Newsletter 11/4/2020 – Post Election

State of the Distributor Piece

Hey,

So much is going on right now. There is COVID, the broken supply chain, a reduction in force at many suppliers, and of course… the election. 

To add to this confusion, many dealers are having the best cash flow year they have had in nearly a decade. 

With the next few blurbs, I hope to share some of my thoughts and insights to help add value to the situation.  

— Kurt

A Wise Marketer Told Me?

I’ve been launching the Powersport Academy all of 2020. At first I was like “We can add dollars to your Service Department bottom line”. “We can help you reduce employee turn-over”. He told me that Dealer Owners may not respond to that. 

People can be more motivated by a potential loss, than gain…

So while I have been touting how our Live Support calls work with Service Writers on best practices, Increase Sales, Increase CSI, and reduce Turn Over through added Efficiency and Productivity… the real message should be — 

Don’t Risk Losing All the Steam Your Sales Departments Have Worked For…  

 Did you know?

The only thing worse than training your people and having them leave is NOT training your people and having them stay

Train Your People

POWERSPORT ROUNDTABLE

With the end of the year almost upon us, I wanted to reach out to my circle and bring Dealer Owners the best value I possibly could to motivate a brighter 2021. 

We’ve narrowed it down to 2-possible dates in December to offer this virtual experience. We will cover Sales, Marketing, Service, Social and more as we leverage a core group of specialists in these fields. 

As the project gets more solid – the details will follow. 

OEM Scuttlebutt

As I left Suzuki in January with 5 other Managers, it was apparent there was “restructuring” in process. Now as many others have found their way to unemployment, one has to really question the forward motivation of Suzuki. 

Did you read the Cycle News article on Kawasaki and the sale? It could be a restructuring, a corporate shell game, or? When you look to the old guard at Honda and see many positions fading out or terminating, or just transferring to the Automotive division – it is clear that there is a trend to reduce support for Asian Powersports. After all, when scores of folks lost out on the Yamaha move to the East, the momentum was set.  

Triumph was publicized for removing 55% of its workforce. This, while seemingly doing well with the new product. KTM, down the highway from me, was one of the only ones adding to their team. I shouldn’t even have to mention Harley-Davidson. 

Back in March, I predicted and published that there would be a surge in Powersport retail. I also predicted the broken supply chain. Unfortunately, many dealers were focused on cashflow over margins and failed to optimize the opportunity. 

With the supply chain still stressed and the O.E.M.’s unable to properly serve the dealer base, the new surge will be on your Service Departments. I’ve seen what you are working with and if you are reading this and thinking I am writing about a different dealership — think again. 

Most dealer staff have not had formal communication training. Most are not expert negotiators — this pertains to negotiating Time, Dollars, and Services offered. Most staff are not trained in the area of efficiency and how to manage the department over the department managing them. 

If dealers continue to refuse to train their staff, they will lose all the energy their Sales Teams built in the originating transaction. 

By the way — I don’t think its TOO LATE, but we are getting close. 

Train Your People

The work so far on Powersport Academy has blown us away. Join the community and see what we mean. 

Can’t wait to count you in!

@ The Powersport Academy Team

Hit the apex and drive for the checkers!