2018.......from a Dealers Perspective

[klaviator]

I'd like to hear from those of you in the moto business.  What are your feeling about the upcoming year.? What new models or moto related stuff has you excited?

-Which bikes do you expect to sell in 2018.
-What parts and accessories will sell well?
-How about riding gear?  Do you plan on stocking more, less or the same as 2017?
-How about service and tires?
-anything else?

Note that I started a thread for customers as well.  It should be interesting to see how these compare.

[polarissalesman]

Which bikes do you expect to sell in 2018. for us, bikes are a nonfactor...I hope they do pick up, but I do look for adventure & dual sport, bikes under $10K to sale
-
What parts and accessories will sell well? like video killed the radio... the internet killed this market ...

-How about riding gear?  Do you plan on stocking more, less or the same as 2017? nonfactor ..sell a few helmets that's it..

-How about service and tires? the service dept sales quite a few tires and installs...

-anything else?

[LawnmowerRG]

Pretty much the same here.
We don't have a new bike line so I will be looking for cheap bikes mostly small dual sports at reasonable price. We will probably also build a few small cheap cafe recers for the hipster market here in the ham area.

People seam to want me to pay top dollar for a bike because it really nice (Other than the whole side it's been layed down on) so I can make good money on it some how.  :-\


As far as parts we may have sold a couple  dozen things that didn't go through the service department.

Gear? I think we have sold 2 helmets in the last 6 months.

Basically, what I see happening is that the customer better get used to paying what service is worth. Unless you can do it yourself. If  they don't  plan to patronize brick and mortar stores service will be the only way to pay the bills.

[DachshundUberAlles]

I've mulled over posting in this because I'm not really "in the business" anymore, but I am still very connected to several businesses (3 independent repair/service shops and 4 franchised dealers, 3 of which are multi line) and have discussions like this regularly.

Starting with the franchised operations, side by side vehicles are propping up the industry right now, like ATVs and watercraft did for certain stretches during the mid 80's thru the early 00's. If it weren't for these other segments of the powersports industry, there would be far fewer dealerships than there are.

Accessories for those UTV's are pretty much the only things are being stocked.
The dealers don't see the sense in stocking any parts beyond only the most basic service items to keep their overhead down.
As was touched on earlier, customers are all too happy to use the internet for the majority of their purchases due to price.

Riding gear is a VERY sore spot with dealers. They aren't too keen on tying up the large sum of money it would take to have the broad range of sizes, styles, and brands it would take to be able to make a sale, all the while knowing that they are simply being used as a dressing room so that "customer" who is taking up who knows how much of the paid employee's time can figure out their sizes so they can go home and buy it off the internet instead. Helmets are an item that only the franchised operation needs to deal with and they seem to be gravitating towards the less expensive lines as a way to limit potential dust gathering inventory. All have been hurt by this over the years.

Service is the one area there is any level of happiness. While there is a cohort that is capable of doing the majority of their own work, it's relatively small in comparison t the totality of vehicle ownership. This insures they do have a relatively stable stream of income, though the technology heavy aspect of all modern machines does create it's own unique financial burden in the form of expensive and specific diagnostic equipment.

The independent operators seem to have a better (happier?) outlook. This is especially true of the ones who were early to embrace the internet tire purchaser, welcoming them in when franchise dealers were openly hostile, refusing to mount tires not purchased from them. This reputation spread quickly and they are reaping the rewards of a loyal following of repeat customers who happily tell others of the shop that treats them right. The one thing they seem to agree on is the need for the space and lifts needed to deal with the burgeoning UTV service that is out there. The only concern they seem to have is regarding the aforementioned diagnostic equipment that is going to be an absolute requirement in the very near future and what the expense and availability will be for the non-manufacturer connected operation.

None that I know have any interest whatsoever in carrying accessories or apparel, stocking only the most basic of service parts like plugs, oil filters, oil/fluids, very common batteries, tubes, rim valves and wheel weights. Having been a successful plan for years, none see the need to alter it moving forward.

'LawnmowerRG' echoes a common theme of my independent friends about customers needing to understand the value of the mechanic's time. While you may be able to get a better price for your part off the internet, there will NEVER be a "click here to install" button, and these mechanics know that. Going forward, they all feel that they are in a good place, that they made the right decision to focus on the service aspect of the business and that it gives them an edge in being able to offer their customers a legitimate, competitive option to the franchised dealer and make enough money to keep this doors open and live a happy life.