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Policaro Harley-Davidson. Great Dealership
- Thread starter Jampy00
- Start date
bigpoppa
Well-known member
Mad Mike
Well-known member
That's sad if that's the case. At this point I can understand it's expensive to serve small dealerships -- HD has 9 Canadian dealers in a radius of 100km of Goulet, but it's not the time to clip a loyal dealer that's been serving the market for 4 decades - leaves a bad taste in the community and in the marketplace.
Trials
Well-known member
Nice! I sure hope they gave you the original exhaust system that belongs to your motorcycle.
Trials
Well-known member
Pretty sure H-D dealerships are the MoCo's bread and butter and the stores represent income to the mother company, not an expense.
That's why I'm wondering if head office is pushing for a bigger slice of the pie. Big dealerships with lots of cashflow buying up territory. That provides MoCo cash flow now and dealerships less competition in the future keeping prices higher.
Trials
Well-known member
Any dealerships selling street certified motorcycles with all the emission control devices removed, might not have a very prosperous future.
It's just wrong on any level, this is 2020 not 1920.
Roadghost
Well-known member
It has nothing to do with what they cost HD. I think HD has decided to cut production and raise prices and there's just not enough bikes to go around.
Trials
Well-known member
So you think H-D corporate is telling dealers to close because they can't supply product? Not a chance. 30% of their business has always been apparel and H-D branded ****. The size of their world wide dealership network is the only thing they have going for them right now.
The US$ is very slowly falling, that is what will make US domestic manufactured products cheaper in international markets.
Mad Mike
Well-known member
Could be costing them money. You still have to support your dealer network. Technical, sales & marketing, logistical support is expensive as is the cost of transporting bikes and parts to remote locations in small volumes.
There are plenty of industries that can operate in large centers but not small towns. I'm sure ever little town in Ontario would love a Walmart, Home Depot, and an automall with 10 brands - not always a viable business model. ,
Trials
Well-known member
You know those big plastic signs out front of every dealership, the MoCo did not pick up the tab for those the dealership did.
... you know who paid the shipping on your new motorcycle, look at your bill of sale under the heading delivery charges.
"We have more than 1,400 independently owned Harley-Davidson® dealerships in nearly 100 countries." Independently owned means they don't own them.
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Mad Mike
Well-known member
It's more than that. When the $800 delivery fee is attached to our motorcycle, it doesn't mean it cost $800 to ship it to the dealer. Mom and Pop dealers that take one bike at a time in remote locations might cost HD $800 to deliver - the same cost to deliver 10 bikes to the a big urban dealer. Same goes for parts, processing a $10K parts order is a lot more cost effective than processing a $500 order. Same goes for support - a factory guy can hit a few big dealerships in a day vs 1 rural.
I had to do something similar 20 years ago, the company I worked for had hundreds of mom and pop dealers selling PC accessories, it just became too expensive to service them so I had to convert the supply chain from direct to 2 tier distribution for the little guys. Sad, but it's a business reality and when you're looking for cost savings, you look to juice the money making parts of a business and cut on the expensive parts. Sometimes you give up a little profit, but the end goal is an improvement to the bottom line.
Trials
Well-known member
Have you ever read the requirements to buy into a H-D dealership: Download Dealer Ownership Policy
Your mom and pop shop owner is a multimillion$ operator, subject to meet performance standards.
... they might foreclose on a dealership but you won't see them closing one that is working for them, they aren't even theirs to close. This ain't Walmart.
Your mom and pop shop owner is a multimillion$ operator, subject to meet performance standards.
... they might foreclose on a dealership but you won't see them closing one that is working for them, they aren't even theirs to close. This ain't Walmart.
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sburns
Well-known member
There goes another one...
www.harley-davidsonpeterborough.com
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I wonder what level of haircut they are aiming for here. Most seem to have a very short life after the announcement is made. I wonder if other manufacturers with cool bikes but few dealers will try to get into some of these spaces.
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