Dealernews Issue#5 May 2021 by Dealernews

DN 2.0 #5

THE EV MOTOR COMPANY?

LiveWire To Become Stand-Alone Brand

METEOR STREAKS INTO U.S. MARKET Royal Enfield’s Middleweight Meteor 350

CONTENTS

20 4

OUR TEAM Bob Althoff World’s Luckiest Man

06 WORLD’S LUCKIEST MAN 08 EDITOR’S NOTE 10 LETTERS+ 12 NEWS+ 18 SHIFTING GEARS+ 20 DEALER PROFILE+ 24 OEM UPDATE 28 INDUSTRY RESEARCH+

Bob Althoff On CEOs And Ecosystems Robin Hartfiel On What Are The Odds? The Industry On Dealernews

Extra! Extra! News Dealers Can Use Who’s Working Where Post Pandemic?

Moto Corsa: Rocking & Rolling In Portland Royal Enfield’s Meteor 350

Dr. Paul Leinberger On Return Of The Roaring ’20s… Or A Decade Of Disappointment?

30 32 INDUSTRY RESEARCH+ 40 INDUSTRY RESEARCH+ 42 INDUSTRY RESEARCH+ 44 INDUSTRY RESEARCH+ 48 ADVOCACY+ 56 DIVERSITY+ 58 PERFORMANCE+ 63 eDEALERNEWS INDUSTRY RESEARCH+

Lenny Sims On J.D. Powers Valuations Don Musick On X Marks The Spot Pied Piper Industry Report Card NPA’s Jim Woodruff On Pre-Owned Larry Daniel On COVID Recovery Scot Harden On The Powersports Business

Alisa Clickenger On TigraTsujikawa

Mark Rodgers On The Book Of Mark Performance Gospel The EV Motor Company?

64 68 70

CURRENTS+

The Latest eNews

PERSONNEL FILES

Alex Baylon On Asking The Right Questions

CONFESSIONS OF A CUSTOMER

Eric Anderson On Sliding Into New Niches

72 MIC RIDE REPORT 74 ADVOCACY+ 76 GEAR+ 80 PRESS PASS+ 82 PRESS PASS+ 88 VALE+ 89 AD INDEX 90 Parting Shot+

What Does The MIC Do For You? Don Amador On Zoom Zombies

What A Drag!

Iowan Hard Enduro The One Show

Ave Atque Vale Del Kuhn This issue Brought To You By… Motorcycle Caucus Weighs In On Motorcycle Safety Month

TOC Photo credit: Colton Haaker on his way to 3rd at Iowan Hard Enduro. Photo courtesy Husqvarna ON THE COVER Tigra Tsujikawa detoured her Suffragists scouting ride long enough to ride the Royal Enfield Meteor. Photo by Brandon Davis

EDITORIAL Robin Hartfiel Editor Gus Stewart Creative Director Brenda Stiehl Production Manager CONTRIBUTORS Don Musick Genesys Technology Solutions Dr. Paul Leinberger Denny+Leinberger Strategy Eric Anderson Vroom Network Jim Woodruff National Powersport Auctions Lenny Sims NADA Appraisal Guides Scot Harden AMA Hall Of Fame/Harden Offroad Hector Cademartori Illustrations William Douglas Little Unique Powersports Charlie Williams Off Road Editor Marq Smith Holeshot Motorsports, Canada Alisa Clickenger Women’s Motorcycle Tours Don Amador Quiet Warrior Racing Joe Bonnello Joe B Photography Uncle Paul Wunsch Love Cycles The Anonymous Dealer Dealer Advisory Board Bob Althoff Chairman Joey Belmont Big #1 Sports Jim Boltz Lynnwood Cycle Barn/WMDA Jim Foster Killeen Power Sports George Gatto Gatto Harley-Davidson Malcolm Hunter Deeley Harley-Davidson Robert Kay Star City Motorsports Bob Kee Destination Cycle Jerry Lenz Beaverton Motorcycles Kurt Mechling Performance PowerSports Don Owens Dothan Powersports Mark Peterson Southwest Superbikes Sandy Stroope Boat World Honda Polaris

ADVERTISING Robin Hartfiel Publisher (949) 489-4306 robinhartfiel@gmail.com Blake Foulds Account Executive (760) 715-3045 Blakefoulds@dealernews.com John Murphy Publishing Consultant johnmurphydn@gmail.com

MAY 2021

STAKEHOLDERS: Ignoring any critical facet of any business is inviting disaster. And most effective CEOs learned that early in CEO school (or the school of hard knocks). Remember the old “kneeboneis-connected-to-the-shinbone” song? Every piece is interconnected and every piece matters. Ignoring the plight of the Dealer to pander to the shareholders is a dangerously untenable position for a CEO. A Dealer’s job is simple. We need to be sustainably profitable while exceeding customer expectations and grow the business. All of these things are critically important… and ultimately connected to the myriad of concerns facing the CEO.

World’s Luckiest Man By Bob Althoff

DEALERS MATTER

he life of a CEO at any major enterprise is, in a word, complicated. Take for example, say, a manufacturer of motorcycles and such. They deal with so many competing interests, suppliers, shareholders, unions, c-suite denizens, rank and file staff, Supply chain SNAFUs, governments with their regulations and tariffs, the public as final consumers… oh, and Dealers, too.

SYNERGY: As much as we at Dealernews think the sun and moon revolve around Dealers and the critical role we play in creating “final demand” for a product, the fact is we as Dealers are just a part of an overall powersports ecosystem. Our frontline priorities as Dealers are not necessarily the priorities of any OEM CEO, but by necessity we are involved in a synergistic relationship. ECOSYSTEM: We could argue about how important we are. Doing so is a waste of breath. But what is dead certain is that we are equally important as any of the stakeholders. And for the sake of brevity here, let’s posit that we are no more or no less important than any of our fellows in the ecosystem.

Synergy. Ecosystem. Stakeholders — it gets complicated. But the fact is, “we are all in this together.” Forget that one, and you won’t be a CEO (or a Dealer) very long. And that is the name of that tune! Bob

CEOs can find themselves in the hot seat!

Editor’s Note By Robin Hartfiel

WHAT ARE THE ODDS?

here is a message on the walls of Honda’s factories and its Heritage Hall from founder Soichiro Honda saying “Go To The Spot.” Our industry is currently at that proverbial “spot” or inflection point as Dr. Paul Leinberger points out. Are we headed into a sustained industry rally similar to the Roaring 20s or the 1990s when the motorcycle industry went on a 13 consecutive year run of double-digit growth… or are we setting ourselves up for a decade of disappointment as some financial pundits are predicting? As the late great prognosticator Don Brown always told me, be cautiously optimistic, but have a plan for the worst case scenario! My current state of cautious optimism was echoed by this issue’s cover girl Tigra Tsujikawa as texted from her cell phone while she was scouting the Suffragists pending Centennial ride and reading the Mary McGee Revival issue at an auto parts store in Idaho Falls: “Reading your column in Dealernews and then Dr. Leinberger’s article on the inflection point makes me hopeful. I think motorcyclists will travel on motorcycles more and it’s great for services like rental outfits, tour operators and big moto rallies and events. I hope someday a Dealer Association can link dealerships and service across the country for travelers — after all, people like to

have a friend wherever they go and having an “authorized dealer” or something where you get special treatment is key... imagine traveling with a list of trusted dealers where you could change tires, oil or even bikes on a cross-country trip! “As I rode on my Z1000 on my way to Sturgis, I was thinking about how nice it would have been to have help with my battery change at a motorcycle dealership instead of an auto parts store at 9pm at night in Idaho Falls. Another great issue (I’m just 1/3 of the way through, hard to read my phone on the road)!” The last time I had a chance to catch up with Tigra in person, we were at a secluded spot (at least I thought it was secluded) to shoot the Royal Enfield Meteor for our cover. However, a never-ending stream of dog walkers, Orange County House Wives and Amazon Prime delivery vehicles soon had me second-guessing the spot. Then some guy on a bicycle came riding up and engaged Tigra in a quick game of 20 questions about the Meteor. Turns out it was Don Brown’s son Scott. I have not seen Scott since Don’s memorial service, but it turns out he lives on the other side of the arroyo from me. What are the odds of that happening? Only in the special time-space continuum that Dealernews exists in! Sessioning in with Scott quickly reminded me that we are in the best spot in the universe. The work done by all the great dealers and industry leaders leading up to this current inflection point has our industry well positioned for what the Roaring 20s may bring. In fact, Scott says he still talks to his dad in his helmet every time he rides and I still have my first instinct to call Don Brown when the MIC releases quarterly sales reports or news like Harley’s LiveWire being broken out as a stand-alone brand breaks (see page 64). In the absence of DJB, I had to tell someone about this chance meeting with Scott, so I wrote to Dr. Leinberger. “I love what Tigra had to say – proof that if you think about your customers, you can grow your business,” he answered. “I still miss Don Brown… Someone should write a book about all the extraordinary people who ride and work in this incredible industry.” We don’t have a book… yet. But Dealernews is in the right spot to chronicle all the great people and monumental events shaping our industry. What are the odds of the powersports business succeeding as we move past this inflection point? I am cautiously optimistic… just waiting for confirmation from Don Brown’s algorithms! Former Editor-in-Chief and publisher of Dealernews circa 19902003, Robin returns to the magazine. In addition to having been instrumental in creating the Dealernews Top 100 program (still the industry’s ultimate accolade for a motorcycle dealership), Hartfiel has worked for most of the B2B publications in the Powersports arena. Prior to the trade side, he worked as a beat reporter for a local newspaper and was an editor of publications ranging from All About Beer to VW Trends.

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ONE IN SEVEN DEALERS DOESN’T SUCK Shopping For A Motorcycle Online… Last week I went online to shop for a motorcycle. Contacted 7 dealers through #cycletrader and here is a quick recap of how they did: 1-I received an email from a sales person and a manager within 5 minutes both requesting me to make an appointment to come in. I responded to the sales person on two separate days and they never responded to either. 2-Never responded via email. Salesperson left me a voicemail and then never reached out again. 3-Email auto response confirming my lead. No contact from dealer ever. I went on this dealer’s website and filled out a “contact us” form. Nobody responded. 4-Emailed auto response confirming my lead. No contact from dealer ever. 5-Emailed auto response confirming my lead. Salesperson emailed me a few hours later. I responded and then never heard back. 6-Emailed auto response confirming my lead. No contact from dealer ever. 7-Received email from a sales person. We emailed back and forth a few times and I determined this was not the right bike for me and thanked him for his time. This is not rocket science… and this is not acceptable. Raphael Borenstein, J.D. Power Via The Internet

P.S. I am not a fan of auto responses to leads, but it’s not the end of the world to let a customer instantly know their inquiry was received. But it HAS to be followed up with a personalized response from somebody at the dealership within a reasonable amount of time during business hours or you lose all credibility. If a sales manager is not monitoring and auditing their CRM activity, to see what his/her sales team is doing, then how exactly is he/she spending their time? It is not rocket science. It is not acceptable. Dealernews was linked into this thread on LinkedIn along with Robert Pandya, Elvis Vaughn and several other industry professionals. Coincidentally Fran O’Hagan was in the process of releasing the latest industry report card on how dealers did when it came to responding to online queries. Even the best in the business only seemed to get it right about half the time. See page 36 for the results of Pied Piper’s virtual mystery shopping expose. ARROGANCE VS. IGNORANCE I have come to believe that the arrogance we have within this industry will be its ultimate downfall. In a culture where service is important, where community is a corner stone, and where advocates are the most critical marketing tool, the level of pathetic sales and service in motorcycling can’t be excused. There are lots of dealers who really suck. And if you take offense to that and don’t secret shop your own dealership, your dealership may in fact really suck. Hoping you do not suck is not an action plan. Time to fix it. Robert Pandya. Owner SpokesPeople LLC. Georgetown. TX

DISHEARTENING AND DIFFICULT TO BELIEVE Wow, Raphael!! That’s disheartening and a little difficult to believe. One, maybe two dealers dropping the ball? That wouldn’t surprise me, but 6 out of 7? Sadly, and primarily due to COVID, dealers are experiencing record breaking month after record breaking month. Inventory levels are likely the lowest they’ve been in the last 20-25 years, across all brands and all segments. I’m going to guess (and it’s strictly a guess) that the dealers are not placing the same emphasis on an Internet lead that they maybe did 15-16 months ago. I wouldn’t be surprised if the general attitude in those stores is, “If he’s serious about getting a bike, he’ll walk through that door. Let’s focus on the walk-in traffic, and the rest will fall into place.” What happened to doing business the way the customer wants to do business? In March/April of 2020, dealers were practically begging customers to initiate their inquiries online. Fast forward 12 months, and those same dealers are too overwhelmed to even connect with you? Kevin “Elvis” Vaughn, Talent Search Director Action Recruiting. A SearchPath Company Bristol, TN

SOUND OFF! Dealernews is indeed back. Join in the conversation via e-mail: Editor@dealernews.com Check us out on Instagram: https://www.instagram.com/ dealernews/ Like us on Facebook: www.facebook.com/DealernewsFan/ Follow along on Dealernews.com Tune into the new YouTube channel: www.youtube.com/ channel/UCZE6q4gQ5EIz0nOX4WaXw1w

TARIFF TALKS CONTINUE

From a full page ad in the Wall Street Journal to headlines from ACEM (Association des Constructeurs Européens de Motocycles – The Motorcycle Industry in Europe), the Tariff troubles are getting headlines on both sides of the pond. Most recently ACEM and USMMA (United States Motorcycle Manufacturers Association) issued a joint statement calling on European authorities and the US Administration to solve their differences without unduly impacting motorcycles. Motorcycles will become collateral damage in the trade war if things don’t change before the June 1,2021 deadline. So far a coalition of 88 European and American associations have written to European Commission President von der Leyen and United States President Biden, supporting a suspension of the retaliatory tariffs within EU-US ongoing trade disputes, hitting unrelated sectors. “This development confirms the urgency to suspend all additional tariffs on unrelated sectors, to avoid damaging escalations,” says Antonio Perlot, ACEM Secretary General. “We call upon the European Commission and the new US Administration to restart a positive transatlantic trade dialogue. We continue to strongly support a return to reason and for both parties to find a solution.” The appeal by industry is made once again to build on the positive momentum of the suspension of tariffs imposed in connection to the World Trade Organization (WTO) disputes concerning civil aircraft subsidies for four months as the Boeing vs. Airbus battle escalates. The call is also made to overcome differences within the steel and aluminum trade dispute. Ultimately, the Coalition wishes a return to a positive, reciprocally rewarding transatlantic relationship, supporting economic growth and benefiting producers and manufacturers, their distribution partners, importers and consumers, and all associated sectors. ACEM and USMMA join the call, as the motorcycle sector has repeatedly been unduly targeted within the EU-US trade war escalation over the past few years. US motorcycles are heavily impacted by the EU rebalancing measures devised in response to the US decision to impose a 10% tariff on European aluminum products and a 25% tariff on European steel products back in June 2018. Under Commission implementing regulation (EU) 2018/886, a list of US products, including motorcycles above 500cc, have faced additional duties when entering the EU since June 2018. As of June 1, 2021, European authorities are expected to double these additional customs duties, which will impose a 50% tariff on US-made motorcycles above 500cc.

WAR OF WORDS HEATS UP

In the face of the impending tariff troubles, Harley-Davidson CEO Jochen Zeitz took to the Wall Street Journal to voice Harley’s response. “We won’t be pushed out of free and fair trade or give up our freedom to ride.” The full page ad ran May 11th and explained MOTORCYCLES HAVE NO PLACE IN THIS TRADE WAR. “Harley-Davidson just launched Pan America, the most competitive Adventure Touring motorcycle on the market today. Now the EU is imposing a 56% tariff on all our bikes from June. European motorcycle manufacturers are subject to significantly lower U.S. import tariffs of 2.4%. This punishes Harley-Davidson and our European customers and dealers, in a trade dispute over steel and aluminum which is not of our making.” Looping into ACEMs efforts overseas, Harley’s ad concludes, “88 European and American associations agree with us. Remove the tariffs.” UNITED WE RIDE.

AMA VMD OAS IS A BFD!

HARLEY-DAVIDSON CERTIFIED PRE-OWNED

H-D CPO Is Not A Star Wars Character In addition to the tariff turmoil and splitting off LiveWire as a virtual stand-alone operation, The Motor Company announced details of its much anticipated certified pre-owned vehicle program. H-D CPO is not a Star Wars character, but a strategic business move from Harley-Davidson to enhance customer experience… and more importantly give dealers access to something to sell during the COVID-caused inventory issues. “H-D Certified is a strategic effort to strengthen our competitive position and is part of our new approach to the used motorcycle marketplace, aligned to the strategic priorities of The Hardwire, while supporting growth,” explains Harley-Davidson chairman, president and CEO Jochen Zeitz. “We believe this program will drive Harley-Davidson desirability and enhance the overall customer experience, allowing more riders to have access to our motorcycles and provide them with an added level of confidence in their purchase.” The terms: Each Harley-Davidson Certified™ pre-owned motorcycle will be subjected to a comprehensive 110-point quality-assurance inspection by certified Harley-Davidson technicians. Dealers will also verify that the pre-owned motorcycle has no open recalls or a blocked VIN, has not been in a major accident, and that all scheduled service is up to date. Harley-Davidson motorcycles eligible for the program must be no more than five model years old, have less than 25,000 miles of use, and not contain aftermarket modifications to the engine or transmission, or major chassis or electrical modifications. A Harley-Davidson Certified pre-owned motorcycle will be sold with a 12-month limited warranty on the engine and transmission. Each Harley-Davidson Certified motorcycle sale also includes a complimentary one-year membership in H.O.G. (Harley Owners Group), with standard member benefits like roadside assistance. Special financing rates and programs will also be available through Harley-Davidson Financial Services to qualified customers. Participation in the Harley-Davidson Certified program will be at the discretion of each authorized Harley-Davidson dealer. For more information go to: https://www.harley-davidson.com/ us/en/products/bikes/certified-pre-owned.html

Mert Lawwill Named Grand Marshal For AMA Vintage Motorcycle Days Coinciding with the 50th Anniversary of On Any Sunday motorcycle racer turned movie star Mert Lawwill has been named Grand Marshal for the 2021 AMA Vintage Motorcycle Days. The epic event is set for July 23-25 at the Mid-Ohio Sports Car Course in Lexington, Ohio. AMA Vintage Motorcycle Days 2021 will also feature a special screening of On Any Sunday, bringing back the excitement and joy of riding to young and old who attend. “I’m excited to experience all the vintage stuff happening at MidOhio this July,” Lawwill said when invited to attend, “and honored to be chosen as the event’s Grand Marshal — especially since the AMA will be celebrating Bruce Brown’s On Any Sunday moto documentary during VMD weekend! Being involved in that film was a great experience and reliving some of it this July will be fantastic.” Lawwill, an AMA Grand National Champion (1969), won his first AMA national at the storied Sacramento Mile in 1965, the first of his 15 career wins. In 1969 he was voted the AMA’s Most Popular Rider of the Year, and he was inducted into the AMA Motorcycle Hall of Fame in 1998. Beyond his racing success, Lawwill is perhaps best-known for his featured role in Bruce Brown’s legendary 1971 moto documentary which chronicled his bid to defend his AMA Grand National title throughout the 1970 racing season. “Mert Lawwill is a beloved figure in motorcycling,” said AMA Editorial Director Mitch Boehm, “for his racing career as well as his role in motorcycling’s all-time favorite movie. Having Mert there to celebrate the magic that Bruce Brown created 50 years ago will be a thrill for everyone involved.” This year marks the 50th anniversary of the classic movie, and the 2021 AMA Vintage Motorcycle Days event will feature an On Any Sunday theme to celebrate the beloved documentary. Along with having one of the movie’s stars, Lawwill, as Grand Marshal, Lawwill’s Harley-Davidson dirt tracker and a Husqvarna Malcolm Smith rode in the movie will be on display, along with other movie memorabilia. The 2021 AMA Vintage Motorcycle Days event will also feature all the vintage-oriented happenings classic-bike fans love about the event, including off-road and road racing, Hall of Fame activities, the legendary swap meet, and more. MAY 2021 13 For more information, visit: americanmotorcyclist.com

POLARIS DONATES $80K TO NON-PROFITS ON EARTH DAY

SIMULCAST SOFTWARE MOBILE BIDDING

FACILITATES

Bid Everywhere, Win Anywhere With Live Bidding On THE NPA Dealer App A pioneer in the field, National Powersport Auctions (NPA) has launched its all-new Simulcast platform. Featuring live mobile bidding capabilities, dealers can now feel as though they are participating live in-person directly from their mobile device or tablet through the NPA Dealer App (available for both Apple and Android users). Additional features and functionality provide an improved buying experience. A completely redesigned bid screen and three new lane views allow for multiple lanes to be open and bid on simultaneously. Dealers can now view bidding activity and listen to audio on different lanes, easily preview and filter through the upcoming run list, add items to the watch list and set proxy bids directly from the bid screen. Additionally, new seller features like Sell, Take and Pass buttons make it easy to communicate with the auctioneer about how to proceed with a unit on the block bid screen. Additionally, new seller features like Sell, Take and Pass buttons make it easy to communicate with the auctioneer about how to proceed with a unit on the block. “We’re very excited to launch our all-new NPA Simulcast platform,” said CEO Jim Woodruff. “It’s been a long time coming with a lot of hard work going into it, so to have it finally come to fruition and now be utilized during auctions is a massive accomplishment. Dealers have been asking for mobile bidding for a long time, and we’re excited to provide that service to them. Everything they need to bid and buy at auction is now right at their fingertips. The platform also has a whole new look on a desktop with new features that will improve the overall experience for our clients.” For more information visit: www.npauctions.com

Appropriately enough for Earth Day. Polaris announced it was donating $80,000 to off-road and all-terrain vehicles (ATV) organizations across the United States as a part of its ongoing T.R.A.I.L.S. Grant Program. A total of nine nonprofit organizations were awarded grants ranging from $6,000 to $10,000 to support the development, improvement and expansion of trails. The Q1 cash recipients include: American Sand Association (Tempe, Arizona) Osseo Area Dusty Riders Inc. (Osseo, Wisconsin) Heart of Oregon Corps., Inc. (Bend, Oregon) Dexter Rail Riders (Dexter, Maine) Garland Trail Hawks ATV Club (Garland, Maine) Millsfield ATV Club (Berlin, New Hampshire) Minnesota Kitty Cat Racers Association (Lindstrom, Minnesota) Christ Miami Corp. (Miami, Florida) Atlas Foundation (Dearborn Heights, Michigan) “These organizations and clubs are made up of passionate volunteers and riders who love our sport – they are the heart of the off-roading community with a desire to help create a safe and enjoyable experience for all those looking to get out and ride,” said Steve Menneto, president of Off-Road at Polaris. “Polaris is excited to help support their efforts and show our appreciation for their passion and dedication through the T.R.A.I.L.S. Grant Program.” “We’re thrilled beyond words at the amazing generosity of Polaris, adds Joe Valentim, President, Garland Trail Hawks ATV Club. “The funding that we have received has helped put Garland Trail Hawks on ATV riders’ radar for a Central Maine riding destination. Now that spring is here, everyone is getting very excited to get out there. With this infusion of funding, we’re excited to start work on this year’s improvements.” Since its inception in 2006, Polaris’ T.R.A.I.L.S. Grant Program has provided funding to national, state and local organizations to help support the future of ATV, snowmobiling and off-road riding. The T.R.A.I.L.S. Grant Program focuses on two main objectives: promoting safe and responsible riding and supporting environmental preservations and trail access. Organizations may use funds from the grant to increase and maintain land access through trail development, maintenance projects, safety and education initiatives and other projects. Apply here: https://www.polaris.com/en-us/trails-application/

PARTS PULLS PLUG ON NVP

Distributor’s Gala A Casualty Of Continuing COVID Closures LeMans Corporation has announced its decision to cancel the 2021 Fall NVP Product Expo. Previously scheduled for August 21-22, 2021 in Madison, WI, the gala gathering has been put on

hiatus again. “Due to conditions regarding the global COVID-19 pandemic and the current business demands of our vendors, dealers and sales reps; Parts Unlimited and Drag Specialties made the difficult decision to cancel the event,” is the official statement. “It is in the best interest of our company to continue to navigate these unprecedented times with respect for the health, safety and well-being of our teams, dealers, vendors, industry colleagues and communities. Parts Unlimited and Drag Specialties are looking forward and planning for the future with one goal — continue to support our Dealers and Vendors as we work through these challenging times. “We are here to support you and we are looking forward to a safe and healthy summer.” For updates on the Spring NVP Expo in Louisville, click on: dealer.parts-unlimited.com or dealer.dragspecialties.com

Brought To You By MotorcycleIndustryJobs.com

Heads up! Former Quin Helmets sales head Tim Calhoun is now heading up Parts & Accessories for HISUN Motors Corp. U.S.A. Calhoun comes to HISUN with more than 35 years of industry experience and former executive roles at Indian Motorcycle, Western Power Sports, LeoVince USA, SpeedMob Inc. and Helmet House. “It is an exciting time at HISUN and we are thrilled to add Tim to our growing team,” says Jamie Cheek, VP of Operations. “He will be instrumental in refining the aftermarket experience for HISUN customers, a key sector that will propel the HISUN brand further along in our journey. The industry knowledge Tim brings to the table is unrivaled.” As Director of Parts & Accessories for HISUN Motors Corp., Calhoun’s goals include improving dealer accessibility to parts and accessories, simplifying ordering and delivery operations, and creating an extensive catalog of parts and accessories, both performance and utility, for the HISUN family of vehicles. Creating this role is just one more step on the HISUN roadmap to improve the end users experience and allow customers to expand the various uses of HISUN products. A peer-elected board member on the Motorcycle Industry Council, and current Chairman of the Aftermarket Committee, Calhoun is a lifelong rider with more than 50 years in the saddle.

Motojournalist Kevin Duke admits he is back in the saddle again! “Hi, my name is Kevin Duke and I’m a motorcycle addict. If you count HarleyDavidson’s new Pan America that I rode April 19, it’ll add up to about 950 different motorcycles I’ve ridden in my lifetime. I’ve commuted and toured, bashed trails and bar-hopped, been to Sturgis and Daytona several times, and gone full throttle on roadrace circuits and at the dragstrip. All of which brings me here to you at Thunder Press as the new Editor in Chief. It’s a small bit of irony that I’m following TP’s former Editor, Mitch Boehm, as he was the guy that gave me the opportunity to become a full-fledged motojournalist as a staffer at Motorcyclist nearly 25 years ago. Now he’s moved on to helm American Motorcyclist, the AMA’s magazine, and he’s already doing terrific work there. Now, if you excuse me, I must begin packing for my test on Harley’s most adventurous new model since I began riding motorcycles nearly a half century ago.”

JC Maldonado has joined Royal Enfield North America to support its dealer marketing efforts and national campaigns in his role as marketing manager. Previously, JC had worked in the advertising and PR industry and specialized in enthusiast

brands in the powersports industry. He kicked off his career at CramerKrasselt, the agency of record for BRP at the time, and worked as a content writer, community manager and social strategist for Can-Am Off-Road and the Spyder brands. He also served as a media relations liaison for Evinrude. After a fouryear tenure at C-K, he then spent four and half years at a start-up agency, working with brands such as Mercury Marine and performance battery brand OPTIMA, marine electronics brands, as well as being a GoPro content strategist.

Dunlop Motorcycle Tires rounds out its team with former AMA roadracer Chris Siebenhaar rolling in as a new Product Manager. “We are excited to welcome Chris to the Dunlop team,” says Senior VP of Dunlop Motorcycle Tires Sales & Marketing, Mike Buckley. “His background in product development, testing & marketing will add value to our process of bringing world class products to our customers. Of course, his racing experience will allow him to bring perspective that we are eager to benefit from.” Siebenhaar joins the team at the Rancho Cucamonga, CA HQ, joining current Product Manager Chad Geer. A life-long enthusiast, Siebenhaar began riding at 4 years old and competed in motocross, flat track and roadracing before working in a variety of roles in the industry. “I am very excited about this opportunity to work for Dunlop and stay Continued on page 18

Brought To You By MotorcycleIndustryJobs.com Continued from page 16

for the time I spent with KYMCO and am proud to have been a part of the organization. Please join me in my wish for success for the KYMCO brand in the USA. Kindest regards,” — Joe Wofford

within the motorcycle industry I love so much,” he says. “To me, motorcycling was always a way to get away from all the drama. While racing you are connecting the dots, laps after lap and it’s all that matters. It’s very grounding for me, it’s what I relate to and generally makes me happy to my core.”

Dīrigō (Latin for “I lead”) is the state motto of Maine, having once been the only state to hold its elections in September. However, there is no need for dealers to wait as Patrick Waitt takes the lead in the Dīrigō State. Waitt, who grew up racing NESC in the ‘90s, is now calling on Parts Unlimited dealers as the new Northeast Region rep. Prior to the Parts gig, Patrick’s industry experience includes parts and operations at the dealership level. He is an MSF licensed instructor in Maine and still races locally on his Yamaha YZ 450F. In addition to racing/riding, Waitt enjoys the outdoors with skiing, hiking and mountain biking.

Drag Specialties also adds representation in the Northeast Region as Christopher Ellis is now serving V-Twin dealers throughout Connecticut, Maine and Rhode Island. Formerly with The Motor Company, Ellis has a vast knowledge of parts experience having served as a Harley-Davidson product representative in the southeast. He has been riding for 10+ years and his current ride is a 2009 Street Glide. In his free time, Ellis enjoys golf, riding and spending time with his wife, Jessica and bulldog, Waylon.

Say it ain’t so, Joe! After 21 years “KYMCO Joe” Wofford has left the building. “To my friends, I have been honored to be a part of KYMCO USA since the beginning in 2000. I have decided to leave the company, but wish them a successful future. The company is full of a new younger generation of ambitious people that will undoubtedly serve our dealers well. It is with great pride and confidence that I leave the company in their hands. I am grateful

Speaking of shifting gears, Heather Wilson is moving on from the American M o t o r c yc l i s t A s s o c i a t i o n. “Motorcycling is my passion. I’ve been blessed enough to make it my career, too. But after nearly 7 years of putting my heart and soul into AMA, it’s time for me to write a new chapter of my career,” she says. “I’ve always sought to make an impact, and I don’t intend for that to stop. I’m grateful for the opportunities AMA provided me and the experiences gained in four different roles that allowed me to help motorcyclists. I’m proud of my contributions to the AMA mission of promoting the motorcycle lifestyle and protecting the future of motorcycling. I cherish the relationships I’ve built with event organizers, the riders and volunteers I’ve met, and the dedicated staff I’ve worked alongside. I’m going to miss working with all of you so much -- but I feel confident that it’s not goodbye; it’s see ya later.”

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MOTO CORSA

Expansion Through Inclusion By Alisa Clickenger, Photos courtesy Moto Corsa

alking into Moto Corsa reminded me of the first rock concert I event attended. The excitement in the air was contagious, the entire crew was enthusiastic and welcoming, and there was a high vibe within the gathering crowd — both inside and outside the building. The draw to be in the inner circle was a palpable, cultivated energy with an addictive quality. And the Moto Corsa “Red Room” — designed by their nightclub designer building architect — is pure genius. I wanted to have my picture taken in the Red Room so badly I nearly bought a Multistrada just to make it happen. It’s easy to see why this Portland Ducati dealer has an incredibly enthusiastic fan base. Run by a group of moto-loving, riding, racing, and wrenching people who truly love the motorcycle lifestyle, Moto Corsa has been the #1 Ducati dealership in America six times over, despite their location in drizzly Portland, Oregon. “The region is home to some of the hardiest riders that I’ve ever met,” says Shahin Alvandi, Moto Corsa’s General Manager and leader of the bright red moto movement. “These are people of all walks of life and professional backgrounds who relish and connect at a level that’s beyond politics and beliefs. We try, every day, to make our place a safe and inclusive common ground for all motorcyclists.” Alvandi joined the dealership in March of 2015. Arun Sharma was at the helm at the time, and the two had met online because of their “Me And My Bike” articles

published in Motorcyclist Magazine. They connected as fellow enthusiasts and industry workers. “We both have this theory that the dealership is our home and we want everyone who enters our home to feel comfortable, welcomed and wanted. I moved cross-country to be a part of that sense of home and, as they say, one thing led to another.” Before ascending to GM at Moto Corsa, Alvandi came in as the finance manager, a role he’d held in other dealerships while living in Florida. His management style is an enthusiastic one — which is a perfect match to his personality. The exclusive Ducati dealership and brand fits his and his team’s personalities and riding styles as a whole as well. “It’s really easy to speak the language of the machine and its intended audience when the crew, as a whole, is fanatic about it,” adds Alvandi.

Moto Corsa is part of a much larger automotive group, yet they are the only motorcycle dealership within that network. It’s a unique place for them to be as it makes them feel like they are their own little island. There’s a lot of trust put in Alvandi and his team, and they’re left to be the masters of their own domain, given the freedom to run it as they wish, as long as it is netting positively and running smoothly. There’s always accountability, but as long as there’s no breakdown in communication and expectations are set and met, the Moto Corsa team is left to self-direct. That’s a good thing because their numbers are up. Way, way up. Since relocating to the Pacific Northwest, Alvandi has discovered the magic and adventure of riding large bikes through the enchanting wilderness in the area. He’s also a full-time street rider who dabbles in track days a half dozen times a year. “If it has a motor and two wheels, I’d like to ride it, please!” TURN TWO Moto Corsa sells pre-owned bikes through its Turn Two Motorcycles subsidiary, and those account for nearly half their sales. Motorcycle sales are the primary revenue source for the shop, but they also do a brisk business in P&A as well as service. The current market has taught them to be flexible and to move quickly on ideas. “Don’t be rigid or else you’ll be left behind and often-times the fallout of that is very costly, both in time and money,” Alvandi cautions. Turn Two Motorcycles is directly across the street from Moto Corsa’s main showroom, and it houses their used motorcycles and other brands. Along the way they figured out that it was better to leave the primary showroom to Ducati proper, and to put the used bikes in a separate showroom. The crew works both buildings, and it cleaned up the customer’s perception of their brand showcase. Engagement and inclusivity are the keys to Moto Corsa’s wild success, and their philosophy is that it is paramount to actually be those things and not just talk about them. The world of retail motorcycle sales is not an easy one, and a key to their success has been to build a team that innately understands the concept of customer engagement and the welcoming attitude, plus a demeanor that promotes inclusivity. “All are welcome and all are invited to be a part of the party,” Alvandi proclaims. “It’s more fun that way.” EXPANSION THROUGH INCLUSION The dealership’s work to expand their current customer base includes being decidedly proactive about growing their female buyer base. Alvandi speaks of the disadvantages of the “good ole boys” club of the past, and he believes that there’s a huge untapped buyer base in the female population. Moto Corsa is currently experiencing explosive growth in their sales to women, and it is reflected greatly in their bottom line. Moto Corsa strives to be consistent in their messaging and delivery of the things they do. Recognizing the importance of having effective processes in place, the staff also know that it is important to be flexible. Every deal, every interaction and every door swing can be very dynamic, so as a crew they have honed their ability to flow with it on a daily basis. The culture and staff of Moto Corsa are what make the dealership unique. Alvandi is very picky about who works there — if a person has zero experience in motorcycling, yet has the right attitude and personality, they can have a

successful tenure at the motorcycle dealership. “It’s all about connecting with the customers and having the willingness to spend the time and energy to build the relationship,” he believes. “I know that sounds hypocritical from a guy who just said that we are inclusive to all, but we need to be picky about who represents us because it’s not an easy job and we take it very seriously, even though it looks like fun and games on the surface. I believe that is what keeps us from having a revolving door with employees.” Currently there are four women who work at Moto Corsa. Lindsay is their business manager, and is the quiet hero of the shop by helping things run as smooth as humanly possible in the background. Stephanie helps, and she also helps run the Corsa Café where people can grab an espresso on a Saturday morning before a ride. Tamara is one of their newest team members and is a tour-de-force in the apparel department. She came from a non-motorcycle background and in just a few months she has not only mastered her domain, but also is now a licensed motorcyclist with her own bike. Hannah is one of their three motorcycle sales people. The stuff of legends and very unassuming, she’s the 1C race plate number holder as the clubman champion in the OMRRA (Oregon Motorcycle Road Racing Association) series. She also happens to be a Ducati Master Technician… Never judge a book by its 5’4” cover.

Continued on page 22

MAY 2021

Continued from page 21

TOOL TIME Alvandi’s belief is that the most important job of a General Manager or dealership principal is to make sure that their employees have every tool at their disposal to conduct their job in the most efficient and fun way possible. That can be very time consuming, but they do spend the time to hire the right people to do the job that is asked of them. He makes it a point to connect with each and every employee daily, weekly, monthly and annually to make sure they are all on the same page and headed in the right direction. “Sometimes that is easier said than done but it is my job and I take it very seriously. None of us are perfect but we strive to communicate clearly so that there is no room for speculation.”

At Moto Corsa the motorcycle business is a dynamic, living, breathing retail environment. They strive to be flexible and not afraid to think outside the box. It can be very difficult to look beyond the P&L statement, but Alvandi believes it’s necessary to keep their sanity and the flow of fresh ideas coming. “Sometimes it feels like an investment of money or time into a marketing concept may seem like a bad idea or not have immediate outcome in the form of sales, but I’ve yet to put in a little extra and not have it pay off in one form or another,” he says.

“I love this business very much – from top to bottom. It can be very giving and it also has its own unique set of challenges. My fanatic love for it is what keeps me going through thick and thin,” shares Alvandi. “I am a very extroverted person and getting to meet people on a daily basis is like a drug that I can’t get enough of, on any given day. It’s extra fun because we get to connect over an otherwise inanimate object that fills our lives with stories, daydreams, friends and adventures that would otherwise not be possible.” Alvandi concludes, “It is a unique privilege that I don’t take lightly and gladly partake in every day. I always like to remind people that nothing in the showroom is a necessity so have fun and take the stress out of the buyer’s mind by showing them what a real group of tightly knit motorcyclists are all about. “Make good choices and always remember, safety third!”

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METEOR STRIKES U.S.

Royal Enfield Brings Middleweight To Market

ike the famous comet named for astronomer Edmond Halley, Royal Enfield has often played a surprising role in historical events. It is also one of the very few motorcycle companies to have been in operation for a couple of passes by the celestial ice ball. However there is a key distinction between a comet and a meteor, particularly a Royal Enfield Meteor 350. Chiefly meteors are red hot and tend to strike home rather than circling off through the cosmos like a comet. ABS, EFI, Tripper navigation and a counterbalancer combined with air-cooled affordability and global accessibility are Royal Enfield’s unique value proposition. “The Meteor 350 is a perfect balance of fun and style for any rider,” explains Breeann Poland, Royal Enfield’s Marketing & Communications Lead - Americas. “The Meteor displays Royal Enfield’s commitment to our global position as the leader in the middleweight segment, offering a diverse lineup of motorcycles to all riders.”

The Meteor is not Royal Enfield’s first shooting star, in fact, the company had been making motorcycles for 9 years before Halley’s 1910 appearance. The first Royal Enfield motorcycle was designed by Bob Walker Smith and French colleague Jules Gobiet and launched at the Stanley Cycle Show in London in 1901. The 1 1/2 hp engine was mounted in front of the steering head and the rear wheel driven by a long rawhide belt. The new Meteor air-cooled single sits is a double down tube frame and produces 17 1/2 hp. Rather than a rawhide belt, the chain drive and counterbalancer combo do a great job of hooking up and smoothing out vibration. “Yes, 120 years is a long legacy for the brand, and we are very happy to have made it count,” says Siddhartha Lal, Managing Director of Royal Enfield’s parent company, Eicher Motors Ltd. ”Royal Enfield is not just a motorcycle brand, it is a symbol of resilience and exploration and has been able to build a thriving culture of leisure riding around the world.” The key to this global success has been to keep it simple, keep the venerable brand authentic and keep it affordable.

According to NASA, if a meteoroid enters Earth’s atmosphere, it vaporizes and turns into a meteor: a streak of light in the sky. Because of their appearance, these streaks of light are sometimes called “shooting stars.” But meteors are not actually stars… nor are they comets, technically. Comets are made of ice and dust—not rock. For those journeys around the solar system, or your neighborhood, the Meteor gets Royal Enfield’s “Tripper” system — a TBT (Turn-By-Turn) navigation display device for real-time directions, built using the Google Maps Platform. The Tripper displays the best route to reach a destination using Google Maps navigation when paired via the Royal Enfield App to the rider’s smartphone.

With that in mind, the Meteor 350 checks off a lot of boxes for a bike priced well below $5,000! The electronically fuel-injected 349cc engine is perfect for cruising around on secondary roads, and it will hold about 70 mph on the highway. A nice seat, gentle but distinctive exhaust note and comfortable riding position invite hours in the saddle, while the low seat height and classic styling invite first timers to ride. “Through all these years we have endeavored to stay authentic to our roots, continued to remain unique and distinctive, established a genre of leisure motorcycling that is accessible, inclusive, absolutely enjoyable, and stayed relevant through the decades,” Sid Lal explains. “Our goal is to strengthen Royal Enfield’s position as a truly global brand, and we will continue to challenge ourselves to develop products and experiences that will give wings to our desire to go further and experience new frontiers.”

“Riders will have the opportunity to choose the Meteor 350 in three model trims: Fireball, Stellar, and the Supernova, each with its own unique personality and styling,” Poland says. Dealernews opted for the Supernova edition and can say the windscreen worked well and the two tone paint scheme attracted Scott Brown’s attention immediately (see Editor’s Note). Scott has Nearly 20 motorcycles in his garage, including one of the legendary X-75 Hurricanes commissioned by his father, so he has an eye for aesthetics as well as functionality. Despite the Suez SNAFU and the COVID outbreak wreaking havoc in India, Poland says Royal Enfield’s network of 125 — and growing — dealers should start seeing Meteors in early June.

MAY 2021

Continued from page 25

WHAT THEY SAID Royal Enfield has its share of historic motorcycles, as the company celebrates its 120th anniversary in 2021. Royal Enfield doesn’t strive to define the future, instead maintaining a foothold in classic design elements fused with carefully thought out fully modern touches… Motorcycles hold the promise of the same timeless experience: an escape from everyday stress, a link to new and old friends, miles of adventure and the prospect of a brighter tomorrow. ~ Jean Turner CycleNews This bike captures the pure essence of cruising with timeless charm, all while providing universally approachable power, laid-back ergonomics, and admirable handling. The Meteor 350 nails the classic cruiser vibe with its design, looks, and relaxed ergonomics, offering an easygoing ride with predictable power and handling. It’s a welcome air-cooled entry in the small-displacement cruiser market. Especially considering its starting price of $4,399, Royal Enfield most certainly has a contender against its liquid-cooled competition. ~ Serena Bleeker Cycle World These days small-displacement motorcycles all too often get classified as starter bikes, which is a shame. While light, economical, approachable motorcycles are certainly a better choice for new riders than heavy, expensive, intimidating ones, smaller bikes also have a lot to offer experienced riders. Things like simplicity and purity. By stripping away a lot of nice-to-have but not need-to-have features, what you’re left with is the essence of riding. Royal Enfield’s Meteor 350 has the kind of welcoming, carefree attitude that is sure to leave an impression, thanks to its gentle handling, approachable power and good looks. We’d like a higher top speed (or to just get there sooner) and the Meteor is heavier than other small-displacement cruisers in this class (like the Honda Rebel 300 and Yamaha V Star 250), but the bike feels solid and offers good value. Whether you want to add another motorcycle to the stable, or you’re a new rider looking for a comfortable, user-friendly motorcycle on which to hone your skills, this bike will leave stars in your eyes. ~ Nic de Sena Rider Magazine When Europe’s EURO 5 and India’s Bharat Stage VI emissions standards came into effect, the new standards killed off Royal Enfield’s iconic Bullet mill, ending an era for the storied Enfield thumper and prompting the creation of a new model to carry the brand’s single-cylinder legacy forward. Say hello to the 2021 Meteor 350. Royal Enfield is keen to develop their U.S. dealership network. Would a bike like the Meteor get folks in the door? Or would it suffer the same fate as other retro singles like the Suzuki TU250 and Yamaha SR400? I suppose that depends on what cruising means to you. ~ Andy Greaser Common Tread

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the pandemic. There is, however, a planning process designed specifically to address such situations. It is called scenario planning. Scenario planning is a process designed to prepare you for economic uncertainty, unexpected events and disruptive innovation. It is robust and rigorous and, most importantly, it is practical and actionable. Scenario planning is designed to help you answer the “what if” questions you need to ready for. For example: What if the economy stalls and powersports sales go back to pre-COVID levels? What if gas prices climb above five dollars and electric bikes and electric scooters take off? What if consumer spending shifts to travel, restaurants, live entertainment and fashion and away from powersports? What if new, highly restrictive regulations – sparked by a growing fear of global warming – ban powersports vehicles from state and federal lands?

Dealernews Research By Dr. Paul Leinberger

ROARING 20s OR A DECADE OF DISAPPOINTMENT? New Normal Demands A New Approach

n last month’s column I posed the question “Have we hit an inflection point?” Are we headed into a sustained economic rally similar to the Roaring Twenties (as the Financial Times has suggested) or are we in the beginning stages of a “decade of disappointing growth outcomes” (as the World Bank posits)? It is an important question because the future of your dealership depends on your answer and what you do about it. I went on to suggest that in order to answer that question you should monitor consumer optimism, the unemployment rate, and track COVID patterns. I also suggested that you should focus on the numbers that reflect how your core business is doing (in the context of the larger changes taking place in the economy). Monitoring those numbers will give you a good sense of your short-term future, but they are not robust enough to give you the kind of knowledge you need to respond appropriately to unexpected events – like

Alternatively, what if a new, proprietary stability control system is introduced by a new entrant to the motorcycle industry and gains dramatic marketshare in a short period of time (ala Tesla in the auto industry)? On a smaller scale, what if a new dealer enters your market and builds a dealership twice the size of yours? Scenario planning will give you a view of what can happen in the future and provide you with the kinds of answers you will need to not only “survive” future shocks but profit from them. Scenario planning will make you more agile, resilient and innovative. When dealers first learn about scenario planning, their first instinct is to say: “Hey, I’m too small for such activities. Tools like scenario planning are for the big boys and the OEMs.” Au contraire. Scenario planning will benefit you no matter your size because it will give you a level of certainty about your business that you cannot get through other means (such as forecast planning and strategic planning). It will also give you a competitive advantage. So how is it done? Scenario planning can be complex (and sometimes it needs to be if you are developing long-range plans), but at its heart it is a rather simple five-stage process: 1) Identify the trends and driving forces affecting your dealership. What are the major factors affecting how your business functions and how your customers are making decisions? These will include such things as consumer trends, the economy and market conditions, competitive pressure, regulatory changes, technological advancements and shifting demographics. Scenario planning uses the PESTLE method to identify trends and driving forces: Political, Economic, Social, Technological, Legal and Environmental.

2) Analyze the trends and driving forces. At this point you will have a long list of trends and driving forces. In step two your goal is to explain the trends and describe how they will interact with the driving forces. Once that dynamic is described and understood, the next step is to prioritize the trends. What trends are most important? What trends will be most impactful and what trends are most uncertain?

Doing scenario planning provides a great opportunity to bring your team together and it gives everyone a chance to express their views on the current situation and explore different perspectives and viewpoints. Everyone has a view of how the future will develop but rarely are they asked to provide it in a setting where it can become part of a dynamic and constructive process that will benefit the future of your dealership.

3) Create Scenarios. Using a step-by-step process, create between three and five scenarios. Be sure to include worst-case, middle-case and best-case scenarios. The goal in step three is to identify all possible outcomes, not just the most likely.

So set aside a half day or a day to do scenario planning. Bring in an experienced scenario planning facilitator to guide the process or become well-versed in the process and do it yourself. You will be glad you did.

4) Evaluate & Decide. In step four, each scenario is analyzed and given an estimated probability. Then the scenario team decides which scenario or scenarios need to be incorporated into your dealership strategy and need to be planned for.

We are heading into uncharted waters and the “new normal” demands a different approach. However, with the lessons of scenario planning to guide you, you can feel confident that you are ready and will be able to face whatever comes your way, preferably the Roaring Twenties that the Financial Times has predicted.

5) Act. The final step is to put your strategy into action.

A perennial keynote speaker for the Motorcycle Industry Council's annual Communications Symposium, Dr. Paul Leinberger has become the powersports industry's de facto futurist/strategist. Dr. Leinberger is an expert in market/brand strategy and research with more than two decades of social trend forecasting, market strategy and strategic planning. Prior to joining TTD, he was Senior VP of GfK NOP, where he ran the company’s flagship consumer trend services, Roper Reports, as well as the company’s groundbreaking Global Visual Database. His client list reads like a Who’s Who of corporate America: Hewlett-Packard, Apple, Disney, Nordstrom, Microsoft, Levi Strauss, E.& J. Gallo Winery and Toyota, among many others. Prior to his global responsibilities at GfK NOP, Dr. Leinberger was the Corporate Manager in the Product Planning and Market Strategy department at Nissan North America. Dr. Leinberger holds a Ph.D. in organizational and social psychology and a Masters of Urban Planning (Highest Honors). He lives in Irvine, California, and his work can be seen at www.dennyleinbergerstrategy.com MAY 2021 29

Dealernews Research By Lenny Sims

BY THE BOOK

J.D. Power Valuation Guide

he powersports industry is red-hot heading into the traditional selling season. Customers want to get out on the roads and trails as weather warms up and discretionary income stays positive. Shortages of just about every product industry-wide are pushing values for used motorcycles and side-by-sides to historically high levels. In the motorcycle segment, the most recent 10 model years of cruiser values are averaging 10.9% higher than Q1 2020. That is a decade worth of value. And it isn’t just non-current cruisers…Sportbikes are running 12.4% ahead of Q1 2020! Solid numbers, to be sure, but wait, there’s more.

Side-by-sides are performing even better than bikes, with utility models bringing 24.5% more money year-overyear. Sport model UTVs are running 16.1% higher for Q1 2021 — and the height of the season is still several months away. Where do we go from here? Recent employment and consumer spending data has been encouraging, and forecasts point to continued strong conditions for at least another few months. Meanwhile, parts shortages and production issues will remain a factor. Bottom line: It’s a seller’s market for any dealer lucky enough to have inventory.

J.D. Power Specialty Valuation Services (formerly NADAguides) is a leading provider of specialty vehicle valuation products and services to businesses. The team collects and analyzes tens of thousands of wholesale and retail transactions per month, and delivers a range of guidebooks, web service data, analysis and digital data solutions. J.D. Power is a global leader in consumer insights, advisory services and data and analytics. A pioneer in the use of big data, artificial intelligence (AI) and algorithmic modeling capabilities to understand consumer behavior, J.D. Power has been delivering incisive industry intelligence on customer interactions with brands and products for more than 50 years. The world’s leading businesses across major industries rely on J.D. Power to guide their customer-facing strategies.

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N A D A VA L U E S A R E N O W

Dealernews Research By Don Musick

X MARKS THE SPOT! Part II LIFESTYLES OF THE MAYBE RICH AND FAMOUS! ime to revisit “Tapestry” and add another layer to the mix. In Fig 4, “Spending Behavior” is layered over Tapestry lifestyle segmentation data (both at the Census Tract level). Now we can start to correlate lifestyle geography with spending behavior. But wait… there’s more! There’s a wealth of spending behavior data that we have yet to explore.

Tucked away in the “2019 Esri Spending Behaviors” layer is an icon labeled “Show Table” (Fig 4.). Clicking this icon opens a table of underlying data fields (138) that support the profile of each Census Tract! Consumer expenditures are summarized into 17 broad product/services categories (Table 1.), which are further divided into sub-categories. Sub-category data fields include total and average consumer expenditure estimates as well as a comparative index to national averages. According to ESRI’s “Consumer Spending Methodology” whitepaper:

“The total expenditures value represents the aggregate amount spent by all households in an area while average expenditure reflects per household spending. The Spending Potential Index (SPI) compares the average amount spent locally for a product/service to the average amount spent nationally. An index of 100 reflects the average.”

To appreciate the scope of data that feeds into the 2019 ESRI Spending Behaviors table (2,022 products/services) you can see a complete list on this link.

Continued on page 34

MAY 2021

Continued from page 33

ALL TOGETHER NOW! So let’s setup a final tandem view with ArcGIS Online and Google My Maps. In Fig 5. below, you can see the Spending Behavior and Tapestry ESRI layers along with My Maps customer locations and drive time contours for reference. Note also that the Spending Behavior data table is opened at the bottom of the image. Now for a little fun! Clicking on any of the Spending Behavior symbols will generate a pop-up that shows the average household retail spending and SPI as well as total spending and household count for that Census Tract. The nitty-gritty details of expenditures can be found and highlighted in the table below. An enlarged view of the table detail is shown in Fig 6.

At this point, I think you can see that with a little detective work you can build a pretty good profile of your customer base! You know their locations, how far they’re willing to travel, their lifestyle preferences, spending behavior and more. Google My Maps has shown you where your current customers have come from but the ArcGIS Tapestry and Spending Behaviors show you where future customers might be found. Between the two, X-marks the spot and Waldo has landed!

Continued on page 36

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Continued from page 34

ACRONYM SOUP REVISITED! When we began this series of articles, we talked about the OEM buzzwords of “DAT”, “AOR”, “PMA”, “SEA” and others. We’ve all had freshly minted OEM sales reps come through the door and tell us where and how large our trade areas should be. Each OEM rep has a different take and unfortunately they’re rarely consistent. One thing that is consistent is their desire to “make their number” (which may require occasional trade area gerrymandering!). Time to turn the tables and let them know that you alone are the captain of your territory! Let’s wrap things up with the Mark Twain quote from the first article…..”First get the facts, then you can distort them at your leisure”. Then show them this!

From his first motorcycles (a Honda S65 and an S90) when he was 16 to 50 years later, Don Musick has never stopped twisting the throttle. Although his accomplishments in the research arena have surpassed his MX career Don has over 25 years experience with major manufacturers in the Powersports and Automotive industries specializing in e-business solutions for retail distribution networks. His solution portfolio includes the development and implementation of manufacturer/dealer extranets, consumer-direct commerce portals, manufacturer/dealer e-channel integrations as well as development of web-based sales force automation tools. For most of his career, Don has been fascinated (his wife would say obsessed) with geographic market analytics, dealer location planning and sales territory optimization. He founded Genesys Technology Solutions (GenesysTech) http://www.genesystech.com/ to develop new tools and market intelligence products to help manufacturers understand the competitive landscape of their industries, recognize opportunities and grow their businesses. A Spartan to the core, Don earned a B.S. in Physiology and PhD in Biochemistry from Michigan State University. Contact: dmusick@genesystech.com

INDUSTRY REPORT CARD High Marks For Harley, Return Of The Gentleman’s C

ied Piper pulls no punches with its annual industry report card. The 2021 PSI Internet Lead Effectiveness Motorcycle/ UTV Industry Study results will ruffle some feathers… as it should, according to Pied Piper founder Fran O’Hagan. “We are not here to sway public opinion, PSI is intended to answer the question: ‘What happens when motorcycle or UTV customers visit a dealer website and inquire about a vehicle?’ “The answer to that question is that there is a lot of variation by brand… Top brands in the study performed well, while others; including some of the largest brands; have failed to improve over the past few years – despite COVID driving even more customers to dealer websites.” Harley-Davidson dealerships ranked highest in the 2021 Pied Piper PSI study. Indian ranked second, followed by BMW Motorrad and Polaris. “Dealers for top brands improved their website response behaviors dramatically over the past two years, while dealers for other brands failed to improve,” notes O’Hagan. “For example, the 2021 ILE study results show that dealers selling Harley-Davidson, Indian, BMW or Polaris sent an email or text answering a website customer’s question about 50% of the time on average… In contrast, Honda, Kawasaki, Triumph or Yamaha dealers sent an email or text answering a website customer’s question only about 30% of the time on average in both 2019 and 2021.” Spoiler alert: even the best in the business are only getting it right about half the time! METHODOLOGY To complete the 2021 ILE study, Pied Piper submitted customer inquiries through the individual websites of 6,407 dealerships between July 2020 and March 2021, asking a question about a vehicle in inventory, and providing a customer name, email address and local telephone number. Pied Piper then evaluated how the dealerships responded by email, telephone and text message over the next 24 hours.

A total of 20 different measurements generate dealership ILE scores, which range from zero to 100. Only 17% of dealerships nationwide scored above 70, which required a quick and thorough personal response. Unfortunately, 44% of dealerships scored below 30. This demonstrates a failure to personally respond in any way to their website customers. During a midst of the pandemic when walk-in traffic was out of the question, this failure to address customer queries online is almost unfathomable… and not the fault of the OEM! Now in its 11th year, the ILE study for 2021 implemented a modification to scoring which required answering a customer’s question by email or text as the only way to “stop the timeliness clock.” The industry average ILE score was unchanged by the modified scoring, but the change moved average scores for individual brands by as much as five points. In general, brands whose dealers were more likely to personally respond to customers benefited from this change, in contrast to brands whose dealers relied more on auto-responses and fixed email templates. Response to customer web inquiries varied by brand and dealership, and the following are examples of performance variation by brand: Harley-Davidson, BMW, Indian, Polaris, Club Car, HiSun and CFMoto dealers on average sent an email or text that answered the customer’s question within one hour 30% of the time or more. Conversely Kawasaki, Kubota, Honda, Caterpillar, KYMCO, Bobcat, Yamaha and Tracker dealers on average emailed or texted an answer within one hour less than 15% of the time. Harley-Davidson and Indian dealers on average sent a text message more than 30% of the time, while John Deere, Kioti, Kubota, Moto Guzzi, Bobcat, Cub Cadet, Hisun, Tracker and Yanmar dealers on average texted less than 2% of the time. Harley-Davidson and Indian dealers on average phoned website customers within one hour more than 30% of the time. John Deere, Kubota, Mahindra, Bobcat, Club Car, Cub Cadet, Kioti, Tracker, Moto Guzzi, HiSun, Yanmar and Arctic Cat dealers on average phoned within one hour less than 6% of the time. ITS A DIGITAL WORLD Digital retail tools have become much more common on automotive dealership websites, but they have also started to appear on websites for dealers selling motorcycles or UTVs. As part of the 2021 ILE study, Pied Piper measured whether dealership websites for each brand featured the following digital retail tools: Did the website have a “buy now” or “buy from home” button? Automotive dealerships: included on 25% of the websites Motorcycle/UTV dealerships: included on less than 1% of the websites Did the website offer to provide a trade-in value? Automotive dealerships: included on 89% of the websites Motorcycle/UTV dealerships: included on 76% of the websites Did the website offer chat to communicate with customers while they are still on the website?

ANNUAL MC/UTV ILE SCORES - COMPARISON (2018-2021) ILE SCORE

BRAND

2021

2020

2019

2018

Harley-Davidson Indian BMW Polaris Ducati Zero Aprilia Can-Am (BRP) CFMoto Moto Guzzi Triumph Club Car Husqvarna KTM Yamaha Kioti Suzuki Kawasaki Roxor (Mahindra) HiSun John Deere Arctic Cat Honda Mahindra (Tractor Dlrs) Cub Cadet Kubota Kymco Yanmar Bobcat Tracker (Bass Pro Shops) Caterpillar

56 55 46 46 43 42 40 40 40 40 40 38 38 37 37 36 36 35 35 33 33 32 32 32 31 26 26 25 22 17 16

56 54 45 43 46 37 37 41 31 36 43 30 37 39 42 25 41 42 37 28 37 31 38 32 25 30 34 30 19 11 14

43 36 40 32 40 28 29 32 23 29 33 30 31 32 31 N/A 33 35 29 21 29 32 33 25 28 22 25 31 16 N/A 13

31 39 42 27 37 29 27 26 18 25 36 26 36 31 26 N/A 28 35 N/A 18 26 30 34 19 29 27 24 35 23 N/A N/A

Change 2020 to 2021 0% 2% 2% 7% -7% 14% 8% -2% 29% 11% -7% 27% 3% -5% -12% 44% -12% -17% -5% 18% -11% 3% -16% 0% 24% -13% -24% -17% 16% 55% 14%

INDUSTRY AVG

-5%

Continued on page 40

Change 2018 to 2021 81% 41% 10% 70% 16% 45% 48% 54% 122% 60% 11% 46% 6% 19% 42%

33%

MAY 2021

29% 0% 83% 27% 7% -6% 68% 7% -4% 8% -29% -4%

Continued from page 39 BOTTOM LINE “Dealers who consistently respond to web customers by both email and phone within 60 minutes sell 50% more units on average to the same quantity of web customers than dealers who typically fail to respond within 24 hours,” concludes O’Hagan, President and CEO of Pied Piper. “Pied Piper has found that the key to driving improvement in both webresponse behaviors and sales is to show dealers what their web customers are really experiencing, which is often a surprise.”

Automotive dealerships: included on 72% of the websites Motorcycle/UTV dealerships: included on 16% of the websites Most dealers today understand that quickly responding to web customers is critical to sales success, but for most dealers there is still plenty of room to improve their dealership web response behaviors. The effort to improve performance is worthwhile because better dealership web response behaviors correlate highly with better web customer sales close rates.

2021 Pied Piper Prospect Satisfaction Index® Internet Lead Effectiveness® (ILE®) Industry Study (U.S.A.)

------------Motorcycle & UTV Brands Ranked by PSI® - Internet Lead Effectiveness® Score

Harley-Davidson (+0) Indian (+1) BMW (+1) Polaris (+3) Ducati (-3) Zero (+5) Aprilia (+3) Can-Am (BRP) (-1) CFMoto (+9) Moto Guzzi (+4) Triumph (-3) Industry Average (-2) Royal Enfield (n/a) Club Car (+8) Husqvarna (+1) KTM (-2) Yamaha (-5) Kioti (+11) Suzuki (-5) Kawasaki (-7) Roxor (Mahindra) (-2) HiSun (+5) John Deere (-4) Arctic Cat (Textron) (+1) Honda (-6) Mahindra UTV (Tractor Dlrs) (+0) Cub Cadet (+6) Kubota (-4) Kymco (-8) Yanmar (-5) Bobcat (+3) Bass Pro Shops - Tracker (+6) Caterpillar (+2)

17 16 10

33 33 32 32 32 31

26 26 25

40 40 40 40 40 40 39 38 38 37 37 36 36 35 35

43 42

56 55

46 46

(Change from 2020) Source: 2021 Pied Piper PSI - MC/UTV Internet Lead Effectiveness Industry Study (USA)

w w w. p i e d p i p e r p s i. c o m

PSI® Internet Lead Effectiveness® (ILE®) Industry Studies have been conducted annually since 2011. The 2021 Pied Piper PSI-ILE Motorcycle/UTV Industry Study (U.S.A.) was conducted between July 2020 and March 2021 by submitting customer inquiries to dealership websites from a sample of 6,407 dealerships nationwide representing all major brands. Examples of other recent Pied Piper PSI studies are the 2021 PSI-ILE U.S. Auto Industry Study (Nissan’s Infiniti brand was ranked first), and the 2020 “PSI for UTVs” U.S. Industry Study (BRP’s CanAm brand was ranked first for selling in person). Complete Pied Piper PSI industry study results are provided to vehicle manufacturers and national dealer groups. Manufacturers, national dealer groups and individual dealerships also order PSI evaluations — in-person, website or telephone — as tools to measure and improve the sales effectiveness of their dealerships. For more information about the fact-based Prospect Satisfaction Index® (PSI®) process, go to www.piedpiperpsi.com

Views on the Pandemic as its impact fades Examining the latest state and lingering economic effects of COVID-19

tarting last March (2020), lockdowns of various types were extended across the world in response to the exponential spread of a novel coronavirus, SARS-CoV-2. COVID-19’s impact dominated headlines in 2020, separating individuals from loved ones, friends, and coworkers, greatly disrupting commerce and forcing all individuals to alter life-learned behaviors with respect to social distancing. Whether measured by case number or by fatalities, the cumulative effects of COVID were profound. Worldwide, over 120 million cumulative cases have been reported, with over 2.6 million related deaths. As illustrated by Johns Hopkins in late March, the pandemic had touched the world over, with cases especially prominent in some of the world’s most economically advanced countries. Now, as we enter into the 2nd quarter of 2021, populations around the world are finally being served with vaccines that promise to break them free from the tentacles of COVID. As we release this document (March 2021), new cases of COVID-19 are in decline, and the US is racing to vaccinate its population. The graphic below (also from Johns Hopkins)

demonstrates how COVID cases have trended from the start of 2020 through mid-March for each individual state. States appearing in shades of orange have experienced a growth in new cases over the past two weeks. States appearing in shades of green have seen declines. The intensity of the colors indicates the scale of growth or decline with new cases; the darker the shade, the bigger the change. While a few states have declined sporadically, the prevalence of COVID across most of the US has been dropping precipitously.

On reflection, COVID most profound economic disruption occurred in 2nd quarter 2020. A striking aspect of COVID’s effect, though, was how it varied greatly by economic sector. As illustrated by McKinsey using data from the Department of Labor, Bureau of Economic Analysis, companies within the F&I (finance and insurance) space, construction and retail industries lost steam relative to their measures of 2019, but relatively much less than the losses suffered in the Hospitality, Entertainment and Recreation industries, whose GDP dropped nearly 50% for the quarter.

Using additional data from the Bureau of Economic Analysis, Sextant’s chart reinforces how labor rates shifted year over year from the 3 months preceding the onset of COVID in comparison to the equivalent 3 months running December 2020 through February 2021. Labor rates across all sectors dropped. The trendlines in the rightmost column reinforces how sectors like Construction, retail trade, manufacturing, education, leisure and hospitality had particularly steep declines in employment during the March-May 2020 time period. Employment in federal, state and local MAY 2021 45 government were initially much less affected by COVID, and since gradually adjusted downward. Continued on page 46

Continued from page 45 Beyond the economic and employment numbers, the big impact of COVID-19 has been to accelerate the use of digital technologies. Research, surveys and analysis by McKinsey suggests that digital technologies progressed by as much as three to four years over the past 12 months with COVID’s influence. A McKinsey survey published in late 2020 found that companies are three times likelier than they were before the crisis to conduct 80 percent or more of their consumer transactions digitally. This graphic below highlights how the speed of e-commerce growth has varied by industry: Research and analysis conducted by DeLoitte, Accenture and others, is consistent with McKinsey. DeLoitte adds that an impact of COVID is that companies are paying more attention to distinguish between certainties and uncertain realities during their planning efforts. As a result of COVID, DeLoitte observes that many companies are adopting a more nimble and agile management mindset toward spotting business opportunities and risks. Paired with these observations of business change is that consumers are moving more quickly with themes of change as well. Consumers see tremendous value in connectivity, with McKinsey’s 2020 consumer survey on autonomous driving, connectivity, electrification, and shared mobility (ACES) demonstrating that 37 percent of respondents would switch car brands to achieve improvements in this area. Bain and Company research indicated that Electric Vehicles are now on course to reach critical acceptance by 2024.

As we close the 1st quarter of 2021, populations around the world are being served with vaccines that are poised to break them free from the tentacles of COVID. However, from a business perspective, its important to recognize that we have been unalterably changed by COVID. We’re not returning back to the pre-2020 era, we’re advancing forward into a mindset that was previously on track to emerge mid-decade, toward 2025. While preparing for the post-COVID world, it will be much more important to think carefully about the e-commerce and transportation dynamics that gained speed and only seem to be accelerating forward.

ABOUT LARRY DANIEL Larry Daniel is the Managing Director of Sextant, a Colorado-Based firm focused on Dealer Development, Operations and Marketing for Dealers and OEMs across the motor vehicle industries. Feel free to reach Larry at 719-362-0070 or email at ldaniel@sextantusa.com ABOUT SEXTANT We’re an energetic and inspired data analytics firm made up of seasoned professionals that have worked with some of the biggest brands in the world. Our philosophy is different than others, in that we resist the hype and commoditization of “big data” analytics. Our clients need results, and they need a firm that understands the importance of aligning its data and analytics to a company’s mission. Sextant’s mission is to intelligently use data to make a massive impact for our clients. Click on: https://sextantusa.com/

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and Method Race Wheels Chief Marketing Officer Brian Godfrey. Last but not least, we tuned into Greg Cottrell, President/Founder of Rugged Radio for his thoughts as well. Collectively their perspective helped shed some light on what these industry leading companies are doing in response to the market and how they manage their business moving forward.

OFF-ROAD RACING BUSINESS OUTLOOK IN A POST COVID WORLD

SCOT HARDEN: First, thank you for taking time from your busy schedule to talk with us. To say that 2020 was quite a challenge would be an understatement. Despite the global lockdown, ensuing economic downturn with rising unemployment, and entire industries shunted, it proved to be a fantastic year for the powersports business. Everything from new models to aftermarket product sales and racing was way up. From your perspective, what do you think drove this activity during such a challenging period?

Where Do We Go From Here? By Scot Harden

he powersports industry is in the process of navigating through one of the most interesting, complicated, nerve-racking, confusing and ultimately most successful business cycles since the Great Recession of 2008. One year ago, as COVID-19 turned our nation into one giant slumber party, the impact it would have on racing and outdoor recreation overall was hard to forecast. Most industry analysts predicted tough times, and rightfully so. With record unemployment and industry after industry (e.g., entertainment, restaurants, travel, etc.) being shut down, the natural tendency was to forecast a huge downturn in powersports as well. After all, powersports products are a luxury. With economic uncertainty and large-scale unemployment the order of the day, it would be easy to envision plummeting demand and desperate times ahead for all segments of the powersports industry, particularly off-road racing and the companies that support it. However, flash a year forwards, and it’s clear that powersports as a whole came through COVID with flying colors. By all accounts, OEMs, including off-road UTV, motorcycle and car/truck manufacturers, all had record years in 2020 with demand and consumer confidence driving sales to new heights, not only for new vehicles but also for aftermarket products as well. To understand the situation better, we reached out to executives from leading companies to get their input on where the industry currently stands and the challenges for the future. We spoke with Polaris VP ORV Marketing/Chief Customer Engagement & Growth Officer Pam Kermisch to get her perspective on the UTV market. We also talked to off-road racing icon and Jimco Racing owner Robbie Pierce

PAM KERMISCH Powersports provided an opportunity to be outside and socialize with others safely even during a pandemic, right? You could socially distance, go out with a group of friends or family and have an incredible shared experience and yet be safe. But, of course, still taking all the necessary precautions. Restaurants were closed, travel wasn’t happening, so people looked for things to do with their friends and family, and off-road recreation provided something that people love doing. I will tell you; it wasn’t just our regular customer base that saw it this way. In addition to overall volume being up across the industry, more importantly, we saw 700,000 new customers join the Polaris family in some way, shape or form. We brought many new people into the tent, and the fact that it wasn’t just people who already loved powersports, was the icing on the cake. Now it’s our job to make sure these new customers stick with the sport, which is a responsibility that we take very seriously at Polaris. It falls on us to ensure that they get acclimated to the category and have a great experience so that when the world returns to normal, they don’t go back to doing whatever they were doing before COVID hit.

people that went out and socially distanced out in the deserts. When people couldn’t do certain things, or their kids were doing homeschooling (which they soon realized they could do from anywhere), they hopped in the RV and headed out to the desert. So they could learn, go out and play, socially distanced at the same time. I think this reality sparked our industry. Also, people usually plan big vacations each year or go out to dinner and go to the movies. Take movies, for example. Just to go to the movies, it’s going to cost you and one other person $100 by time you buy a $20 bucket of popcorn, tickets, things like that. A nice dinner, maybe even more. A lot of discretionary income was freed up as a result. We were locked down in some respects, opened up in others. ROBBIE PIERCE Well, it’s kind of hard to judge the rest of the world by Southern California, but people weren’t about to sit still. I think you saw an increase of people wanting to get outdoors because they couldn’t go to the movies, couldn’t go to ball games, couldn’t go to events and shows. So I think you saw a rise in all forms of outdoor recreation with a keen eye for people to do something special with their families whether it be UTVs, bicycles, jet skis, you know, anything like that. And don’t forget about motor home sales! Those went through the roof, from my understanding, as well. I have a friend back in Alabama, not necessarily involved in the off-road racing market; his sales went through the roof for anything related to off-road. Everybody I know that caters to the market from Jeeps to UTVs — the entire recreational market — said sales were up, which was good for the industry and helped offset some of the downturns other sectors experienced. As all this played out, we focused on our core strengths, the products Jimco Racing is known for; state-of-the-art race trucks, cars, and buggies. As a result, our business was solid last year despite the pandemic.

BRIAN GODFREY Our industry, our sport, is special. I think two things factored into our success. First, even with the restrictions put in place this time last year, we were still in a position to operate. We weren’t in the restaurant, travel, live entertainment business. We could still operate. Second, people wanted to get out and recreate; they wanted to get away. Since many were forced to stay home, it provided an excellent opportunity to work on their equipment and get things prepped. There were no excuses. If you wanted to fix up that old Jeep in your backyard or put that race car that’s been apart back together in your garage, this was the opportunity to do that. It also helped that many industries connected to off-road also prospered. People are spending money on construction/home improvement, which then filtered into people buying UTVs, building off-road cars or going out and recreating. So it positively impacted those businesses, and they are connected to people who spend their money within our space.

GREG COTTRELL Interestingly the lockdown impacted some businesses quite a bit, others not so much. You know, some people were lockdown in their homes, but there’s a lot of other

Continued on page 50

MAY 2021

Continued from page 49

Off-road is primarily a blue-collar sport. Everyone from plumbers to contractors to materials makers to hard part manufacturers was kicking ass, you know? And that money all trickles back into off-road and the off-road aftermarket. No question about it. And then there’s the nature of the sport; I mean, we were told to socially distance and stay away from each other, and no better way than to get in your UTV or off-road truck or car and grab the family and take off. So we were all looking to get out and get away to do those things, so I think that what we did along with the extra money we may have had because we couldn’t take the family out for dinner, go to the movies or pay for that big summer vacation. Those who didn’t lose their jobs only made more money, which means they have more money to spend and fewer places to spend it. And, of course, the government was sending even more money on top of that—sort of a perfect storm. SCOT HARDEN With many OEMs and Aftermarket companies reporting record sales, or at least positive sales in 2020, how has this impacted your outlook for the future? Do you believe this is a trend that will continue or an anomaly that will be sorted over time? How has this impacted your view towards the market and sales forecasting moving forward?

PAM KERMISCH Absolutely. We track sales closely. We’re continuing to see strong growth in Q1 2021, at record levels, with growth coming from new and repeat customers. As mentioned, we grew our customer base by 40% with over 700,000 new Polaris customers in 2020. And while this is excellent news, we don’t take it for granted. We’ve taken a hard look at how we get current customers to come back and buy again while continuing to bring more new customers in. One area I’ll point to regarding new customers coming into the sport, customers who haven’t been exposed to the category previously, is figuring out how to make the experience as positive as possible. We know this requires training and education. To that end, we’ve created a new YouTube series called Trail Talk. You can watch them on our Polaris Off-Road YouTube channel.

I think we have five episodes up right now, and the first episode starts with the basics of Side By Side ownership. We’ve tried to fill in the blanks for what seasoned enthusiasts take for granted. We need to assume that new users don’t know a lot. Think about what a terrible experience it could be for new users just based on lack of knowledge. What things do they need to bring along, how to prepare, how to dress, where to go? Even very basics things like, how do you load your UTV on a trailer? What about passengers? What do they need to know about the size of those passengers? How do you tie down a cooler? How do we best communicate things that are common knowledge for seasoned off-roaders? We see it as a huge opportunity for us and something I’m proud that Polaris is addressing. How do you maintain your vehicle? What are the things you need to know about the different seasons of the year to ensure that you’re on top of everything? And racing is undoubtedly one of those educational opportunities. That’s another huge area we can explore; we can discuss those specific elements. For people who haven’t been involved in racing that are not even aware those exist, video content and social media play a huge role in helping bring them in, getting them comfortable. If we do this right, I’m confident we can keep them coming back long-term as customers and further expand our base as an industry.

ROBBIE PIERCE My concerns may be a little different than others. Because you’re seeing more and more people getting into off-road racing, it has potential downsides. You have more people going to Mexico and more people using public lands that are new to it, and they don’t quite know the rules, how to respect the land, and the people that live in these remote areas. The landowners down there used only to have to deal with us a few times a year. Now, they have to deal with it every weekend. So I’m concerned that it’s going to become a big issue if it already hasn’t. I have some real concerns about this, especially on the business side of it. We’ve seen so much change in just the last couple of years. People start with a stock UTV, move up to an Unlimited UTV, and then maybe into a Class 10 car and eventually into a Trick Truck. We’ve got some talented kids out there who will ultimately be driving Trick Trucks that are amazingly talented. So, while I think it’s all good, we need to be careful.

Do I think it’s a trend that’s going away anytime soon? Absolutely not. I think it’s going to stay and why we are remaining focused strictly on Trick Trucks, cars, and buggies. If I was in my 30s or 40s, I might have a different approach to this. I’ve been approached over and over about expanding the Jimco brand. It’s very tempting. It would be easy to cave in, but it’s not what I want to do right now. I’ve chased that bunny; been there in the past. I just want to build the best possible race vehicles that we can and have this be a fun business for me. But when I’m done five, seven, ten years from now, I want to leave the Jimco brand in great shape for the next person to go after that market. Right now, despite all the growth that is going on right now, it’s about balance. I want to focus on balance.

we started mapping out our plans. We saw it as an opportunity to gain market share over our competitors. We started aggressively advertising, not backing off when things looked down but trying to do more from an engagement content development and brand building perspective. Luckily, we started immediately when we saw the shift, and by the time things came back around, and other companies were beginning to think about starting back up, we were already full song and charging forward. We were ready to rock and roll and gain market share. We’re going to reap that benefit for a while and continue to grow upon that. So I do think the demand that was created by the COVID situation will subside at some point. But it’s not going to be a sharp decline but more a leveling or tapering off. Continued on page 52

GREG COTTRELL The challenge for 2020 was you had to navigate through business alongside your employees in a whole new way. So there’s a lot of changes that had to happen. So as far as sales, yes, we had an influx of people that were all out there wanting to outfit their UTV’s, their jeeps, and their other vehicles to go out to the desert. Then, of course, there was the opportunity for increased product sales, so we shifted to adapt to the new realities. If you did business as usual, you might not have done as well. But, if you adapted to the new working environment, you could experience growth and capitalize on the opportunity. I always look for opportunities in business. I always look at how I can be better, stronger, faster, and offer a better product, a better service, a better buying experience. I focused on my core principles. From the start, I had teams working on Saturday and Sunday. So that way, if you called on Saturday, you had a live person to answer the phone. Same thing on Sunday. We were calling every single order and thanking the person. I wanted to give the best buying experience I absolutely could in product and personal service through—even tech support on the backside. So, I think that’s what made us successful. BRIAN GODFREY It all depends on how much the lifestyle change we experienced in 2020 sticks around. For example, because many folks rediscovered they’d rather spend money fixing up their offroad vehicle, going off-roading, or going camping with family, and hopefully found it to be more enjoyable, I think that they’ll stick around. Some will bleed off for sure at some point, as more things open up and things go back to the previous normal. As for Method Race Wheels and all our brands, we switched on, took an aggressive approach and got moving as soon as things turned off. During the initial downturn, for a short period,

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SCOT HARDEN We hear that supply chain and logistics issues are becoming an increasingly nagging problem for the industry. How has this impacted your business, and if so, what steps are you taking to mitigate the problem? What timetable do you forecast for the issues to be resolved? What advice can you give your customers? PAM KERMISCH No question that we have a big challenge with supplier constraints and logistics. Supply chain issues are a big focus for us, and we are working through all available options to ease that pain as quickly as possible. Operations are doing a tremendous job of ensuring that product keeps flowing to fulfill the demand. We are using expedited shipping, and every means possible. We work directly with suppliers on their staffing and their supply base. Making sure we’re rebalancing Insource and Outsource manufacturing alternatives, logistics to try to shorten lead time, you name it. We are looking under every rock we possibly can. The reality is that demand has stayed so high, and we expect it will remain high, and we expect that the supply chain constraints may not improve significantly until late in 2021. As a result, it will likely take until sometime in 2022 to return dealer inventory to the targeted levels that we like to have. That said, we have best-in-class supply chain and operations teams at Polaris, all working incredibly smart and hard to position us for success. We do expect that it will return to normal at some point. It is just going to take a little longer to sort it all out. In the meantime, customers should know that if they see product available for purchase and the dealer tells them to act quickly, they aren’t kidding. It’s not just a sales ploy by the dealer. Inventory levels are lower than they’ve been in years. ROBBIE PIERCE We’ve had supply chain challenges, especially the first four to six weeks coming back. But, we’re still building vehicles, people are racing, we are getting product out the door. Some series had their events canceled which took some pressure off, but others like Best In The Desert were going full steam. Over the past year, our main suppliers, all suppliers in general, have been hedging their bets a little bit. First off, they’re down on their workforce because of COVID-19 as well as raw materials. They’re also not wanting to invest as much in on-shelf inventory. So, I think we’re starting to see that trend now. Now that manufacturing is coming back online, you’re starting to see shortages because everybody wants to ramp up smartly without going overboard on inventory. So managers are reluctant to put a lot of products on those shelves. I see the same thing here as Impact Racing’s number two distributor, and we see how availability is being monitored closely. As a result, I don’t have as much in stock as I used to because I don’t know how long the demand will remain.

I’m not overly concerned right now. We are taking care of our customers. I think you’re going to start seeing improvement over time, some of it will take a little longer than others, but I think a minimum of six months to a year. It may also change the fundamental dynamics of inventory stocking a little bit while everyone gets a little better handle on what the future holds. I think many industry veterans will be a little hesitant to put a lot of product on the shelves to start with. I believe that the entire manufacturing industry is suffering from a bit of a “COVID Hangover.” Until we get used to the new environment, it’ll take a little while for that sense of urgency to come back. Everyone’s trying to find what the new normal is and how that applies to the business cycle and business climate as well. So, where do we go from here? How aggressively do we get? Where does demand ultimately lie?

GREG COTTRELL We are very fortunate in that we produce almost 100% of everything in-house. As a result, we pretty much have not had backorder issues. If it’s within our control, we haven’t back-ordered it or had very few problems, while other companies that rely on outsourcing are struggling. So I’m sure that it’s been challenging for many. The beauty for us is owning the manufacturing facility. It allows us to shift, move and plan further out. We can forecast out product demand and production so we don’t run out. This past year also allowed us to finish our new business complex at Rugged Radios. We have a brand-new complex. It’s a state-of-the-art facility, in almost every way, not just in production. We do in-house prototyping; we have a plasma laser and a full production facility, including powdercoating. So, now, I can prototype something within hours, something that took me four to six weeks to do, I can now do it within hours. So, navigating the new business reality can be tough. It can be difficult, but it can be done. Absolutely can be done, but it’s got to be done in a new way, a new way of thinking. That’s what we’re always striving for. But us, luckily for Rugged, we just never turned off. We’re always thinking, continually moving. I recommend every business to do the same.

big of a hit versus somebody who’s making products that aren’t volumetrically efficient. We are keeping a close eye on what transpires over the remainder of 2021. Rarely do companies lower their prices once they’ve achieved a certain level? We just don’t know what the answer is there. I think everybody’s kind of waiting to see where it all ends up. SCOT HARDEN Racing has been a big part of your company’s overall go-tomarket strategy. If you could wave a magic wand, what would you change that would make the sport better? (Please keep in mind I am referring to off-road racing, such as the type of racing we do at BITD) Is it cost factors, the number of races, class structures, etc.? BRIAN GODFREY Anything manufactured or raw materials, microchip shortages, for example, are all real issues. Same thing with aluminum, right? Heck, look at two-by-fours, $12 now; used to be two dollars, so you know, that is scary that part. Price increases will be a reality, but we are doing our best to hold them to a minimum. It’s a part of the equation right now; trying to keep price increases low and react to the realities of the marketplace—everybody’s kind of readjusting to that. Lucky for us, we can get a lot of products in a container. Our products are priced at a price point that the shipping cost can be divided out between many units. So it isn’t as

PAM KERMISCH The first suggestion I would have is the idea of making it more accessible to more people. That would be great. If you think about it, at one end, you’ve got the tricked-out race vehicles that are just amazing and impressive, but they’re also expensive and intimidating. It makes for a very competitive landscape for the manufacturers and top teams, but it’s fairly alienating to people just starting out. On the other end, you need more people to enter and participate and grow the sport also. I think it makes it attractive for the manufacturers to talk about the capabilities of their factory production vehicles. It creates Continued on page 54

Continued from page 53

a different level of connection with everyday people. So maybe it’s not just about the top end, the aspirational end of the sport; maybe the bottom end is just as important as well. The term “elite’ can apply to both ends. Many people, especially with all the new people coming in, who didn’t grow up on racing that don’t know much about it, can be intimidating to jump in and learn. It’s something where everyone else seems to know all the Insider language and the culture. So it can be intimidating, and therefore I think we have opportunities to educate. So let’s develop content, including where it’s live streaming the races. More content and storytelling behind the scenes about the Drivers. How did they get into it? What training and preparation did they do to prepare for it? Share a bit more of the human-interest story to help broaden the appeal. And once they are invited in, show them a path forward that is accessible to them. SCOT HARDEN That’s something that we’ve been thinking about for a while as well. It’s great to hear it. It reinforces that we take a lot for granted, having grown up in the Sport. We need to put ourselves on the other side of the fence and look in. I’ll bet it’s pretty intimidating. We need to break those barriers down. And obviously, one way is through our class structures. PAM KERMISH Go to our YouTube channel and watch those Trails Talk videos. We should be doing the same for racing. Create something for people who haven’t aren’t as familiar with racing. It’s about meeting them where they’re at. ROBBIE PIERCE For as long as I can remember, people always talked about the golden days of off-road and off-road racing, and that it is all in the past? I’ve had this conversation with people before; I’m not so sure that that’s true. I’m not so sure that now isn’t the golden years of off-road racing. And people say, well, how do we take desert racing to the next level? What if it’s already there, right? I mean, we’ve accomplished a lot. Maybe it’s just about changing your perspective and seeing the world more positively. If I could change anything, I want to slow it down just a little bit so that we can preserve and enjoy what we already have. Enjoy the spirit of camaraderie, pre-running together, the shared experience of the pits and the other teams. Too much of a good thing isn’t necessarily a good thing. It’s always been a recreational sport. We’re all recreational racers. I don’t care who we are. I don’t know if that’s limiting… it seems all forms of motorsports want to grow; I don’t care if it’s Top Fuel or NASCAR or Off-Road, but it seems there needs to be a balance there.

GREG COTTRELL The shorter events, the more concise they are and the more local where there is adequate lodging, not out in the middle of nowhere that helps us. We do 92 events a year. We have a lot of support trailers traveling all across the country doing events. Our team works very hard. They need basic accommodations. Event coordinators and promoters need to take into consideration that we need infrastructure out there to function properly. On the other side of things, when we come down to the financial aspect as a company, we are always looking for more exposure. We need more racing televised. We need more spectators. Yes, you have the race clientele in front of you. That’s great. They’re important. You have the race clientele, of course, but they want sponsorship, which is fine, but you can’t give everything away for free. I understand that. Okay, on the other side, though, you have to balance it out for it to make business sense. Now, what makes sense? I love venues that offer racing and spectators. Currently, it’s very small as far as the expansion of people outside our industry. We love off-road racing. I’ve been offroad racing since my dad first raced the Baja 1000 in the late 70s. So I’ve been in it to win it from day one. And the thing is this, I’d love more exposure. I’d love an opportunity to get more people involved, to experience what we experienced. That’s where television comes in; I’ll never forget growing up with Wide World of Sports. When they had the television coverage of Baja, I watched that. When they covered racing at Riverside Raceway, I watched. Oh my gosh. That was so much fun. It was just incredible as a kid. Those were some of the highlights of my time. How do we get that back? No question about it, we need to televise more events. One group of people that is amazing is Desert Vets Racing. They are an amazing group. It’s just an awesome program, and it’s so exciting. Every time they put another vet in that car, we have a new member of the off-road racing community. They want to do it again and again. How can we expand that? I don’t know what that magic answer is or how to do that, but I guarantee if we had more groups like Desert Vets racing out there, we’d be home free. BRIAN GODFREY We make specific products for off-road racing and off-road racers. We have a whole group of dedicated people to service, support and sell to that market. And we offer, as you know, racer programs, including supporting quite a few athletes that are helping us drive our brand. We intend to continue to do that. Our efforts to expand outside of traditional desert racing into International racing are our focus. This impacts everything we do, including the type of product we make. We invest quite a bit in R&D through racing. Our goal is to leverage everything we do through racing to support the brand. And from what I can see, off-road racing is doing very well right now. I would imagine the interest level is at an all-time high.

The only issue right now negatively impacting racing is that the experience has been altered due to COVID. I just did the NORRA race, for example, and it just wasn’t as fun not having the parties and not having everybody in the same space for a driver’s meeting. Like me, I think most people look forward to those activities as much as the race itself.

These are people with the same interests and I want to be near them and share my passion. I think that’s something all promoters need to consider as they emerge from COVID regulations, putting a considerable effort into getting everyone back together. Make it fun— as much fun for the people that aren’t behind the wheel as the people that are behind the wheel.

Editor’s Note: The information shared by the participants in this article is greatly appreciated by Dealernews Magazine. We hope it helps provide a little more insight into the off-road industry as a whole. We sincerely appreciate the time they spent sharing their views.

AMA Motorcycle Hall of Famer Scot Harden has enjoyed a nearly 40-year career as one of the world’s top off-road racers and compiled a set of records that few can match. From 1971 until his final professional race in 2007 — at the age of 51 — Harden mastered a wide range of off-road disciplines. He also has compiled an impressive executive management resume within the motorcycle industry as a brand builder, race team manager, sales professional and product planner with such companies as Husqvarna, KTM, BMW, Zero Motorcycles and Best in the Desert. Harden also is owner of Harden Offroad, a business consulting practice. He was inducted into the AMA Motorcycle Hall of Fame in 2008.

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The smart play, I believe, while we ponder that question, is to invest in relationships. Alvandi, Harrison, Tsujikawa and I are doing so, and it’s certainly showing up on the showroom floor. Moto Corsa just added their fourth female employee, investing in inclusivity and making the smart play towards the growing number of women riders. Coleman Powersports started their moto school a little over a year ago expecting to train 800 people per year — they trained that number last month! Their first thought was to serve as a resource when a local training school closed up, and now it’s become a source of added cash flow and customers. Both dealerships are investing in long-term relationships with their riders, and it’s paying off.

By Alisa Clickenger

TRAVELS WITH TIGRA

his past month I had the great fortune of visiting with two of my favorite dealerships — on opposite coasts. At Moto Corsa, the enthusiasm of the staff is a living and breathing entity, trickling down from the top with Shahin Alvandi as GM. Meanwhile at Coleman Powersports, GM Kim Harrison has it going on with killer customer service and their new riding school that serves as a direct funnel to bike sales. Between the two, I was traveling with Tigra Tsujikawa, a Powersports Marketing Consultant and the cover model for this issue. A highly skilled technical off-road rider, seasoned on-road rider and community and experience marketer in the powersports industry, Tsujikawa is serving as a consultant on my cross country event, the Suffragists Centennial Ride. With two decades of marketing leadership working with OEMs, aftermarket manufacturers, rider associations and clubs, I’ve been learning a lot from her. The United States is in a real state of flux right now, with some states opening up wide after COVID, and some locking down tighter with localized outbreaks. The news is confusing, communities are craving cash infusions, and all across America there’s cautious optimism with a healthy dose of discomfiture. We’re lucky in the powersports industry that our products are perfectly posed for a postpandemic rush, but will it continue?

Tsujikawa was the driving force of both the 2009 and 2012 AMA International Women & Motorcycling Conferences, as well as the AMA Hall of Fame Induction Ceremonies (2009-2012), and now she’s on my team creating the first-ever Women’s Motorcycle Festival & Conference. Well respected throughout the leadership ranks of the powersports Industry, Tsujikawa’s passion for the sport and deep understanding of the needs of riders is widely known. It’s been super fun traveling around the country with her gathering ideas, building relationships with riders and with communities, all while building the best event the two of us can conceive. All dealerships can build better relationships, no matter what your sales stats look like. The relationships with suppliers, staff and customers are what will keep us cruising on down the road in successful enterprise long after COVID’s constraints have been sorted out. Better relationships start with being open to new ideas, and I’d suggest tapping the talents you already have — your female staff. Women are natural-born community builders, and the ladies on your team will most likely have valuable insights you can implement right here and now. Community creation is an inside job — see to it and you’ll see your profits soar.

Alisa is a two-wheeled world traveler, author, tour operator, and event producer. She has been featured in a variety of media outlets as a woman pursuing a life of adventure and helping others to access their inner wisdom and be free to lead lives they are passionate about. Her book Boost Your Confidence Through Motorcycling: A Woman’s Guide to Being Your Best Self On and Off the Bike became an Amazon.com #1 Bestseller. In 2019 Alisa was also named to Dealernews TOP 100 People in Powersports. Her personal mission is to empower women through motorcycling and adventure while being a strong advocate for the powersports industry at large. Alisa’s motorcycle touring company is www.WomensMotorcycleTours.com.

5) Be able to create and articulate your inimitable marketplace superiority. When the customer goes to several stores before buying, understand that the customer is primarily shopping you. If you don’t know why I should do business with you, neither will your customer.

THE GOSPEL ACCORDING TO MARK:

47 Best Practices to Accsellerate Your Sales Success By Mark Rodgers

’m not sure this qualifies as religious text, and I’m certainly not making any parallels, but what follows is wisdom curated and best practices created during my 30 odd years in the business. From the book of Mark: 1) When it comes to interest rates, down payments, monthly payments and really anything dollar related, close business using reasonable and realistic ranges. This way you won’t overpromise and under deliver. 2) Practice MENSA: minimize extraneous non-valueadded sales activities. If it doesn’t directly pertain to selling motorcycles, don’t have your salespeople do it. E.g., trade evaluations, calling for payoffs, and heaven forefend, taking credit applications. 3) Understand MP3, Mark’s Performance Three. Salespeople really do just three activities: prospect for business, present for business, and persistently follow up for business. 4) Practice freedom with fences. Give your sales team the freedom to operate, but within boundaries.

6) You sell the bike, first. No exceptions. You don’t go visit F&I to explore interest rates, you don’t go talk to the accessory guys to see if you can make it lower, or louder, or … bluer, you sell the bike, first. 7) To “accsellerate” your sales, you should sell out of stock (SOS). Do not end your product conversations by saying things like, “… and I think it’s also available in blue and red and cosmic orange.” The bike you should sell is the bike you can see. 8) Understand the power of the present moment. Now is all that matters. Be present with your customers. 9) You can’t think in secret. Whatever is going on in your head will reveal itself in what psychologists call “micro expressions.” So get your head on right. 10) Adopt the “good deal” mentality. Customers need to be treated well, and you need to be well compensated. Otherwise, the relationship doesn’t work. 11) When business is not coming to you like “manna from heaven,” there are two areas to increase your activities: prospecting and referrals. 12) Arrange your showroom floor to help you sell. Leverage your store’s traffic zones. You have a dead spot. Put your fast-moving motorcycles there. You have an active spot. Put slow moving bikes there. And face the attractive side of the motorcycle to the traffic patterns (hint: it’s the right). 13) Use two-for questions as an alternative to the awful, “May I help you?” Rather, “Day off?” “Running errands?” “Lunch break?” “Come far?” 14) Use an “amazing fact” to start the conversation off right. “Did you know this drive system has the lowest parasitic drag of any manufactured today?” 15) Step one of any sales progression is to get the person’s name and contact information. By the way, “Bob” is not good enough. It’s first and last name here. 16) It’s imperative to find out where the customer is in terms of buying cycle. “Are you looking to ride this month?” or “Are you hopeful to be burning gas by Sturgis?” 17) Today’s customer is better researched than ever before. Find out how well. “Sounds like you know what you’re talking about! May I ask, where have you done your research?”

27) Use the ART of communication: Acknowledge the customer’s objection. Respond in a convincing, compelling, and conversational way. Then transition to what’s next.

18) You need product knowledge horsepower. Be able to cite at least five significant technical aspects of the motorcycle not found in the brochure, and knowledgewise, you’ll be in the top five percent in the county. Anyone can look in a brochure. Prove how they can be better off by spending time with you! 19) Do me a favor, involve the customer. “Please do me a favor and throw a leg over this motorcycle.” Or “Do me a favor, tell me what you think about this paint job.” 20) Get great at test rides. We’ve written and spoken about this extensively. 21) Set the stage for referrals up front. “Our objective is singular: We want to make you so deliriously happy that when we’re done, you’re going to want to tell others. Fair enough?” 22) Take your customer’s picture with your smart phone, then email it to them. It’s a great way to capture their contact information and stay in touch. Plus, you can put in your CRM and recognize them when they come in again! 23) Be able to handle the big five objections: no need, no money, no hurry, no desire, and no trust. 24) Be able to answer this question: “The dealer down the road is cheaper, why should I do business with you?” 25) Leverage the principle of ingratiation. “Great question!” “Excellent insight!” “That’s a really smart decision!” 26) Use the rule of three for more persuasive arguments. “There are really three reasons why you should at least consider financing your side-by-side with us as opposed to paying cash.”

28) Don’t let customization questions throw you off course. “If you can dream it, we can do it. Here’s what I recommend. First, let’s make sure you’re on the bike that’s right for you. Then we’ll introduce you to our accessory expert who will make your dreams a reality.” Then get back to selling the motorcycle. You sell the bike first. 29) Also, don’t let financing questions throw you off track. Questions about interest rate, down payment, or monthly payment often derail some salespeople. Solid responses here position you well and get you back to talking about the bike. I may have mentioned this, you sell the bike first. 30) Ask for the permission to move forward with a trial close. “What do you think?” If the response is affirmative, simply say, “Should we sit down and start to figure it out?” 31) Have a strategy for price negotiation. I don’t want to bog this quick hit article with too much on this, but whether you start high, no haggle, or don’t walk let’s talk, whatever it is you need to have an approach worked out and before you need it. 32) Never give a price concession without getting something in return. Use a quid pro quo. “Ok, we’ll include the freight and set-up, but there’s a quid pro quo. We’ll include the freight and set-up in the selling price, and you agree to bring two of your friends down to the store for a ‘behind the scenes’ tour. We’ll show them around and maybe get you a few new riding buddies. Fair enough?”

Continued on page 60

MAY 2021

Continued from page 59

33) You don’t want all the business. Sometimes, with some customers, for many reasons, it’s best to part company. It’s ok, to be ok, with this idea. 34) Write up the deal using an effective tool like a deal worksheet. A credit application isn’t the right tool, here. Purchase orders sell the bike. Credit applications sell financing. 35) Overview purchase agreement documents and ask for the customer’s signature. If they are not burning gas that day, require a significant good faith deposit — $50 doesn’t cut it. 36) Pour cement on the deal immediately. “Congratulations! You’ve just purchased a great motorcycle. Here’s what’s going to happen next …” 37) My favorite way to pour cement on a newly formed decision is to let the customer write their name on the sold tag and then hang it on the motorcycle. 38) Have the customer relax and peruse accessory options for a few moments while you get management approvals. This does not mean leaving your customer unattended for half an hour to reconsider their decisions. 39) Create dealership synergy. Have an off-line conversation with your business manager about strengths, weaknesses, interests, and personality types. Just like a volleyball player sets up the ball for their partner to return, you too should set each other up for success. 40) Practice systematic sales informality. Accidentally, on purpose bump into your customer on the showroom floor. There is nothing underhanded about being in the right place, at the right time, with the right intentions. 41) Use my Name-Frame-Same model for introductions. “Lisa, I’d like you to meet Bill Dash the newest member of the ABC H-D family. He’s getting that cool, gun metal 2020 Street Glide. Bill, this is Lisa Stevens our business manager. She’s going to help you with all your important documentation …” And then the rest of it. 42) Use the age-old FORM model to guide your conversations. Ask about family, occupation, recreation, and motivation for making the purchase.

43) Skip showroom floor business manager interview. Even the car guys have gotten away from that idea. 44) Don’t deliver motorcycles on Saturday. “We’re delivering bikes this week on Wednesday and Thursday, which night works for you?” This will minimize your scheduled Saturday deliveries by approximately 80% to 90% — Which will give you bandwidth for those walk-in, spontaneous purchasers. 45) Learn how to rock. Great dealerships are like great rock bands. Bob Weir always had an idea of where Jerry Garcia was headed in a song, and would musically, meet him there. That’s how your store should operate. Cues, prompts, language, all helps. 46) Involve your service department in the delivery of the motorcycle. It gets the service relationship off on the right foot and gets your salespeople back selling more motorcycles. 47) It’s all about timing. Celebrate your new dealership family member as the last action you take. The scientific research is crystal clear on this. So, the exciting denouement is you bringing the customer back onto the showroom floor, as AC/ DC’s Thunderstruck starts to play on the sound system, “Ladies and Gentlemen, please welcome the newest member of the Hannum’s Harley-Davidson family, Cooreeey Williammmson!” Then rev the bikes, honk the horns, and bang a gong. This they’ll remember! So let it be written, so let it be done.

Be sure to tune into: SALES SUCCESS IN 60 SECONDS OR LESS as sales expert and award-winning Dealernews columnist Mark Rodgers shares how to accsellerate® your sales. Watch Mark explain the guiding principle of how to succeed in the motorcycle business even in these stormy times. (FYI, Mark only counts the content after the whizbang video open in his time limit, so start your stopwatches then!) Mark Rodgers is an award-winning speaker, best-selling author, and sought-after consultant, who has spent 33 years working in the Harley-Davidson industry. Check out his 60-second sales tips twice a week at Dealernews social media channels or contact him via e-mail: Mark@RodgersPC.com

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THE EV MOTOR COMPANY?

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CURRENTS+ THE EV MOTOR COMPANY?

LiveWire To Be Re-Launched As Stand-Alone Brand Forget what you think you know about the LiveWire. From launch, LiveWire will work with participating dealers from the HarleyDavidson network as an independent brand. An innovative go-tomarket model will blend digital and physical retail formats, tailoring the experience to the local market and allowing customers to discover LiveWire on their own terms. Tesla style factory stores and a virtual headquarters differentiate the new LiveWire from HarleyDavidson. “One of the six pillars of The Hardwire Strategy is to lead in electric – by launching LiveWire as an all-electric brand, we are seizing the opportunity to lead and define the market in EV,” proclaims Jochen Zeitz, Chairman, President and CEO of Harley-Davidson. “With the mission to be the most desirable electric motorcycle brand in the world, LiveWire will pioneer the future of motorcycling, for the pursuit of urban adventure and beyond. LiveWire also plans to innovate and develop technology that will be applicable to Harley-Davidson electric motorcycles in the future.”

STAR WARS-STYLE SPEEDERS SET FOR RACING

eVTOL Electric Flying Cars Take Off “The unveiling of the world’s first full-sized electric flying racing car is a landmark moment in the dawn of a new mobility revolution,” says Matthew Pearson, founder of Airspeeder and Alauda Aeronautics. “It is competition that drives progress and our racing series is hastening the arrival of technology that will transform clean-air passenger transport, logistics and even advanced air mobility for medical applications. The world’s first electric flying car races will take place this year and will be the most exciting and progressive motorsport on the planet.” To that end, a full grid of Airspeeder Mk3 electric flying racecraft is currently being manufactured at Alauda’s technical HQ in Adelaide, South Australia. More than 10 identical racing vehicles will be produced and supplied to teams in 2021, according to Pearson. The craft is being developed and manufactured by a team drawn from leading names in aerospace and motorsport technology including McLaren, Babcock Aviation, Boeing, Jaguar Land Rover, Rolls-Royce and Brabham. The Airspeeder Mk3, is a full-sized remotely-operated electric vertical take-off and landing vehicle (eVTOL). It will compete in an upcoming remotely-piloted Airspeeder racing series that will stand as a technical test-bed and feeder series to a manned racing series in 2022. Both the remotely piloted Mk3 programme and manned Airspeeder Mk4 flying cars will provide a safe environment from where key innovations around safety, noise and batteries can be refined and fed into the wider development of an industry predicted by Morgan Stanley to be worth $1.5 trillion by 2050. Watch it in action here: https://youtu.be/_l5MyOpKD38

Dedicated showrooms? Seizing the opportunity to lead in EV and innovating across the customer journey, LiveWire will operate dedicated EV showrooms in select locations, starting in California. Here customers will be able to experience the LiveWire brand in an immersive and innovative way. “LiveWire is more than a motorcycle. LiveWire plans to redefine electric, delivering the best experience for the urban rider, with personality and soul,” he adds. “LiveWire creates a unique connection between rider and vehicle. Today, the next chapter in the LiveWire journey begins.” Virtual HQ: Innovating by design and attracting industry-leading talent, LiveWire will be headquartered virtually, with initial hubs in Silicon Valley, CA (LiveWire Labs) and Milwaukee, WI. Marketplace: From launch, LiveWire will work with participating dealers from the Harley-Davidson network as an independent brand. An innovative go-to-market model will blend digital and physical retail formats, tailoring the experience to the local market and allowing customers to discover LiveWire on their own terms. Dedicated Showrooms: Seizing the opportunity to lead in EV and innovating across the customer journey, LiveWire will operate dedicated EV showrooms in select locations, starting in California. Here customers will be able to experience the LiveWire brand in an immersive and innovative way. Technology Focus: With a dedicated focus on EV, LiveWire plans to develop the technology of the future and to invest in the capabilities needed to lead the transformation of motorcycling. LiveWire expects to benefit from Harley-Davidson’s engineering expertise, manufacturing footprint, supply chain infrastructure, and global logistics capabilities. Technology Sharing: Harley-Davidson and LiveWire intend to cooperate and share their technological advancements to ensure an industry leading application in their respective core segments. The first LiveWire branded motorcycle is scheduled to launch on July 8, 2021 and will premiere at the International Motorcycle Show on July 9, 2021. For more information and updates, register at livewire.com

FUELL GETS ON THE GAS

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The FUELL Powersports dealer program features the Flluid 1-S that comes standard with two large 504Wh Lithium batteries, a torque sensing 500w mid motor, and a Gates Carbon belt drive with an internally geared hub. According to Buell, this exceptional E-bike provides incredible efficiency, a sleek modern look and a range of up to 125 miles. The new FUELL dealer program has been created to set-up key Powersports dealers as full service FUELL dealers where customers can come in to see, touch and feel the Flluid E-bike. Why powersports dealers? In a recent survey, 50% of customers who bought a Flluid E-bike are also motorcycle enthusiasts, most are between 45-65 years old, and make between $100,00 to $200,000 per year. What better way to bring in and develop new riders, as well as provide a fun and efficient new product for existing motorcycle customers? To become a new FUELL dealer, e-mail dealer-support@ FUELL.US To learn more about FUELL vehicles head to www.FUELL.US

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SHIFTING GEARS

ZERO GOES GREEN FOR EARTH DAY

Zero Motorcycles celebrated Earth Day 2021 by launching its 15th Anniversary limited-edition DSR. In commemoration of Earth Day, $500 from each of five nature-inspired colorways was awarded directly to the National Forest Foundation. The campaign is designed around Zero Motorcycle’s continued effort to help to preserve Earth’s natural treasures, and to encourage customers to spend more time outside. “Zero was founded with a passion for off-road motorcycles that could be ridden in the Santa Cruz Mountains,” explains Zero CEO Sam Paschel. “It has been our mission to transform the riding experience with pure electric vehicles, and a passion for conservation is deeply rooted in our DNA. Our bikes are an incredible way to experience off-road riding, including in America’s National Forests, and we stand with the National Forest Foundation in their mission to guarantee access to those lands for future generations.” “We are excited and grateful to partner with Zero Motorcycles on projects to improve outdoor experiences and restore our National Forests,” adds Dayle Wallien, Conservation Partnerships Director for the National Forest Foundation. “Our public lands are amazing places to explore and recreate and we appreciate a commitment to help us steward them from an innovative company like Zero.” The special edition DSR lineup will be available for order in limited quantities starting today, while supplies last, through all US Zero Motorcycle dealers. Powered by Zero’s Z-Force 75-7 motor, the DSR is said to provide 116 ft-lb of torque, 70 hp, a top speed of 102 mph, and up to 163 miles of range per charge. MSRP is $15,495.

Damon on a charge! New role for COO and a world class creative team added to the Canadian EV experts to take the company’s HyperSport motorcycle brand and design to the next level. COO Derrick Dorresteyn adds CTO to his COO duties. Not a stretch for this hard charger on the EV scene. “I spent ten years as the founder and CTO of Alta Motors, serving on the company board, taking the company from concept to production and distribution (800 units shipped) of three electric motorcycle models and building the company to a staff of 100 employees,” notes Dorresteyn. “My scope included management of engineering, manufacturing, supply chain, quality, and racing strategy.” Damon founder and CEO Jay Giraud adds. “At Damon, we continue to expand and grow our team to deliver not just a revolutionary motorcycle, but a revolutionary experience for the next-generation of motorcyclists.”

Joining the Damon team is Doug Penman, CMO & VP, Brand. During his career, Penman has launched and accelerated some of the world’s largest technology and luxury brands including Intel, Microsoft, Volvo, Toyota, SanDisk, QuantumScape, Dell, UBTech and Philips. He founded the educational toy company Nukotoys, which won the Tesla Prize for tablet innovation and was a finalist for International Connected Toy of the Year. At Damon, Penman will reimagine the brand for the company’s go-to-market phase, create a new brand experience that surprises the world, further build out the creative team, and help grow the motorcycle market. “Damon has captured the world’s attention being the first to use technology to create a deep fusion of rider and motorcycle,” proclaims Penman. “We have built our entire ecosystem of safety, performance and awareness around that. I look forward to creating the most exhilarating, unexpected and fierce mobility brand the motorcycle industry has ever seen.”

Also joining the fierce mobility brand is Head of Design Michael Uhlarik. “Damon continues to redefine the limits of modern motorcycling,” adds Uhlarik. “I’m excited to design the Damon motorcycles of the future and push those boundaries even further to cement the company’s legacy as the leading innovator in two-wheel safety, technology and performance.” An awardwinning motorcycle designer and product planner, Uhlarik has worked for Yamaha, Piaggio, Aprilia and BRP. His credits include the Yamaha TZR-50 and the Yamaha MT-03 as well as contributing to the Aprilia Dorsoduro, SportCity and M1 MotoGP bike. At Damon, Uhlarik will establish the company’s design vision and create a visual vocabulary for Damon products as he builds a world-class design team attracting the best two-wheel designers from around the globe.” CEO Giraud concludes, “As pioneers in their respective fields, Doug and Michael’s purpose and creative vision are tightly aligned to fuse the functions of product design, brand & marketing. This will ultimately give riders a fully charged, inspired and deeply personal riding experience.”

E3 LOOKING TO SPARK LITHIUM BATTERY BIZ

Already known for their ubiquitous marketing campaigns for spark plugs, the E3 has launched the next generation of batteries. “Leaving lead-acid, AGM and even traditional lithium-ion batteries languishing in the dust, E3 Lithium is a quantum leap ahead in the power supply market,” claims E3 VP of Motorsports & Business Development, Rob Fisher. E3’s LiFePO4 Batteries feature a significant weight reduction, a massive power increase and the longest life of any battery available, according to Fisher. Available in 10 unique configurations covering a wide variety of powersports and automotive applications ranging in power output from 140 to 760 Cold Cranking Amps. E3 says they have batteries for most motorcycle, ATV, UTV, snowmobile and personal watercraft makes and models on the market. “By utilizing advanced chemistry and system design, E3 Lithium Batteries offer outstanding cycle life, high charge acceptance, and up to an 80% weight reduction over lead-acid batteries.”

Personnel Files By Alex Baylon

ASK THE RIGHT QUESTIONS! Is There A Right Way To Interview?

little pregnant? I was recently caught in a position of needing to interview potential candidates and hire someone for an unexpectedly vacant position. Like having children, there is no instruction manual on hiring the correct employee. Everyone has their own methods that work for them — especially in the powersports industry! What is the best method to learn about your potential candidate and whittle down the chances of getting the wrong one? Many of us have used the standard “No frills, no thrills” interview style and it has worked… or maybe we got lucky? During the past 25 years I have picked up some better and definitely more effective interviewing techniques. Even on my latest candidate interviews I have switched things around a bit to improve the process. Use these tips to come up with your own unique way to help you interview and hire the right candidate for the job. Ask The Right Questions This time around I decided I would have a list of questions that the candidates would actually have a couple of days to prepare for and answer at home on their own time. I used these to get a glimpse of who they are and what they are about. I figured if they messed these answers up after having time to think about the answers, then it was a good way to weed out some of them.

To my surprise one candidate who I was just about to reject did so well on the questions that I decided to interview him. Doing these homework questions first allowed me to get critical insight into the applicant. I felt by doing it this way it avoided putting them on the spot and it gave them a chance to really think out their answers. Here are some examples of the homework questions they received: 1) What are some of your largest accomplishments? 2) Describe a customer you won over. How did you do it? 3) If I were to speak to your manager or employees how would they describe you? 4) Describe your last two managers. What did you like and dislike about them? 5) Why do you want to change jobs? 6) Why did you leave your last job? 7) Why do you want this job? 8) What do you imagine a typical day is like? 9) What motivates you? 10) Name 3-5 of your favorite movies. 11) If you could have any super power what would it be and why? 12) Why should you have this job over the other candidates? After they get those answers back to me, and they make it to the interview process, then they have a whole new set of questions for them to answer that are more off the cuff. I ask open-ended questions which are always more effective than simple “yes” or “no” questions in the interview process. I ask job-specific questions that they will encounter in that role. If you’re hiring for sales, ask sales-specific questions. If you’re hiring a mechanic, ask them technical questions… any wrench-spinner worth his salt should be able to answer something about the process before they start tearing into a customer’s bike! It will be clear to you if they fudge their answer and if their experience is genuine. Don’t Rely On Close-Ended Interview Questions “Do you consider yourself to be a leader?’’ is a prime example of what not to ask! This question lets candidates off the hook by allowing them to give a one-word (or at least very limited) answers. You have learned nothing about them or their true level of leadership skills. Instead of yes/no questions try role playing. Role Playing This is one of my favorite techniques. I started implementing this a few years ago and it has really helped me to hire the right candidates. Take real life job scenarios and apply them to the interview process. For example, in a dealership hiring for the parts department, tell the candidate to act as the employee and you are the customer. Fill him in on pertinent information, such as the dealership’s policy is “We DON’T match online tire pricing.”

Then act as the customer, walk up to him with your cell phone and say, “I’m looking for this rear tire for my bike and you guys have it on the rack for $20 more than online. Will you match this price?” Show him the picture/ price of the tire on the phone and then sit back and listen to his response. Will it just be a simple “I can’t match it” – or will he get creative and sell you on why you spend the extra $20 to buy it from him? Will he cut you a deal on mounting and balancing for tires bought in your store? Write It Down! Again, real life scenarios can be applied to any position — you just need to take the time to write them out and be prepared for the interview. That’s right, you need to be as prepared as the job applicant for the interview… maybe more so! After all, it is you who will have to pay for the problems related to the wrong hire.

Before your next interview with any potential candidate, ask the service department head or sales manager how they would conduct an interview. You can even ask the people currently serving in that role. All feedback can be used in one way or another. Consider taking another manager with you for a team interview. Also, always write down the candidates’ answers. They might have some good ideas and you will want to review all of the candidates before bringing the finalists in for a second interview, so having a cheat sheet on the finalists really does help. The Bottom Line: There is no such thing as being a little pregnant. However, there is a right way to conduct an interview. Ask the right questions, do some role playing, ask your managers and take notes.

MIJ Industry #PROfiles

Dealernews is honored to work with Motorcycle Industry Jobs to recognize the people who make up this great industry. “When you start reading the Industry #PROfles, you will notice that 80-90% of them get their start at a motorcycle dealership,” says MIJ founder Alex Baylon. “The dealers are on the front lines and have always been the heart and soul of the industry. Without motorcycle dealerships, most of us wouldn’t be where we are today, so part of our message is always going to be ‘support your local motorcycle shop.’” In addition to recognizing industry pros, Dealernews is also working with MIJ to create a job ticker tape of the latest positions opening in the industry at the Dealernews.com site. Check it out at: www.dealernews.com/Industry-Jobs “Tell us your story,” adds Baylon. “We would love to feature you! Click here to fill out the questionnaire: www.motorcycleindustryjobs.com/industry-profiles/

MotorcycleIndustryJobs.com founder Alex Baylon has been hiring and firing people in the powersports industry for 25 years. Currently with a major distributor, he has also been with Dragon Alliance, Ceet Racing, MX GP Services in Europe, Acerbis USA, Motonation/Sidi Boots and Scott USA. He started MIJ as he saw a need in the industry for people who are passionate about the motorcycle industry to have an employment outlet. The motorcycle industry like many others has always recycled employees from one company to another and it has always been done by word of mouth. MIJ allows companies in the industry to post their openings and give others in and out of the industry a chance to apply and insert new blood and fresh ideas in the many opportunities in the motorcycle industry.

MAY 2021

Confessions Of A Customer® By Eric Anderson

SLIDING INTO NEW MARKETS

How About A “Taste Test” For New Riding Niches?

oyal Enfield does not make the most sophisticated machines, but it certainly has put together a creative and different plan to put “butts on seats” with its new Slide School and BTR (Build Train Race) campaigns aimed at attracting new and female riders to the brand. Flat tracking had always been a dream sport to me since watching the movie On Any Sunday as a kid, but I never imagined anyone would ever offer to give me lessons for $250. Sure enough, Royal Enfield is the first OEM to offer lessons on a national circuit for anyone who wants to enroll. I will not be entering any pro flat track competitions soon, but like Richard Petty offering a taste of the NASCAR Experience, I was able to spend 3 1/2 hours with professional rider, Johnny Lewis, scooting around a specially prepared track at the Texas Motor Speedway after watching the AFT pros qualifying the day before. The pros may have been rained out the night before, but Slide School happened on schedule the next morning. No, I was not “schooled” on the half mile, but a much smaller track where Coach Johnny could closely analyze and correct our bad (motocross) habits to smooth out our style. Motocross used to be “my thing” and now it is vintage motocross, ADV or single-track dirt riding. A Royal Enfield Himalayan fits into one of those three categories, so it made sense for me to try riding a prepped FT411 on an oval track — why not? It certainly got me more excited than any OEM

“Demo Ride” where one queues up behind 15 “baby ducks” following a high-viz vest-clad Momma Duck and sweep rider around a few city blocks. The “Learn To Ride” events or MSF courses are too basic for a veteran motorcyclist like me. Yamaha Track Days of the past looked fun but were not part of my DNA at the time since I had never raced street machines before — that pavement looked hard and I treasured my kneecaps too much. Slide School was different enough, affordable, short and super convenient — I had to try it. Some OEMs have their beginner riding events or training centers for newcomers, but they all seem to be subscribing to the same “expo demo recipe” when their 18-wheeler trucks follow each other from show to show and bike week to bike week. Reading about Slide School for a modest price available regionally prompted me to think out of the box and try something new. It wasn’t about the bike anyway — it was about learning how to flat track. Having the positive experience on an RE was what was in it for them… while the pro lessons were what I paid my $250 for. Win-win. This makes me wonder if other OEMs and dealers could begin thinking differently to offer veteran riders a new mini-experience on one of their motorcycles, e-bicycles, UTVs or watercraft? Insurance for such experiences is a challenge, of course, but is the ROI worth satisfying riders’ hunger to walk away with a huge smile on their face thinking about a new and different steed in the garage?

Many vets want to know about other motorized-disciplines — we are curious but do not know how to get that taste. What is it like to get off a bike and drive a UTV — many riders would like to know what’s it like before investing $25-$30,000? I remember getting into dirt oval karting in the ’70s because there was an oval track next to the MX track I was racing… and Yamaha offered some track time. What a blast! So 1000s of dollars later, I had a kart with a Yamaha 100 motor on it. Why? Because someone showed me how to do it by coming onto my turf with a new fun, but related activity.

The main audience you would target is likely experienced riders who simply want a change of pace for a few hours. The Gary Semics, McGrath MX and roadracing track day schools are out there for racers to get faster, but none of those are 2-to-3-hour “taste tests”— they are serious training for serious racers. Having a price of $200-$300 with a vehicle provided is not bad when the prospect does not have to use his own truck or fuel to get a new category of vehicle under his backside. Make it easy and they will come… and I did.

Could there be short, 2-to-3-hour introductory clinics from OEMs or dealers for single track, ADV riding, e-bicycling, basic maintenance, packing a bike, motocross and touring? Could MIC, AMA or Cycle News keep a Clinic Calendar of where and when such events are happening — not race events, but training, demo and “taste test” events?

Now I am ready to try some new niches of powersports machines. Does anyone have a short course on e-mountain bikes before I invest $8500? How about an observed trials bike mini-course? Yes, I am looking to do Slide School again so I can get closer to that sliding Mert Lawwill image I have still stuck in my head for the last 40 years.

MAY 2021

RESEARCH & STATISTICS The Motorcycle Safety Foundation launched its educational campaign for Motorcycle Safety Awareness Month, and the Congressional Motorcycle Caucus joined in with House Resolution 359 to provide official recognition. The caucus issued statements on the importance of raising awareness for motorcycle safety. The MSF also created downloadable materials that can be used by anyone or any group to raise awareness with public service announcements, social media posts, and the hashtag #SeeMotorcycles. On Thursday, May 6, the “Ford Driving Skills for Life” podcast featured MSF staff members and coaches Andria Yu and Ty van Hooydonk, providing important messages aimed at newly licensed and teen drivers sharing the the road with motorcyclists. The podcast will be available on YouTube, Facebook, Apple Podcasts, and Spotify. Driving Skills for Life is a signature program of the philanthropic Ford Motor Company Fund.

RIDE FOR KIDS Famed Fundraising Campaign Goes Virtual The Pediatric Brain Tumor Foundation is kicking off a summer of Ride for Kids fundraising on May 6, with a virtual endeavor on Facebook. Riders will raise money doing their own rides, with funding from participating backers. “When consequences of the pandemic made in-person events impossible last year, we pivoted to a virtual RFK and initiated a fundraising partnership with REVER to track miles to help participants raise funds for the kids,” said Larry Little, a longtime PBTF board member. “For 2021, we created a National Ride for Kids Day on September 12, when fundraising culminates on another Facebook live event that will bring the festivities to a close. Pandemic willing, some of the legacy group rides that RFK is best known for will happen on that day, but the beauty of going virtual is that you don’t have to be near a Ride for Kids event to participate, and anyone, anywhere can partake in the summer of fundraising while getting out and riding!”

and problem solving. Without literal boots on the ground, Zoom presentations can end up in the weeds, virtually speaking. More than 30 years ago when I first got into OHV advocacy, I was under the false impression that most all of the important trail access decisions were made in Washington D.C. or in your state capitol building. While those departments are important and make key decisions, the real work gets done at the field level where clubs and local agency recreation staff work together on site-specific projects such as rerouting a trail, constructing a new route, installing signs, or clearing trees downed by winter rain or snow. Zoom zombies can shuffle past the real and immediate grassroots needs. That on-the-ground work comes as a direct result of inperson activities. This field work is where relationships are developed and trust earned.

ZOOM WORLD The Virtual World Intersects With The Great Outdoors By Donald Amador

While virtual meetings are here to stay and will continue to enhance communications between diverse stakeholder groups, they will never replace — nor should they — face-to-face interaction that thankfully remains the foundation upon which the powersports industry is built. We now return you to your regularly scheduled streaming service…

o, Zoom World is not a new Netflix streaming series. It is my term for the point where the virtual world intersects with the great outdoors. I know there are a lot of us in the powersports advocacy field that are “zoomed out” and ready to get back to in-person field trips and key meetings. Don’t get me wrong, virtual or “zoom” meetings have permanently changed the way we do business… and that, in many cases, is a good thing! Zoom has shown us that much of our business can be carried out over the Internet in a productive manner that saves both time and money. It has created an opportunity for stakeholders to attend meetings, workshops and conferences that would have otherwise been cost prohibitive or too time consuming in the preCOVID world. In fact, embracing the Zoom World concept has allowed me to get some valuable facetime with a widerange of OHV advocates, conservationists, industry representatives, policy makers and land agency staff that I normally would not have been able to meet at an inperson meeting. However, there still is really nothing like being outside when talking about land use issues. A recent field trip to a federal recreation area in Central California reinforced a core tenet of mine: in-person meetings, and more importantly, field trips, remain vital to relationship building, meaningful communications,

Don Amador has been in the trail advocacy and recreation management profession for almost 29 years. Don is President of Quiet Warrior Racing/ Consulting. Don served as a contractor to the BlueRibbon Coalition from 1996 until June, 2018. Don served on the California Off-Highway Motor Vehicle Recreation Commission from 1994-2000. He has won numerous awards including being a 2016 Inductee into the Off-Road Motorsports Hall of Fame and the 2018 Friend of the AMA Award. Don currently serves as the government affairs lead for AMA District 36 in Northern California. He may be reached via email at: damador@quietwarriorracing.com

Please tread lightly and travel only on routes and in areas designated open for motor vehicle use. Remember, Respected Access is Open Access.

THIS PUBLIC SERVICE ANNOUNCEMENT IS POWERED BY

WIN ON SUNDAY… SELL ALL MONTH!

Samson Exhaust and hardcore specialty vehicle builder Spevco have partnered together for three years sponsoring two-time National Hot Rod Association (NHRA) Top Fuel Harley (TFH) champion Tii Tharpe. Now they’re jumping in to help the class, sponsoring the ground-pounding, flame-throwing nitro Harleys at NHRA’s FourWide Nationals at zMAX Dragway in Concord, North Carolina. Tharpe isn’t just a rider, he’s also the Spevco president. He and Samson president Mike Baverstock both agree that putting their companies’ money into NHRA TFH isn’t some charity deal just to support the class—it’s good business. “Mike is really, really good about keeping metrics,” said Tharpe. “And he knows that when we race on Sunday, he sells on Monday. If we win on Sunday, he sells more on Monday.” “Win on Sunday, sell all month,” corrected rabid analytics hound Baverstock. “NHRA is a great piece of advertising for Samson. We see it in our sales all during the racing season.” “We’re focused on NHRA,” agreed Tharpe. “They have a good platform, with TV and thousands of fans, that really helps us.” Tharpe’s Jay Turner Racing teammate Randal Andras and his AB Steel company will sponsor the Houston race, Tim Kerrigan’s TKR and Associates will sponsor Indy, and AMRA racer John Toth and his company JT’s Auto & Cycle will sponsor Maple Grove. Tharpe’s Spevco will be going all out, representing themselves and Samson Exhaust on the zMAX midway with a private 3000 square foot hospitality center, providing a luxurious space and advertising both companies’ products. — Tim Hailey

Photo courtesy of Tim Hailey www.eatmyink.com

MAY 2021

SAMSON SOUNDS OFF!

Samson has seen a tremendous boost in sales since Mike Baverstock and his business partner bought the company. His “Loud Pipes Win Races” attitude is translating from strip to street with top quality, American-made, aftermarket exhaust for Harleys and select Indian motorcycles at an affordable price. Samson’s biggest challenge now is getting enough raw materials to keep up with demand. They’ve recently acquired a CNC milling company and automated powdercoating lines. For more information about Samson Exhaust products: https://samsonusa.com/

WHAT A DRAG!

“We believe our ET Drag Motorcycle racing tires are the best around, and the Mickey Thompson Tires Top Sportsman class is the perfect proving ground,” says Ken Warner, VP of Marketing for Mickey Thompson Tires & Wheels, explaining why they are returning as class sponsor for the Xtreme Dragbike Association (XDA). The “Mickey Thompson Tires Top Sportsman Class” features 7-second bikes from the XDA’s MPS Pro E.T. class battling it out for cash prizes at seven events. “XDA racers always put on a great show, and we’re happy to be part of these exciting events,” adds Warner. “This version of our ET Drag tire is consistently setting records and winning races. Mickey Thompson is number one in Motorcycle Drag Racing and racers ask for M/T Motorcycle Drag Tires by name.” For more information on Mickey Thompson’s motorcycle-specific drag tires, click here: https://www.mickeythompsontires.com/drag-tires/et-drag-moto

TOOLS FOR ENGINE BUILDERS

Baseball may be a game of inches, but drag racers need tighter tolerances than that! Goodson Tools & Supplies for Engine Builders has introduced a fully reengineered setting micrometer for the 3-D Fast Cut Valve Seat Cutting System. “We lost our supplier for the original MGA-MIC back in 2019 and have been searching for a way to bring the tool back ever since,” says Goodson National Sales Manager Dave Monyhan. “With some good old ingenuity, we found a way to do just that.” The redesigned setting micrometer has a 0.800” to 3.000” range capacity and features a carbide tipped anvil for accuracy and durability. Goodson also engineered a .375” diameter precision drill bushing for the calibration standard or pilot to ride on. The direct reading micrometer is accurate to .001” —Use the 3-D Fast Cut Setting Micrometer with any .375” pilot, regardless of top size, to set your cutters. An optional 1” calibration standard is also available. For more information, contact Goodson at 1-800-533-8010 or visit goodson.com

THE DEVIL IS IN DIABLO’S DETAILS

In 2008, Giant Loop pioneered the original horseshoe-shaped biomorphic motorcycle saddlebag design with the bolt-on Giant Loop Saddlebag. Since then, their adventure-proof packing systems and biomorphic motorcycle saddlebag designs have made hundreds of trips in the most demanding conditions around the world. The “go light, go fast, go far” theory of onand off-road adventure, sport and dual-sport motorcycle riding, lives on in the latest Diablo tank bag. “Fully redesigned for 2021, this new little devil emphasizes increased waterproofness while maintaining its many riderfriendly features: a low-profile shape that stays out of the way, a pliable yet rugged structure, and quick, easy access to fuel fills. The redesigned Diablo Tank Bag is the slim, bulletproof, waterproof, adventure-ready tank bag for those who want to ride fast and far with zero distractions. https://www.giantloopmoto.com/product/diablo-tank-bag/

HELD IS BACK!

After some collaborative distribution attempts with companies like Schuberth, the German gear brand HELD is reaching out to retailers in the U.S. and Canada with a dealer-direct program. “Already world renowned for its best in class gloves, HELD has a comprehensive range of top quality riding gear,” says Velocity Sports Group founder and new North American agent for the HELD portfolio, Randy George. “HELD products function better and fit better, by design — HELD offers the widest range of sizing of any brand in many categories, including gloves, short to long, and apparel, slim to tall.” But don’t just take Randy’s word for it. Germany’s leading motorcycle publication Motorrad named Held Best Brand in gloves for the 16th consecutive year in 2021, Best Textile Apparel for the 7th time in a row and Best Biker Jeans for the third straight year. To become a dealer or to re-establish your Held account, click here: customerservice@rideheld.com

FORGET OLD BAGS FOR MOTHER’S DAY

Mother’s Day may have passed (you didn’t forget it was in May did you?), but the crew from Twisted Throttle says it’s never too late to show Mom how much you love her with a nice riding jacket to keep her warm and safe when she’s away, some earplugs to drown out the kids’ yelling… um, road noise, or a throttle stabilizer to keep her journey on the road until sundown! However the hot ticket this Mother’s Day, or any day, is a 28 liter DrySpec D28 dry bag! The RF-welded 22oz. vinyl construction guarantees 100% waterproof performance even when submerged. Unlike other dry bags, the D28 features a dual-end roll design that allows access to belongings from either end of the bag without having to disconnect the mounting straps. Contact Twisted Distributing for dealer ordering details or click here for the specs of the DrySpec bag: https://twistedthrottle.com/shop/ luggage/tail-bags/dryspec-d28-dual-end-waterproof-motorcycledry-bag-black-grey-orange-28l-total/

MAY 2021

NICE… IOWA NICE

AMA Extreme Championship Hits Heartland

here is nice and then there is “Iowa Nice” — it even says so on the billboards. Spragueville, Iowa, and McGrath Motorsports were the unlikely hosts for the Iowan Hard Enduro, the second round of the 2021 Kenda AMA Extreme Championship. “You don’t think of Iowa for extreme races, but it proved to be pretty cool,” said third place finisher Colton Haaker. “The course was a little easier than some of our events, but it made for some really fun racing. We were able to battle between obstacles rather than resting.” According to Wikipedia, “Iowa Nice” is a cultural label used to describe the stereotypical attitudes and behaviors of residents of the state, particularly in terms of the friendly agreeableness and trust shown by individuals who are otherwise strangers. Overall winner Trystan Hart found the crowd supportive as his day progressed, 2020 winner Quinn Wentzel, not so much as he started with a nice holeshot, but eventually carded 10-10 finishes for 10th overall. “The day started off horrible with ninth in hot laps and a derailed chain,” Hart said from the top of the podium. “I was fired up for the first moto and came out charging, ultimately winning the sprint. In the final, Cody and I went back and forth most of the race and we had some really good battles. I’m happy to end up with the overall win!”

With a race format consisting of a hot lap and two separate motos for the pro racers, Sherco’s Cody Webb struggled because conditions were “too nice” — “It was a pretty simple course for a hard enduro and the conditions weren’t on our side. In moto one, I got a bad start and just couldn’t get around those guys. I tried a few times, but just couldn’t make it happen and settled for fourth.” For moto two, race directors added more technical sections to challenge the final 32 riders. With that, Webb was able to charge to a lead early in the race, only to suffer some issues mid-race, which allowed for the chasers to close the gap and make it a race. Webb responded by throwing down a blistering pace during the latter stages of lap two to take the moto win by 6 seconds over Hart. Rockstar Energy Husqvarna Factory Racing’s Haaker had a solid day, finishing third overall with a pair of hardfought 3-3 finishes. “I had a huge loop-out in the second race and fortunately, I was not hurt and my bike was okay, so I was able to get going again and challenge Trystan and Cody until the very end where I missed a turn,” said the reigning AMA EnduroCross Champion. In race one, Haaker got off to a good start and quickly put himself into the lead, ultimately finishing third. In the final race, he got off to a fourth-place start but he

made a mistake stalling the bike going up one of the hills and dropped back to fifth early on. He also crashed which set him back once again. Re-mounting, Haaker put on one last charge to ultimately fight his way back onto the podium. In the Pro Women’s class, Louise Forsley (FactoryOne Sherco) took the win. She finished the race 21st overall and was the only woman rider to earn a spot in race two. In that final race, Forsley finished 27th overall. Shelby Turner and Kristina Smuda finished 2-3 in class.

Overall Pro Results Trystan Hart (KTM) 1-2 Cody Webb (Sherco) 4-1 Colton Haaker – (Husqvarna) 3-3 Taylor Robert (KTM) 2-4 Ryder Leblond (Husqvarna) 6-5 Will Riordan (KTM) 5-7 Pat Smage (Sherco ) 8-6 Nick Fahringer (Sherco) 7-8 Max Gerston (GasGas) 9-9 Quinn Wentzel (Reiju) 10-10

MAY 2021

THE ONE SHOW Come For The Bikes Stay For A Beer Photos by Tigra Tsujikawa

etween the pandemic and the and civil unrest around the parks and police stations, it seemed like Portland, Oregon, couldn’t catch a break. However the promoters of The One Show didn’t let little things like that deter them. The show must go on… and it did April 30-May 2. Coincidentally Dealernews’ Diversity Columnist Alisa Clickenger and cover girl Tigra Tsujikawa were in town to scout spots for the upcoming Suffragists Ride and visit friends at SW-Motech and Moto Corsa Ducati, so they rode over to see the show. The exhibition weekend took place at the historic Zidell Barge Building on the Southwest Waterfront in Portland. According to coffee-fueled founder Thor Drake, the massive and rustic open-air building was originally made for shipmaking in 1930 and it sits on 122,000 sq./ft. of outdoor space. “We’re showcasing 200+ unique bikes in the main space, and highlighting our partners in the open-air mall outside. Come for the bikes, stay for a beer, and celebrate custom motorcycles with us, like we’ve always done.” Works for us!

“When we started our hairbrained idea of this new potentially inclusive motorcycle thing (2008) the standard American biker image was the stereotypical motorcycle “badboy” big fat tire hogs with lots of skulls and lots and lots of fiery orange flames. Tons of badassery going down around us, and there we stood with our obviously tight fitting clothes and and creative abilities, missing the badassery mark by a long shot. “We opted for a smiling face with two Cs for eyes ... there is was, the undefinable See See logo, to go along with an indefinable name. One thing we knew we wanted to be was inclusive, inviting and open to anyone interested. Maybe something carried over from days spent in skateboard shops?” Proof of concept is that Thor and his buddies silly idea for a show celebrated its 12 iteration this year. See the whole See See story here: https://www.seeseemotorcycles.com/

MAY 2021

“We are excited to unveil the build project bike at The One Motorcycle Show, and think it will be ‘head and shoulders’ above the rest,” says SW-MOTECH USA Vice President, Sarah Schilke. She also used the show to go pro and launch the PRO line.

SW-MOTECH MAKES THE SCENE

he One Motorcycle Show — now on its 12th iteration — draws tens of thousands of enthusiasts and from across the country. Motorcycle builders consistently roll in with custom bikes featuring some of the most innovative displays of engineering and creativity from all segments of the motorcycling world. As newcomers to the Portland moto scene, SW-MOTECH USA decided to go all in. After opening its U.S. business in Portland in mid 2020, the company decided to partner with event organizers to showcase its premium lines of motorcycle luggage and protective parts. Attendees were given an opportunity to see and experience key SW-MOTECH products and interact with local team members.

The new line of PRO tank, tail, and saddle bags for ADV, sport and standard motorcycles was on display,” says Schilke. “We also shared the retro-styled Legend Gear line for cafe racers and cruisers.” In recognition of the event’s title sponsor, two Indian motorcycles were utilized to showcase SW-MOTECH’s Legend Gear — a Scout and the flat-tracker based FTR 1200. Catalogs and other collateral items were issued to visitors and the first 20 people to come to the display also received an SW-MOTECH sling bag.

In addition to a wide range of model-specific, direct mount luggage kits, SW-MOTECH makes a selection of parts designed to allow customers to weld or fabricate custom carrier solutions to fit SW-MOTECH bags on motorcycles that don’t have kits or to mount them in non-standard configurations or locations. To highlight this, the company’s own Technical Support Manager, Quentin Wilson, teamed up with local riders and fabricators Heath and Heather Knapp to produce a unique entry in the show’s custom build exhibit utilizing the weldable SLC side carrier.

Couldn’t make it to The One Show but are curious about the portfolio of TRAX aluminum hard luggage, the patented QUICK-LOCK “tank ring” system, crash bars, engine guards, skidplates, ergonomic parts and other SW-MOTECH offerings? Click here: www.sw-motech.us

ED STAT IT N U E H T IN E C A R OFF-ROAD Y A D E L G IN S T S E G THE LON POINTS FOR ALL CLASSES CAR / TRUCK - UTV - MOTORCYCLE - QUAD For info contact: Best In The Desert Racing Association

(702) 457-5775 • Website: www.bitd.com • Email: bitd@bitd.com

AVE ATQUE VALE Del Kuhn 1925-2021

he Latin phrase ave atque vale — hail and farewell, I salute you, and goodbye — used especially in a eulogy to a hero certainly applies to legendary racer and motor officer Del Kuhn. One of the nation’s top off-road racers in the 1940s and ’50s, Kuhn passed away peacefully on March 24. He was 95. According to his bio in the American Motorcyclist Association Hall of Fame, Kuhn was born in Camp Douglas, Wisconsin, in 1925. He settled in the Los Angeles area after serving in the Navy during World War II. He joined the Compton Roughriders Motorcycle Club and started riding in off-road club rides. He soon started racing and competed on his Army surplus 45-inch (750cc) Harley-Davidson. He stripped down his V-Twin warhorse for off-road use despite trend at the time favoring single-cylinder British off-road bikes. Eventually he wore out his war surplus hog and had to borrow a Matchless to compete in the 1948 Greenhorn Enduro. Despite being on a borrowed bike (with a rigid frame, at that), Kuhn won the two-day event. That performance in one of the toughest races of the era earned him a sponsorship from British motorcycle importer Frank Cooper. During his career, Kuhn was always a threat to win, and the tougher the event, the better he seemed to do. And the

competition was equally tough, he rode against talented off-road riders such as Ernie May and AMA Hall of Famers Aub LeBard, Max Bubeck and former Dealernews sales manager John McLaughlin. Notably, he won the Greenhorn again in 1950 and 1951. Because the 1950 Greenhorn was awarded the AMA sanction for that year’s national enduro title, Kuhn’s victory also earned him the 1950 AMA National Enduro Championship. That same year, Kuhn and LeBard helped establish the Catalina Grand Prix on Santa Catalina Island off the coast of Southern California. The Catalina Grand Prix became one of the most popular races of the 1950s. During the 1951 inaugural race, Kuhn charged through the field to finish third. Kuhn achieved an emotional victory at the classic Big Bear Endurance Run in 1952, where he raced in a tribute to a close friend who had died in that same race in the mid1940s. (See Don Emde’s sidebar). In 1955, Kuhn retired from racing to focus on his career as a motorcycle patrol officer for the California Highway Patrol, a position he held until 1979. In his nine-year span of racing, Kuhn became one of the country’s best-known off-road racers. Kuhn was inducted into the AMA Motorcycle Hall of Fame in 2003.

Del Kuhn (left) looks relaxed after winning the 1952 Big Bear Grand Prix. 350 riders started, but only 140 made it up the mountain through the snow to the finish, all of them following race winner Del Kuhn. Photo: Don Emde Collection

Del Kuhn, Trailblazer

ad to report that an old friend of mine and many in the motorcycle sport has passed on. Legendary off-road racer Del Kuhn passed away peacefully at home on March 24th. He was 95. I said I was sad to report this, because we won’t have Del around for upcoming events like the next Trailblazers banquet, but when you think all of that he did in his long life, you have to also feel happy that he was with us as long as he was. We should all be so lucky. Del was born in Camp Douglas, Wisconsin in 1925. He served in the Navy during WWII, then moved to Los Angeles where he got involved in off-road riding and racing. Those were the days when 500cc four-stroke motorcycles were the favored off-road machines and Kuhn became one of the best at it.

American Landmaster............................................. 43 Best In The Desert Racing Association................ 85 Beta USA.................................................................... 9 CDK Global............................................................... 51 CycleNews........................................................... CVR4 Digital Lead Performance...................................... 23 DX1............................................................................ 35 EZ Rider Demo......................................................... 41 Find It Now GPS Security....................................... 11 Fuel Capital Group, Inc........................................... 65 HJC Helmets............................................................. 37 J.D. Power................................................................. 31 Marine Retailers Association of the Americas.... 89 MBA Insurance......................................................... 53

Del accepts the Greenhorn Perpetual trophy in 1948 from Bill Johnson, president of Johnson Motors. Del won the event twice more and was able to keep the trophy permanently. Photo: Don Emde Collection

Just a few notable highlights of his include being the only 3-time winner of the grueling 600-mile, 2-day Greenhorn Enduro, winning the 1950 AMA National Enduro Championship and winning the 1952 Big Bear Grand Prix, a race that had 350 starters, but only 140 finishers. Del’s “day job” in those years was a motorcycle patrol office for the California Highway Patrol from 1951 to 1979. He received many honors throughout his life, including his induction to the Trailblazers Hall of Fame in 1998 and to the AMA Hall of Fame in 2003. My condolences to his wife of 44 years, Vicki, and to the entire Kuhn family. — Don Emde

Motorcycle Industry Council (MIC)........................ 73 Motorcycle Industry Jobs (MIJ).............................. 17 National Powersport Auctions (NPA)................... 27 Piloteer Agency....................................................... 57 Royal Enfield.............................................................. 7 Sullivans................................................................... 61 Torque Off-Road...................................................... 47 Tread Lightly............................................................ 75 Triumph Motorcycles America............................... 15 Tucker Powersports................................................ 19 Twisted Distributing.............................................. 55 Unfiltered Marketing..................................................67 Vanderhall.....................................................................62 Western Power Sports.......................................... 2-3

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THE MOTORCYCLE CAUCUS WEIGHS IN ON MOTORCYCLE SAFETY MONTH

There are some simple steps that can easily save lives, whether you are a first-time rider or a seasoned veteran: never drink and ride, obtain the proper license, and know how to safely operate your motorcycle. And it would be good to complete a Motorcycle Rider Safety course if you haven’t already and an Advanced Rider course if you have. Another critical safety component of Motorcycle Safety Awareness Month is the need for other road users to be aware of motorcycles. Serving as the co-chairs of the House and Senate Motorcycle Caucuses, we join the motorcycling community to educate other motorists and increase their awareness of motorcyclists on the road. Riders can do their part by having their headlight on (even during daylight hours), wearing bright and noticeable safety gear, and riding responsibly. In addition, all road users can increase safety by being cautious and always “taking a second look” before pulling out or turning. On the road we are all one community — whether we are car or truck drivers, motorcycle or scooter riders, bicyclists, or pedestrians —we need to look out for one another. Let’s make this Motorcycle Safety Awareness Month the start of a fun and safe summer. Together, we can make this the safest year ever for motorcyclists by doing our part.

ith the weather warming up and more people receiving a COVID-19 vaccine, millions of Americans will venture out and take to the open roads to enjoy the thrill of a motorcycle ride. May is designated as Motorcycle Safety Awareness Month by the National Highway Traffic Safety Administration (NHTSA). Throughout this month the motorcycle community promotes safe driving habits and encourages all motorists to share the road responsibly. Over the past 13 months, many car and truck drivers have substantially cut their driving time. Thankfully, much of the country is slowly returning to some semblance of prepandemic normalcy. As a result, our roads are experiencing increased traffic as more people return to work and plan for summer vacations. According to studies by NHTSA and the AAA Foundation for Traffic Safety, many of those who continued to travel on the road saw speeds increase substantially, expanding the risk for all motorists. During the pandemic, NHTSA reported an 18% increase in traffic fatalities over the same period a year prior. This rate is higher than it has been in the last twelve years. It is also important that all motorists take the lessons of this pandemic to the roadways by maintaining a safe distance when traveling via motorcycle or automobile. When motorists travel too closely together, the risk of an accident or fatality increases. Motorcycle sales jumped by double digits in 2020 due to many new and returning riders hitting the roads to enjoy the outdoors and commute in a socially distanced way. This combination of potentially out of practice drivers coupled with newer riders taking to the road makes Motorcycle Safety Awareness Month particularly important this year.

U.S. SENATOR GARY PETERS (D-Mich.)

CONGRESSMAN MICHAEL C. BURGESS, M.D. (R-TX)

Joni Ernst and Gary Peters – both lifelong motorcyclists – established the first Senate Motorcycle Caucus. Ernst (R-Iowa) and Peters (D-Mich.) serve as co-chairs of the caucus, which advocates on behalf of both motorcycle riders and manufacturers. Congressman Michael C. Burgess, M.D. (R-TX), Congressman Tim Walberg (R-MI), Senator Joni Ernst (R-IA), Senator Gary Peters (D-MI), and the House and Senate Congressional Motorcycle Caucuses introduced a bicameral resolution to designate May as Motorcycle Safety Awareness Month. Senator Ernst introduced S.Res.192 - A resolution expressing support for the designation of May 2021 as “Motorcycle Safety Awareness Month”— on 4/29/2021

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Become a member today on MRAA.com. Marine Retailers Assocation of the Americas

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Dealernews Issue#5 May 2021

Articles inside

Parting Shot

VALE

PRESS PASS

PRESS PASS

ADVOCACY

CONFESSIONS OF A CUSTOMER

GEAR

MIC RIDE REPORT

CURRENTS

PERFORMANCE

DIVERSITY

INDUSTRY RESEARCH

INDUSTRY RESEARCH

INDUSTRY RESEARCH

INDUSTRY RESEARCH

INDUSTRY RESEARCH

NEWS

SHIFTING GEARS

OEM UPDATE

LETTERS

EDITOR’S NOTE