GasGas granted 2 million Euros from Catalon government!

[Mark Berg - CPD]

The transaction was formalized today through Avan?sa with the aim of consolidating the strategic industrial project for Catalonia

Gas Gas will acquire new technology to enhance their own engines for all motorcycle models 2 and 4 stroke, a fact that will allow them to gain market share in Australia and the U.S., among others.

The Catalan government (Generalitat de Catalunya), through Avan?sa, today formalized the provision of a shareholder loan of 2 million EURO to the Catalan company Gas Gas Motos to foster the development of its expansion plan. The company, based in Salt, is number one in the world in Trial motorcycles and third in Enduro.
Avan?sa has conducted an analysis of the growth plan submitted by the company, whose strategy is to consolidate the Catalan two-wheel industry - by the recent agreement between the Catalan companies, Gas Gas and Ossa - allows technology acquisition and empowerment for international business.
This capital inflow from Avan?sa comes with a co-investment by an international group, which last March contributed to Gas Gas Motos, more than four million EURO. Avan?sa secures directly in following the evolution of the Gas Gas project, given its strategic importance to Catalonia.
Gas Gas will soon make a large investment to implement a new technology that will enhance their own motorcycle engines, both in the models 2 and 4 stroke for the coming years. This will enable Gas Gas to gain market share in countries like the U.S. and Australia, among others.
The operation adds to the recent agreement between the Gas Gas Company and Ossa, under which Gas Gas will assume OSSA production at its facility in Salt (Girona), where the current models of the two Girona brands will be distributed. The agreement was made with the objective of gaining dimension within the market sector and add strategies.
The company also seeks to promote the brand Gas Gas, and re-launch the Ossa brand with new positioning and strengthen their international presence. Currently the company exports 95% of production and 63% of exports go to the European market. Gas Gas has a production volume of 9,000 motorcycles per year and provides jobs for 500 direct and indirect workers.

 

[wa_ndro]

woo hoo - my crystal ball forsees direct injection on 2 strokes!


"Gas Gas will acquire new technology to enhance their own engines for all motorcycle models 2 and 4 stroke, a fact that will allow them to gain market share in Australia and the U.S., among others."

 

[iamovru]

Great News!

 

[desertgasser300]

I would hope they ditch Yamaha and/or produce there own or aquire husqvarna 4stroke tech?

Sent from my QMV7A using Tapatalk

 

[twowheels]

That's some interesting reading. The recently shown (at least to the US market) Cami may contribute to their ranking in enduros. It would be interesting to see what the numbers are ... in total we know KTM sold over 100k bikes last year, but I don't know the street/MX/off-road mix, but for GasGas to be number three is huge.

 

[swazi_matt]

wow i bet there is one p-off banker somewhere in spain that had their eye on that money!!

PS who is number 2? Yamaha?

 

[Elvis74]

Wow, sound good!!!

When I see the German market, Beta must be no. 2

 

[MargusV]

2 millions is not even nearly enough to develop two new families of engines. I'd think that they are talking about new starter/generator tech.

 

[3beejay3]

I would hope they ditch Yamaha and/or produce there own or aquire husqvarna 4stroke tech?

Sent from my QMV7A using Tapatalk

I was told on the weekend that GG acquired the rights to the Husky 4 stroke technology, but haven't confirmed if it's true or not.

 

[liv2day]

I'd be keenly interested in their strategic plan to gain share in our (US) market as well as Australia. I personally think there's a very large, untapped market that's been overlooked by the likes of KTM, Beta, and all the other manufacturers targeting enduro race machines.

Does the "shareholder" loan through Avensa mean that the Catalan government now has an ownership stake in Gas Gas?

Anyone know how Catalonia operates within Spain? The various things I've read all stem from being a huge MotoGP fan (relish the Gibernau vs Rossi days of old).

Thanks for posting

 

[desertgasser300]

Believe it or not I would purchase a 300 gasgas 4T. Lets keeps our fingers crossed.

Sent from my SGH-T999L using Tapatalk

 

[Darrendeep6]

Believe it or not I would purchase a 300 gasgas 4T. Lets keeps our fingers crossed.

Sent from my SGH-T999L using Tapatalk

Sign me up too!

 

[Clay]

I'd be keenly interested in their strategic plan to gain share in our (US) market as well as Australia. I personally think there's a very large, untapped market that's been overlooked by the likes of KTM, Beta, and all the other manufacturers targeting enduro race machines.

Does the "shareholder" loan through Avensa mean that the Catalan government now has an ownership stake in Gas Gas?

Anyone know how Catalonia operates within Spain? The various things I've read all stem from being a huge MotoGP fan (relish the Gibernau vs Rossi days of old).

Thanks for posting

Kinda confused (that happens a lot).....
What is the very large untapped market that the other guys are overlooking?
The Catalonian government is kind of like a state government. A large part of the Catalonians don't like the Spanish government and want to be a free country. When you visit there, there is graffiti occasionally about independence for Catalonian. Part is due to history and part is due to the fact that a lot of manufacturing is located in Catalonia and they feel they pay an unfair share of the government's almost socialist subsidies. It would be like TX helping pay for Detroit's bankruptcy problems.

 

[liv2day]

Kinda confused (that happens a lot).....
What is the very large untapped market that the other guys are overlooking?

Please take the following with a grain of salt; from someone who's been on bikes for 35 years and known a number of folks in the "bike world".

Very simply stated, the trail rider or rider who participates in the occasional poker run or hare scramble, but isn't a hard core enduro racer. I think it's quite similar to what we witnessed on the (sport) street bike front; the concept of winning on Sunday and selling on Monday was perceived to be an important rule of selling. Tons and tons of development on the race track trickled down to street bikes so that you can go buy an incredible piece of machinery. It was great when the economy was pumping along and people had discretionary income to go spend on the latest and greatest from the manufacturers. As great as all that technology is and has truly helped (traction control, ABS, etc), the segment of riders that simply wanted a street bike and didn't need all the trick bits were left with little choice.

Fast forward to the last two years or so and look what's been developed - the Honda NC700, the Yamaha FZ9, and other bikes with a better price point and less trick bits - but plenty of appeal to your average street rider.

I'm a track junky and will always be up on the latest weapon that might make me better on the track. But, I don't need nor want something like that on the street (probably getting old too...lol).

I don't know if the same thing can be applied to the off-road market, but I think there's potential. There will always be the crowd in need of the greatest racing bike, but I think there's missed potential in the crowd that wants a good trail bike and doesn't need the race replica.

Granted, I have no market research to support this claim, no demographic studies to validate it, but think it has merit.

 

[Clay]

Please take the following with a grain of salt; from someone who's been on bikes for 35 years and known a number of folks in the "bike world".

Very simply stated, the trail rider or rider who participates in the occasional poker run or hare scramble, but isn't a hard core enduro racer. I think it's quite similar to what we witnessed on the (sport) street bike front; the concept of winning on Sunday and selling on Monday was perceived to be an important rule of selling. Tons and tons of development on the race track trickled down to street bikes so that you can go buy an incredible piece of machinery. It was great when the economy was pumping along and people had discretionary income to go spend on the latest and greatest from the manufacturers. As great as all that technology is and has truly helped (traction control, ABS, etc), the segment of riders that simply wanted a street bike and didn't need all the trick bits were left with little choice.

Fast forward to the last two years or so and look what's been developed - the Honda NC700, the Yamaha FZ9, and other bikes with a better price point and less trick bits - but plenty of appeal to your average street rider.

I'm a track junky and will always be up on the latest weapon that might make me better on the track. But, I don't need nor want something like that on the street (probably getting old too...lol).

I don't know if the same thing can be applied to the off-road market, but I think there's potential. There will always be the crowd in need of the greatest racing bike, but I think there's missed potential in the crowd that wants a good trail bike and doesn't need the race replica.

Granted, I have no market research to support this claim, no demographic studies to validate it, but think it has merit.

So you mean a lower price point entry level bike? In the Sherco line we have the standard version with Sachs forks. On most models the Sachs bike is $600 less. I haven't had one person want to buy one. Don't you think the best entry level bike is a well maintained used bike?
I get your analogy with the street thing but I'm not sure it applies to the off road world. What can you take off of the off road bike? There isn't any ABS or traction control. In off road the thing that usually lowers price is suspension but suspension is such a major part of ride enjoyment that most guys don't seem to want to compromise there. Please don't think I'm telling you that you are wrong. I'm just telling you what I think I have found to be true so far. If I am missing a niche that others are missing, please tell me how to grab it! I'll steal any good idea!
There is one thing I strongly believe..... Enthusiasts come up with better ideas for their particular area of interest than any study by a bunch of egg heads who don't understand the sport! I hope I am always open to input from you guys. If I'm not, please tell me so (unless it is magazine bike tests!!!!) LOL!

 

[Elvis74]

http://www.enduro21.com/index.php/c...lls-off-‘italian’-husqvarna-engine-technology

 

[liv2day]

So you mean a lower price point entry level bike? In the Sherco line we have the standard version with Sachs forks. On most models the Sachs bike is $600 less. I haven't had one person want to buy one. Don't you think the best entry level bike is a well maintained used bike?
I get your analogy with the street thing but I'm not sure it applies to the off road world.

That's interesting about the entry Sherco; let me play devil's advocate as I've never heard of it. How has the bike been marketed? Does your average trail rider have enough understanding to truly be able to tell the difference between those Sachs forks and whatever comes standard? Do the forks do the job, or are they horrible?

I mostly get the suspension importance now that I've ridden a YZ450 (tried to kill me), KTM 300 (ridiculous seat height and stock suspension only worked with costly re-valve), and now GG200 (haven't done a thing to it and love it).

So, back to your point, yes - the best entry level bike is a well maintained used bike...I'm the perfect example there (my '11 is 2nd hand). It's tough to beat that on a value perspective, but there's a segment of riders that will buy new and don't want to deal with potential issues when buying used.

What I think is missing isn't specifically an entry level bike (though that might help if it's done correctly - look at all the discussion for the KTM Freeride 2T); but the marketing approach for the current/existing portfolio of bikes.

I think there's a niche and it's probably split into a few different segments based on age and experience. Let me relate what's happened in my band of usual riding suspects as I think it tells a good story.

Rewind 4 years ago and one of the guys I ride street & track with decides he's going to get back into trail riding. What followed was a crazy domino effect, another buddy bought a trail bike, then another, etc. Can you guess what bikes they all bought? KTM. I was the lone man out on a YZ450, but that's because my awesome wife surprised me for my 40th with a bike so I could go be stupid with my friends (LOL). 3 rides on that thing and I sold it and guess what I bought - KTM 300. This was after reading through tons of reviews and information. At that time, I didn't have a clue about Gas Gas as a brand.

Now, I'm the odd man out again, but I'm quite a bit faster on the trails and more importantly - I don't crash as often. The reason I used that story is NONE of my buddies considered the GG band; they didn't consider any of the Japanese manufacturers either. KTM had all their "mind share" and this is where I think gains can be made.

Ok, this response has turned into a novel . It's easy for me being an arm chair quarterback and I get that, but I think there's potential. I'm not sure how specifically to attack it, but I'm nuts about this sport - so much so that I've dragged my wife, brother-in-law, and mother-in-law into it and hope our two little boys follow suit too

 

[Fred1956]

liv2day- good points....but remember, where GG is today is the same place ktm was in the 80s- unknown- new guy on the block, they didn't get where they are easily. They built awesome bikes and marketed well Now they're the 'big dog' & GG may be the next big thing. IMO they would be a lot farther along had they not 'stepped on their own feet' so many times. Hopefully it will come I was a ktm guy in '84 because they were different and good, same reason I'm a GG guy now

 

[Clay]

That's interesting about the entry Sherco; let me play devil's advocate as I've never heard of it. How has the bike been marketed? Does your average trail rider have enough understanding to truly be able to tell the difference between those Sachs forks and whatever comes standard? Do the forks do the job, or are they horrible?

I mostly get the suspension importance now that I've ridden a YZ450 (tried to kill me), KTM 300 (ridiculous seat height and stock suspension only worked with costly re-valve), and now GG200 (haven't done a thing to it and love it).

So, back to your point, yes - the best entry level bike is a well maintained used bike...I'm the perfect example there (my '11 is 2nd hand). It's tough to beat that on a value perspective, but there's a segment of riders that will buy new and don't want to deal with potential issues when buying used.

What I think is missing isn't specifically an entry level bike (though that might help if it's done correctly - look at all the discussion for the KTM Freeride 2T); but the marketing approach for the current/existing portfolio of bikes.

I think there's a niche and it's probably split into a few different segments based on age and experience. Let me relate what's happened in my band of usual riding suspects as I think it tells a good story.

Rewind 4 years ago and one of the guys I ride street & track with decides he's going to get back into trail riding. What followed was a crazy domino effect, another buddy bought a trail bike, then another, etc. Can you guess what bikes they all bought? KTM. I was the lone man out on a YZ450, but that's because my awesome wife surprised me for my 40th with a bike so I could go be stupid with my friends (LOL). 3 rides on that thing and I sold it and guess what I bought - KTM 300. This was after reading through tons of reviews and information. At that time, I didn't have a clue about Gas Gas as a brand.

Now, I'm the odd man out again, but I'm quite a bit faster on the trails and more importantly - I don't crash as often. The reason I used that story is NONE of my buddies considered the GG band; they didn't consider any of the Japanese manufacturers either. KTM had all their "mind share" and this is where I think gains can be made.

Ok, this response has turned into a novel . It's easy for me being an arm chair quarterback and I get that, but I think there's potential. I'm not sure how specifically to attack it, but I'm nuts about this sport - so much so that I've dragged my wife, brother-in-law, and mother-in-law into it and hope our two little boys follow suit too

Your other post was about missing a niche. The second post was about marketing to off road riders. I totally understand that I need to make customers aware of the brand and why it is better than the orange bike. If I understand you correctly you are telling me that I need to reach out to guys like your self and your buddies but you are not giving me any ideas on how to do it. I spend a lot of time on this forum and the Sherco forum. I don't have the resources to do ads in off road mags. So how do I do it? By the way, the scenarios that you have mentioned have occurred to me about a million times but I have yet to come up with a solution other than to let customers demo bikes. Unfortunately I can't be at every riding spot every weekend.

 

[liv2day]

Your other post was about missing a niche. The second post was about marketing to off road riders.

I think they're intimately tied together - the niche being a segment of the market that's either new or returning to the sport - who probably aren't up on all the latest trends, manufacturers, etc. Another might be folks who have a little knowledge, but don't have any desire to race - just want to go ride and have fun on the trails. They might know Honda, Yamaha, Husky, etc, make off-road bikes, but they don't have the depth of knowledge that a long-time rider does. I think this crowd needs the most "marketing", but you're right - not sure how to tackle it.

If anything I previously posted came across as critical of your business practices, please know that definitely wasn't the intent (or the case). I sit in an office most days as a product marketing manager and don't have experience in your world. I'd like to say I have a solution or know how to attack the dilemma, but I don't - at least not at the moment. What sold me on buying my 200 started with a suggestion from a fellow member; that led to my own research, lots of exchanges with that fellow member, and ultimately ended with a test ride and purchase.

I will think on ideas as I know it's impossible to give everyone a test ride. The forum has good reach, but it's not all encompassing, and throwing ads in trade magazines typically doesn't have a great ROI.