spend much more time in your store than on the Internet. This gives your staff a prime opportunity to hook them on the excitement of motorcycling, show them what is new and interesting in the industry, and demonstrate the everchanging look of the sport. Here is what several motorcycle apparel experts say on how to make the most of your customers’ time in your shop. Painting the Picture “All customers really want is to look the part. They’re buying into the family, they’re buying into the culture, and they’re buying into the whole lifestyle. It’s the dealer’s job to paint that picture for
his customer,” says Eric Anderson, president of the Vroom Network. Anderson suggests looking towards the ski industry. Open any skiing magazine and you’ll see that the pages are filled with beautiful people dressed in beautiful clothes in scenic places. After being surrounded by that level of beauty and quality, skiers’ desires and expectations cannot help but rise. The same is true of the motorcycle industry. As a dealer, you have an unequaled opportunity to show your customers what’s new, what’s possible, and what goes well together. Show your customers how terrific they can look. Provide your customers a vision of the motorcycling lifestyle. Help them see it in new ways and in new combinations. MotorcyclePowersportsNews.com 21
21-25 Apparel U_Layout 1 4/10/14 1:39 PM Page 22
“Help customers visualize how they will look while riding these bikes,” says Jayson Wickenkamp, National Sales Manager for Scorpion Sports USA. “They walked into your store because of an inspired idea. The more you paint the picture for them, the more you help them create a vision of what motorcycling means to them, the more valuable your dealership becomes to them.” Nick LoMonaco, Director of Powersports for The Fulmer Companies, sees the most successful dealerships having a wide variety of product out on the floor. “Even if you don’t have what a customer walks in the door looking for, if you have another product with similar features within reach there’s a very good chance that you can make the sale,” LoMonaco says. Our society is now placing more
Tip from a Pro: “If it has to do with buying, merchandising, displaying or selling clothing in a male dominated market, hire a woman to do the job. Our trusted mothers and wives have bought our clothes since we were born…and for the few years “in between” those women, we wore one pair of jeans and all the free t-shirts we could collect. The only reason men want to look good and wear clothes at all…is because of women.” Eric Anderson, President of the Vroom Network, has been building powersports industry apparel and helmet brands since 1986. Eric’s dealer training has been a big part of those brands’ successes—good display and sales techniques enlighten customers to invest more in the riding gear they choose. The Vroom Network specializes in brand building, channel management and sales training specific to the powersports and motorsports industries.
emphasis on pictures than on words as attention spans shorten. Show your customers what it is to look the part. Don’t just rely on your sales staff to tell them. Setting the Stage Sixty percent of a mall retailer’s display budget goes towards lighting. Whether your showroom is well lit and inviting or not can make or break your retail operation. Priority should be given to creating an inviting space that supports your sales rather than hinders them. “Space affects people. It doesn’t matter if it’s at your house, or a business, or your favorite place to go for coffee. There’s usually something about that space that you either like or don’t like and it’s something that you’re not always conscious about,” says Jennifer Robison, Field Brand Support Manager for Tucker Rocky. “I have learned that customers’ behaviors can be affected by the space. You can have the greatest franchise dealer and it can be presented really nice and tidy, but if its boring and dull and it’s vanilla, then the customer probably won’t have the behavior you think they are going to have getting involved with products and brands.” Robison has spent her entire career in motorcycle apparel merchandising. She now travels the country advising dealers and apparel retailers on how to create the optimal selling environment. In her opinion, the most successful dealers take
22 April 2014 | Motorcycle & Powersports News
their function as a retailer seriously and treat apparel merchandising as a very important function of turning a profit. Even if your dealership doesn’t have a budget for a large scale remodel, Robison says there are some very simple things that dealers can do to make an immediate improvement. Having a clean, well-lit space works wonders. Hiring a cleaning company to get those stains out of the carpets and to do a thorough spring cleaning at least three times a year is essential. Robison strongly suggests getting those brown cardboard boxes off the showroom floor. There’s not one thing about them that says “buy me” she contends. Those stacks of overflow stock behind the parts counter? Get rid of those, too. That back wall is the hottest real estate in the dealership. Make it count with your high-ticket, high-margin items. Make your space visually appealing. Don’t subscribe to the “stack it high and let it fly” theory of merchandising. Get creative with the use of your walls, racks and POP displays. Create displays on different levels to make your retail space more interesting to the eye. Also be sure to showcase your branded merchandise first. And if it’s old, dirty or dusty, get it off your showroom floor. “Stale inventory is one of the biggest problems I see coast to coast,” says Robison. “Obsolete inventory, stale inventory and shop-worn inventory are
23 Sullivan 2 MPN 4/10/14 1:30 PM Page 23
21-25 Apparel U_Layout 1 4/10/14 1:39 PM Page 24
big problems. If an item hasn’t sold within six months, you have to mark it down and get rid of it. Just get your cash out of it and re-invest in something that will sell.” Tricks of the Trade Jayson Wickenkamp suggests creating a fresh romance with the motorcycling lifestyle every time a customer walks in the door. One way to do this is by rotating your floor. Do this seasonally for best effect, and have things be found in different places – strategically relocating your inventory brings a fresh and invigorating experience for your customers. Wickenkamp points out that a savvy move is to take this a step further by creating custom signage to educate your customers and really highlight the “specialty retail” environment. He also suggests creating “experience enhancers” that make customers stay in the space longer – offering customers a beverage, setting up a coffee station that is inviting and having areas for your customers to congregate and enjoy the experience of shopping for a motorcycle. Feed their passion. LoMonaco advocates arranging your showroom floor by specific category of
riding. Create the visual picture of everything that style of riding entails. “When a customer sees an entire display centered on his motorcycle or his style of bike, he thinks ‘this store gets me’ and he wants to do business there. It makes the customer feel understood and valued.” Eric Anderson hails mannequins
and mirrors. Jackets on hangars in a long row are flat and lifeless. Make your displays come alive and three-dimensional by showing off your apparel in true-to-life fashion. Create complete displays that showcase entire outfits of items that work well together. Showcase and show off your more expensive items. Anderson also says to set higher standards. Do a good, better, best
scenario and showcase your best product. Put it on a pedestal. “Don’t you think everyone deserves to know what a $300 pair of gloves feels like? Then they can aspire to that either now or later in life, depending on their budget,” says Anderson. “Instead of going for the bottom right out of the gate, go for the top, and have the bottom available should customers gravitate to that price point.” Robison says that merchandising is about creating urgency, creating sales, engaging your customers and helping them discover new product. There’s a logic to merchandising and it’s in your best interest to approach it with fresh eyes. What’s Robison’s best tool for discovering fresh ideas and new themes and product placement? Shopping! Wander over to your local mall, outdoor, or sporting goods store and pay close attention to how they group merchandise and put together their displays. If you don’t have the in-house resources to develop your merchandising skills, consider hiring an outside source or turn to your vendors. After all, it’s their business too, and together you can paint the picture for retail success in support of all disciplines of riders. t
New and Noteworthy Apparel We’re seeing a trend in apparel that leans towards protection that seamlessly morphs into “fashion” wear in the city. One example is REV’IT!’s Windsor Jacket with KNOX Lite CE protection at the shoulders and elbows, and comes prepared for the Seesoft CE-level 2 back protector insert, yet it’s virtually unbranded. ------------
The MoTerrific podcast celebrates one year of podcasts. Released with the intention of bringing a female perspective into the motorcycling world, Joanne Donn and Cristi Farrell host. ------------
www.moterrific.com 24 April 2014 | Motorcycle & Powersports News
MSRP: $319.99 www.revitusa.com
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Scorpion Sports Inc. debuts the Clutch Leather Jacket for sport riders. Perforation across the chest and arms allow for temperature regulation, while the premium 1.21.4 Monaco top-grain leather and Sas-Tec CE armor provide extreme protection. Stretch panels in the sleeves and underarms along with padded torso panels in the abdomen. The Clutch also incorporates NighViz accents, adjustable fitment and internal and external storage pockets as well as molded shoulder protectors. Available in three colors.
The Schuberth S2 Full Face helmet is the world’s first motorcycle helmet with a built-in antenna for enhanced reception when using the optional Bluetooth Schuberth Rider Communication System. The ultra-plush S2 also features Schuberth’s proprietary S.T.R.O.N.G fiber construction, an internal sun visor, and an aerodynamic shell with full-circumference spoiler for reduced lift and drag. ------------
------------
MSRP: $499.95 to $514.95 www.scorpionusa.com
MSRP: $699 www.schuberthnorthamerica.com
MotorcyclePowersportsNews.com 25
IndustryProfile is the primary type of business operated from this location?
25% 9%
48%
How long has your company been in business?
24.5 years
22 years
18% 18% 14% 19%
2.8
Three brands
rands Four b r n fou e tha Morn ds bra
Note: throughout this report a given column or row may not add to 100% due to rounding.
What was the total gross sales volume for this outlet in 2013?
Overall
26 April 2014 | Motorcycle & Powersports News
Up to $199,999
28%
5% 4% 3% 5% 3% 3% 4% 1% 2% 0% 7% 10% 4%
$200 K to $299,999
3%
45%
Does Not Sell New
29% Other type*
13%
6%
23%
Snowmobiles
Personal watercraft
SxS vehicles
23% Scooters
All-terrain vehicles
AVERAGE
Sells New 48%
Motorcycles
Two brands
64% 53%
Other*
d
60%
What do you sell/service at this location?
3%
One bran
9% 5% 14%
94%
Accessory/ apparel shop only
$300 K to $399,999
$400 K to $499,999
$500 K to $599,999
$600 K to $699,999
$700 K to $1 M
25%
9%
8%
$1 M to $5 M
1%
NO
91%
Used unit sales only
If you are a franchised new vehicle dealer, how many brands do you offer?
31%
YES
If you sell new vehicles, are you a franchised dealer?
8%
1%
MEDIAN
New & used powersports dealer multiple locations
15%
AVERAGE
Service shop only
5%
Overall
In March, we conducted our second annual readership survey to gauge the performance of today's powersports dealer. The survey aims to deliver a full, detailed profile of the brick and mortar powersports retail world that goes beyond numbers and spreadsheets. Our research department asked a representative sample What of MPN readers detailed questions addressing the many elements of your business — ranging from shop operations, staffing and supply to online presence, marketing strategies and industry concerns. A big thanks to everyone who completed this survey. Or goal with this profile is to provide you with insight you can use in your business and with future planning. We have tried to provide New & used current, accurate and up-to-date snapshots of powersports the industry. However, if there are items missing dealer from our survey, or areas that are of interest to single your business that we have not covered, please location email bbaker@babcox.com and we will do our best to include your request in next year's profile.
Over $5 million
Are you the sole owner or partner of your dealership? Is your business:
87% Family Owned
53%
25%
22%
Sole Owner
Partner
Neither
Privately owned by investors 5% Owned by employees
1% Please rank the following as your most difficult competition:
Doesn’t Sell New
74% 67% 65% 40% 39% 37% 36% 22% 22% 14% 7% 6% 7% 12% 3%
72% 85% 81% 53% 60% 36% 54% 34% 29% 24% 9% 8% 8% 13% 1%
76% 43% 43% 21% 12% 37% 12% 6% 14% 5% 5% 2% 5% 10% 6%
*Like Quaker Steak & Lube ** Local publications, events, open houses, races, test rides
In terms of unit sales volume and dollar sales, were your sales for 2013: (relative to 2012 levels)
56%
Higher
Sells New Unit sales Dollar sales
Does Not Sell New Unit sales Dollar sales
Same
33%
31%
11%
Dollar Sales
16%
53%
Units Sales
Lower
Higher 58% 60%
Same 14% 10%
Lower 28% 30%
Higher 42% 49%
Same 23% 14%
Lower 35% 36%
(1 = most difficult, 5 = least difficult)
2.0 Internet sales 2.3 Discount retailers
3.1 Other local powersports dealers 3.2 Other competitor 3.6 Mass merchants
Does your business have a website?
80%
14%
6%
Yes
No
No, but plan to
What are your current major business concerns? Sells Overall
Profitability Customer retention Competition from Internet-only retailers and dealers Cost of business insurance Getting/keeping qualified employees Pricing by suppliers Cost of wages/benefits National/state legislation Price competition from other dealers Vehicle service information availability The health of supplier companies Supply issues/fill rate Competition from mass merchants/warehouse clubs SKU proliferation
Doesn’t New Sell New
1.5 1.9
1.3 1.7
1.7 2.1
1.7 1.9
1.7 1.9
1.8 1.8
1.8 2.0 1.9 2.2
1.6 1.9 1.8 2.1
2.0 2.0 2.0 2.3
2.0
1.8
2.4
2.2
2.3
2.1
2.4 2.3
2.4 2.3
2.4 2.3
2.3 2.2
2.3 2.4
2.3 2.6
Overall
Sells New
Word-of-mouth Website Social media Newspaper ads Radio ads Yellow pages ads Direct mail Cable/local TV ads Community service Reminder cards Joint effort w/other retailers* Telemarketing Field sales force Other** No advertising/promotion
Overall
How did your location promote and advertise itself during 2013?
7%
Other
(1 = more critical, 3 = less critical)
MotorcyclePowersportsNews.com 27
Sales Dept.
What percentage of your customers ask for speciďŹ c brands of service parts, apparel or accessories?
What percentage of your customers are in these age categories?
Will switch with recommendation
48%
24% 25-35 Years
43%
13%
20%
16-24 Years
37%
Request Brand
36-50 Years
only about 20% of customers request a brand and will not be swayed
26% Over 50 Years
What percentage of 5% Under 21% of sales your sales in 2013 came from repeat 9% 21%-40% of sales 21% 41%-60% of sales customers? Over 60% of sales
60%
Which of these parts/ accessories do you sell at this location? Batteries Oil & consumables Tires Repair hard parts Exhaust systems Helmets Suspension Lighting Saddlebags/storage Seats Waxes/polishes/detailing Apparel Fairings Boots Communications/GPS Security systems Other items
91% 87% 90% 85% 85% 77% 76% 76% 73% 76% 72% 69% 49% 57% 51% 38% 5%
Sells New
Doesn’t Sell New
93% 90% 94% 84% 90% 97% 76% 86% 85% 84% 91% 86% 58% 76% 66% 49% 3%
88% 85% 85% 87% 80% 55% 76% 65% 59% 67% 58% 49% 41% 37% 36% 26% 7%
Sells New Does Not Sell New Sales Profit Sales Profit Service 17.4% 20% 42.7% 45.6% Parts & accessories 18.2% 23% 38.3% 36.3% New unit sales 37.2% 25% 0% 0% Used unit sales 14.6% 16% 8% 7.3% Riding gear & apparel 7.5% 8% 9.4% 9.0% Finance & Insurance 4.2% 6% 0% 0% Other 1% 2% 1.6% 1.8%
28 April 2014 | Motorcycle & Powersports News
What percentage of your OVERALL SALES is derived from these activities: (adds to 100%)
Service
30% 33%
Parts & accessories
28% 29% 19%
New unit sales
13% Used unit sales
11% 11% Sales Profit
Riding gear & apparel
8% 9% 2% 3% 2% 2%
Finance & Insurance Other
Do you have a service department?
With regard to your service sales, how many repair orders did your location write per month in 2013? Sells New
Doesn’t Sell New
90% Yes
1-10 repair orders
10%
2%
21%
11-20
13%
3%
27%
21-30
16%
14%
18%
31-40
11%
12%
11%
41-50
9%
11%
6%
51-60
9%
11%
6%
61-70
6%
7%
4%
Over 70 repair orders
25%
39%
7%
If you saw an increase or decrease in service sales, please indicate the percentage:
In regards to your service sales, what is the average invoice amount at your location?
29%
$
39%
76.14 15%
Average decrease
18% 18%
81%
NO
12% What is your current standard fixed labor rate for vehicle service?
Under $100 Under $100 $101-$200 $201-$300 $301-$400 Over $400
What percentage of your customers are female and what percentage are male?
Male
5% $101$200
$201$300
Sells New 3% 26% 43% 18% 9%
$301$400
Over $400
Does Not Sell New 7% 33% 35% 9% 16%
25% Down Versus 2012
19% Female
24% Same as 2012
51% Up versus 2012
For 2013 compared to 2012, was your SERVICE SALES volume:
MotorcyclePowersportsNews.com 29
Sales Dept.
Average increase
10%
What is your primary supplier of aftermarket parts and apparel?
11%
How many full-time technicians do you have?
29% Tucker Rocky
(include yourself if you perform service)
36%
Western Power Sports
Parts Unlimited
5%
None
4% Manufacturer
1 technician
34%
direct
2% KK Motorcycle
2 technicians
Supply
13%
3% Marshall Distributing 2% K&L Supply 1% Automatic Distributors
3 technicians
Other sources*
4 technicians
Supply
*Other: Midwest, Motovan, Parts Canada, Kuryakin, Drag Specialties, Universal, V-Twin
Where does your primary supplier of aftermarket parts, accessories and apparel fall short? Sells Doesn’t New
Profit potential Pricing Territory protection Support materials Product delivery times Fill rates Relationship Product line/SKU coverage Payment terms Product quality Other issues
30% 30% 21% 16% 10% 13% 8% 8% 6% 4% 8%
Sell New
30% 26% 25% 16% 9% 11% 12% 5% 5% 4% 9%
30% 35% 17% 17% 12% 15% 3% 12% 6% 4% 6%
Of the mechanical parts your dealership buys, what percentage are: (equals 100%)
6%
2%
29%
12% 9%
5 technicians
5% 6%
5+ technicians
Average Full-Time Number
1.4
56% Have Part-Time Techs
Average Part-Time Number
How important are the following criteria TO YOU in deciding to carry a speciďŹ c aftermarket brand? (1 = most important, 5 = least important)
9.8%
29%
1.3 Product availability 1.4 Product quality
Profit margin potential
44%
1.9 1.9 Relations with the supplier 1.9 Product innovation/technology 2.1 Merchandising support 2.4 OE position 2.5 Buying terms 2.5 Training 2.8 Advertising/promotion 2.7 Line/SKU coverage 2.9 Fill rate
Consumer awareness of brand
59.7%
50% New OEM Parts
1.5 1.8
Product acquisition cost
69% New Aftermarket Parts
30 April 2014 | Motorcycle & Powersports News
30.5% Recycled/Rebuilt Parts
Where do your techs receive training? Sells New
60% 48% 44% 29% 21% 22% 11% 7% 10%
Vehicle manufacturer courses In-house programs
Overall
Internet resources
7.4
Local vocational/trade school
Sells New
Does Not Sell New
12.5
Parts manufacturers Trade magazines Trade show seminars
2.1
Association seminars Other source of training
Overall
2.2
Sells New
How concerned are you about finding employees?
2.3 1.4
54%
Very concerned
What benefits does your dealership offer to employees? Paid vacations Paid holidays Training Medical coverage Uniforms Paid sick leave Annual bonus Dental coverage Eye care coverage Life Insurance 401k plan Tool reimbursement Employee Ownership Program Stock options Other benefit No benefits offered
86%
24%
44%
54%
43%
46%
22%
40%
17%
28%
14%
34%
7%
16%
4%
10%
3%
14%
How are your managers being compensated? Salary
47%
Salary & commission
Does Not Sell New
24%
22% 100% commission 5% Yearly bonus 18% Profit sharing 14%
26%
Hourly wage
Somewhat concerned
12% 8%
Not very concerned
Sells New
Doesn’t Sell New
61% 57% 49% 40% 40% 28% 23% 20% 14% 13% 19% 11%
78%
43%
68%
44%
64%
32%
61%
16%
52%
26%
33%
21%
24%
23%
32%
8%
23%
8%
Being treated with respect
19%
6%
Level of pay
30%
6%
Regular schedules
9%
13%
Quality of tools/ equipment
4% 1% 6% 21%
3%
6%
1%
2%
6%
5%
7%
42%
Other: Meals provided, shop time available, employee discounts, tuition for classes
Not concerned at all
Salary Salary and commission Hourly wage 100% commission Receives Yearly bonus Receives Profit sharing
How important are the following for retention of "good" employees? ( 1 = critical, 2 = important, 3 = nice to have, 4 = not a factor) Sells New
Doesn’t Sell New
1.4 1.7 1.9
1.3
1.4
1.6
1.8
1.8
2.0
2.2
2.2
Time off
2.0 2.2
2.1
2.3
Training/Education opportunities
2.3
2.2
2.5
2.3 2.4
2.2
2.5
2.2
2.7
Advancement opportunities Benefits offered
Doesn’t Sell New
Tech
Sales
11% 16% 64% 14% 17% 6%
13% 49% 28% 15% 12% 6%
Personnel
Including yourself, how many full and part-time employees do you have at this location?
Other mentions were: Teamwork, friendly environment, let them be heard, transparency, commitment, respect MotorcyclePowersportsNews.com 31
32 adp report_Layout 1 4/10/14 1:30 PM Page 32
ADP Lightspeed Dealer Management Solutions are designed to help manage dealer operations by tracking and storing data from every department and delivering information that will assist dealerships in making successful business decisions. Every night, more than 1,700 Lightspeed powersports dealers automatically transmit their information to a collective database held at the ADP Lightspeed offices in Salt Lake City, Utah. Summaries and aggregated reports are available to dealers for both current tracking and historical research. This helps you know how your dealership is performing compared to other dealers across the country. Parts and major unit inventory information is gathered and used in the highly successful Lightspeed Dealership Locator program. This program is designed for dealers to post obsolete inventory, allowing other dealers from across the country to locate hard-to-find parts and units. ADP Lightspeed stands ready to work with all parties and move the industry to new levels of understanding, and ultimately to more efficient and profitable operations. For questions regarding this report or to inquire about a custom report, please contact Lightspeed Data Services at (800) 521-0309.
Powersports Dealer New Units in Stock
March 2014 1,793 Lightspeed Dealers, Distribution of Units by Type and Model Year Prior to 2013 Model Year
2014 Model Year
11%
28% 62% ATV 15% 29% 56% Off-Road Motorcycle 17% 39% 44% On-Road Motorcycle 21% 50% 29% Scooter 11% 16% 73% Snowmobile 5% 15% 80%
www.adplightspeed.com
Utility Vehicle
32 April 2014 | Motorcycle & Powersports News
2013 Model Year
33 ADP Lightspeed MPN 4/10/14 1:29 PM Page 33
34-35 destination_April_Layout 1 4/10/14 1:38 PM Page 34
DESTINATION
Dealership Story by Margie Siegal Images by The Brothers Powersports
The Brothers Powersports, Bremerton, Washington
The Brothers are motorcycle enthusiasts who know what riders want
I
n motorcycle retail, as well as in real estate, it is location, location, location, and The Brothers Powersports multiline dealership has a most excellent location in Bremerton, Washington, the gateway to the Olympic Peninsula, situated in the Northwest corner of the continental United States and full of recreational possibilities. The Olympic Peninsula is a huge temperate rainforest crossed by well paved curving roads. The spectacular scenery ranges from old growth forests to coastal lighthouses. Inland, there are challenging trails for the dirt bike rider. The Brothers Powersports has been helping motorcyclists enjoy the varied opportunities this area offers for almost 50 years. Joe Nilsen came back from the Pacific after Japan surrendered, only to be met with a proposal from brother Carl. He wanted them to go into business together as appliance dealers, and a store was soon opened in Bremerton. They learned of the availability of a Tohatsu (an early brand of Japanese motorcycle) franchise in 1963. Honda sales started in 1965. Joe and Carl retired in the early 1980s, and the business is now run by Jeff, Carl’s son, and his nephew
Brian Nilsen, both avid motorcycle enthusiasts. In the late ‘80s, the Brothers dealership became the first Ducati dealer in Washington state. Can-Am came on board in 1988 and Yamaha was added in 1990. The Brothers also sell Honda power equipment, Yamaha power equipment and Honda marine products, such as outboard motors. The Olympic Peninsula to the West is not the only attraction in the Bremerton area, however. There are off-road riding areas, lakes, more twisty roads, and the Cascade Mountains to the East. “The best off-road area in the state is 20 minutes away,” says Brian Nilsen. Seattle, the nearby big city, has a cadre of motorcycle commuters and urban bikers. Many people commute by ferry, and motorcycle riders pay less, never have to wait in line and are first off the boat. “A lot of people buy bikes due to the ferry,” says Brian. There is also a large Navy base in the vicinity, and The Brothers makes a special effort to cater to the military market. Jeff and Brian Nilsen say that the key to their success is to only hire motorcycle enthusiasts. They have worked hard to build a culture around the dealership, and sponsor weekly rides during prime season and a variety of on-
“We have found that racing sells bikes and is a great advertising tool. People want to do business with people who support their passion.”
34 April 2014 | Motorcycle & Powersports News
and off-road events, including customer appreciation sales and Ducati Days. “We try to do one event a month,” says Brian. In January, Brothers Powersports holds a VIP event with racers signing autographs on the same day as the Seattle Supercross. The event is carried live on a big screen at the dealership. Brothers also sponsors a race team, which is very important to the managing duo. Under the guidance of Todd G, Race Coordinator, The Brothers sponsor competitors in all phases of off-road racing. “We have always supported racing, says Brian. “Ryan Villapoto, now a multitime Supercross and National champion, is from nearby Polsboro, and used to ride for us. We sponsored him until 2004. We have found that racing
34-35 destination_April_Layout 1 4/10/14 1:38 PM Page 35
The Brothers Powersports 5205 1st St, Bremerton, WA 98312 (360) 479-6943 www.brotherspowersports.com Number of employees: 25 OEM: Honda, Yamaha, Ducati, Can-Am, Honda Marine, Honda Power Equipment Brands: Klim, Fox, Shoei, Shift, Firstgear, Alpinestar, Arai
sells bikes and is a great advertising tool. People want to do business with people who support their passion. We also work with Mike Velasco, a performance tuning wizard. He gets crated engines from all over the world.” Despite the emphasis on off-road racing, Brothers does not neglect touring riders. “We get people from all over who are touring the Olympic Peninsula. We want to be available on the spot for them,” Brian explains. “It’s mostly tire changes but we want to get them back on the road as fast as possible.” The Brothers’ racing and community building efforts provide a lot of good publicity for free. “Word of mouth is the best advertising,” says Brian. But the dealership also engages in a variety of marketing ventures. “Direct mail reaches a lot of people. We keep our costs down by sending mail to folks who are close by. We sort by zip code – and don’t waste money on outreach.” Newspaper advertising is limited to farm equipment, such as generators. “We also do a little TV if we can get a deal.” Sponsoring races at the local motocross track brings in business. In fact, Jeff and Brian are involved in a community initiative to establish a new racetrack. “We have been working on this for years,” explains Brian. “It’s planned as the Circuit of the Northwest, a multi-use road racing and MX course.
It’s now in the funding process.” The core of The Brothers’ business is of course sales, and they use their website effectively as a sales tool. A virtual showroom displays their large inventory by manufacturer, further subdivided by type of vehicle. Large buttons invite the viewer to value a trade online, apply for financing, get a quote or schedule a test ride. The website also features quick links to sales merchandise and used vehicles – and a list of every single OHV park and racetrack within 200 miles. Although the Internet is a great sales tool, sales can be lost if customers come in to check out apparel and accessories –
and then buy the item on the ’Net. “We have a big sign in the dealership, ‘We Match Internet Pricing,’” says Brian. “The sales staff is trained to detect and positively deal with people who are planning to buy over the Internet. You have to engage the customer. Most stuff we sell is price bracketed, so someone shopping the online is going to pay what we are selling for anyway.” Brian points out that the sales process for apparel is very different from the sales process for parts. People who want parts generally know what they want and expect the person behind the counter to provide the appropriate item for the application. The Brothers provides fast turnaround times on special orders and promises to locate hard-to-find items for customers. On the other hand, people who are looking for clothes are more interested in a “shopping experience.” “The best way to sell apparel is to have friendly apparel-specific staff,” says Brian. The Brothers provides a wide range of brands to choose from. Brian says that he truly likes coming to work every day. “I love the camaraderie and family atmosphere that we have created. We constantly try to improve our processes and train for the ultimate result – not only satisfied, but HAPPY customers!” t
MotorcyclePowersportsNews.com 35
36-37 BOC_April_Layout 1 4/10/14 2:34 PM Page 36
BEST
Operators CLUB
By Steve Jones
February 2014 F&I Department Performance
A
lthough February does not give us much depth for the data, we still get an early peek at what the market has been doing this winter. Total store sales were up across the board and margins came up almost 2 points for this group (Chart 1). The Top Five dealers are just above that benchmark number of 25 percent. The percent of change for logged contacts came up a bunch for the Top Five, as did their financed deals and door swings. Notice the relationship in the growth figures for all three numbers. They not only got them in the door, but their staff did an excellent job of taking care of them once they entered the store. Gross Profit for the finance department was up for all the dealer categories – almost 50 percent for the Top Five. Hmm, that is similar to the increases we noted for the overall dealership numbers. In addition, they are holding down their personnel expenses. The key numbers here are Per Vehicle Sold (PVS) and Per Vehicle Financed (PVF) as shown in Chart 2. You can compare these with any size dealership, large or small. What generally makes the big difference between the dealers with the big numbers and those with so-so numbers is a combination of two things: 1) A dealership culture that supports the benefits of F&I products, and 2) Welltrained F&I producers. The last part is an absolute necessity. F&I can be a huge profit center, but there is a lot of regulatory compliance involved. Mess up here and the penalties can be painful. Lesson: Don’t scrimp on training for your F&I staff. The large percentage of finance penetration (Chart 3) shows that all the dealers have good lending sources.
CHART 1 Total Store Stats for Feb. 2014 Total Store Sales YTD
GROUP NORM
TOP 5 DEALERS
.9 mil.
1.3 mil.
NATIONAL NORM 1.1 mil.
Total Store Sales Percentage of Change from Prior Year
15.7%
28.3%
11.9%
Total Store Gross Profit Margin
21.7%
26.2%
24.3%
Gross Profit Margin for Prior Year
23.6%
26.5%
23.6%
Contribution to Total Store Gross Profit: Finance Dept.
12.7%
17.9%
15.4%
Logged Working Contacts: Per. of Change from Prior Year
-8.4%
51.4%
-2.5%
Financed Deals: Percentage of Change from Prior Year
10.4%
48.9%
18.1%
Door Swings: Percentage of Change from Prior Year Gross Profit per Employee YTD
9.6%
52.0%
-3.2%
$12,905
$17,713
$16,159
CHART 2 F&I Dept. Stats – Part 1
GROUP NORM
TOP 5 DEALERS
NATIONAL NORM
Finance Gross Profit Change from Prior Year
18.7%
48.8%
25.3%
Personnel Expense as a Percentage of Gross Profit
36.9%
19.4%
25.5%
Gross Profit Per Vehicle Sold
$380
$541
$433
Gross Profit Per Vehicle Financed
$743
$973
$827
Average Number of Customer-Facing Staff YTD Gross Profit Per F&I Employee YTD
1.1
1.2
1.2
$22,155
$33,613
$33,592
CHART 3 GROUP NORM
F&I Dept. Stats – Part 2
TOP 5 DEALERS
NATIONAL NORM
Percentage of Finance Penetration
48.2%
65.7%
54.6%
Percentage of Service Contract Penetration
25.8%
36.4%
29.8%
Percentage of Prepaid Maintenance Penetration
4.6%
10.8%
13.3%
Percentage Financed with GAP
13.5%
29.0%
17.1%
Percentage Financed with Credit Life
0.9%
2.6%
0.8%
However, the Top Five dealers have done a great job of securing multiple lenders – they can get a larger percentage of their deals completed in-house. This can result in additional sales of P&A as well as F&I products.
36 April 2014 | Motorcycle & Powersports News
Service contract penetration is continuing to climb back up since the recession, but it is well below the heyday of 60-70 percent. This is largely due to the number of longer warranty programs being offered by the OEs. That said, it is
36-37 BOC_April_Layout 1 4/10/14 2:34 PM Page 37
still a good product for many purchasers and can be very profitable for you. GAP is another product that has been undersold. As long as we have big-ticket items with large drops in value following the first ride, GAP is very saleable. This is particularly true of many of the models that have become a target for theft. Although I didn’t include the numbers in this chart, I would suggest looking into selling some of the various security
system products out there. Some dealers have done quite well with theft-deterrent and/or recovery products. Overall, these results suggest that we might be off to a good start for the new year. I hope you all have a highlysuccessful and profitable 2014. If you have questions about the article, or if I can provide you with assistance, shoot an email to steve@gartsutton.com. For information
on our upcoming management workshops or on-site dealer assistance, check out our website at www.gartsutton.com. t Steve Jones, GSA senior projects manager, outlines dealership best business practices to boost margins, increase profitability and retain employees. His monthly column recaps critical measurements used by the leading 20-group dealers. Access to GSA’s new Voyager 5 data reporting and analysis system is available for any dealership for nominal fee. For more information on our data reporting system, management workshops, dealer 20-groups, on-site consulting or training, visit www.gartsutton.com.
“What generally makes the big difference between the
dealers with the big numbers and those with so-so numbers is a combination of two things: 1) A dealership culture that supports the benefits of F&I products, and 2) Well-trained F&I producers. The last part is an absolute necessity.”
MPN Product Spotlight
Wheels-4-Tots, Inc. is Dawning a Redesign and New Look, but the High-Quality Product Remains Wheels-4-Tots, Inc. is promoting a whole new look for 2014. A new four-color design and new information on the box will help dealerships present product to customers, not only displayed on the entry-level motorcycles themselves, but now through a new shelf appeal as well. Wheels-4-Tots started the mid-mount training wheel market with its training apparatus more than 16 years ago and the company is still the leader in the market for training and educating younger riders today. “All of our products, ‘E-Z Trainer’s’ and ‘Universal Trainer’s’ will be sporting this new design,” says owner Jeff Martin. “The boxes will keep their similar colors but will have different information and box sizes.” With the new design Wheels-4-Tots will be running a new pricing plan for distributors and dealers. For more information: www.wheels4tots.com MotorcyclePowersportsNews.com 37
38-41 Chains_Gears Products 4/10/14 1:46 PM Page 38
Chains, Gears & Sprockets No matter what makes of motorcycles your dealership sells or the makes your customers ride, they all have chains and gears to make them run as smoothly as possible. Chain and gear manufacturers are continuously adding new models to the fitment applications of their products. Whether its sprockets or chains, technology for these replacement parts continue to improve. Companies look to the racing world for research among world-class race teams to acquire new knowledge and technology to remain on the cutting-edge. This month’s Chains and Gears Product Focus showcases several of the industry’s best and how these products can improve performance.
Superlite RS8 Series Sprocket and Chain Kit t New Superlite RS8 Series steel sprocket set for the Honda MSX 125 Grom includes (1) drilled and lightened Superlite chromoly steel front sprocket, (1) Superlite RS8 Series black plated CNC machined steel rear sprocket and (1) RK, Regina or DID premium chain cut to length. Multiple gearing options are available along with custom chain lengths if needed. Retail price is $72.95. ------------
For more info: www.afamdrive.com
HSO O-Ring Chain u WPS HSO O-Ring Chain is quality engineered for strength and durability. All chains are pre-stretched and shotpeened. The sealed design keeps out water, mud and grit, and the chain has heavy-duty “Quad Staked” riveted pins for added strength. The gold chain has nickel plated inner plates and gold outer plates. Retail price: $63.95-$165.95 ------------
For more info: www.wps-inc.com
38 April 2014 | Motorcycle & Powersports News
38-41 Chains_Gears Products 4/10/14 1:46 PM Page 39
HSX X-Ring Chain u WPS HSX X-Ring Chain is quality engineered for strength and durability. All chains are pre-stretched and shot-peened. The chain’s sealed design keeps out water, mud, and grit. The HSX X-Ring chain has all of the same great features as the O-ring chain plus less friction. It’s heavy-duty “Quad Staked” riveted pins provide added strength, and the gold chain has nickel plated inner plates and gold outer plates. Retail price: $82.95-$202.95 ------------
For more info: www.wps-inc.com
v
X-Ring Chain
EK chain has recently added the 3D chain. The 3D X-ring chain features high strength, light weight and a unique threedimensional outer plate design. This is a great chain for those looking for both great performance and looks. It is available in 520, 525 and 530 sizes up to 160 links depending on the size. ------------
For more info: www.threed-chains.com
MotorcyclePowersportsNews.com 39
38-41 Chains_Gears Products 4/10/14 1:46 PM Page 40
ATV and Motorcycle Chain t Marshall Racing carries a full range of chain from standard to heavy-duty O-ring, you are sure to find the motorcycle chain that is of equivalent type, size and quality of the original equipment chain. Also available are chain lengths by 25 or 100 foot rolls. Marshall Racing chains meet or exceed the requirements of all modern motorcycles, street, MX, enduro, off road and ATV.
Heavy-Duty Motorcycle/ATV Chain u WPS Motorcycle/ATV Chain has nickel plated inner plates and gold outer plates. It is quality engineered for strength and durability, and all chains are prestretched and shot-peened.
Retail price is $57.25 ------------
For more info: www.marshalldistributing.com
WPS chain has precision tolerances for perfect balance in every pitch. The heavy-duty chains have “Quad Staked” riveted pins for added strength and come complete with oiling hole in the bushing to insure proper lubrication. Retail price: $11.50-$44.95 ------------
For more info: www.wps-inc.com
DD7 7-Speed Transmission Gear Set t Smooth out your ride with this direct replacement for the cruise drive Harley-Davidson factory 6-speed. The 7th gear enables the motorcycle to make full use, by way of gear ratio management, of the torque and power put out by the 96 ci, 103 ci and 110 ci motors. Unlike the stock main shaft, which includes 1st through 4th gears, the DD7 is lightweight and only includes the small 1st gear, minimizing the shift clunk. The gear set features a shortened 1st gear and tightened all other gears for a smooth and powerful riding experience, with continuous acceleration from 1st to 4th gear. Shift smoothness is achieved by use of a new linear roller ball detent, which is part of the supplied billet top cover. The entire set comes ready to slide in the bike with no case modifications, shimming of the gear set or adjustments required. The 7th main drive gear, main drive gear bearing and main drive seal are all included to replace 6th main. Set includes new main drive gear bearing and seal, door gasket, side cover gasket, top cover gasket and self-adhesive DD7 side cover emblem. Sug. Retail $2,995.95 ------------
For more information: www.dragspecialties.com
40 April 2014 | Motorcycle & Powersports News
38-41 Chains_Gears Products 4/10/14 1:47 PM Page 41
High-Tensile Strength O-Ring Chain t Drag Specialties O-ring chains feature quad-pin riveting, tough O-ring seals and solid bushings and rollers. Improve wear resistance and strength, and the average tensile strength is 9,500 lbs. The high-tensile strength has weight-saving benefits and the chains are pre-stretched at the factory. A rivet-style master link is included. Chains are available in a natural finish or with tough chrome plating on the side plates. Available in 102,104, 106, 110, 112 and 120 link sizes. The suggested retail starts at $86.95. ------------
For more information: www.dragspecialties.com
X-Ring Chain and Sprocket Kit u D.I.D’s high-performance, long wearing X-Ring Chain and Sprocket Kits feature either a gold or unplated D.I.D ZVM-X Super Street or VX Pro-Street Chain coupled with a high carbon, heat-treated, steel rear sprocket and chromemoly steel countershaft sprocket for superior strength and durability. Replacing a new chain on old worn sprockets will dramatically reduce the life of the new chain. To get the most mileage out of your chain and sprockets it is recommended that you replace the chain and sprockets at the same time. D.I.D Chain and Sprocket Kits take the guesswork out of this process; D.I.D Kits are designed to replace your stock OE gearing. Kits are available for most popular Honda, Kawasaki, Suzuki, Triumph and Yamaha sport bikes through Drive Systems USA, MTA, Parts Unlimited and Southern Motorcycle Supply. ------------
For more information: www.didchain.com
MotorcyclePowersportsNews.com 41
42-45 Oils_Lubricants Products 4/10/14 1:45 PM Page 42
Oils & Lubricants
Oils and lubricants might not be the most sexy product that you stock, but it is a fact that these products are fueled by technology and are the lifeblood of an engine. Without them you’re not going to be riding anywhere. With better synthetics such as Ester, oils and lubricants these days are offering consumers an opportunity to drive a higher performance, longer lasting machine and the ability to drive longer without oil changes. To create these superior products, companies are focused on balancing their complex formulas to create the best results possible using research done on the race track to continually improve. Moving forward, companies will be focused on function, proper protection and creating products that can withstand longer drains, higher RPMs, and increased operating temperatures. This month’s Oils and Lubricants Product Focus takes a look at some of the products keeping powersports engines in top shape today.
20w40 Semi-Synthetic Engine Lubricant Spectro Oils Golden 4 20w40 viscosity is a semi-synthetic specifically targeted towards Victory and Indian motorcycles to meet the viscosity requirements of these brands, including JASO MA2 for wet clutch compatibility. Formulated to meet the demands of air and oil-cooled American V-Twin engines, Golden 4 semi-synthetic 20w40 is batch blended using Spectro’s G4 Technology. Offering a longer drain interval and the highest shear stability. Spectro’s G4 Technology refers to its pure Group IV Platinum Full-Synthetic. It’s crafted from modern Group IV PAO (polyalphaolefin) synthetic base stocks. These PAO molecules are assembled from the ground up to provide strength and endurance, no matter how hard or how long you punish them. The Group IV synthetic molecule is engineered from scratch to better resist being sheared in the gears, and to fight degrading oxidation due to high temperatures. ------------
For more info: www.spectro-oils.com
42 April 2014 | Motorcycle & Powersports News
Transmission Oil HardDrive Transmission Oil is developed for use in 4-, 5- and 6-speed Harley-Davidson transmissions. Blended for ultra high film strength offering excellent wear protection and durability, HardDrive’s extreme pressure additive package provides smooth shifting across all RPM ranges. HardDrive’s transmission oil meets or exceeds API GL-5 classifications. ------------
Retail price: $7.95 ------------
For more info: www.hdtwin.com
42-45 Oils_Lubricants Products 4/10/14 1:45 PM Page 43
10W40 Motorcycle Oil Red Line 10W40 Motorcycle Oil is for four-stroke motocross bikes ATVs, and Sportbikes. Red Line’s superior film strength through the use of ester base stocks adds protection and ring seal. This oil has extended drain intervals over other brands due to higher quality basestocks and excellent dispersants. Red Line 10W40 is blended with specific friction modifiers that are compatible with wet-clutches, suitable for JASO MA applications. Each gear oil product reduces the thinning effect from high temperatures and is packed with higher levels of anti-wear chemistry like zinc and phosphorus. Special friction modifiers in Red Line motor oils provide better wet-clutch operation. ------------
Retail price: $14.49 ------------
For more info: www.relinoil.com
Ethanol Equalizer Liquid Performance Ethanol Equalizer fixes problems related to ethanol added fuels. Its synthetic blend removes water, prevents fuel system corrosion and ethanol phase separation that robs fuel of octane. Ethanol Equalizer boosts octane up to four points, increases horsepower, lubricates the entire fuel system and stabilizes fuel for up to 36 months. EPA registered, just 1oz. treats up to 10 gallons. Ethanol Equalizer is available in 1oz., 4oz., 16oz., 32oz., and 1 gallon sizes. For use in all two-cycle and four-cycle engines. ------------
For more info: www.liquidperformance.com
MotorcyclePowersportsNews.com 43
42-45 Oils_Lubricants Products 4/10/14 1:45 PM Page 44
Racing Suspension Fluids Fuchs Silkolene PRO RSF Racing Suspension Fluids unique fluid engineering techniques integrate low-friction synthetics with anti-foam and wear-resistant additives to ensure predictable suspension performance, long seal life and smooth action in both conventional and USD front forks and all types of shocks. The PRO RSF range is designed for the latest competition suspension systems. Factory teams and suspension specialists in road racing, off-road, endurance racing and rallying competition have extensively tested the prodcut and proven that the PRO RSF range performs in any situation regardless of the climate or terrain. PRO RSF is thermally stable and provides exceptional performance in air, nitrogen and argon filled systems. The various grades may be individually blended to give fine-tuned suspension response. With available grades in 2.5wt, 5wt, 7.5wt and 10wt, it is possible to cover all types of applications, whether it’s two or four wheels. High viscosity index (VI) eliminates the “fade” experienced when shocks are required to operate at sustained high temperatures. The PRO RSF range of suspension fluids are used by numerous factory riders using Fox, Penske, Proflex, Ohlins, White Power, Kayaba, Showa or Nitron suspension components. ------------
Retail price: $22.50 per liter ------------
For More Info: www.silkoleneUSA.com
Heavy-Duty Chain Lube Drag Specialties heavy-duty chain lube can make a big difference in how the drivetrain performs. Ideal for all types of exposed chains, it penetrates quickly, prevents rust and corrosion and reduces friction and wear. Heat stable up to 500 degrees F. Available in 12 fl. oz., 15 oz. net weight aerosol spray cans and sold each at a suggested retail of $9.95. ------------
For more information, go to www.dragspecialties.com
44 April 2014 | Motorcycle & Powersports News
42-45 Oils_Lubricants Products 4/10/14 1:45 PM Page 45
V-Twin Mineral-Based Oil Suspension Cleaner Spectro Oils Suspension Cleaner is a high-performance aerosol cleaner that quickly removes grease, oil, dirt and grime from suspension components and any metal surface, leaving no residue. It works like the powerful old formulas that you know and love from years ago, and sells for approximately half the cost of other brand names. The launch of this new product was due to the demand of a higher quality cleaner of suspension components by Spectro’s dealers. This fast drying formula interacts with the oil film, leaving a clean residuefree surface.
Maxima V-Twin MineraI is engineered with anti-wear and extreme pressure additives to protect critical engine components. The additive package keeps engines clean, protects against sludge and allows for troublefree operation. This engine oil has been developed and tested in V-twin engines, has corrosion and sludge protection, is high temperature stable and formulated to offer long-term protection. It is compatible with petroleum and synthetic engine oils. No special procedures are required when changing to Maxima V-Twin Mineral engine oil. And it meets all known OEM specifications for engine oil and does not void new motorcycle warranties.
------------
For more info: www.spectro-oils.com
------------
For More Info: www.maximausa.com
MotorcyclePowersportsNews.com 45
46-47 Peak Dealership_April_Layout 1 4/10/14 1:44 PM Page 46
PEAK
Dealership PERFORMANCE
By Mark Rodgers
Expert Advice
Five Fast Ways to Boost Your Sales Expertise
G
oogle the definition of “expertise,” and you’ll find all sorts of references to special skills or knowledge. But I only found one online dictionary that defines “expertise” the same way I do. BusinessDictionary.com states that the term describes the “basis of credibility of a person who is perceived to be knowledgeable in an area or topic due to his or her study, training or experience in the subject matter.” The emphasis on “credibility” is mine. Why? Because credibility equates to expertise almost every time. Consider that having credibility enables you to do each of the following: • Persuade people more easily, showing them new ways of thinking and allowing your expertise to help buyers make up their minds between that Softail Fat Boy and the Breakout. • Influence more people both directly and indirectly, generating a naturally positive effect and demonstrating your expertise when, say, explaining safe riding behavior and maintenance tips to first-time buyers. • Reduce conflict, allowing your track record to speak for itself and proving you’re a top-notch professional. Which means that when it comes to waxing wise (and perhaps even philosophical) about such motorcycle related hot-button issues as helmet laws and loud pipes, your expertise allows your voice to inform, educate and prevail. Note how expertise levels in a motorcycle dealership can fall into multiple categories, leaving room for certain employees to step in and fill observed voids. Regardless of whether you’re plugging a knowledge gap within your store or expanding your own knowledge base to meet sales goals, you can quickly achieve a level of expertise
by engaging in one, some or all of the following five activities on a regular basis: Read (and reread) literature 1. for the products you sell. Build time into your busy schedule to do this, and you’ll quickly become the most knowledgeable salesperson on the floor. An overlooked Latin phrase, Repetitio mater studiorum est, translates to: Repetition is the mother of all learning. And that statement still holds true today. Study what you sell. Learn as much as you can about the inside and outside of motorcycles and other products. Quiz yourself. Better yet, challenge your colleagues to prove you know more than they do. Another way to increase knowledge of what you sell is to read trade publications like Motorcycle & Powersports News (which, obviously, you’re already doing) and consumer magazines, particularly Motorcycle Consumer News. Considered the Consumer Reports of the powersports world where MCN independently tests and rates bikes and products, and then verifies the true measure of performance for every machine it tests. That’s a lot of expertise right there, but the real gems are the letters from readers. Be sure to check those out, too. Then, the next time a new rider begins a conversation with the words, “What can you tell me about …?” you can reply confidently: “I can tell you lots of things about … ” Subscribe to Email Alerts and 2. other similar services. The trend appears to be shifting away from Google Alerts — a recent redesign rubbed some users the wrong way, plus lots of people just don’t like Google these days — and toward such crisp alternatives as Mention (mention.com)
46 April 2014 | Motorcycle & Powersports News
and Talkwalker (talkwalker.com). But regardless of what alert services you use, they allow you to — in real time, or on a daily or weekly basis — track news about the brands you carry, find out what your competitors are doing, read blogs covering industry events and developments, and learn more about any other topic you think will help boost your expertise. I have alerts set up for, among other things, “persuasion,” which allows me to further my expertise in the art of professional persuasion even as I’m writing a book about that specific topic. You might, for example, want to set up alerts for “helmet laws” or “motorcycle sales.” Be too broad, and you’ll become frustrated with the vast amount of results. But be too narrow, and you won’t receive any results. Understand, and not just 3. know, what you sell. Ride the bikes on your showroom floor. Try on new helmets. Understand how specific aftermarket products work and why your customers might be interested in purchasing them. Doing these things will give you a greater knowledge of what you sell — and why you sell them — leading you to a deeper understanding of the reasons people want to buy them. Maybe you’ve never stopped to consider why a lawyer who rides to the county courthouse on a regular basis might prefer saddlebags instead of a luggage rack for his briefcase. Well, now’s your chance to do just that. Strap one of each onto your bike for test rides and see which option works better. Then leverage your newfound observations when working with customers that commute. Open-mindedness is one significant stop on the road to expertise.
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Present both sides of a discussion, and then take a position. Speaking of being open-minded, come up with lists of three pros and three cons for particular options facing your buyer. For example, here’s how to approach the situation if one of your customers is considering a radical (arguably too radical) custom paint job: “That fire-engine red with all-over neon blue, yellow and orange flames and fringe handgrips certainly would be one-of-a-kind and draw some attention to you and your bike. It also would set you apart from every other rider on the road. But will you really dig that design scheme two or three years from now? And what might it do to the bike’s resale value? Those colors could be a distraction to other motorists, too, increasing the risk of an accident. Personally, I would tone down the paint job just a tad.” You’ve stated what you consider to be the facts and shared your expertise. If your customer still decides to desecrate his new motorcycle with an ill-conceived design, you have done what you can. Talk to your techs and 5. existing customers. Find out what works and what doesn’t. You’ve never ridden a Goldwing across the country in August and don’t know how it holds up on long journeys in heat and humidity? Find someone who has and ask him to share a story or two. Then file it away for use with a future Goldwing prospect. Not sure about the details of the latest product recall? Ask your favorite tech in the shop to give you a crash course about the problem, the remedy and how future models will avoid similar recalls. Share that info with your colleagues and customers. Before you know it, your expertise will expand. So will the circle of buyers and buddies who turn to you for the answers and solutions they don’t have. That’s high-value credibility burnished with pure expertise. t
4.
An award-winning author, top-rated trainer and founder of Peak Dealership Performance, Mark Rodgers holds a master’s degree in adult education and the National Speakers Association Certified Speaking Professional designation. Email Mark@peakdealershipperformance.com to improve your performance. MotorcyclePowersportsNews.com 47
WebSAVVY
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By Heather Blessington
Secret Shop: Do You Deliver On Your Online Promise? Nine Dealers, Eight Quote Requests, One Week, One Clear Winner
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hen I talk to dealers about the goals of their digital marketing initiatives, lead generation is almost universally a top priority. Who wouldn’t want more leads? But dealers rarely ask for help getting the most out of their current pipeline of leads. While I’d love to believe this is because you’re all following up with every lead, every time, I wasn’t so sure. A week ago, I decided to do exactly what 80% of shoppers do when researching a major purchase like a motorcycle: I went online. Eight of the nine dealer websites I visited gave me the option to request a quote, so I clicked through on each site, filled out my contact information and began my secret-shopping waiting game. (Note: With no online inventory or request a quote option, that ninth dealer had zero hope of scoring my business.) The following chart shows what communications I’ve received in the past week. The verdict: With no follow up process in place, Dealers 2, 4 and 6 were automatically eliminated from contention. Dealer 5 didn’t fare much better, delivering a single auto-response, and there’s still
room for improvement in the follow up processes of dealers 1, 3 and 7. When I started receiving text messages with bike pics within 24 hours, Dealer 8 absolutely won this secret shopping experiment. I reached out to let the cat out of the bag that I was doing a little undercover investigation and to learn a little bit more on their lead follow up philosophy. “Our processes here are no secret. We would like every single customer to be treated equally, yet with a customized experience based on their needs,” said the dealership’s Internet department manager. “We strive for a first response (salesperson to consumer) contact to be made within 15 minutes of the inquiry. If we don't prompt a response from the customer then we have developed a follow up schedule that starts the very next day and continues on a specific cycle until a response is gathered,” he explained. “Once we get a response, and you'd like to come into the dealership for a test ride, etc., then based on your needs and interests, the process becomes tailored to you as an individual.” While not every dealership has an established Internet department, you can
Dealership
Email Auto-Response
Phone Call
1 2 3 4 5 6 7 8 9
X
Day 1 & Day 2
X
Day 2
X X X
48 April 2014 | Motorcycle & Powersports News
Day 2 Day 2
establish an online lead follow up plan that makes your online customers feel as valued as every customer who walks in your door. My colleague Bob McCann, ARI’s director of education, has helped countless dealers refine their lead generation efforts. I asked Bob to take a look at the results of my secret shopping exercise and offer some guidance for powersports dealers to help you develop your own written lead management process. Email Auto-Response: An immediate email auto-response is not optional. All of the leading website vendors allow you to setup an email that gets sent to a prospect within minutes of their quote request. This email can quickly and easily achieve three objectives: 1) It confirms that you’re received the request. 2) It can set expectations as to when your prospect can expect to hear from you. 3) It reminds prospects who you are. Just like me, your customers are likely sending inquiries to multiple dealers, so you need to help them remember you. One caveat, an auto-responder email does not replace a personal follow-up process. A quote request form is a promise to your website Email Text visitors that you will follow up Message with more information. Stay true to your word, and implement a personal lead follow up process. Phone Call: A follow up phone call within 24 hours might work, but a phone call within 30 minutes is sure to capture your prospect while they’re hot. When you get the prospect on the phone, you want to Day 1 & Day 2 Day 2 accomplish three things: 1) Build rapport: Thank them
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Photos: Alfonse Palaima, Mark Calzaretta
for their inquiry and learn a little bit about their riding history and their stage in the buying cycle. 2) Learn more about their wants and needs: Are they interested in other models? What about apparel and accessories? 3) Schedule an appointment: Capture their excitement by scheduling a time to come in for a test ride! The dealers who called me weren’t lucky enough to catch me on the phone. The most effective voicemails built my excitement and suggested specific times for me to come in for a test ride. Leave a message within 30 minutes, another with 24 hours, a third a week later and a fourth four weeks out. On average, it takes a shopper 79 days to research a product, don’t be discouraged if you don’t connect on the phone immediately – persistence pays off. Email: While Bob recommends that dealers always attempt to contact customers via the phone first, the reality is that some people just prefer email. Dealers 1, 3 and 7 gave up on me because I didn’t
J
call them back. They had my email address on hand, but didn’t take the effort to drop me a line to schedule that appointment. If you get a prospect’s voicemail, immediately draft a personal email. While it is more difficult to build rapport via email, you can achieve all three of your phone goals via an email conversation. Once you’ve set a specific time, be sure to send your email savvy prospect a calendar invite for their appointment time, so they receive a timely reminder from their favorite calendar app. Text Message: When Dealer 8 sent me those personal text messages with photos of new units from the floor inviting me to come and test ride today, they absolutely won me over. While email inboxes can be crowded with spam, the ping of a text message still rings personal. Be sure your online form asks for a cell phone number as an optional field. If your customers fill it out, take advantage of this personal form of communication. Chat: One thing that struck me as I conducted my secret shopping experiment was that none of the dealers
offered me the opportunity to engage in an online chat. If you want to capture an online shopper’s immediate attention, a chat window is an excellent opportunity to say, “How can I help?” You don’t need to staff a 24/7 chat room, by using a service like LiveChat, you can offer your customers chat that toggles on and off depending on your availability. If no one is available, your chat button simply disappears from your website. Bottom line, take advantage of all of the lines of communication your prospects provide you. Every person shops differently, and the key is to persistently follow up on each and every Internet lead. t
Heather Blessington is a nationallyrenowned speaker on social media strategy and a digital marketing veteran with more than 20 years experience. As MPN columnist for Web Savvy and CMO at ARI Network Services, Blessington is dedicated to educating powersports dealers digital marketing best practices.
Q&A with Stan Lee
oel Martin caught up with Stan Lee, the former head of Marvel Comics, at MegaCon in Orlando on the eve of Captain America: The Winter Soldier movie opening to talk about the inspiration behind Cap's choice of vehicle. Joel: Was there a particular story or inspiration in your life for the choice of a motorcycle in Captain America? Stan Lee: No not really, I didn't create Captain America. He was created by Jack Kirby and Joe Simon. I wrote him later on and the idea of the motorcycle just seemed so natural for him. There was nothing else it could be but a motorcycle. Joel: Was there a character that you created that could have
benefited from a motorcycle, looking back and hindsight is 20/20? Stan Lee: Yes, anybody could benefit from a motorcycle. They have to get from here to there fast. Joel: Why Harley-Davidson? Stan Lee: Harley is the perfect partner for Captain America, they are excellent partners. Harley was there in the past, and when you see him in Captain America 2, you’ll see the new version, so it sets up the continuity of the character. Plus, that’s the all-American brand, the perfect fit for Captain America. t
MotorcyclePowersportsNews.com 49
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Finance Insurance
By Steve Dodds II
Evidence: An Objection’s Worst Enemy
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hances are, your customers will object to some aspect of what you are selling. When you attempt to overcome your customer’s objection, as you know, you want to make sure you find the real objection before you start. After you identify this objection, you need to figure out what evidence you can use to convince the customer that he or she needs what you have. There are four categories of evidence, and below we dive deeper into each one. Verbal Evidence Verbal evidence is usually where we start. This can come in the form of introducing new information you have not yet discussed. This must be NEW information. If you simply repeat what you’ve already said, what the customer will hear is either that you don’t think he or she is smart enough to understand what you said the first time, or that you can’t remember what you already said. Neither is good. This is the biggest reason why you should never tell a customer every single feature of the products on your first swing. A short, simple explanation leaves you plenty to discuss if the customer chooses not to take a product.
1.
Created Evidence 2. Created evidence is anything you sketch out on the fly as you talk to the customer. Giving the customer a visual while you are talking can be extremely powerful. My personal favorite piece of created evidence was named the “heart attack payment” by one of the finance managers I recently worked with during a dealership visit. You simply show what
their payment looks like without your maintenance program or service contract and what it would look like with it. The key is to draw this out as you engage the customer in conversation about the needed routine maintenance. For an example of this, go to the following link to download a video: http://tinyurl.com/laaugod Physical Evidence Physical evidence is anything you have on permanent display in your office. I see good examples of this wherever I go. It’s even better if you can include the evidence as a working part of your office. Here are some examples I have seen used to good effect: • An attractive glass canister filled with objects that have been taken out of flat tires in your service department. • A damaged piston being used as a cardholder. • A piston with a hole in it (from a valve being forced through it) being used as a penholder. • A burnt-out ECU used as a paperweight. All these things either are being used as decorations, or they have been repurposed for use at the finance manager’s desk. Try to keep anything that a customer might see as a sales tool to a minimum. An entire damaged tire or rim leaning against the wall in your office has no other purpose but to be a sales tool. This is not the worst thing I see, but it’s not the best, either.
3.
Pre-Printed Evidence This is anything that is preprinted and pulled out when it is needed. The best way that I have seen to
4.
50 April 2014 | Motorcycle & Powersports News
store and use pre-printed evidence is to keep an evidence manual. This manual is usually a three-ring binder full of plastic sleeves. It is divided into sections with one for each product. In the service contract section, you would want copies of repair orders. Have some service contracts that have been paid, some that have not, others where the failure happened just outside of the warranty, and some that were paid outside of the coverage dates due to the customer doing all of their maintenance with your dealership, etc. In each section you want to think of any situation where hard evidence might help you make a point with a customer. Any time you come across an objection where evidence would help you rise above it, add another piece to your manual. This is also a great place to keep the product brochures so you can use them when needed. For more examples of great objection-handling, you can go to www.gartsutton.com and find more information about workshops in your area, where you can learn more about handling objections. Now, go get those objections! t
Steve Dodds II is a moderator, trainer and consultant for Gart Sutton and Associates with experience in every position in the sales and finance departments. Dealers rave about his ability to identify areas for improvement and implement the changes that produce superior results. If you have questions about what he or one of our other talented consultants can do to help you meet and exceed your goals, contact us at info@gartsutton.com.
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TECH
Tips
Cyclepedia Press LLC
Mechanisms of Fuel Delivery: The Float Valve
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n a previous issue we went over mechanical fuel delivery system problems associated with carburetor equipped engines. The final mechanism of fuel delivery to the carburetor is the float valve. The float valve is a fantastically simple mechanism to regulate fuel needs for the carburetor. Unfortunately, it is often problematic when fuel is left in the carburetor for an extended period of time. The float valve has three main components: an orifice (seat), a needle, and a float. The needle rides inside the orifice. When the needle is forced all the way in it blocks the orifice and stops fuel from flowing into the float bowl. Fuel can flow into the float bowl when the needle is retracted from the orifice. The movement of the needle is controlled by the float position. In a dry carburetor the float valve should be open as the floats hang down in the empty float chamber and the needle is retracted from the seat. As fuel fills the float bowl, the float is lifted and moves the float needle further into the seat. Eventually, when the fuel reaches the specified level the needle should be fully seated in the orifice and block additional fuel from entering the float bowl. The fuel level can become excessive if the float valve sticks open, cannot seal, or opens too much (Figure 1). This can cause a rich condition and fouled plugs while the engine is running. When the engine is not running, fuel will continue to pour into the carburetor. The fuel level will rise until it finds its way out a vent, makes its way into the airbox or empties into the engine. A faulty float valve can result in a hydro locked engine if enough fuel makes its way inside the cylinder and/or leaks into the crankcase. If gasoline has entered the engine carefully clear the cylinder and change the oil. Oil that smells of gasoline is a sign of gas contamination from a faulty float valve. If the float valve sticks closed or opens too little the fuel level will be insufficient. This can result is a lean condition while the engine is running. That is if the engine will start and run at all. To inspect a float valve remove the pivot pin and float. Often the needle will come out with the float. Check the float to see if any fuel has worked its way inside the plastic float bodies. Replace the floats if they have fuel in them. Inspect the float valve orifice/seat for wear and contamination (Figure 2). The valve may stick or fail to seal if there is a problem with the valve seat. Clean the valve seat with carburetor cleaner and compressed air like a fuel jet. Do not use a wire brush that can damage the soft valve seat. Replace the valve seat if it is damaged. The valve seat may be able to be replaced independently of the carb body, but often the carb body must be replaced as a whole if the needle valve seat is faulty. 52 April 2014 | Motorcycle & Powersports News
The float valve is often problematic.
Inspect the valve seat and needle.
Inspect the needle tip and plunger.
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Inspect the needle tip for wear (Figure 3). If the tip shape deviates from a cone, replace the float valve. Depress the float valve plunger and make sure it springs back out. If it doesn’t, replace the float valve needle. Check the float height with the float valve assembled (Figure 4). Hold the carburetor so the float tang is resting on the spring loaded plunger in the float valve, but do not compress it. Measure the distance from the float bowl mating surface to the highest point on the float or as indicated in the service manual. Compare your reading with the specification. Some carburetors have a fuel level specification in addition to or in place of the float height specification. With the carburetor installed, connect a clear hose to the float drain. Bend the hose in a U-shape and hold the hose against the carburetor body. Open the drain screw and compare the fuel level to the reference in the service manual. Most floats can be adjusted to change the float height or fuel level (Figure 5). Bend the metal tang to change the float height. If the float is plastic it can’t be adjusted and must be replaced. t
Cyclepedia Press LLC authors powersports service manuals, a specification database and training modules to help technicians efficiently service ATVs, motorcycles, scooters and side by sides. Each month Cyclepedia examines real life shop scenarios with recommended tech tips for handling the problems encountered. For more information about Cyclepedia manuals and professional products visit www.cyclepedia.com.
Measure the float height.
Bend the float tang to adjust the float height.
You Need Tires to Ride... But it’s entirely possible, though maybe not legal, to ride in the buff
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ack in January 1983, a story that seemed relevant to this issue was one on Merchandising Cycle Apparel for Maximum Profit. The story states, “The one thing that makes apparel unique from every other motorcycle part or accessory, is that it is not absolutely essential to the operation of the vehicle.” Bob Jackson, MPN’s editor at the helm at the time, said that aside from the fashion aspect of apparel, there’s the obvious safety aspect, as pavement, macadam, concrete, or whatever is a very unforgiving surface, with painful, not to mention unsightly road-rash consequences for the riders not “covered.” Jackson noted that apparel retailers need to cover as many of the security
bases as possible, to discourage pilferage. “We had an interesting case with a local dealer who found the need to place his Hein Gericke merchandise closer to the counter, not because his jackets were being stolen, but because somebody was cutting the labels from the jackets to be placed inside much cheaper apparel,” said Jackson. “Obvious is apparel’s appeal as adjunct product, and the need to have all the necessary ‘perks,’ the apparel buyer looks for: mirrors, changing rooms, etc. You need to make sure that part of your store looks as much like a clothing store as possible.” t
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54-55 Classifieds_April 4/10/14 1:56 PM Page 54
MarketPlace Same Day Shipping • Huge Inventory
www.sammytanner.com
909-350-2727 888-258-0369 TO ADVERTISE IN CLASSIFIED MARKETPLACE CALL Roberto Almenar 330-670-1234 ext. 233 ralmenar@babcox.com
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www.motorcyclepowersportsnews.com/resourcecenter.
Ad Index ADP Lightspeed . . . . . . . . . . . . . . . . .33 AIMExpo . . . . . . . . . . . . . . . . . . . . . . .15 Amsoil Inc . . . . . . . . . . . . . . . . .Cover 2 ASA Electronics . . . . . . . . . . . . . . . . .41 EMGO International . . . . . . . . . . .3, 51 Fulmer Helmets . . . . . . . . . . . . . . . . .8 Kuryakyn . . . . . . . . . . . . . . . . . . . . . . .5 Liquid Performance . . . . . . . . . . . . .45 Lonski and Associates, LLC. . . . . . .40 MBA Insurance . . . . . . . . . . . . . . . . . .9 Motor Trike . . . . . . . . . . . . . . . . . . . .11 MTA Distributing . . . . . . . . . . . . . . . .13 Protective Asset Protection . . . . . . .17 Redline Synthetic Oil . . . . . . . . . . . .43 Rizoma USA . . . . . . . . . . . . . . . . . . . . .7 Scorpion Sports Inc. . . . . . . . . . . . . .25 Service Manager Pro . . . . . . . . . . . . .8 Spectro Oils Of America . . . . . . . . . .44 Sudco International Corp. . . . .Cover 4 Sullivan's Inc. . . . . . . . . . . . . . . . .1, 23 Vega Helmet Corp. . . . . . . . . . .Cover 3 Wizards Products/RJ Star Inc . . . . .39 XY Powersports . . . . . . . . . . . . . . . .18 Zep Inc. . . . . . . . . . . . . . . . . . . . . . . . .47
MotorcycleAndPowersportsNews 55
www.motorcyclepowersportsnews.com/resourcecenter
Find out more about the classified advertisers in this issue online at
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A Different Side of Rick Fairless?
R
ick Fairless is a wild, tye-dyed, psychedelic kind of a dude, no doubt about it. So what is he doing designing a bike that is, well, not so trippy, man? For the last two years, Arlen Ness has been tasked with the design of Allstate’s ever-popular Sweepstakes bike build. But this year, Allstate shook things up a little by asking a different custom builder to come up with a design. When Rick got the call, he knew he was going to have to push the envelope for what he does. “I had big shoes to fill following Arlen,” admits Fairless, who wanted to build something that was a little different than what he normally does and appeal to a wide range of riders that make up Allstate’s customer base. “I knew I had to do something that was pretty crazy but it had to be something that was different than what I normally do, because, you know, Allstate represents a very diverse group of riders. So I wanted to step out of my normal tyedyed, psychedelic image that was still mean and low down and cool, and that people could really get their teeth into,” he snarls. Fairless and his crew at Strokers Dallas chose the Victory Vegas 8-Ball, not just because he is a Victory dealer, but because they are also a really great handling machine, he points out. Fairless was on hand to help debut the new custom machine at the Allstate Rider Protection Zone, which was located at Daytona Speedway during Bike Week held last month. Riders in attendance got to see the bike in-person and learn from the man
himself how the Allstate Victory Vegas 8Ball came to be. Bike Week riders also got the chance to enter the sweepstakes to win the motorcycle, as well as see some of the other custom bikes Allstate owns, including Arlen Ness and Dave Perewitz originals. Fairless’ reimagined 8-Ball is definitely unique: “I had those chrome cages put around the motor,” he explains. “It’s something that’s never been done before and it’s kind of unique. I like mesh, and you can see that I used a lot of it on the bike. I wanted to do some aesthetics to the motor, too. We’re making a lot of Victory parts and that’s going to be one of my new parts. I really love it because it looks cool, it looks mean, it looks urban, it looks kick-ass – all in one whack.” In addition to winning the motorcycle, Allstate will give the winner a trip for two to Rick Fairless’ Strokers Dallas shop for a free custom paint job consultation, personalized by Fairless himself. Following the unveiling, Allstate’s Victory Vegas 8-Ball, along with their other custom creations, will be on
56 April 2014 | Motorcycle & Powersports News
display in 2014 at the Allstate Rider Protection Zone at several motorcycle events throughout the year. Check our online version for event dates and locations. Victory Vegas 8-Ball featuring custom parts by Rick Fairless (RF) and others: • RF Custom 23-inch “Southern Cross” Front Wheel and 18-inch Rear Wheel • RF Custom “Motor Cage” Chrome • RF Custom 8” “Boogie Bars” • RF Custom “Lone Star” Pegs & Grips • RF Custom “Vegas-Collector” Exhaust • RF Custom Belt Drive Cover • RF Custom Vegas “Spoiler” • RF Custom “Solo Seat Kit” • Loydz Torque Tube Intake • Victory Stage One Kit • Avon 200mm Rear tire • Arlen Ness Fairing • Kewl Metal Neck Kit • Paint by OSC To enter the Allstate insurance sweepstakes for a chance to win this bike, visit allstatemotorcyclesweepstakes.com. t
-down stakes bike build is low His new Allstate Sweep le. sty ss rle Fai l still in typica and mean-looking, but
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