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About dealers for dealers.
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Cap'n Nemo
Posted 2011-02-24 12:29 PM (#80212)
Subject: About dealers for dealers.


Visionary

Posts: 1359
New Bohemia, Va
I'm a member of the International Automotive Technicians' Network (iATN) and recently read this article that would equally apply to any type of dealership, but something that seems to be a fleeting thought to many motorcycle dealers.

I give George Witt from Nebraska full credit for his words he wrote in a forum as follows:
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Evil Parts Stores Who Ruin Our Business
Shop Management Forum
George from Nebraska

There is sure a lot of talk about this subject. I hope this helps give you a strategy to deal with "the competition".

I am surprised and disappointed that so few of us truly understand the business we are in and who our target market really is.

I hope that none of you really believe that those people laying on their backs in the parts store parking lots all across this great country of ours are really any kind of prospect for our repair businesses. Good Heavens.

I'm equally disappointed that you have not mastered the basics of selling diagnostic time to your own customers.

Here's the deal: The ideal prospect for a "Do-it-for-me" (DIFM) business is someone who won't put in their own tail light bulb. There are lots of those people and I hope lots of them are coming to your shops right now.

The WORST prospect for a DIFM is a "Do-it-yourselfer" (DIY). They'd rather spend $800 replacing every sensor under the hood to turn off a check engine light than to spend $100 on a professional to locate and hook up that vacuum line that fell off under the hood that no one has seen yet... The DIYer will feel good that he has prevented "all those future problems" with new parts, despite the fact that the car is still broken.

Of course, once that is done, that same DIYer will come to us, complain about our prices and beg us to fix it free or super cheap (many times they want to lay the blame on us that they've already "spent all their money and have none left").

We need to understand that, just because someone comes into our office doesn't make them a prospect for our business. There are some people out there whose business we can't afford to have and a great many of them are standing in line at parts counters all over town.

So, *WE* get all ticked off, mad, wound up, "how dare they?" and generally angry when these people call or come in. The result of this is that we're now in a poor state of mind to greet our true potential customers with a warm smile and mean it.

Does anyone else find it odd that we are now shooting at our own feet over this situation and doing so with apparent deadly accuracy? VBG

Your correct response to these people is, "here's what we do, here's what it costs. Would you like to schedule a time to have this done?" The answer will be yes, no or maybe. You might try one more selling point, seek agreement and see what happens. Take the appropriate action depending on the potential buyer's response.

Do not let their response or attitude bother you. If they don't want to buy from you, it's simply because you either don't sell what they want to buy or you lack the selling skills to convince them that you do. End of story, no problem. They need to seek the next potential seller, because it's apparently not you.

Finally, use your mental energy and positive thoughts on your own best (and prospective) customers. If you sell investments or insurance, you'll soon find out that the selling process is less about the sales pitch itself than it is about simply sifting through hundreds of prospects to find the one that is needing what you offer. When that happens, the sale is automatic. It's easy once you understand the process.

Anyone can sell a good prospect, one who really wants what you have to sell and *NO ONE* can sell a bad prospect, one who doesn't want what you have to sell.

So, stop prospecting for new business among those who populate any auto parts store, anywhere. And, please stop making villains of those honest parts stores who are seeking to sell to people who just want parts. The store is not evil for selling stupid people a bunch of stuff they don't need if those people really want to buy that stuff. The stores are only filling a need for a group they have identified as their own "target market".

Focus on your own target market and work it to the best of your ability and, to some extent, that means ignoring those who stumble mistakenly in your door. Don't use up a good attitude. Save it for those who might give you money. Oh, and it might not hurt to see if there's some good sales training available....

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I think this is an excellent article from a customer stand point and I have a local repair shop that when I know I can't do the job myself, I gladly plunk down the money. The vehicle dealership on the other hand is constantly telling me I've got something wrong with my car and I become hesitant to even take it there for an oil change. Nearly everytime they come up with a high dollar "potential" failure repair. Sure if I was rolling in dough, I'd probably entertain them, but otherwise, I wouldn't be able to eat if I fell for their "it might break on you" tactic to get me to bring it in. I stonewall them everytime, laugh with them and tell them I'll drive it until she blows. They told me recently I had a bad oil leak that would cost $600 to fix, but I took a glance at it and it was a seep on the valve cover gasket.

But I'm not here to complain about the good repair shop and the bad dealer, this is to share some knowledge that every dealer needs to treat every customer the same. I might only buy a part from you and do it myself, but I'll will recommend you to others who may come in and say "fix my bike". If you treat them right, they'll be back, treat them like all you want is their money, and they'll find some where else to go.

When I first started riding again, I thought the dealer was part of the bigger biker community and appreciated you for the fact that you rode, but I found out otherwise. I have met several dealers that fit my perception though, don't need to buy, just stop in and say high and share a riding story or two.

Edited by Cap'n Nemo 2011-02-24 12:35 PM
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RedRider
Posted 2011-02-28 6:01 AM (#80468 - in reply to #80212)
Subject: Re: About dealers for dealers.


Visionary

Posts: 1350
This is like when I buy a service manual. I can sit down and figure out if I want to attempt a repair or just take it in. Also I can figure out why it would cost the estimate.
My problem tends to be more toward the car service departments. Example: I needed a new 4x4 switch motor. They quoted $279 for the motor and $89 for labor. I found the motor on line for $98 that's with a core return but the dealer would return the core too. I don't mind them making money but it would be easier just to use a gun. If they would come in with decent prices, I think they would sell more cars in turn. Their mechs aren't any better then the ones at the corner shop, just cause it says mech on the pay stub doesn't make it so.
I take my bikes to Higgin's in Barre, MA. Why a 2+ hour ride? Because they treat me right and Jay, the mech, comes out and explains what he did so I know why it costs what it did. He tells me what to watch for in the future like tires or fluid changes. I have had owners that they only got charged "x" dollars for service charge but now that dealer is out of business? It not cheap to keep the doors open but just me a good price for good work.

When I was the #1 salesman for the John Deere mowers in the NE at our little Home Depot I did not have a service dept. to help me. The biggest problem I had was people buying a brand new sit down tractor and filling it with crap gas from an old metal can and clogging the fuel filter. I explained what happened and gave them a new fuel filter free and most of them bought a new gas can from me. The district rep had no problem giving me a few filters when he stopped in for the number of machines I sold. Treat customers the way you would expect to be treated. Sounds simple but doesn't happen very often.
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marcparnes
Posted 2011-02-28 10:33 AM (#80489 - in reply to #80468)
Subject: Re: About dealers for dealers.


Iron Butt

Posts: 802
This is a great topic. I have a BMW car and as a few other manufacturers do, they offer free maintenance for the life of the warranty period which in this case was 4 years. This is in my view the single smartest thing they could ever do in order to maintain customer loyalty to the dealer and the brand. Simply it keeps me in their store on a regular basis until I'm ready to buy another car which I have done now 3 times. The car hasn't once been in an independent shop except for tires. With this arrangement in place I don't even give it a second thought whenever the car needs service or a potential repair since the perception is that its "free". Conversely with my wife's Ford I have a tendency to put off service work and usually get it done at the local independent when I don't do it myself. The fact is that I paid full pop for the service on the BMW but its buried so deeply in the purchase price of the car that its long forgotten. The other bit of technical magic is the fact that the car calls the dealer whenever it is in need of repair or maintenance. The first time the dealer called me wanting to make an appointment to have some work done I asked them how in the hell they knew it was ready for service. Her response was, "well, it called and told us..." Of course that's a bit simplified I'm sure but I have to admit I looked at that car with just a little bit of suspicion for weeks after. What else has it been telling them?

The fact is that these cars at $40K+ make it easier to hide the cost of service in the price of the car as compared to the $20K one of our bikes cost but I still think it is something the bike makers should give some consideration to if they haven't already. It sure would keep us around, insure that service was carried out as prescribed (hopefully) and would eliminate the potential for future problems and bad blood based on repairs gone awry because the tech or the owner didn't know what they were doing. In order for this to work a stable dealer network is essential which is undoubtedly the first hurdle.

One last thing, I owned a large engine remanufacturing business for 35+ years. During that time we employed a bunch of field reps many of whom visited repair shops on a daily basis. The hardest part was getting them to qualify the shop before even getting out of their car or at least once they were in the shop. I would try to get them to ask themselves, "would I take my wife's car in here for repair?" If the answer was "no" then drive on. The last thing we needed was to sell an engine to some shlock shop who wasn't going to do the proper installation usually resulting in an engine warranty down the road.

Marc
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Probie
Posted 2011-02-28 10:42 AM (#80493 - in reply to #80212)
Subject: Re: About dealers for dealers.


Cruiser

Posts: 204
guelph ontario
Its been 14 years now that Victory has been selling bikes-althought they are gaining market share there still seems to be a lot of issues with dealers who cant stay in business or who give bad or poor service. Whats goinng on-why cant Vic keep dealers and why cant they monitor the ones they have for service levels-I have never received a survey from Vic about my local dealers asking how I rate them and about customer satisfaction. My Ford and Nissan dealers have an email survey waiting for me as soon as I get home from their shops. The other Polaris products seem to be stable and reliable-so Polaris-how about getting your sh-- togehter for Vic bikes and dealers. Whats going on.
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Cap'n Nemo
Posted 2011-02-28 11:30 AM (#80497 - in reply to #80212)
Subject: Re: About dealers for dealers.


Visionary

Posts: 1359
New Bohemia, Va
I know there is a vetting process with Victory when someone wants to be a dealer so they just can't throw up Victory sign and call it a dealer. I pay a whole lot of attention to Victory dealership when I go into one. Recently I was in Baer Harley Davidson/Victory dealership and found it to be very unique and top-notch. One, it's a Harley Dealership coexisting with Victory, and it is a Polaris Dealer as well. Both of these are very rare to me, seeing only a few places that were a Polaris dealership selling Victory. I also got a great reception on both sides and admired several of the Harley bikes as I went through the Victory/Polaris side, but everyone treated me like their best customer, though all I bought was a Victory T-shirt.

But the bottom-line is that a Victory Dealership is independent and has to make a name and reputation for itself and believe in the product they are selling. Also, a myth on my part, I thought that motorcycle dealerships were more embedded with the biker lifestyle because of what they sell. I see some are, and some aren't, and the ones that are seem to stay the course and are still in business, despite ups and downs. I can't say this with all certainty, just an observation.

Polaris would do well also, if they would require promoting of all Polaris brands to include Victory when they sell other motorcycles. I've been in Polaris dealerships where they sell Victory motorcycles (excluding Baer), but it is with a take it or leave it attitude, something I just don't understand. But given the relationship that Victory has with what I consider a jobber, it would be up to the dealer to stick with it, if they have the passion for the brand. I've also been in Polaris dealerships that sell other brands and will openly bad mouth Victory.

We'll always have economy up's and down's, but a dealer needs to set a base within their realm, stick to it, set aside for the lean times and not go over the top in spending. And, as the write up suggest, dealers should know their customer. If a dealer presents an "I don't need you to survive" attitude that is a dealer that will close their doors and blame it on everything else, except for what it is. It's not about kissin' tail either as I've heard some say, it's about knowing and understanding your customer. Selling is a tough business, but a sale is what helps you survive. People are people, and they are finicky to say the least, and dealing with the public is not an easy business. Having been an Army recruiter, and yes, that is selling, selling the Army, I've had doors slammed in my face, I've had rejection and been told never to come back. The funny thing is, as I continue to treat them as my best customer, I was able to recruit some great people into the Army, even the ones that told me never to come back. It was all in knowing your customer.

I bought Victory, I'll stay with Victory as long as I am able, and they stick around and continue to build great bikes. I used to have a dealer practically next door, and now they are closed, but it has made zero difference in how I feel for the brand.

Edited by Cap'n Nemo 2011-02-28 11:35 AM
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Probie
Posted 2011-02-28 11:40 AM (#80499 - in reply to #80212)
Subject: Re: About dealers for dealers.


Cruiser

Posts: 204
guelph ontario
I have been in the Baer dealership several times-as a person who was out of country they still treated me great-whenever I am in a dealership and they take the time to talk and answer questions I always try to purchase something no matter how small it is. Like you Chris, I really like the Indian bikes. A multi brand dealer has just picked up Indians (only the third dealership in Canada) and they have an upcomming demo day which I wont miss. They are really trying to get business and I have spoken with them several times. One of the tests of a good dealer IMO is the treatment you get after you make a purchase. Lately I have been feeling that my business is being taken for granted (only dealerhip for Vic close by) as I have always purchased my accessories from them as well as getting service done. Thinking of jumping ship and going for Indian-will see how they ride in the spring. I have had bad experiences in the past with Vic dealers when I had my V92C back in 2002. I wanted to upgrade and not one dealer in Ontario would take the bike in as trade-couldnt believe it-so I sold it cheap and got my hog. I am starting to feel the same way recently.
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Cap'n Nemo
Posted 2011-02-28 11:48 AM (#80500 - in reply to #80212)
Subject: Re: About dealers for dealers.


Visionary

Posts: 1359
New Bohemia, Va
Indian still sits on the edge of my price range, but I'm determined to own one befor I leave this life. I was blown away when I sat on a cheif in charlotte, nc, and it fit me to a T. The bike is stretched out, has great pull-back, and the seat is perfect height. I talked with Mark Moses for 2 hours before I realized he was the Dealership owner. The great thing is we talked MOTORCYCLES and I learned a lot from him.

I didn't take the opportunity to test ride since I wasn't in the market at the moment, but that never made a difference to Mark at all. He never bad mouth any other bike, but made it clear that American motorcycles is where his heart is.

He even said that I was on the right track with the Vision in the way that I ride. I also found out that Indian used Victory developer/designers to help get them going this go around. That explained the great fit I had for the bike, almost as sweet as the Vision. Let us know how you like the indian when you get it.

Edited by Cap'n Nemo 2011-02-28 11:51 AM
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SongFan
Posted 2011-02-28 11:48 AM (#80501 - in reply to #80212)
Subject: RE: About dealers for dealers.


Visionary

Posts: 3204
Memphis

My guys at FRS Powersports here in Memphis are among the best in the country but I'm not sure they would have survived on Victory alone over the last couple of years.  They also sell Triumph (mostly to get some bikes for less than $10,000 in the door), Can-Am 4 wheelers and Spyders, and just picked up Sea-Doo.  The Spyders have been the hottest sellers by far. 

I think Victory makes the dealer buy about $1,000-1200 worth of clothing and accessories for each bike they commit to.  With the "Custom Build" program of the Cross bikes, they also have to keep every option/possibility on hand for a new buyer.  That's a lot of pressure in a down economy for what most people perceive as toys.  Polaris is doing great with the military contracts on their 4-wheelers but Victory is being carried on the backs of their dealers.  This is the number one reason I let my guys do everything possible on my bike.  It has paid off in spades as far as my relationship with them goes but it also gives me a good feeling about doing all I can to keep them in the game.  Once my 5-year extended warranty expires I'll take over the routine maintenance on my bike.

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wtwhitelaw
Posted 2011-02-28 12:42 PM (#80504 - in reply to #80212)
Subject: Re: About dealers for dealers.


Cruiser

Posts: 262
Flowery Branch Ga
The two problems I have with my local dealer- They are closed on Mondays and I have to schedule an appointment to get things done. With my job I don't know what I'm doing tomorrow let alone next week. I am so over due for a service because of this. I know I'm not the only person in the area that needs service work by the dealer, but I was always able to walk in to the local HD dealer to get whatever I needed done when I had an HD. I also am not able to do a drop off as they have requested in the past. Other than this I have always had a good experience with them. The only non Vic mods in my plans are exhaust and rear tire. I plan on even letting them change the oil. (I'm lazy) I still think the best way to get and keep good dealers is an open line of communication and my wallet.


Wayne
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