Sherco

[djroggen]

I think this makes a lot of sense. In fact, it could redefine the traditional definition of "dealer". Why would you need a full dealership and its associated overhead? What if you just worked out of a small home business, like some top suspension guys do? What if your a guy like Clay that travels to all the races with demos in a trailer, even parts? The dealer base could rapidly expand. Personally, I'd like it if Spain could ship me a crate of parts cheap and give Clay a commission.

There are still whiners though like a lot of the orange guys who need a dealer on the corner with a complete parts stock and orange binkeys while they wait.

Believe me Glenn, you do not want to deal with ordering parts from Spain direct. It would seem cut and dry, but life as an importer is not just order the part/bike you need and it shows up days later.

 

[tm_enduro]

I think this makes a lot of sense. In fact, it could redefine the traditional definition of "dealer". Why would you need a full dealership and its associated overhead? What if you just worked out of a small home business, like some top suspension guys do? What if your a guy like Clay that travels to all the races with demos in a trailer, even parts? The dealer base could rapidly expand. Personally, I'd like it if Spain could ship me a crate of parts cheap and give Clay a commission.

There are still whiners though like a lot of the orange guys who need a dealer on the corner with a complete parts stock and orange binkeys while they wait.

No offence gents, but this business model will keep GG / Sherco a small company. Clay needs to sell lots of units to be profitable and grow the business. This may work for a year or so to get Sherco up and running, but I wouldn't go backwards with GasGas and make it mail order parts. We had that with the provious importer. Net result, no local shop, no resale..... no resale means no growth and a dead brand, plain and simple.

 

[Nick]

There will soon be no customer/dealer relationship.

 

[GMP]

There is just not enough money to go around for everyone in the loop. Even if you have a local dealer, if he has no parts stock or the parts you need your going elsewhere fast if you want to ride. Yeah, well stocked local dealers are the best scenerio for growth but who can do that now? You end up with a few very good "power dealers" who serve us nationally. You can't even go to a Yamaha or Honda dealer and expect to walk out with the YZ or CR parts you need, its prepay in full and wait.


dj,

I know its not easy. I was refering to a theoretical "kit bike" when I said crate of parts, not a parts order to a dealer direct from Spain.

 

[Clay]

Any chance the DOT will bless the 4t bikes for dual sport use?

The efi Shercos easily meet EPA emissions requirements but it costs about $20,000 to go through the testing. I hope to be able to afford that on a 2014 model.

 

[ScottyR]

No offence gents, but this business model will keep GG / Sherco a small company. Clay needs to sell lots of units to be profitable and grow the business. This may work for a year or so to get Sherco up and running, but I wouldn't go backwards with GasGas and make it mail order parts. We had that with the provious importer. Net result, no local shop, no resale..... no resale means no growth and a dead brand, plain and simple.

The problem with the old GG Dist is that he was cutting the dealers out of any potential profit by selling bikes and parts to customers and shipping direct. When he would get cash strapped he would sell bikes to retail customers at dealer cost, making it next to impossible for a dealer to make any money. The scenario that I was suggesting was the customer could order parts from the Dist but the local dealer got a commission for the being the dealer in that area.

It makes no sense for a dealer who only sells 5-6 bikes a year to have $25K of parts in stock.

I personally like the idea and think it will become the norm in a lot of industries in the future.

 

[twowheels]

Matt and Mike and Dave and Chad and Steve and Sean (and many more) are riders I have had the opportunity to serve, and only one or two of them has been to our shop or originally bought their bike from us - Swaziland is a long ways from Dearborn, as is Arizona, and western Illinois! They have become repeat customers and even advocates of my shop because of the service we provide. I can keep track of the condition of the bikes and anticipate what guys might need by the conversations I have when they are ordering parts or participating in forums like this, and consequently can help make their ownership experience better and improve my service to them. The importer-direct-to-customer model disrupts that type of relationship, and works to limit our sales territory to only the riders that bought their bike directly from us.

One of the knocks on the previous dealer structure of the GasGas brand (besides the importer selling bikes directly to guys) was that the parts importer was in direct competition with the dealers. That model has changed in a very positive way, with GoFasters no longer selling retail parts for MY2011 and newer bikes. That strengthens the relationship between dealer and customer and allows the individual dealer to be more aware of and responsive to the riders.

As a dealer I try to stock a variety of parts that will fulfill the needs of my customers, but obviously I can't anticipate every part failure or requirement. Still, working with Mark we've been able to keep GasGas riders riding around the globe with timely part delivery, be it from my own stock or drop-shipped from GoFasters. For riders closer to home I ship parts out daily or hand-carry them to a multitude of events - I've got jets and gaskets packed for this weekend already.

Whether its with GasGas and GoFasters or Sherco and GGOR, this is the model that makes PlusOnePerformance / afterhourscycle.com successful. Let's go ride ... and if you need parts or help with your suspension or jetting advice, let us know and we'll look after it.

 

[singletracker]

Matt and Mike and Dave and Chad and Steve and Sean (and many more) are riders I have had the opportunity to serve, and only one or two of them has been to our shop or originally bought their bike from us - Swaziland is a long ways from Dearborn, as is Arizona, and western Illinois! They have become repeat customers and even advocates of my shop because of the service we provide. I can keep track of the condition of the bikes and anticipate what guys might need by the conversations I have when they are ordering parts or participating in forums like this, and consequently can help make their ownership experience better and improve my service to them. The importer-direct-to-customer model disrupts that type of relationship, and works to limit our sales territory to only the riders that bought their bike directly from us.

One of the knocks on the previous dealer structure of the GasGas brand (besides the importer selling bikes directly to guys) was that the parts importer was in direct competition with the dealers. That model has changed in a very positive way, with GoFasters no longer selling retail parts for MY2011 and newer bikes. That strengthens the relationship between dealer and customer and allows the individual dealer to be more aware of and responsive to the riders.

As a dealer I try to stock a variety of parts that will fulfill the needs of my customers, but obviously I can't anticipate every part failure or requirement. Still, working with Mark we've been able to keep GasGas riders riding around the globe with timely part delivery, be it from my own stock or drop-shipped from GoFasters. For riders closer to home I ship parts out daily or hand-carry them to a multitude of events - I've got jets and gaskets packed for this weekend already.

Whether its with GasGas and GoFasters or Sherco and GGOR, this is the model that makes PlusOnePerformance / afterhourscycle.com successful. Let's go ride ... and if you need parts or help with your suspension or jetting advice, let us know and we'll look after it.

I was wondering what the dealers take on this would be, and now I know. I can definitely understand your concern considering that you service a lot of riders that aren't in your local vicinity.

 

[Jakobi]

Twowheelsbeanie has looked after me over here in .au on occassion too.

I guess the only real benefit would be if you ordered through a particular dealer and if they didn't have the part they could process the order which would then ship direct, and they'd still make their normal margins on them. There has to be incentives for dealers to still provide a quality service.

Here in Aus my local dealer doesn't have the capital to stock lots of gg specific parts but always has consumables and spares that are bike related. If its something a little more specific I either order through him and wait on, or order through other dealers who can afford to carry some parts (read Scottys).

 

[Cruiser]

Any chance the DOT will bless the 4t bikes for dual sport use?

This would make it a major plus.. without that I would not buy a 4stroke one being that is why I buy the 4strokers.. and again... I'm on orange due to not much choice.. dot 4stroke that is good off road.. husky's are way too tall,, and have issues I'm not willing to deal with. GG no 4 strokes here.. TM.. price.. and not really dot.. so I got an older pumpkin and just ride her..hate the rear shock..

 

[Dave]

... The importer-direct-to-customer model disrupts that type of relationship, and works to limit our sales territory to only the riders that bought their bike directly from us.

Kawasaki used to sell accessories directly from their buykawasaki.com web site. The buyer was required to pick a shop that got credit for the sale. I picked a local guy, but could have selected any shop in the US.

 

[tm_enduro]

I was wondering what the dealers take on this would be, and now I know. I can definitely understand your concern considering that you service a lot of riders that aren't in your local vicinity.

This is going to change. With the advent of EFI engines, having a local dealer is imparitive. I am an avid snowmobiler (in adddition to dirt bikes), every weekend sleds are towed off the mountain with electronic problems. Without a local dealer (of sufficient size to stock parts and diagnostic tools) to help the owner, sales or second sales will suffer greatly. Nobody wants to drive 3 or 10 hrs to have their bike diagnosed / repaired. The world is changing, at least if you have EFI. I have been a rider for 40 years now, and never needed to take a bike or sled to the shop for repairs (did it all myself), but I can tell you that EFI has changed that for me (and alot of others).
If I buy a Sherco, there will be a local dealer.

 

[GMP]

Software, interface cable, and a laptop would be fine. I had a Cannondale that had its share of issues and while the dealer was good and tried to make things right, I solved all the big problems myself. Managed fine with my VRod and Ducati as well. I would never own a bike that tied me to a dealer for support, after warranty that is. A modern car is bad enough, but that is usually a neccessity that you need to drive every day.

 

[3beejay3]

Software, interface cable, and a laptop would be fine. I had a Cannondale that had its share of issues and while the dealer was good and tried to make things right, I solved all the big problems myself. Managed fine with my VRod and Ducati as well. I would never own a bike that tied me to a dealer for support, after warranty that is. A modern car is bad enough, but that is usually a neccessity that you need to drive every day.

Agreed.

Plus, forums like this one generally have all the info you need to keep things running. Many of the FI & other issues that developed on some of the other brands were solved by smart & creative forum users who then pass on the knowledge to anyone that needs it.
Same thing with my truck. If it develops a problem, I just go on one of the vehicle specific forums, get an answer and fix the problem.

 

[Nick]

GMP, your computer savvy, not everyone is.

 

[GMP]

Its an application like MS Word or Excel, actually much more simple. With that and a basic understanding, you can tune and troubleshoot the system if necessary. Its not that hard believe me.

 

[Clay]

Matt and Mike and Dave and Chad and Steve and Sean (and many more) are riders I have had the opportunity to serve, and only one or two of them has been to our shop or originally bought their bike from us - Swaziland is a long ways from Dearborn, as is Arizona, and western Illinois! They have become repeat customers and even advocates of my shop because of the service we provide. I can keep track of the condition of the bikes and anticipate what guys might need by the conversations I have when they are ordering parts or participating in forums like this, and consequently can help make their ownership experience better and improve my service to them. The importer-direct-to-customer model disrupts that type of relationship, and works to limit our sales territory to only the riders that bought their bike directly from us.

One of the knocks on the previous dealer structure of the GasGas brand (besides the importer selling bikes directly to guys) was that the parts importer was in direct competition with the dealers. That model has changed in a very positive way, with GoFasters no longer selling retail parts for MY2011 and newer bikes. That strengthens the relationship between dealer and customer and allows the individual dealer to be more aware of and responsive to the riders.

As a dealer I try to stock a variety of parts that will fulfill the needs of my customers, but obviously I can't anticipate every part failure or requirement. Still, working with Mark we've been able to keep GasGas riders riding around the globe with timely part delivery, be it from my own stock or drop-shipped from GoFasters. For riders closer to home I ship parts out daily or hand-carry them to a multitude of events - I've got jets and gaskets packed for this weekend already.

Whether its with GasGas and GoFasters or Sherco and GGOR, this is the model that makes PlusOnePerformance / afterhourscycle.com successful. Let's go ride ... and if you need parts or help with your suspension or jetting advice, let us know and we'll look after it.

Please be clear on something....I am not trying to cut out the dealer/customer relationship. We are starting from Ground Zero here with Sherco and I see parts in stock as the number one obstacle to making Sherco successful. I am certain that when customers see the bikes they will be impressed but no matter if they absolutely fall in love with the bike they WILL NOT buy the bike if parts are hard to get. Surely you agree that this is a problem. If you want to buy one bike and $10,000 in parts I will be glad to sell them to you at a full margin. Eventually, as the numbers of units sold increases, dealers will stock more parts and the need for this business model will go away. I know that you like the current Gas Gas situation because you have earned a lot of parts and suspension business from other dealers because they do not stock parts. Again, if you want to do the same with Sherco, I am all for it but get your check book ready because it's expensive.
Every dealer I have talked to about this likes the idea. I have emailed this idea to all of the GG dealers and I have yet to have one tell me they did not like the idea. This is the best solution to the problem as I see it. If you have a better idea, PLEASE let me know what it is.

 

[Clay]

I was wondering what the dealers take on this would be, and now I know. I can definitely understand your concern considering that you service a lot of riders that aren't in your local vicinity.

You guys confuse me here. There has been a lot of discussion of dealer/customer relationship that should start when the dealer sells the bike to a customer, right? If a customer buys his bike from Joe's Cycle and Joe doesn't stock parts, then Joe hurts the dealer/customer relationship. When that customer buys a second bike, then shouldn't he buy it from another dealer? If Steve's Cycle has gotten that customer's parts business, shouldn't he get his bike purchase business too? If not then the dealer/customer relationship is kind of missing something.
I totally get that Steve Beane wants as much parts and suspension business as he can get. I applaude him for going after this business. He is making a comment about how this idea affects his dealership. I am trying to come up with a solution that works for all of the dealers and customers in the US and helps me to build this brand here. I think I have hit on something that is a temporary, happy medium for everyone that gives the customer confidence that he will be able to get parts for the motorcycle he buys.
Singletracker.....you have heard from two dealers on what they think. Steve doesn't seem to like the idea. Scott Rocher does. I've been in this industry for 30+ years and I don't think I have ever seen a new idea presented to a dealer network that had 100% acceptance from the dealers. Welcome to my world!

 

[twowheels]

Not to say I don't like the idea of the bike and parts importing being together - I do. Not to say I don't like the idea of having a big bundle of parts available at the end of a telephone line or internet connection - I do.

My point was that I work hard to provide support to, and foster a good relationship with, riders around the globe, most of whom didn't buy their bikes from me. I talked to and/or delivered parts to four different GasGas riders at yesterday's Muddobber's enduro, only one of whom was a motorcycle sale customer. Two others bought GasGas' from a geographically closer dealer after conversations we had had on this forum or at race events.

My preference would be a model where the customer contacts a dealer of their choice and the dealer orders the parts to be drop-shipped from GGOR, or as was suggested in another post if the customer orders their parts direct from GGOR they designate a dealer to apply the margin to.

Whatever the case may be, I'm looking forward to the Sherco's - there are never too many cool dirt bikes!

 

[Clay]

Not to say I don't like the idea of the bike and parts importing being together - I do. Not to say I don't like the idea of having a big bundle of parts available at the end of a telephone line or internet connection - I do.

My point was that I work hard to provide support to, and foster a good relationship with, riders around the globe, most of whom didn't buy their bikes from me. I talked to and/or delivered parts to four different GasGas riders at yesterday's Muddobber's enduro, only one of whom was a motorcycle sale customer. Two others bought GasGas' from a geographically closer dealer after conversations we had had on this forum or at race events.

My preference would be a model where the customer contacts a dealer of their choice and the dealer orders the parts to be drop-shipped from GGOR, or as was suggested in another post if the customer orders their parts direct from GGOR they designate a dealer to apply the margin to.

Whatever the case may be, I'm looking forward to the Sherco's - there are never too many cool dirt bikes!

Steve, You seem to be forgetting that you can order and stock parts for Sherco at a larger margin and the customers who want to buy from you still can do that. If you have the parts, they won't ever even have to call me. Customers are not required to call me to get parts. They still have the option of calling dealers like yourself who stock deep in parts and you can still be the go to guy for your customers. If they are that loyal to you, then they can call you.
By the way....a Gas Gas dealer isn't a Sherco dealer until he orders and stocks a Sherco which you have not done yet. When can I expect your order?