Befurious editorial on GasGas

[Clay]

To be honest.....GG has had cash flow issues. We have had them, too.
So if you have cash flow issue, the racers get paid last. As I understand it, 88% of GG is owned by banks who have no clue about motorcycles. I hear there are people intersted in buying the part that banks own and adding cash to the business to help with the cash flow issues. If that happens, I'm sure that GG will begin with a WEC team again. I really don't think US riders care about WEC guys. I can't tell that US riders care about national or regional riders. When it comes to small brands, they want to ride a bike themselves befor they throw down $8000+ hard earned dollars on a bike they have never ridden. That's why I have decided to cut my racer support and to have bikes at as many events as possible for potential customers to ride. If a racer rides the bike at a demo event and likes it then he will prolly buy it rather than taking the word of a 17 year old racer or someone who could brake an anvil with a rubber hammer.
I believe racers can decide theselves if they like the bike.....or not.

 

[firffighter]

I believe that is very wise Clay. Seems to be the market is the guy who has been around the sport for some time and is trying to make the decision between Orange, Gasgas, Husaberg, Husky, etc. So, having bikes at events for folks to check out is a great idea. I hope that dealers across the country do the same.

Again, any event I've been to, lots of guys come up and ask about the Gasgas. Grassroots marketing can be effective.

 

[Nick]

You could always offer a big payout for a national win on a GG. You can buy an insurance type policy in case someone actually wins.

 

[Moto7man]

I think Clay's approach is correct. Most vet riders have never seen a Gasser. I drove 150 miles to a a dealer, rode one down the street, then I bought one.
But I didn't understand what a great bike it was until I got it into the woods. It is a question of increasing market share. Ktm is grabbing the 2 stroke market right now. If you want to sell more units then more people need to see one, touch one, sit on one and ride one.

 

[Clay]

You could always offer a big payout for a national win on a GG. You can buy an insurance type policy in case someone actually wins.

Not sure if I understand that. There's only about 5 to 7 guys who can win an enduro and they all get a paycheck from a motorcycle company. Offering a $10,000 payout wouldn't get B class guys to buy a bike because they know they can't possibly win a national enduro.

 

[3beejay3]

To be honest.....GG has had cash flow issues. We have had them, too.
So if you have cash flow issue, the racers get paid last. As I understand it, 88% of GG is owned by banks who have no clue about motorcycles. I hear there are people intersted in buying the part that banks own and adding cash to the business to help with the cash flow issues. If that happens, I'm sure that GG will begin with a WEC team again. I really don't think US riders care about WEC guys. I can't tell that US riders care about national or regional riders. When it comes to small brands, they want to ride a bike themselves befor they throw down $8000+ hard earned dollars on a bike they have never ridden. That's why I have decided to cut my racer support and to have bikes at as many events as possible for potential customers to ride. If a racer rides the bike at a demo event and likes it then he will prolly buy it rather than taking the word of a 17 year old racer or someone who could brake an anvil with a rubber hammer.
I believe racers can decide theselves if they like the bike.....or not.

I'd be inclined to support this approach.
Stats have shown that winning races does not appreciably add sales on Monday, not in the dirtbike world anyways.
Personally, 3 of the last 4 bikes I've bought were because I had a chance to ride a similar one first;
In 2007, I bought a new TE250 Husky, after having a chance to spend some time on an 06 a few months earlier. I liked how it rode and really liked how it looked. (I almost bought a new KTM400 around that time, after having rode one. I just couldn't quite stomach the price.)
At the end of 2009, I bought a brand new 2009 Husky TXC250, because I pretty much knew what I was getting and the local dealer was selling them real cheap. (I almost bought a Husky WR125 about 10 times during this period as well after having rode them a few times - the little buggers can really bring a smile to your face when zipping thru the single track LOL )
This year I bought a 2012 Gas Gas 250 because I had rode a 2011 250 and a 300 at a demo ride. When they released the pics of the new 12's it was a done deal for me. It ended up being a long wait for the bike, as I didn't get it til the end of June, but has been well worth it, as it's the best bike I've ever ridden. (almost all the dozens of folks that have rode my GG since then have agreed with this)
Notice that neither Husky or GG were winning many races anywhere at the time of my purchases.

My personal experience shows that these things will at least sell some bikes:

It must look good
It must feel right to the rider when ridden(demo rides can be effective)
It must be reasonably priced
It should have reasonable reliability.

 

[wheelie]

I kinda disagree on only relying on demo bike rides at select events.
You are only showing the same guys the same bike (at enduros).
I don't have a chance for a demo ride as I'm a Harescrambler. I haven't seen a gasgas demo unit coming to the GNCC's or at the events I attend within driving distance. About 200 bikes show up at the local events, out of those 200 I have only seen 2 gasgas bikes (mine a mid pack Sen A rider) and a kid that is in one of the C class's. Other than that its all orange & blue and that is what the top guys win on. What does that tell the youngsters?
Your only hitting 1/3 of the possible market with enduro as the focus in the US and if that is the only way to introduce a new rider to the brand then it will forever be a small market for gasgas.
How has KTM became the bike you see at our kind of events? they went out & got top talent and put them in position to win titles. That is how they have got where they are and until gasgas does this there will be forever 2/3rds of the market that doesn't even think gasgas when buying.

I know someone will say it takes wads of cash...and yep I agree. But, KTM put out wads of cash and now they are cashing in.

 

[motorhead]

How about "be passed by one"?
10 years ago I raced more hare scramble than enduro,rode Husky 250 smoker,always battled with same guy on 300 Gas Gas. Remember any time he went by me I was amazed at how well that bike worked in the nasty's.
When new bike time came traded in my husky 250 for Gas Gas 300 3stroke.

 

[GMP]

My point was simple: There should be a $$ shift. Just like that being discussed in the KTM thread, but on a smaller scale and with diferent targets. IMO the factory should help more, it shouldn't all be on Clay's back. Afterall they are calling the shots on where they want to market and grow.

The demo program is a good idea, but yes it needs to hit more than enduros. Also, it would be nice to have one demo sprung a little heavier to give a more accurate impression of a properly set up bike to a prospective customer.

Which leads me to another (out of the box) idea. What if the bikes came without springs? Reduced cost to importer or credit for springs to a spring supplier. Dealer orders bike from importer, springs of choice from supplier. Slightly more work for dealer, but now customer has a custom sprung bike off the floor. Now you have something to offer that the other guys don't. Actually the shock on the '12 comes out in minutes with just the pipe being removed, I've done it.

Edit: ECEA banquet is comming up in Jan, they have trade show type event early in the day. Not a riding event, but the bike can more than hold its own as far as looks on the stand.

 

[Nick]

I am talking 100k payout, maybe more. You can buy an insurance policy that covers it. They just calculate the risk to figure the premium. I would bet that the Monster cup in Vegas was done that way with its million $ payout. You can buy insurance for just about anything.

 

[forgiven]

KTM had a bunch of cash to begin with as this was an offshoot from their big parts company. Unfortunately GG can't throw money at it like they did...Not so much of a decision, they just can't.

It is like jumping into the ring with Mike Tyson back in the day. If you try to go slug it out with the big punches (throwing cash at it) you will get waxed quickly, and laying on our backs. GG is going to have to take more of the AMD vs. Intel approach and just build better machines and hope to pick up steam along the way, and pray to God they don't come out with the I7 when you are picking up steam.

KTM would have to make some DRASTIC mistakes to not stay in the position they are in, which they appear to be too sound in all areas of their business. Now that we got blue and orange KTM's it will be even tougher for us. Don't set your eyes on being the front of the pack until you pass a few people that are in front of you.

That being said I do believe we have the better bike. With the changes they have made this year with the linkage rear end, and a more planted feel they (KTM) have closed the gap somewhat. They don't need to be the best in order to maintain their position...just be close enough. We will continue to tweak and improve and go through cash. Only until they go the way of Honda will we have a chance at the title.

I only see this changing if GG gets in with an exclusivity agreement with SmartCarb, and some other emerging tech that we do not know about yet and we have UNDISPUTED bike to have by everyone which is tough to do since there are no REAL innovations anymore. THEN we would struggle with capacity and quality control. 36mm AS2's? Powervalves misadjusted from the factory etc. I find it funny how EASY everyone believes it is to be where KTM is. They seen a unique opportunity in the marketplace with the 2stroke demise ***cough WRONG cough*** and capitalized with their big money backing and have not looked back. Now the economy is much tougher and plenty of other players are getting back in the market. Honestly I think Husky is the one to watch, as BMW has some smart fellers and wouldn't be surprised in the next year or two to put out a bike that would be class leading.

Enjoy your GG, enjoy the fact you are probably riding one of the finest factory production enduros period. Our arrow is certainly up and has been so since 2010 in my opinion, and with a little luck and hard work by the Spanish engineers (good luck with that) and the economy picking up (even more luck with that) we should be in great shape in 3-5 years. That is about the best you could hope for at this point.

Although we have COMPLETELY hijacked this thread at this point. If I were buying a new bike at this point there is no doubt it would be a GasGas.

Disclaimer: I am in no way compensated by GasGas, and I have more non GasGas vehicles in my stable than I do have GasGas's. I am not brand loyal, and always look for the best bang for my buck.

 

[Nick]

And i will add what i know as to why its hard for GG to grow here. Everytime i talk to someone about buying a GG, its almost always the same, lack of aftermarket and they always question parts availability which i can talk til i am blue in the face and not get through their heads that its not a problem. Having been a dlr and been through 3 distributors in as many years its refreshing to see that distribution has stabilized which will help tremendously. If you can ever bring parts together with the bikes i believe it will be even better.

 

[forgiven]

Distribution and aftermarket are certainly pretty good IMO. We don't have the choices of say a KTM just due to sheer numbers but if you put the best aftermarket parts available to GG and KTM...the GG is a better bike, and probably costs less, and I can STILL get replacement parts quicker with the exception of a front friggin rim.

 

[Nick]

You should be able to get a rim from Buchannon without difficulty.

 

[Vindicator]

GasGas is not your "average-Joe's" bike ! It's a bike for connoisseurs, for riders "who know what they are talking about" .
Let's face it, most of GG riders are 30 year old+ , had other bikes before and do know how to recognize, appreciate and what to demand from a bike.

Most of the kids over here want a KTM because it's what they see at the podium. It's also a sign of "off-road status" and the powerparts are just mind blowing. They don't care the bad handling nor the stupid and obscene price of a KTM. I don't understand the 800$ difference between the 250 and the 300 and I cannot understand why the 300 costs as much as a 530...No one can but they still sell because it's a KTM. This is the brand effect.

GasGas does not have this so they can't capitalize on the brand. They made a great effort$$ with the WEC program the last 2 years but they failed to prove their effectiveness by not providing Cervantes and Nambotim solid race machines. The general sense is that Nambotim won E3 because he was riding a KTM that never failed as previous years with GG . Cervantes was leading E2 after the South American events and then mechanical failures at Portugal ended his hopes . He didn't finished 2nd overall the year before with the 250 because he dropped out in Greece.
They need to decide how they want to be recognized and they can't continue to do things in half terms. This year, again, they will not be able to top against KTM and HVA, a 2 year work and investment down the toilet.
They announced the projects for a new 4ST engine, zilch, nada... Wec investment this year is a pale image...
This is the total opposite of KTM..and the uprising Husqvarna.

If there's no budget for world class events, then do local events per country but make it count !

The only thing GG can do is continue to refine the great bike they built. They indeed "brought sexy back" and this is a + to get the attention of younger riders . If they do, I'm sure myself, you, all of us will continue to "spread-the-word" on how good the bike is. What could also help is to make sure that episodes like the CDI units simply do not happen again. Ever.
And why continuing to offer the shivers 45 on the 13' models ? There isn't a single off-road brand that offers anything else than 48's ... Details like this might count on someone's decision. They count for mine.

Seems to me there's not a long term plan for the brand, makes me kind of sad. I hope I'm wrong. I love my GasGas