Dealernews AIMExpo 2018 by Dealernews

AIMExpo 2018

All Things Great & Small Coming From Benelli

Industry Research What Do The Numbers Mean To A Dealer?

Dealer Profile Perriâ&#x20AC;&#x2122;s Powersports

VEGAS BABY! AIMExpo 2018

CONTENTS VOICE OF REASON 06 THE NOTE 08 EDITOR’S 10 A LETTER FROM MATT LEVATICH 12 NEWS 16 SHIFTING GEARS 18 DEALER PROFILE 22 INDUSTRY RESEARCH 28 INDUSTRY RESEARCH 30 INDUSTRY RESEARCH 35 AIMEXPO 2018 46 AIMEXPO ITALIAN PAVILION 52 ALL THINGS GREAT AND SMALL 54 PIT BIKE PIONEER 56 AN EYE ON BRP… 64 DO NOT ENGAGE THE CRAZY Bob Althoff On Dealernews Dream Team Robin Hartfiel On A Bad Idea

The Future Of Harley-Davidson +

Latest Dealer News

Who’s Where?

Perri’s Powersports

Don Musick On Industry Interuptus +

Dr. Paul Leinberger On 3 Mega-Trends To Pay Attention To +

Lenny Sims On NADAguides Q2 Numbers

66 NORTHERN EXPOSURE 68 INTERVIEW 72 CONFESSIONS OF A CUSTOMER Marq C. Smith On Being Canadian, Eh? +

Anthony Bucci On E-Commerce, Amazon & More Eric Anderson On The Health & Well Being Of The Shared Economy

74 OF DOGS & MOTORCYCLE DEALERS 76 PERSONNEL FILES 78 ADVOCACY 80 GEAR 82 ADVOCACY 84 GEAR William Douglas Little On Going To The Dogs

Alex Baylon On Strength-Based Work Cultures +

Scot Harden On The Plus 1 Rider Initiative +

STACYC Getting Kids On 2 Wheels +

Don Amador On The Dual Role Of Dealers +

Motowearhouse Paying It Forward

Industry Week Special Section Ciao Tutti, Las Vegas TNT Blows Up!

Inside SSR Motorsports

Past, Present And Future

George Hanson On The Rules Of Engagement In Cyber Land

Benelli TNT Blows Up Cover & TOC Courtesy Of Hal Wang

GEAR+

What’s A Trilobite… And What Does It Do For Your Bottom Line?

88 GEAR 90 WÜNSCHISMS 92 ANONYMOUS DEALER 94 PRESS PASS 96 PRESS PASS 100 VALE 101 AD INDEX 102 BACKFIRE +

Aussies Take Over New Products Uncle Paul On Winterization Do 20 Groups Add Up? +

Springfield Mile Hits 100

Trailblazers 2018 Banquet +

Ave Atque Vale Jeff Fox +

Brought To You By These Fine Folks John Murphy On Help!

78 AIMExpo 2018

I got back on the airplane the next morning to come back to Ohio and to my Dealership with a new-found hope and optimism about the ways that Dealernews can become a catalyst for change. Our industry is in need of help. Each and every one of us Dealers is, too. These guys and the teams they are assembling mean business. They care. They know and they are busy rebuilding the iconic 50-year icon. And an industry. And your Dealership. Yep. The Dream Team.

Reason For Being By Bob Althoff

THE DEALERNEWS DREAM TEAM

rom time to time, we meet people who just “wow” us. They come from any path in life. It could be a neighbor, a minister, a business acquaintance—they just exhibit something special. If you are like me, you have fantasized about assembling these extraordinary people in a common cause. They would be unstoppable, regardless of the mission. The Dream Team. Recently, I had the opportunity to fly out to Southern California and to huddle up in an airport hotel conference room with just such a group. In this case, this group of folks come from the same background. The “common denominator”? They love motorcycles, the people who ride them and the industry they have devoted themselves to — the motorcycle industry. They share a passion to give back to the industry from which all had experienced a lifetime of fun, friendships and pay checks. Several of them cut their teeth at Dealernews, rising from entry level to senior leadership roles over the years. I’m not sure what cosmic forces came into alignment to bring us all into that conference room. But I know that we emerged 12 or 14 hours later as a team—a Dream Team. A team dedicated to restoring Dealernews to its former and future prominence as the pre-eminent source for all the important things that effect all of us as North American powersports Dealers… the things that affect our entire 24 billion dollar industry.

Dealernews has survived the decades because its mission has been constant—to inform, to inspire and give voice to North America’s 10,000+ powersports Dealers. The talented people who have worked here over the years learned to appreciate, admire and, yes, love the Dealers they served. They know the good work done by Dealers large and small, representing all brands; the passion for motorsports they model; the dedication to their customers and their communities. We have stumbled from time to time, but always there is the mission. Serve the Dealers. And, in turn, serve the industry. The returning leaders, names you will well recognize, men who have earned the respect of Dealers, and OEMs and aftermarket alike. The Dream Team includes Eric Anderson, whose Confessions Of A Customer columns first appeared in the magazine in 1991, John Murphy, publisher circa 1990-2000, former editor-in-chief Robin Hartfiel 1991-2013, veteran research expert Don Musick and most importantly, you, the dealers. Over the past year, we have polished the best Rolodex in the industry. We know who the Dealers are, and we have blast e-mail and a website presence established. Next: Our resolve to get back into print on a monthly basis — doing deeper dives into the important issues facing every Dealer. It took some time, but we have used the time well. It may have taken some time for the planets to align, but we did. And when we did, we did a little soul searching. We asked questions about where our industry is; what ails it; who will provide the leadership to raise it up. We asked ourselves if anyone cares anymore (we believe you do!). We talked about the divisions that have historically kept us fractured. We talked about how to fix things. What we came to is a realization that the powersports industry in North America is just too important to us all to not try to fix. It’s not that we know the answers. But we know those answers are out there! It’s more about being brave enough to ask the right questions and doing the work to try to compile the answers as best we can. Dealernews has a long and rich history of doing just that. We intend to do it once again. Our ambitions on behalf of the industry we love are lofty. We simply want to put us back on track to growth and sustainable profitability.

Dealers serve customers. Dealernews serves Dealers. If we all roll up our collective sleeves; ask the right (and sometimes tough) questions — we will find answers. The pages of Dealernews can and must become the roadmap for our industry that has lost its way.

OUR TEAM

It can and must be the place where the call goes out to all the elements of our industry to rally. To rally together. We ask for your active support. We will ask you to think about things that will be a little uncomfortable. We will ask you to be a part of a solution. We ask for your active participation in the process.

Eric Anderson Vice President Stan Simpson Vice President

We know you are busy. And feel put upon by way too many conflicting demands on your time and energy and financial resources. We get that. We have assembled a lot of experience, a lot of talent. But what will be apparent in all we do is our collective care and commitment for Dealers. You will know what we know. But you will know that we care! Like you—we’ll roll up our sleeves and do the work that can change the course of the industry we all love. Stay tuned! Bob Althoff

Bob Althoff Dealer/CEO

SALES/FINANCE John Murphy Publisher Alan Landry CFO EDITORIAL Robin Hartfiel Editor Gus Stewart Creative Director Brenda Stiehl Production Manager CONTRIBUTORS Don Musick Genesys Technology Solutions Dr. Paul Leinberger Denny+Leinberger Strategy Lenny Sims NADA Appraisal Guides Scot Harden AMA Hall Of Fame/BITD Hector Cademartori Illustrations William Douglas Little Unique Powersports Charlie Williams Off Road Editor Marq Smith Holeshot Motorsports, Canada Alisa Clickenger Women’s Motorcycle Tours Don Amador Quiet Warrior Racing Uncle Paul Wunsch Love Cycles The Anonymous Dealer Editorial Advisory Board Bob Althoff Chairman Joey Belmont Big #1 Sports Jim Boltz Lynnwood Cycle Barn/WMDA Jim Foster Killeen Power Sports George Gatto Gatto Harley-Davidson Malcolm Hunter Deeley Harley-Davidson Robert Kay Star City Motorsports Bob Kee Destination Cycle Jerry Lenz Beaverton Motorcycles Kurt Mechling Performance PowerSports Don Owens Dothan Powersports Mark Peterson Southwest Superbikes Sandy Stroope Boat World Honda Polaris

ADVERTISING John Murphy - johnmurphydn@gmail.com

“We have stumbled from time to time, but always there is the mission,” adds Althoff. “Serve the Dealers… And, in turn, serve the industry.” It is an honor and a privilege to be back in the saddle and have the ability to live up to this mission once again. But there are some who say it is a bad idea. “I just received news of the new Dealer News... what is that voodoo that you are trying to do?” Our once and future king of illustrators Hector Cademartori was one of the first people to step up to the plate. “Don’t you know print is dead, powersports is a declining industry and Amazon is changing retail channels? Doing a dealer publication for motorcycles is a bad idea!” All valid points, Hector. “Do you think that making a living as an artist specializing in cars and motorcycles is a good idea? I eat bad ideas for breakfast every morning!” Cademartori claims. “Except for communism, a bad idea is only something that nobody is able to execute properly.”

Editor’s Note

We look forward to properly executing this bad idea. It may be a bad idea on paper, but it is our mandate to help the dealers. “Our industry is in need of help. Each and every one of us Dealers is, too,” says Bob Althoff.

A BAD IDEA…

Let us know what Dealernews can do to help you… And let’s keep the Bad Idea rolling!

By Robin Hartfiel

Déjà Vu All Over Again

ard to believe that it has been 15 years since I was last editor of Dealernews! Working with publisher John Murphy and lead columnist Eric Anderson and the cast of characters from the glory days of the Dealer Expo who have since moved on to AIMExpo, including our old boss Mike Webster, it doesn’t seem possible that so much time has elapsed. To paraphrase the late Yankee catcher and master of the malaprop Yogi Berra, “it seems like déjà vu all over again.” One thing that has changed is the ownership of Dealernews. For the first time in the publication’s 50+ year history, it is owned by a real dealer, not a corporation or a detached media conglomerate. From 1965 through the end of 2015 Dealernews played a pivotal role in the overall health of our $24 billion industry. “The magazine was where dealers learned of best practices, explored important issues and competed in the Top 100 Awards,” says Althoff. “Dealernews has been our industry advocate and our repository for information for the past 50 years… how could I let that go by the wayside?” Ever the ex-Peace Corps altruist, Bob bought the franchise lock, stock and barrel in May 2016 with the intent to preserve history and prepare our industry for the next 50+ years. “In selling Dealernews to me, it’s former publisher UBM/Advanstar ensured that Dealernews’ future would now be in dealers’ hands.” Of the dealer, by the dealer and for the dealer… that is a pretty solid reason for being.

Malcolm Smith signs Robin Hartfiel’s “Baja Crash” cartoon by Hector Cademartori.

Former Editor-in-Chief and publisher of Dealernews circa 1990-2013, Robin returns to the magazine. In addition to having been instrumental in creating the Dealernews Top 100 program (still the industry’s ultimate accolade for a motorcycle dealership), Hartfiel has worked for most of the B2B publications in the Powersports arena. Prior to the trade side, he worked as a beat reporter for a local newspaper was an editor of publications ranging from All About Beer to VW Trends.

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invested otherwise is so that our products have a fighting chance of being price competitive in markets that burden our products with high tariffs. In 2017, we sold motorcycles in 103 countries around the world, and 94 percent of them were produced at our U.S. plants. We compete on our merits around the world and are competitive with what the world has to offer when trade is on a level playing field. We announced our More Roads to Harley-Davidson plan on July 30. This plan is designed to inspire ridership and evolve and sustain Harley-Davidson for another 115 years and beyond â&#x20AC;&#x201D; something all of us care deeply about. We are already executing on that plan, which includes building two million new riders in the U.S. Harley-Davidson Pan America

A LETTER FROM MATT LEVATICH

arley-Davidson has been an iconic brand since 1903, and we are proud to be a company that unites people passionately and authentically under the ideals of freedom, strength and independence. We are a brand that is about big ideas that unite people, and we donâ&#x20AC;&#x2122;t take sides in politics. Today, however, we unfortunately find ourselves in the center of a heated political conversation about fair trade. It is not our intention or our desire to be in this political spotlight, and the entirety of our effort and focus is to minimize any impact on this great brand, company, the business of our dealers and, critically, the passion and loyalty of our riders who we do everything for. Our goal is the same as the U.S. Administration: we want a level-playing field when it comes to trade, and we are working with government officials to find the best solution for our company and our brand. As we said in our 8K filing in June when the EU enacted retaliatory tariffs on our motorcycles, Harley-Davidson would cover the cost of these tariffs;

a cost we estimated to be $90-100M on an annualized basis. We made this decision to preserve rider access to our products, protect the viability of our dealers and maintain our market position in this very important market. We also laid out a 9-18 month plan to mitigate the cost to the company because with the ambitious plan we have for our future, we cannot carry these costs indefinitely. There continues to be misinformation circulated in conjunction with this issue, and I want to reiterate and share facts about Harley-Davidson that you can both be proud of and share with interested customers.

We are focused on the future while we continue to work diligently on many fronts, including with our government partners to get these trade disputes resolved. We remain optimistic and prepared to adapt in the best interest of our customers, dealers, employees, suppliers and, of course, our great brand. I want to thank the hard-working women and men of Harley-Davidson both at the company and in our dealerships who continue, each day, to inspire our current riders to ride more and welcome new riders who will carry the torch for our sport and brand in the future. Matt

Our riders will always come first, along with our dealers who serve and support them. Motorcycles for the U.S. market, and most of the rest of the world, will continue to be made in the United States. It is our clear preference to manufacture in the United States; it has been since 1903, and it remains so today. The only reason we have

President and Chief Executive Officer, Harley-Davidson, Inc.

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MOTUS STALLS

Say it ain’t so! Upstart American-made Motus Motorcycles may be no more. After aggressively pursuing dealers with the goal of 100 retailers in place by the end of the year, including Double D’s Performance in Scottsdale and Grand Prix Motorsports outside of Denver just announced in the August 1 newsletter, Motus owners received an e-mail on Friday, August 31 from founders Lee Conn and Brian Case saying funding had run out. “After an amazing ten year ride, Motus is forced to shut down operations, effective immediately. This week, Motus’ financial backers unexpectedly informed management that they will not provide sufficient capital to maintain operations and grow the business. We were surprised and disappointed, especially because we have been working so hard preparing an October 2018 product launch into a new and exciting segment as well as new features on the MST series. This is very unfortunate timing and we will work to quickly find a new path forward for Motus Motorcycles and our American V4 powertrain division.” It was an interesting run for the push-rod V4 powered motorcycle. It made for good copy and garnered acclaim from the endemic media as well as outside the industry with fans like Jay Leno. “We are very grateful to Team Motus, truly the finest group of professionals and people, who have each dedicated so much of their hearts and souls to Motus. We are also thankful to our dealers and the many customers and supporters who have cheered us on and put gas in our tanks along the way. “How can we just give this up without a fight? Maybe we find some new backers who really believe Motus was on to something, and the American V4 needs to live on, whether in bikes, boats, rock bouncers, flying cars, late model circle track, water pumps in 3rd worlds, or whatever. “And to all our loyal friends, family, dealers, suppliers, who, out of nothing but kindness, say ‘call Leno’ or ‘insert famous celebrity,’ it doesn’t work like that. No celebrity is going to ‘save’ a little brand like us. This isn’t a movie or even reality TV. We don’t get a handout or government grants. We have to save ourselves or die trying. We owe it not just to ourselves, but to everyone who took a chance on us and has stuck by us through a very difficult time. hashtag #AmericanV4ever

NPA MOOVES INTO MADISON

National Powersport Auctions has “mooved” into America’s Dairyland, opening its 6th dealer auction facility in Madison, Wisconsin in mid-September. “Why did we choose Madison? To make it easier for our dealers to do business with us,” states NPA’s COO Jim Woodruff. “Madison is in close proximity to Chicago, Minneapolis and Milwaukee. This puts us much closer to our customers in the region and makes buying and selling through NPA even more convenient.” NPA’s live auction facility is also just 10 minutes form Dane County Regional Airport. “There are direct flights between Madison and our other locations making this new location readily accessible for our out of state buyers, sellers and clients,” notes Woodruff. Dealernews pre-ran the course while we were in town for the Parts Unlimited’s NVP. The new NPA operation has more than 66,000 square feet under roof, six docks and easy access to the Interstate. “We are projecting 600-800 units for our future live auctions,” Woodruff adds. Because of the location, the mix of units will be more diverse in National Powersport Auctions Madison facility. “Maybe it’s fate, a coincidence or a fluke, but our first vehicle in Wisconsin was a snowmobile.” NPA points out that state of Wisconsin requires all dealers (including out of state) to have a Wisconsin Buyer’s License to purchase auction vehicles in the state. If you do not have a Wisconsin Buyer’s License, please visit www.npauctions.com and follow the steps to submit an application. It is a single page application and NPA will credit your account for the amount of the state’s application fee. If you have any questions about the application, please call NPA or the Wisconsin DOT at 608.266.1425 NPA Madison 6474 Blanchars Crossing DeForest, WI 53598 Phone: 608.416.1096

ECONOMIC OPPORTUNITY ZONES Dealers, Don’t Get Short-Changed!

They say the first rule of real estate is location, location, location. This is certainly true if your dealership happens to fall within an “economic opportunity zone” — a new urban renewal program that is easily overlooked. According to the folks at Forbes, the Tax Cuts and Jobs Act of 2017 has the U.S. government offering taxpayers incentives designed to encourage long-term investments in distressed communities.

ZACK & ARI MAKE A PORNO MotoJournalists Jump Ship

Motorcyclist Magazine’s dynamic duo of Zack Courts and Ari Henning have hit the road. The popular pair have taken their video escapes to the automotive side with a new program called “Uncaged” featured on Motor Trend Network TV channel that will make its debut this fall. “We’re creating best-in-class content featuring top experts that will rev the engine of motor minded fans everywhere,” explained Robert Scanlon, President of Velocity and Motor Trend Group Video Content. “These series are part of the new Motor Trend, which nourishes audiences’ passions across multiple platforms including online, digital and social media in addition to television via Motor Trend Network coming this fall.” Meanwhile, Zack and Ari’s On Two Wheels video programming lives on within titles Motorcyclist and Cycle World. Former MotoUSA standout Adam Waheed and Street Chopper/Motorcycle Cruiser alum Morgan Gales become Bonnier’s new on-air talent.

TOXIC MOTORCYCLE SEATS?

In its ongoing quest to make doing business impossible in the state, California Health and Safety Code Section 25249.6 stipulates: “no person in the course of doing business shall knowingly and intentionally expose an individual to a product and packaging containing chemicals known to the state of California that cause cancer, birth defects or other reproductive harm without first providing a clear and reasonable warning.” This apparently includes Kuryakyn accessories and Mustang motorcycle seats. “The California Attorney General’s Office has indicated that distributors of products (including packaging) have a duty to inform their customers of the warning requirement and to take reasonable steps to ensure their customers are properly providing the warning to the consumer of the products.” To this end all Kuryakyn and Mustang product manufactured after 8/30/2018 will be emblazoned with the required a warning label.” Seriously?

The devil is in the details of the definition of what exactly is “a government partitioned low-income area.” These so-called “Opportunity Zones” are designated by the governor of each state and could literally be right in your backyard. Case in point is Dealernews’ own Bob Althoff discovering that one of his three Columbus, Ohio-area Harley-Davidson dealerships is indeed in an Opportunity Zone. The plan for the Opportunity Zones is to pull millions of Americans out of poverty and generate both financial and social returns for investors, according to the Forbes analysis, citing the 2017 Distressed Community Index (DCI). DCI figures indicate 52.3 million Americans currently live in economically distressed communities, more than a quarter of them at poverty levels. Forbes claims this means that one in six Americans could have a chance at a better life that ultimately benefits future generations. The first round of Opportunity Zones Designations in 18 states was announced in April of this year. Qualified Opportunity Zones retain this designation for 10 years. Investors can defer tax on any prior gains until no later than December 31, 2026, so long as the gain is reinvested in a Qualified Opportunity Fund, an investment vehicle organized to make investments in Qualified Opportunity Zones. In addition, if the investor holds the investment in the Opportunity Fund for at least 10 years, the investor would be eligible for an increase in its basis equal to the fair market value of the investment on the date that it is sold. “If an investor holds the O-Zone investment for five to seven or more years, they will benefit from an improved ‘stepped up basis’ — as much as 15% for investments held for seven+ years,” according to the Forbes analysis. “Should an investor hold their stake in said fund for 10plus years, they would then benefit from not only the 15% step-up in basis but also from a permanent exclusion of all gains accrued after investing in the O-Fund.” For more details and the 18 states that have Opportunity Zones in place, check with the Treasury Department: https://home.treasury.gov/news/press-releases/ sm0341

AIMExpo 2018

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VEGAS CONFIDENTIAL

AIMExpo Exhibitor Investigating October 1 Tragedy

On October 1, 2017 Stephen Paddock fired more than 1,100 rounds into the Route 91 Country Music Festival Concert at The Las Vegas Village, a concert venue across the street from Mandalay Bay. That evening 58 people lost their lives, hundreds were wounded, thousands were traumatized, and millions were stunned. Called a Mass Shooting Event (MSE), this is the largest mass shooting in U.S. history. The investigation that followed is perhaps one of the most controversial investigations since the assassination of JFK or 9/11.

We work in an awesome industry with the greatest people on the planet, but there still seems to be a disconnect in connecting great people with good gigs. It is also no secret that the “Hammer & Chisel Brigade” — as Uncle Paul used to refer to B & C level techs — can get happy feet. MotorcycleIndustryJobs.com makes the connection and gives the folks with happy feet a starting point. “This industry, like many others, has always recycled employees from one company to another and it has always been done by word of mouth. Our mission is to make these connections as seamless and easy as possible,” says MIJ founder Alex Baylon. MIJ is rolling out its new format at the AIMExpo with plenty of new features to facilitate the connections. “The basics are still there, but the user interface has been greatly enhanced.” It is now possible to connect via Linkedin, so you can create an account and upload your resume with just a few clicks. “We know that there are passionate moto people attached to the resumes and we want to hear your story,” adds Alex. Click on the site and see the new Profiles page to connect names and faces. There is also a new affiliate program coming and some other surprises are in store for AIMExpo attendees. To connect with MIJ at www.motorcycleindustryjobs.com or swing by Booth #2856

AIMExpo marks the first time back to Las Vegas since that fateful day for many of the exhibitors, dealers and the consumers coming in for Powersports Industry week activities. American Lifan’s Mike Turber began his investigation into the shooting while still listening to the police radio calls on the same evening as the shooting. Mike’s background includes enlisting in the US Air Force Electronic Intelligence Operations, creating the American Press Association and serving as a security consultant. On behalf of the victims and survivors, his expertise enabled him gather evidence in the case that was overlooked by both the LVMPD and the FBI. Even to this day, more than a year later, people are still asking the same questions and the only ones who seem to have answers are the conspiracy groups. “Promises were made and not kept, lies were told, the scent of cover-up filled the air,” says Turner. See his investigative videos at www.youtube. com/channel/UCK2WwrcN2hTXRQTpHpDh4xw “Come by the American Lifan booth for some inside information as well as see actual glass from Stephen Paddock’s room and more.” American Lifan is in Booth #1403

DX1 DOES IT AGAIN Single DMS Platform To Serve Dealers

DX1 is the only software provider to offer a dealer management system and responsive websites on a single platform. While dealers have been hard at work this summer, DX1 has been diligent in delivering additional tools to increase revenue opportunities.

Among the tools DX1 has introduced is the Fiche for DX1 DMS. The new microfiche offers bin locations as well as quantity available, quantity on hand and pricing. OEM applications include: Honda, Yamaha, Kawasaki, Suzuki, KTM, Husqvarna, Polaris and BRP. Also added was the DataOne VIN lookup. “This gives our dealers the option to look up a major unit model by the VIN,” explains CJ Pedler, Director of Dealer Services. “This can be used when receiving a unit, adding a unit to a work estimate or repair order, adding a trade-in unit to a deal or adding a unit to a customer’s garage.” New features and software are great, but Dealernews digs the dealer testimonials for DX1 the most. “I continue to be impressed by the consistent improvements and upgrades that DX1 invests in on behalf of their dealers,” says Graham Marcus, owner of Maddie’s Motor Sports. “They killed it this summer introducing new features that are making a positive impact within our dealership.” Click on www.dx1app.com/ resources/testimonials for the scoop straight from fellow dealers or visit the DX1 team at AIMExpo, Booth #2705

OAI, including $120,000+ in funds and equipment to eight grant and scholarship recipients in 2018 alone. “We continue to promote and see growth and diversity in the Outdoor Access Initiative, which now has a decade of supporting responsible, sustainable access under its belt,” said Steve Nessl, Yamaha ATVSxS group marketing manager. “These last two quarters have been a great example, with projects addressing a wide-range of use from singletrack trails to sand dunes and back-country areas for the enjoyment of OHVs of all types: motorcycles, ATVs, Side-bySide vehicles, and snowmobiles.” OAI’s ongoing support of National Hunting & Fishing Day, and six scholarships to university students as part of the Yamaha Agricultural Communicators of Tomorrow (ACT) program were also part of the latest grants. “We believe everyone should be able to experience the outdoors and all of the incredible opportunities our public lands have to offer,” added Nessl. “Working through like-minded partners like National Hunting and Fishing Day, as well as seeding appropriate safety and land stewardship messaging with future influencers and professional communicators via the ACT program, helps ensure we’ll all be able to enjoy the outdoors for generations to come.” Yamaha will be in Booth #323 at AIMExpo.

AMA LOOKING OUT More Self-Driving Menaces On The Road?

According to our friends at the American Motorcyclist Association, 10 companies have notified the Washington Department of Licensing that they plan to begin testing self-driving vehicles on state roads. Waymo, NVIDIA, Intel, Torc Robotics, May Mobility, Navya Inc., Dooblai LLC and Simple Solutions said they are “self-certified” to safely test autonomous vehicle technology on public roads, claims the NW News Network. Two other companies—Daimler and Intel—notified the state Department of Transportation that they also will test autonomous vehicles on public roads. The AMA believes companies are rushing the introduction of automated vehicles into everyday traffic, which could jeopardize motorcyclists’ safety.

SUPPORTING OUTDOOR RECREATION Yamaha Donates $120,000 In Grants & Scholarships

While the mainstream moto media has found it fashionable to bash Yamaha for everything from moving jobs to Georgia to blaming them for the cruiser market bottoming out, the company continues to quietly pay if forward with longstanding positive programs like the Outdoor Access Initiative (OAI). During the past decade Yamaha has donated millions to the

AMA’s official position statement on automated vehicles calls on government agencies and elected officials to include motorcyclists in the ongoing discussion, planning and implementation of the policies and regulations governing automated vehicles. “Failure to specifically address motorcycles in statutory and regulatory language amounts to the abandonment of motorcycle safety by legislators and regulators,” the position statement reads. “Essentially, the issue of distracted and inattentive driving will mushroom into a monumental hazard for motorcyclists when flawed AV technology enters the transportation mainstream.” Check with AMA VP Industry Relations & Business Member Programs Jim Williams and the crew in Booth #2200 at the AIMExpo for the latest updates one what the association is doing to protect our industry’s rights.

AIMExpo 2018

— parent company of Cycle World, Motorcyclist and Hot Bike — Kai is back in the saddle at Suzuki once again. He shifts gears from QuickShift Marketing, Bonnier’s in-house ad agency, to become VP, Account Director at Questus, Suzuki’s agency.

AIMExpo is expanding The American International Expo Motorcycle presented by Nationwide has added former Freerider MX Magazine editor Andre Albert to the team. The South African native is now Senior Marketing Coordinator for the MIC Events team to handle a variety of duties, including marketing, social media and advertising. “Our team is truly excited to bring someone on board with so much all-around experience,” said Show Director Cinnamon Kernes. “Andre’s background will help bring a fresh eye and new ideas to our marketing efforts as we rev up for the sixth-annual event. His obvious enthusiasm for action sports will help him fit in perfectly with the passionate people we work with throughout the powersports community.” Albert adds, “I feel strongly that my background will help me offer a lot to the team. I love that I’m in the heart of the industry in Southern California, and I’m looking forward to helping make the industry’s important annual gathering the best yet for the dealers, media, exhibitors and consumers that comprise the greater powersports industry.” The AIMExpo is set for the Mandalay Bay Convention Center in Las Vegas, October 11-14, 2018.

Another magazine guy making good is Garrett Kai. Most recently Vice President, General Manager of Agency Services at Bonnier Corporation

With an eye on the future, Polaris Industries has hired Julie Gilbert as chief customer engagement and growth officer. In this newly created function, she will be responsible for developing and implementing marketing solutions and growth strategies that introduce new consumers to the powersports industry and connect with customer segments outside of the company’s traditional core target market. “In this strategic leadership role, Julie will deepen our relationships with our existing valued customers, while also expanding brand awareness and connecting with new consumer bases,” said Polaris CEO Scott Wine. “Her tenacious, winning attitude combined with her creative thought leadership and significant experience will be a great combination for Polaris and I am excited to have her on our leadership team.” She will also have oversight for Polaris’ corporate marketing, sponsorships and communication efforts, and will help launch programs aimed at further engaging RZR owners. Gilbert will dual report to Wine and President of Motorcycles Steve Menneto. “From snowmobiles to motorcycles, I’ve been a lifelong rider and have admired Polaris and its product portfolio for a number of years,” said Gilbert. “I’m ready to help Polaris tell its story in order to accelerate growth, broaden its reach and attract new customers to Polaris and the powersports industry.”

Western Power Sports hits the trifecta with top talent. After getting his start as a sales representative and gear expert at Sportbike Track Gear, Nicholas Hande has been building his passion for the powersports industry for seven years… and counting. Building relationships and honing his skills ultimately helped transition him into his current FLY Racing street apparel and Highway 21 Brand Sales Manager. With a roadracing background, WPS believes Hande is a perfect fit to handle their growing street brands.

Can you hear me now? Helping to support the growth of one of the most versatile communication companies in the industry, David Kuck is now Western Power Sport’s UCLEAR Brand Sales Manager. When he is not assisting customers and dealers with technical questions and new product information on UCLEAR’s wide variety of communication products for ADV, sportbike and UTV/ATV applications, Kuck continues riding motorcycles and ATVs.

Heads up! Western Power Sports has hired an East Coast-specific GMAX Helmets Brand Sales Manager. With 15 years of powersport industry experience and motocross racing background, Andrew Mikolaichik is a perfect fit for the position, according to WPS. “Andrew will help educate, inform and support dealers with GMAX Helmets’ wide range of off-road, street, snow and motocross products,” explains the Boise-based distributor’s James Cramer. “In his spare time, he rides street bikes with his family and jumps on his Honda CRF 450 on the closest MX track he can find.”

Perri’s Powersports A Funny Thing Happened To Tony Perri On His Way To Retirement by Alisa Clickenger

or most people, “retirement” evokes visions of lives of leisure and contemplation, perhaps following their heart’s desire. While Tony Perri didn’t follow the typical path of retirement, he did find a way to follow his heart’s desire. November 2017 Tony purchased All Sports Honda in Grand Junction, Colorado, and changed the name to Perri’s Powersports. He now runs it as a family business with his wife Laura as the chief financial officer and daughter Alyssa doing their marketing and social media. Perri enjoyed a successful 25+ year career in the automotive collision repair industry. When a national chain bought the business and both his stores, he retired. “But then I decided I was too young to retire,” said Perri. “I was always a

powersports enthusiast, so I went looking for a dealership.” Growing up in central California close to Laguna Seca Raceway seeded Perri’s love of motorcycles, and he always dreamed of owning a motorcycle shop one day. When the Honda dealership came up for sale, Perri felt it was a natural fit, having been a lifelong fan of the brand. His first bike, a Honda 50, was given to him by his parents for Christmas and he has been addicted to motorcycles — both street and dirt -— ever since.

I was always a powersports enthusiast, so I went looking for a dealership

Courtney in the parts department

A CRASH COURSE IN POWERSPORTS Being in the collision repair business for so many years had prepared Perri for the service part of owning a dealership. They have been implementing many proven procedures from the automotive repair field into his dealership service area.

Loren and Daniele in the service department

â&#x20AC;&#x153;Tearing down the vehicle completely and trying to find 100% of the damage upfront means we can diagnose and order all the parts needed all at once. This makes for a quicker turnaround time because we are not waiting for this part or that part; everything is there and ready to go in place. That makes for happy customers and happy employees,â&#x20AC;? explained Perri.

AIMExpo 2018

One of the innovations from the crashed car game Perri put into play was push carts for each of the service bays. When the service department works on a machine, all the parts are in one spot, adding to efficiency. They have also implemented an accountability procedure for every single service order, utilizing a check sheet that sets up a comprehensive paper trail. While his earlier career did prepare Perri for this aspect of running a dealership, Perri admits that the daily operations of the parts and sales departments have been “quite the learning experience.” The school of hard knocks strikes again! CULTURE CLUB Tracy Tubbs has been sales manager of the dealership for more than six years, and has been integral to the transition of new ownership. The location itself has been home to a Honda franchise for more than 30 years, according to Tubbs, and an Arctic Cat — now Textron — dealer for the past 15 years. The store was also a BMW Motorrad outlet for a decade, but no longer. Current lines alongside Honda are GasGas, Torrot, CFMoto, Yeti SnowBikes and they are adding the Mahindra ROXOR UTVs this fall. There is an innate culture to the dealership that has transcended ownership, and even with its transitions, they have excellent employee retention. Many of the key employees have been with the dealership longer than Tubbs’ tenure. The staff averages ten years, while their bookkeeper Dee has been there for 16 years. “We try to maintain a positive work environment with time to enjoy where we live and the things we enjoy doing...riding,” said Tubbs. “We use positive reinforcement and stand by them, giving them ownership in their position whenever possible. It is supposed to be enjoyable and we try always to maintain that approach.” Staff training is done through one-on-one daily coaching, mostly from Tubbs.

Tracy is a good sport, Pete, not so much.

the machines back to the customers as quickly as possible. “We have fun riding motorized toys, so when we talk to people, we share that joy,” said Tubbs. “We also know what it is like to not have our work ATV or Side by Side not functioning quite right. Or your motorcycle needs something, right when the riding is the best. We know this, so we try and do whatever it takes to get our friends and customers back with their machines as quickly as possible.” THE BOTTOM LINE Perri’s Powersports also takes great care with their reputation in the community. “In a small market such as ours, reputation is extremely important. One bad review will kill a hundred good ones, so reputation is the biggest thing for us. We make sure that the customers are happy. Really, really happy,” said Tubbs. While it may not mean retirement for Tony Perri just yet, having followed his own path to happiness, in turn he is able to help locals as well as travelers to Colorado’s Western Slope pursue their own paths to happiness.

WHAT AN ADVENTURE Perri’s Powersports sells new, used and consignment machines, and located in hunting and agricultural country, 50% of their business is ATV/UTVs, with snowmobiles, dirtbikes, adventure and street motorcycles making up the rest. “Our service department works on all brands… nothing scares us,” said Perri. In fact, they actively solicit and welcome all brands of outdoor toys in the shop. Perri’s Powersports is particularly helpful to the numerous adventure riders in and around the area. Their proximity to the Trans-America Trail as well as their location between Denver and Moab means that they often are picking up motorcycles from far afield for repairs or helping ADV riders with shipping and storage. While the dealership is still adjusting to the new ownership, one thing has remained crystal clear: constant focus on customer service. Starting from the way that they greet everyone who walks through the door, to the way they run the service department, Perri’s mandate is to make the customers happy, to be fair with their pricing, and to get

Tony Perri, Ryan Dungey and Laura Perri

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Dealernews Research By Don Musick

INDUSTRY INTERUPTUS

ifty years of Dealer News! Fifty years ago I was “Meeting the Nicest People on a Honda”, that upstart from Japan that gave us a glimpse of what would come in the next five decades. While I don’t want to relive the past by marking the rise and fall of product segment market data, I would like to address the engines that drive that data: Dealer Networks. Our company has been monitoring powersports industry dealer networks since 2004. We call it Dealer Network Intelligence. To us, the powersports industry is defined by any OEM or distributor that has brick & mortar retail outlets that sell any of eight product lines: motorcycles, scooters, ATVs, UTVs, snowmobiles, personal watercraft, sport boats and gokart/dune buggies. That translates to ~170 powersports OEMs in the US and ~120 in Canada. We profile them all big and small. In the US, that equates to ~25,000 physical locations or rooftops. What follows below, is a bird’s-eye view of the evolution of nine representative OEM dealer networks: Arctic Cat (ARC), BRP (BRP), Harley-Davidson (HDB), Honda (HON), John Deere (JDR), Kawasaki (KAW), Polaris (POL), Suzuki (SUZ) and Yamaha (YAM). Note that only John Deere Gator® dealers are included in this analysis (apples to apples) while the rest include all product lines. The timeline chosen for this analysis begins with pre-recession 2006 and extends through 2017.

Dealer networks are in a dynamic state of turnover. This is especially so during periods of financial stress. At the top of the distribution chain, new OEMs wade into the marketplace for a slice of the action (read UTV’s) while other OEMs throw in the towel and disappear altogether. Some even re-appear, sticking their heads out of their foxholes after the bullets have stopped flying (i.e. Toro, Tomberlin). New players are faced with the daunting task of establishing retail networks from scratch, and without the deep pockets of companies like Tesla, can’t afford to build stand-alone retailers. This is not to say that standalone powersports retailers don’t exist, they obviously do. Newly minted OEMs with only a copycat value proposition are likely to be ignored by the “mainstream” dealer establishment, leaving only tier 2 or 3 candidates to select from. Nevertheless, for newcomer as well as established OEMs, the existing landscape of powersports industry retailers is the “greenfield” that both must mine in order to expand their footprint, maintain it and survive. As established OEMs defend their turf (market share) against existing and new manufacturers, the downstream network of retailers are constantly juggling their product offerings to match consumer demand while simultaneously balancing the loyalty expectations of their OEMs. Churn baby, churn! Dealer buyouts, terminations, relocations, OEM / product line additions / deletions, fluctuations in capital availability, product line seasonality, staffing challenges and more constitute a level of volatility

not felt at the top of the chain. Dealer networks, on the other hand, are more like living organisms, reacting much more quickly to the challenges they encounter in the marketplace. This brings us back to the financial crisis of 2008. The nine OEMs listed on pages 26 and 27 were selected in part because of their stature in the powersports industry, but primarily because they form a continuum across the time period of interest. To be sure, we also profile other well established OEMs that span this 12 year timeline, but the size of these smaller dealer networks make them a poorer choice to reveal statistical patterns and trends. To begin, letâ&#x20AC;&#x2122;s examine how each of these OEM dealer networks changed as a percentage of the initial year count (Fig2.). One of the first things that jumps out is that in the run up to 2008 several of the OEM dealer networks were actually expanding their footprint or at least maintaining. The notable exceptions are BRP and John Deere, both of which were net loss positions. However, as the recession deepened, all nine OEMs began to lose dealers, some more rapidly than others. The second thing that jumps out is that as early as 2011, Polaris made a course correction and began replenishing their dealer network, nearly breaking even by 2017. Similarly, BRP also reversed course in 2014, once again expanding their dealer network (dashed circles). The remaining OEMs fall into two distinct categories 1) stabilized network footprint with net dealer loss (i.e. HarleyDavidson, Honda) and 2) Continued shrink in network footprint , albeit at various rates (i.e. Arctic Cat, Yamaha). Continued on page 24

Figure 2

AIMExpo 2018

Figure 3

Up to this point, we’ve been examining the change in dealer networks as a percentage of the 2006 base year for each OEM. While this approach puts all of the OEMs on equal footing, it’s also informative to explore the actual volume of dealer loss for each OEM (Fig. 3). replenishing their dealer network, nearly breaking even by 2017. Similarly, BRP also reversed course in 2014, once again expanding their dealer network (dashed circles). The remaining OEMs fall into two distinct categories 1) stabilized network footprint with net dealer loss (i.e. Harley-Davidson, Honda) and 2) Continued shrink in network footprint, albeit at various rates (i.e. Arctic Cat, Yamaha). This view of the data underscores the scale of dealers lost over the timeline, with Arctic Cat and John Deere showing the largest net loss while Polaris and Harley-Davidson showing the least. Once again, the course corrections made by Polaris (2011) and BRP (2014) are indicated by the dashed circles. It’s also worth noting again that the John Deere dealers profiled here are only those that carry Gator® UTV’s and that the majority are John Deere exclusive. By contrast, there is significant storefront overlap among the other eight “mainstream” OEMs and multiple product lines are represented. Also, the nearly 900 dealer loss by John Deere represents only ~35% of their network (Fig. 2), making it the largest UTV OEM by dealer footprint (although certainly not by retail volume). As mentioned above, one of the challenges always facing dealers is matching product offerings to consumer demand. Demand of course is fueled more by affordability than desire and in the immediate post-recession years affordability became paramount. Enter the new kids on the

block from China, Taiwan, and Korea with copycat product of reasonable quality and the key factor of affordability. So as OEM networks were shrinking, surviving dealers began to look for plan B to satisfy desire checked by affordability. With that in mind, we can examine dealer network OEM exclusivity over our timeline. Exclusivity in this sense is defined as dealers that carry only a specific OEM’s products. In Fig. 4 and Table 1 on page 26, the percentage of each OEM’s network which is exclusive to that OEM is illustrated for the period 2006-2016. The winners in the exclusivity category are clearly John Deere and Harley-Davidson, with John Deere consistently between 80 to 85 percent. The trend amongst all of the other OEMs is a gradual loss of exclusivity with the snowmobile OEMs Arctic Cat, BRP and Polaris showing the greatest losses (year of maximal loss for Arctic Cat: 2017, BRP: 2014, Polaris: 2011). Suzuki and Kawasaki dealer networks show the lowest level of exclusivity at 3.1% and 9.0% respectively. Another metric for assessing the financial health of OEM dealer networks is annual revenues. Our data sets are supplemented with financial profile estimates from InfoUSA® (www.infousa.com) whose proprietary algorithms generate estimates of annual revenues based on dealer SIC codes, location, employee count, federal tax data as well as other parameters. Fig. 4 and table 2 on the next page summarize these findings for OEM exclusive dealers (excluding John Deere to minimize the influence of farm equipment revenue). Only OEM exclusive dealers are examined to remove the effect of other in-store competitive revenue sources. Continued on page 26

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Figure 4

While there is some variability in these estimates over the timeline, the overall trend is downward with only Polaris finishing on a high note. Furthermore, while exclusive Harley-Davidson revenue estimates are consistently more than double that of the other OEM exclusive networks, they also show the largest overall decline.

All of the above suggests a continuing adjustment of OEM dealer network footprints in the face of reduced outlet visibility, reduced revenue and increased product diversification (decreased exclusivity). Given the range of products available from powersports dealers (motorcycles, scooters, ATVâ&#x20AC;&#x2122;s, UTVâ&#x20AC;&#x2122;s, snowmobiles,

Table 1

personal watercraft, sport boats & gokart/dune buggies), it is also reasonable to expect a geographic component to OEM network distribution.

Figure 5

Table 2

From his first motorcycles (a Honda S65 and an S90) when he was 16 to 50 years later, Don Musick has never stopped twisting the throttle. Although his accomplishments in the research arena have surpassed his MX career Don has over 25 years experience with major manufacturers in the Powersports and Automotive industries specializing in e-business solutions for retail distribution networks. His solution portfolio includes the development and implementation of manufacturer/dealer extranets, consumer-direct commerce portals, manufacturer/dealer e-channel integrations as well as development of web-based sales force automation tools. For most of his career, Don has been fascinated (his wife would say obsessed) with geographic market analytics, dealer location planning and sales territory optimization. He founded Genesys Technology Solutions (GenesysTech) to develop new tools and market intelligence products to help manufacturers understand the competitive landscape of their industries, recognize opportunities and grow their businesses. A Spartan to the core, Don earned a B.S. in Physiology and PhD in Biochemistry AIMExpo 2018 27 from Michigan State University.

brand-to-consumer world. That’s marketing jargon, to be sure, but what it meant was brands led and consumers followed. In our terms, dealers decided what to sell and how to sell it, and consumers bought what we were selling. It was a world of captive audiences with limited choice – and frankly, most of us as dealers liked it that way (especially if we were good at selling and marketing).

Dealernews Research By Dr. Paul Leinberger

Three Mega-Trends to Pay Attention to in 2019

018 is speeding by and it is not too early to look ahead and see what’s around the curve.

How are your customers changing and what do these changes mean for you? How can you gain a competitive edge in 2019? Let’s take a look at three interconnected mega-trends that will impact your business in 2019 – and beyond. 1. Seeking control in an out-of-control world People believe their lives are spinning out of control – and they are seeking ways to regain some sense of personal control and self-sufficiency. Further, we’re living in an age of collapsing trust. From scandal to unrest to “fake news” and everything in between, our trust in the institutions around us has never been lower. What does this mean for you as a powersports dealer? Every brand, manager, and dealer should strive to find ways to give a sense of control back to their customers. What can you give your customers: visibility into the status of their shipment or perhaps options to raise or lower service and cost levels? 2. It’s a C-to-B world now We used to live in what was called a B2C world; that is, a

Today, the relationship has reversed. The business world is now C2B – consumers-to-business, where consumers lead and brands/dealers must follow. How and why did this happen? The answer sits in the palm of your hand. Our devices, the platforms we run on them, the e-commerce mobile sites we use, the social networks we belong to, it all adds up to a world where consumers have greater control to seek out what is meaningful to them and avoid what is not. It is a world of choice, with many options and too little time (any wonder our lives feel outof-control?). It is a world where attention is a precious commodity and where what brands/dealers do matter as much, if not more, than what they say. So how can dealers gain the attention of consumers? (It feels like a tall order, doesn’t it?) Consider a couple of facts: 60% of consumers do business with brands that share their values and beliefs; 65% of consumers tune out brands that blast the same message over and over again. Your customers want to engage with you on their terms, not yours. They want customization and personalization, and they want to do business with brands/dealers that align with what they care about. The more you know about your customers, the more you will be able to meet their needs. As Anne Bologna, Chief Strategy Officer of the digital marketing firm iCrossing likes to say: “Modern marketing isn’t about changing consumer behavior, it’s about understanding it. Brands of the future must know their customers better than the customers know themselves and use that insight to design remarkable, relevant and engaging experiences to turn a conversation with a prospect into an opportunity to build a lifetime customer.” So ask yourself: “Are we a customer-centric dealership?” 3. Heroic Credibility In an age of info-immersion – with fractured media, news, and entertainment – only the boldest messages survive. “In an age of perpetual outrage,” one political activist tweeted, “it pays to be outrageous.” You don’t have to be outrageous, but if you want to break through and gain the attention of stressed, jaded customers, it pays to have a clear set of values and to live by them. In a recent study by Denny + Leinberger Strategy encompassing 3,514 interviews in five countries, 62% of Americans (68% of Millennials, 64% of GenX, 50% of Boomers) agreed with the statement: “I believe knowing what a brand stands for is just as important as what it can do for me.” Further, 55% of Millennials (but only 24% of Boomers) agreed with the statement: “I like it when brands have strong, polarizing, and sometimes controversial positions on important social or political issues.” Ask yourself: “Do we have a clear set of values that we are willing to stand behind?” If so, make your values known.

MARKET RESEARCH 2018 WHO AGREES WITH THIS STATEMENT?

“I BELIEVE KNOWING WHAT A BRAND STANDS FOR IS JUST AS IMPORTANT AS WHAT IT CAN DO FOR ME.”

62%

50%

BABY BOOMERS

64%

GENERATION X

68%

MILLENNIALS

BABY BOOMERS

I LIKE IT WHEN BRANDS HAVE STRONG, POLARIZING, AND SOMETIMES CONTROVERSIAL POSITIONS ON IMPORTANT SOCIAL OR POLITICAL ISSUES.

60%

24%

MILLENNIALS

55%

OF CONSUMERS

DO BUSINESS WITH BRANDS THAT SHARE THEIR VALUES AND BELIEFS.

65 %

OF CONSUMERS TUNE OUT BRANDS THAT BLAST THE SAME MESSAGE OVER AND OVER AGAIN

A perennial keynote speaker for the Motorcycle Industry Council's annual Communications Symposium, Dr. Paul Leinberger has become the powersports industry's de facto futurist/strategist. Dr. Leinberger is an expert in market/brand strategy and research with more than two decades of social trend forecasting, market strategy and strategic planning. Prior to joining TTD, he was Senior VP of GfK NOP, where he ran the company’s flagship consumer trend services, Roper Reports, as well as the company’s groundbreaking Global Visual Database. His client list reads like a Who’s Who of corporate America: Hewlett-Packard, Apple, Disney, Nordstrom, Microsoft, Levi Strauss, E.& J. Gallo Winery and Toyota, among many others. Prior to his global responsibilities at GfK NOP, Dr. Leinberger was the Corporate Manager in the Product Planning and Market Strategy department at Nissan North America.

AIMExpo 2018

Dealernews Research By Lenny Sims

BY THE BOOK

Powersport Values Average Retail Value by Category Cruisers

NADAguides Q2 Powersports Market Insights

ummer fun as sport UTVs led the powersports industry in the second quarter. The side-by-side segment’s pricing once again averaged higher than any of the previous three years. Utility side-by-sides stayed moderately strong, performing similar to last year, but still behind 2016’s numbers. However the powersports industry still faces some challenges. Motorcycle pricing was mixed, with sportbikes showing a nice seasonal upward movement, but still bringing about 4% less money than last year. Cruisers didn’t see a seasonal bump in the second quarter, showing little change from last quarter and running about 3% behind last year.

Sportbikes

Utility Side By Sides

Economic factors continue to support discretionary spending. Employment figures continue to improve, with more people entering the workforce after prolonged absence. Disposable income has increased for the past five quarters. The pool of potential buyers of motorcycles and side-by-sides is growing. The Prior Quarter How does this track with the Q1 numbers? The powersports industry was mixed in the first quarter of 2018. Motorcycles did not perform strongly, but side-by-side values were solid. Severe weather in many parts of the country was a likely factor behind the weakness in the cruiser and sportbike sectors. Cruisers performed slightly better in the first quarter of 2018 compared to the first quarter of 2017, but the downward trend in values generally continues, as the market for this segment continues to shrink over time.

Sport Side By Sides

Motorcycle Brands NADAguides.com Top Researched Brands in 2018 Q1

Cruiser Brands

Touring Brands

Sportbikes were also somewhat weak, with values in the first quarter recovering only slightly from the steep decline in the second half of 2017. Side-by-sides, on the other hand, had a relatively strong start to the year. The sport segment brought higher values on average than any time in

the past four years, while the utility segment was not quite as strong as early 2016, but stronger than 2015 and 2017. In both segments, the steeper depreciation is something dealers will want to monitor.

J.D. Power / National Appraisal Guides, Inc.

Consumer-focused economic conditions are forecasted to continue their upward trend, which should support demand in all segments.

(800) 966-6232 Fax (714) 556-8715 https://www.nadaguides.com/Motorcycles

3200 Park Center Drive, 13th Floor Costa Mesa, CA 92626

Powersport Categories Category Views Among Consumers, Dealers, and Finance & Insurance Institutions in 2018 Q1 Q2

WHEN LENNY SIMS SPEAKS…

Remember the old “When E.F. Hutton speaks, people listen” brokerage commercials? Crowds of people would instantly be silenced to hear some tidbit of financial wisdom. Same deal goes for the financial community when NADA Guides Chief Business Development officer Lenny Sims speaks. The motorcycle, marine and RV industries have come to rely on the appraisal guides as “the” source for establishing the value of used vehicles… and for the past 40 years Lenny has been the man everyone has been listening to! Sims has devoted his entire career to building the NADA brand – from developing in-depth valuation methodologies for it’s broad range of traditional vehicle appraisal guidebooks to spearheading the development, launch and continued successful expansion of it’s online consumer website. He joined the organization as an Editor back in 1976

and has worked his way through the ranks gaining valuable experience in all facets of the editorial process for virtually every vehicle on the market.

He was promoted to VP of Operations at NADAguides.com 1996 and under his leadership, National Appraisal Guides, Inc. has become the largest publisher of vehicle pricing, information and tools for new and used cars, classic cars, motorcycles/powersports, boats and recreation vehicles (RVs). From cars to trucks to vans, RVs, boats and motorcycles, he developed and managed the editorial process for each of the industries NADAguides. com covers. In 1984, he was appointed to the position of Editorial Specialist and several years later, he was promoted to the position of Managing Editor. With this promotion came the responsibility of spearheading all editorial processes at it, with a special focus on motorcycles.

“There is an explanation for why millions of vehicle shoppers, dealers, financial institutions, credit unions, government agencies, insurance companies, remarketers, auctions, manufacturers and rental agencies depend on National Appraisal Guides,” notes the NADA Guides site. That reason is Sims and the scrupulous processes he has implemented. “Our customers know us as the authoritative, complete source for all the information needed to make buying, selling and business decisions about vehicle transactions.” According to Bloomberg, “Sims combined his intrinsic knowledge of vehicle valuations, his successful business management experience and his extensive knowledge of multiple vehicle markets to help steer the traditional brand, NADA Appraisal Guides, to the forefront of the valuation industry.” Sounds about right to us!

About NADAguides.com NADAguides.com, the largest publisher of the most market-reflective vehicle pricing and information available for new and used cars, classic cars, motorcycles, boats, RVs and manufactured homes, offers in-depth shopping and research tools including a broad range of data, products and service and informational articles as well as tips and advice. NADAguides.com also produces electronic products, mobile applications, raw data, web services, web-syndicated products and print guidebooks. NADAguides. com is operated by National Appraisal Guides, Inc., a division of J.D. Power.

AIMExpo 2018

• Of The Dealer • By The Dealer • For The Dealer

2018 Industry Week Special Section

AIMExpo Presented By Nationwide Introduces Dealer Summit 2018

By Andre Albert

he key role of retailers is being emphasized at the American International Motorcycle Expo presented by Nationwide (AIMExpo), anchored by Dealer Summit 2018, a new initiative focused on supporting the powersports retailer. With its move to Las Vegas’ Mandalay Bay Convention Center, this year’s event provides an ideal opportunity for dealers to unite with their industry peers at a crucial time in the marketplace. Dealer Summit 2018 takes place during the trade-only days on October 11-12. The Summit will put an emphasis on the vital role retailers play in the long-term growth of the industry, where they serve as the face of powersports to the general consumer. “The foundation of AIMExpo is to bring the powersports world together in a collective effort to stimulate growth,” said Mike Webster, Senior Vice President, MIC Events. “As part of the Motorcycle Industry Council (MIC) the industry’s expo is committed to increasing show content relevant to dealers, with special attention towards topics helping retailers navigate the continued evolution in consumer trends.”

Dealers have the oportunity to interact with one another.

Webster adds, “Dealers play arguably the most integral part of the future success of powersports since they are the front line of engagement with the consumer. Dealer Summit 2018 is focused on creating unity amongst dealers through knowledge and working towards the common goal of sustained industry growth.” Highlights of Dealer Summit include an update by the MIC about industry-wide efforts being made to help retailers and the industry by increasing ridership, while a keynote address will bring invaluable first-hand information from an important figure in Washington. United States Secretary of the Interior Ryan Zinke has been invited to offer the opening keynote where he will address the current administration’s agenda of increasing Outdoor Recreation — including motorized recreation — critical for the long-term growth of powersports as an outdoor activity. Dealers will also receive their own very special keynote at the “Dealers Only” luncheon sponsored by KTM, a complementary program on Friday, October 12, featuring Nick Gray, the founder of Museum Hack. A motorcycle enthusiast and member of the Millennial generation, Gray addressed the industry at last year’s MIC Communications Symposium and captured the room with his direct, insightful observations of our business. Gray shares how he reimagined the generally staid museum tour into an engaging experience – and will offer ideas to view your dealership in a different light by considering it as an experience for customers. An exclusive free follow-up webinar with Nick will be provided after AIMExpo.

NPA’s Jim Woodruff addresses dealers.

More ideas and knowledge can be gained at the Powersports DEALER Seminars presented by PowerSports Business which provide crucial education and best practices. Targeted at improving daily business operations, influential speakers from both within and outside the industry will present across three topic areas that include Sales and Marketing, Powering Profits, and Leadership Plus. Seminars are FREE for dealers and take place on the show’s trade days. Dealers will also benefit from the chance to see the introduction of the latest models, products, and services from nearly 500 exhibitors on the show floor. With the addition of the first-ever Powersports Industry Week, which includes Las Vegas BikeFest, the Monster Energy Cup, and the Las Vegas Ride for Kids charity ride, there is more to see and do at and around AIMExpo presented by Nationwide than ever before. Dealer Summit 2018 is about industry working together to improve all businesses, and the very important role retailers play in sustaining industry growth. There are more reasons than ever to join your industry peers at this year’s show in Las Vegas, so register today for your free trade credential HERE and be a part of defining the future path of powersports growth, October 11-14.

AIMExpo Welcome Letter

WHERE THE INDUSTRY COMES TOGETHER. Register now at aimexpousa.com

The grand stage for motorcycling and powersports in North America. If you are part of the industry, you need to be here. • Grow Your Business & Networking • Exclusive Show Specials • See New Products • Dealer Workshops

October 11—14

aimexpousa.com

Las Vegas - Mandalay Bay

AIMExpo NEWS

HONDA READY TO PAINT THE TOWN RED Exclusive Engagement For Honda Dealers In Las Vegas American Honda is stepping up its dealer engagement efforts in conjunction with the AIMExpo. As part of the “Powersports Industry Week” Big Red will be hosting dealer experience events on October 9-10. Once AIMExpo gets underway on October 11, Honda will also be hosting its dealers in a special lounge near their display on the show floor. This exclusive area will provide a place for dealers to relax and connect with the American Honda management team about the latest products and programs to benefit their business. “Our commitment to AIMExpo will enter its fourth year this October, and we’re eager to commemorate the show’s move to the west coast in an exciting town like Las Vegas by really enhancing our dealer engagement,” said Keith Dowdle, Manager of Experiential Marketing at American Honda. “It’s important for us to take advantage of the all-inclusive platform provided by AIMExpo, and with a setting like this at Powersports Industry Week it’s an ideal opportunity to interact with our expansive dealer network with some special events, in addition to showcasing our newest models with the media and consumers.”

NO NIKEN DEMOS Nike says “just do it” but for Yamaha’s radical Niken threewheeled motorcycle dealers (and certain magazine hacks) will have to wait. Rather than allocate extra units for the demo area, the Tuning From Folks decided to deliver units to their dealers instead. “We’ve just heard from Yamaha that due to the large number of reservations placed to buy the Niken, there are not enough bikes for a demo fleet for AIMExpo Outdoors!” says AIMExpo VP Larry Little. “There will still be display bikes indoors. While unfortunate for show attendees, Yamaha is to be commended for placing their customer reservations at the head of the line.” “AIMExpo has proven to be a solid platform for Yamaha to reach multiple important audiences,” said Mike Doughty, General Manager of Yamaha’s Motorcycle Group in the U.S. “We are excited to return to the show again this year, particularly for its move to Las Vegas, and continue to demonstrate our commitment to providing exciting motorcycles with exceptional quality and value for riders of all ages and all stages of their motorcycling life.” See the new Niken at Booth #323 or take a demo ride at AIMExpo Outdoors!

On the show floor Honda will highlight its CRF off-road motorcycles, including the new CRF450L dual-sport and the CRF1000L2 Africa Twin Adventure Sports. They will also treat the street bike fans to the CB1000R neo-sport cafe racer and all-new Gold Wing. “American Honda’s continued investment in AIMExpo presented by Nationwide is a testament to the value of the show’s platform for the industry, providing the best and only opportunity to bring dealers, media, and consumers all under one roof at one time,” added Mike Webster, Senior VP, MIC Events. “Powersports retailers are at the forefront of the show and our recently announced Dealer Summit activities during trade-only days recognizes the critical role they serve in the continued health of the powersports marketplace. “Honda recognizes that and is making a vested effort in providing a valuable and potentially profitable experience for its dealers, and we look forward to welcoming them to Las Vegas,” concludes Webster. Honda will be housed in Booth #1649 at AIMExpo.

BIG FOOT SIGHTING IN VEGAS! It’s true, dealers will be able to spot Bigfoot, along with the Aurora and other ARGO XTV machines at AIMExpo. A full crew of ARGO personnel will be on hand to show the powerful prospects for profitability available in the

amphibious vehicle category. “ARGO amphibious XTVs have pushed the boundaries of experience and adventure for more than 50 years,” said Brad Darling, ARGO President and CEO. “Our 2019 lineup of 29 unique recreational and commercial vehicles go even further to conquer the most challenging terrain in the world, including that of strong unit retail profitability for dealers. “AIMExpo is the perfect platform to showcase our incredible machines and the outstanding opportunities they offer dealers and enthusiasts. As we continue to expand our retail footprint, we’re looking for dealers who share our passion for unique and profitable powersports products, and who want to partner in our success.” Founded in 1967 when it built its first production amphibious vehicle, ARGO is the world leader in amphibious vehicle innovation and sales. The company’s innovative machines have conquered the most extreme terrain on earth as well as provide the ultimate mobility platforms for extra planetary exploration for NASA and the Canadian Space Agency. Dealers who are interested in ARGO are encouraged to visit Booth #601 or click on the “Become A Dealer” link at www.argoxtv.com.

FREE SHIRT WHEN YOU

Booth #2200

JOIN OR RENEW

HOLD THAT TIGER! Mahindra Automotive North America (MANA)has teamed up with the Detroit Tigers. In late August the “ROXOR Launcher” custom T-shirt cannon began blasting swag into the stands at Comerica Park “We’re very excited about this partnership,” said Rick Haas, MANA President and CEO. “The majority of our 400+ employees are native Detroiters and grew up going to Tiger games.” ”We believe fans at Comerica Park are going to enjoy the new super launcher,” added Steve Harms, Detroit Tigers VP of Corporate Partnerships. “What’s really cool about the custom-designed and made-in-Michigan vehicle is the launcher has the power to send souvenirs into the stands.” Stop by Booth #103 to see the UTV that has enticed 300 dealers to add to their product mix.

PLUS refer friend and receive a bonus entry into the AMA Member Sweepstakes and WIN THIS BIKE!

Members who join or renew their AMA membership from Jan. 1, 2018, through Dec. 31, 2018, are automatically entered to win a 2018 Yamaha XSR700. No purchase necessary. For complete rules, terms and conditions visit http://americanmotorcyclist.com/Member-Sweepstakes-Rules

LATE BRAKING NEWS: NTSB CALLS FOR MANDATORY ABS Rights. Riding. Racing. Since 1924, the American Motorcyclist Association has protected the future of motorcycling and promoted the motorcycle lifestyle. The latest example of AMA looking out for us is an update on the National Transportation Safety Board call for mandatory ABS. NTSB issued a report Sept. 11 that calls for all new on-road motorcycles sold in the United States to be equipped with antilock braking systems and recommends the federal government publish performance standards for electronic stability control on motorcycles sold here. The report also recommended that motorcycles be fully incorporated in the development and implementation of technology for on-board crash prevention systems and vehicle-to-vehicle and vehicle-to-infrastructure technology. The recommendations were among 10 included in the report titled “Select Risk Factors Associated with Causes of Motorcycle Crashes” that the board adopted unanimously. The report was the result of the NTSB examination of the Federal Highway Administration’s “2016 Motorcycle Crash Causation Study,” which the American Motorcyclist Association and six state motorcycle safety programs helped fund. Stop by Booth #2200 and get the latest updates on what the AMA is doing to protect our industry and make sure to renew your membership or refer a friend!

LET THE GOOD TIMES ROLL! Green Flag For Kawasaki 2019 Products AIMExpo will see several global and North American debuts of Kawasaki’s 2019 models at the Mandalay Bay Convention Center in Las Vegas, October 11-14. “AIMExpo provides an ideal platform to introduce new products to dealers, media and consumers all in one place,” notes Bill Jenkins, Senior VP, Sales & Operations at Kawasaki. “AIMExpo gives us the platform to immerse our dealers and customers in the Kawasaki brand,” adds Kawasaki VP of Marketing Chris Brull. “We saw an added opportunity with the move to Las Vegas as a chance to engage, excite, and educate a large contingent of west coast riders in all of Kawasaki’s new models, as well as give them the opportunity to experience and ride a number of those models at the outdoor demo space.” Dealers attending AIMExpo will be treated to a worldwide new model debut on Thursday at 10:00 a.m. in Booth #1129

VISIT TUCKER.COM TO LEARN MORE

Preserve Protect, Promote You take care of business. We take care of the business environment. Strong, effective representation in Washington, D.C. and state capitals • Vigorous media outreach • Industry statistics source Sales data • Educational symposiums and networking opportunities Join MIC’s 650 member companies and strengthen the industry. Visit the MIC Business Center on the AIMExpo show floor at Booth #141 to learn how your company will benefit from membership, including how to get $200 or more off your 2019 AIMExpo Booth.

mic.org

OFF-ROAD LINE-UP DIRT BIKE 5 MODEL SIZES • 15 TYPES

70cc

Base Models 110cc

125cc

TR series

TX series

Base (110cc - 170cc) | Big Wheel (125cc/140cc)

170cc

COMPETITION BIKE & UTV 5 MODEL BIKES & 170CC YOUTH UTV

Mid Size

SR150

SR189

SR250S

Full Size SR300

SR450S

ON-ROAD LINE-UP

JOIN OUR SSR / BENELLI NETWORK        

Product lineup focused on value driven vehicles targeting new riders One of the fastest growing dealer networks The full lineup takes under $50k in flooring Dealer Flooring Program, Dealer Retail Financing Larger than normal dealer margin up to 55% Full lineup of products: On-road, Off-road, UTV, ATV, Electric Vehicle Dealer support programs, Co-op Advertising, MAP Price Policy, Warranty / Paid Labor, etc. Parts & technical support

MORE NEW MODELS ANNOUNCED AT AIMEXPO! VISIT WWW.SSRMOTORSPORTS.COM FOR DETAILS AND SUBMIT YOUR APPLICATION TODAY! /SSRMotorsports

/SSR_Motorsports

/ssrmotorsports

Youth UTV SRU170RS

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

2018 AIMExpo ITALIAN PAVILION Mandalay Bay Convention Center Las Vegas, NV October 11- 14, 2018

BOOTH# 1823

Message From The Italian Trade Commissioner October 11th, 2018 Dear AIMExpo Attendees, With more than 450 top brands exhibiting here at the show, I am proud to see so many represented companies from Italy. AIMExpo is the ultimate blend of industry leaders and innovative products in the motorcycle industry and Italy is home to the best-known motorcycle brands, aftermarket accessories and riding gear in the world, so this is the perfect match! display the best of “Made in Italy” under the tricolor banner. Billed as the nation’s largest business-to-business tradeshow for the motorcycle industry, AIMExpo is an ideal place to gain exposure to the latest motorcycle and accessories. Whether it is Italian companies looking for U.S. dealers and distributors or U.S. companies looking to do business in Italy, the Italian Pavilion has it covered. Further helping to present the Italian companies at the 2018 AIMExpo, we have listed in this catalogue, company names, contact info and logos of each participating company in the Italian Pavilion. here at the Mandalay Bay Convention Center. I hope you have a productive experience at the 2018 AIMExpo, and I look forward to meeting you at the Italian Pavilion. Warmest regards,

Florindo C.D. Blandolino 2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

ITA - ITALIAN TRADE AGENCY 1900 Avenue of the Stars, Suite 350 Los Angeles, CA 90067 Tel: (323) 879-0950 Ext 116 / Fax: (310) 203-8335 Email: losangeles@ice.it Web: www.ice.it/en Contact: Nighisti Egziabher Trade promotion section of the Consulate General of Italy

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

BOOTH# 1823

ANCMA

EICMA SPA

Via Antonio da Recanate, n.1 20124 Milano (MI) - ITALY Tel: +39 02 67735.1 Fax: +39 02 66982072 Email: ancma@ancma.it Web: www.ancma.it

Via Antonio da Recanate, n.1 20124 Milano (MI) - ITALY Tel: +39 02 67735.1 / Fax: +39 02 66982072 Email: eicma@eicma.it Web: www.eicma.it

Contact: Pier Francesco Caliari

ANCMA is owner and manager of the EICMA show in Milan Italy.

BOOTH# 1821

Contact: Caterina Tartufari Organizers of the EICMA International Bicycle and Motorcycle Exhibition in Milan: it is the only platform in the world capable of illustrating all the different aspects world event that attracts most visitors, trade and press so much so as to guarantee a higher visibility than any other event of this sector.

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

2018 AIMEXPO ITALIAN 1721

1820

1823

1922

1921

1916

1917

2020

1821

1817

1915

1815

ARIETE – SANDRO MENTASTI SRL

Via Giovanni Macchi, 30 21100 Varese (VA) ITALY Tel: +39 0332 310100 Fax: +39 0332 312632 Email: a.mentasti@ariete.com Web: www.ariete.com Contact: Annalisa Mentasti

US Distributor Action Athlete Supply Tel: 1(619) 401-4100 Web: www.actionathletesupply.com PRODUCT DESCRIPTION: Off-road goggles, vintage road goggles, ARI fork oil seals, off-road grips, road grips, aluminium valves for tubeless rims.

2014

ARROW SPECIAL PARTS SPA

Via Citernese, 128/130 06016 San Giustino (PG) ITALY Tel: +39 075 861811 Fax: +39 075 8618137 Email: info@arrow.it Web: www.arrow.it Contact: Adele Di Corato (Sales Department) Email: adele.dicorato@arrow.it PRODUCT DESCRIPTION:

Arrow Special Parts S.p.A. offer a complete portfolio of aftermarket exhaust systems from the slip-on to replace the original parts to the top or off-road bikes.

BOOTH# 2020

BOOTH# 1917

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

PAVILION EXHIBITORS ANCMA

1821

ARIETE SANDRO MENTASTI SRL

1917

ARROW SPECIAL PARTS SPA

2020

CULIMETA SAVEGUARD SRL

1915

EICMA SPA

1821

FREN TUBO SRL

1921

ITALIAN TRADE AGENCY

1823

KITE SRL

1817

MALOSSI SPA

2014

PREMIER HELMETS

1820

SWM

1721

UNIBAT

1916

WIND TRADING SRL

1815

CULIMETA SAVEGUARD SRL S.S. 87 KM 20, 535 81025 Marcianise (CE) ITALY Tel: + 39 0823421168 Fax: + 39 0823377277 Web: www.culimetasaveguard.eu Contact: Antonio Alberico Email: alberico@culimetasaveguard.com PRODUCT DESCRIPTION: in the automotive silencers application. Chosen by the best!!!

BOOTH# 1915

FREN TUBO S.R.L.

Via Della Bastia, 29 40033 Casalecchio Di Reno (Bologna) ITALY Tel: +39 051 6192123 Email: info@frentubo.com Web: www.frentubo.com Contact: Tintori Patrizia PRODUCT DESCRIPTION: Flexible hoses braided with carbon, kevlar and stainless steel approved to D.O.T. Standard for braking system, oil coolers, shock absorbers and accessories.

BOOTH# 1921

2018 AIMEXPO ITALIAN PAVILION â&#x20AC;¢ BOOTH# 1823 www.ice.it/en

KITE SRL

Via alle Villette, 48 23826 Mandello del Lario (LC) ITALY Tel: +39 0341 701323 Fax: +39 0341 702850 Email: info@kite-parts.com Web: www.kite-parts.com Distributor for the US market Dubya Mc 2175 Batavia Street Orange Ca 92865 Tel: (714) 279 0200 Email: sales@dubyausa.com Web: www.dubyausa.com

JMC PROMOTION 500 Cooper Ave Johnstown, Pa 15906 Tel: +1 814/539-4114 Email: jeffcernic@gmail.com Contact: Jeff Cernic

PRODUCT DESCRIPTION: Since 2007 Kite srl produces special parts for the aftermarket, machined from billet aluminum to improve performance and aesthetics of the motorcycles (Motocross, Enduro and Motard). The products Made in Italy (hubs and wheels, brake discs, triple clamps, foot pegs, silicon hoses, covers, caps, axle blocks, brake rods, handlebars) are chosen by the greatest world champions.

MALOSSI SPA

Via Roma, 118/I 40012 Calderara di Reno (BO) ITALY Tel: +39 051 6460011 Fax: +39 051 6460033 Email: mkt@malossi.com Website: www.malossi.com Contact: Alessandra Malossi PRODUCT DESCRIPTION: Malossi’s leadership in the production of special racing parts for scooters and motorcycles arises from three factors: experience over 80 years of unceasing activity, a passion for motorcycles over three generations of Malossi family, and one absolute must over all others: quality and technology before everything!

BOOTH# 2014

BOOTH# 1817

WIND TRADING SRL

UNIBAT

Via L.Larocca, 5 70132 Bari - ITALY Tel: +39 0805052901 Email: info@samauto.it Web: www.samauto.it Contact: Alessandro Raffaele Annoscia Email: aleannoscia@samauto.it Cell: +39 348 6006598 PRODUCT DESCRIPTION: Unibat is a worldwide leader in the distribution of motorcycle batteries. It offers the widest range of batteries on the market, including Maintenance Free, Conventional, Factory Activated and CX (reinforced) series. Unibat also produces electrical charging devices and accessories.

Via Dismano, 114/G 48124 Ravenna - ITALY Tel: +39 0544 64024 Email: windtrading@windtrading.it Web: www.windtrading.it Contact: John Boni PRODUCT DESCRIPTION: Ravenna Motorcycle Fashion represents the latest Italian brand specializing in leather and fabric apparel for touring, urban and sport riders.

BOOTH# 1815

BOOTH# 1916

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

SWM MOTORCYCLES SRL

PREMIER HELMETS

Via Nino Bixio, 8 21014 Biandronno (VA) Italy Tel: +39 0332 769111 Fax: +39 0332 769958 Email: info@swm-motorcycles.it Web: www.swm-motorcycles.it Contact: Ennio Marchesin (Marketing-Communication-PR-Racing Manager)

Z.I. LOC. Zinepri 55027 Gallicano, Lucca - Italy Tel: +39 (0) 583 730310 / Cell:+39 3346648633 Email: exportdivision@premier.it Web: www.premier.it Contact: Orsucci Simona PRODUCT DESCRIPTION: Premier Helmets is passionate about helmets since 1956. We produce icons of yesterday, today and tomorrow!

BOOTH# 1820

US DISTRIBUTOR SWM Motorcycles A Division of MOTOMAN DISTRIBUTING INC. 10771 Mission Street Oak Hills, CA 92344 Tel: +1 (760) 949-0941 Fax: +1 (760) 280-8600 Email: info@motomandist.com Contact: Peter Vetrano PRODUCT DESCRIPTION: Motorcycles Manufacturer

BOOTH# 1721

Italian Trade Agency USA Locations / www.ice.it/en 1. Italian Trade Agency Los Angeles 1900 Avenue of the Stars - Suite 350 Los Angeles, CA 90067 Tel: (323) 879-0950 / Fax: (310) 203-8335 Email: losangeles@ice.it 2. Italian Trade Agency New York 33 East 67th Street New York, NY 10065-5949 Tel: (212) 980-1500 / Fax: (212) 758-1050 Email: newyork@ice.it 3. Italian Trade Agency Chicago 401 N. Michigan Avenue - Suite 1720 Chicago, IL 60611 (312) 670-4360 / Fax: (312) 670-5147 Email: chicago@ice.it 4. Italian Trade Agency Houston 1300 Post Oak Blvd. - Suite 775 Houston, TX 77056 (281) 888-4288 / Fax: (281) 974-3100 Email: houston@ice.it 5. Italian Trade Agency Miami 1 SE 3rd Avenue Suite# 1000 Miami, FL 33131ww (305) 461-3896 / Fax: (786) 497-8900 Email: miami@ice.it

2 3

ANCMA / EICMA Via Antonio da Recanate, 1 20134 Milano, (MI) Italy Tel: 39 02 6773511 • Fax: 39 02 66982072 www.ancma.it • www.eicma.it

2018 AIMEXPO ITALIAN PAVILION • BOOTH# 1823 www.ice.it/en

ALL THINGS GREAT AND SMALL Benelli TNT Blows Up! By Robin Hartfiel

enelli’s TNT135 “is the next BIG small thing,” joked SSR Motorsports/Benelli USA Marketing & Product Manager Michael Lee at the March unveiling. He wasn’t kidding! The little stick of dynamite exploded onto the U.S. scene, winning smiles from the most jaded journalist and enticing an entirely different customer demographic into dealers’ showrooms. Proving good things come in small, fun, easy to ride packages, the TNT 135 will be a headline act for Benelli in Las Vegas. Although it was actually the fifth Benelli to be brought in by SSR, the TNT 135 is the first to really blow up in the enthusiast media and on the sales floor. But that was just the beginning. In less than six months, the TNT 300 and 600 (joined by the SSR house brand Buccaneer twin) have hit the market.

Despite the radically different powerplants (inline 4 for the TNT 600, 360-degree parallel twin for the TNT 300 and the little single that could in the TNT 135) the bikes have more in common with each other than you would think, starting with the design philosophy. “Each model is designed around ‘human-sized’ ergonomics, they outperform anything in their niche and are priced less than anything comparable.” They also share tuned trellis frame chassis architecture, class leading brakes and clear advantages in virtually every category when it comes to spec sheets. Nobody rides a spec sheet, though! Dealernews was lucky enough to attend the launches of all three bikes, and we spent quite a bit of time with the TNT 135 after the press intro. We can attest to the bang for the buck from the little firecracker! From the first day running up and down Ortega Highway down to the beach to the day it was finally pried out of grubby mitts, the TNT was a staff favorite and lead to complete strangers coming up to talk about it every time the side stand was down.

When Lee says “It offers amazing value for the money, innovative thinking, class leading design and industry leading features,” he means it. “The TNT135 combines all the styling, features and technology you would expect from an Italian exotic, distilled down to just 266 lbs and $2,499 of pure fun.” Entry level Millennials, parts chaser/pit bike or light duty commuter, the TNT 135 is a blast in every application. Based on initial impressions, its big brothers both share the category killing stats. Better brakes, better handling, more affordable, easier to finance, cheaper to insure… whatever the matrix for success is in your dealership, all three TNTs are probably at the top! And then there is the subjective matter of the Italian styling. Benelli shot to prominence in 1911 quite literally… the Pesaro, Italy firm made shotguns as well as motorcycles. The two Benelli branches went their separate ways in later years and the motorcycle arm is now partnered with QJ in China. Never heard of a QJ? The firm produces more than 1.2 million vehicles per year, including

Benelli TNT 135

Benelli TNT 300

Benelli. But don’t mistake the volume of a Chinese-made motorcycle for a lack of quality,” says Lee. “I have been to the factory and can attest to the level of fit and finish being as good as any thing in its price range,” the former Piaggio Group exec explains. “The company is still headquartered and designed in Italy, just like it has been since the turn of the century.” Bottom line? MSRP for the TNT 135 US $2,499, $55 less than Kawasaki’s Z125 Pro and substantially less than the Honda Grom’s $3,299 price tag. At $3,966 he TNT 300 is only $425 more than Grom with ABS! The TNT 600 is priced at $5,999 hundreds, if not thousands of dollars less than even some 500cc class bikes.

Benelli TNT 600

All things great… and small!

AIMExpo 2018

PIT BIKE PIONEER SSR MOTORSPORTS IS KIND OF A BIG DEAL

Busting Out With Benelli By Robin Hartfiel

ack in the day, Pit Bikes were the next big thing. Racing series, consumer magazines, VHS tapes (remember those?) and making the registers ring at the dealerships made up for lack of margins by huge volumes. There were dozens of OEMs specializing in the niche, starting in 1999 when Honda introduced the XR50, and followed up by Kawasaki’s KLX110 in 2002. Although the vast majority of pit bikes imported during the heyday were never reported, more than 1 million units are estimated to have retailed from 2000-2010.

Another key element of William’s vision was hiving the U.S.-based headquarters and design center. A well stocked warehouse, spare parts, manuals in English and an inhouse call center for tech support definitely differentiate SSR Motorsports “Our stellar reputation has been built on a finely honed foundation of well-engineered products, affordable prices, exceptional customer service and comprehensive dealer support,” he says.

Then the bottom dropped out The magazines ceased publication, people stopped buying videos and the Mini Moto SX in Las Vegas ran its last race… one by one, the pit bike distributors seemed to disappear… with one notable exception. SSR Motorsports. A leader in the niche since 2002, the company had to change its business model, or go the way of the competition. “In the beginning of the Pit Bike craze, my brother and I saw an opportunity to differentiate SSR by insisting on a higher level of performance, fit and finish than most of the machines on the market had,” says co-founder and President William Li. “In order to ensure the level of quality control that met our standards, and to protect our intellectual property, we opened our own factory.” However as the market changed, so did SSR’s direction. “We found it more affordable to partner with another factory and to expand our products beyond pit bikes,” explains Mr. Li. This ultimately lead to closure of the factory and William assuming complete control of the company in 2008. Hindsight is 20/20, but he proved to be a real visionary as he expanded into the scooter market in 2006, added UTVs and full size motorcycles… and bringing on Benelli.

SSR’s Michael Lee talks values with NADA’s Lenny Sims.

This level of professionalism impressed the Benelli ownership group. In 2015 they named SSR Motorsports the official U.S. importer/distributor for Benelli. Another strategic advantage was the addition of VP of Operations/ General Manager Mel Harris. After nearly three decades as the VP of Motorcycle for American Suzuki, Harris had the street cred SSR needed to get into the street bike business. “Mel has been invaluable as we transitioned from pit bikes to the street motorcycle market,” explains Mr. Li. “His insight to the sportbike market and the U.S. dealers is second to none!”

Sign of the times! SSR is making it’s mark.

The addition of ex-Piaggio pro Michael Lee has also proven to be a real asset. An outstanding chef, Lee has cooked up some product surprises to add to the SSR/Benelli menu. The TNT 135 is a nice appetizer, but he has a full menu of future products in store to whet the dealers appetites… we would say more, but don’t relish the thought of a chef’s knife to the head. What we can say is check out SSR Motorsports/ Benelli USA for some cutting edge products coming soon!

SSR has a warehouse full of spares, an in-house tech center and manuals in english.

BENELLI BACK IN THE SSR BOOTH AT AIMEXPO

For the past six years Benelli importer SSR Motorsports has utilized the AIMExpo as the platform to springboard its eclectic, yet specifically targeted new models. Led by the Benelli TNT 135 “Grom Killer” and the SSR Buccaneers, they will reveal some more BIG news for dealers as well as embracing consumers with extended demo rides in Las Vegas. “AIMExpo’s first west coast show is a unique opportunity to give dealers who have not traveled to prior east coast or midwest shows a chance to meet our staff, as well as see and

demo our bikes,” said SSR/Benelli VP of Operations Mel Harris (yes Suzuki dealers, THAT Mel Harris). “The industry is changing, the top selling units of the next few years will be the smaller, lighter, valuedriven motorcycles that attract new riders. The core competency of SSR and Benelli is making vehicles like these. We’re really excited to share with dealers the vehicles they need to attract new buyers.” Taking center stage at the Mandalay Bay Events Center the Benelli TNT family, including the TNT 600, TNT 300, and TNT 135; winner of motorcycle. com’s “Top Five Under $5K” honors — hey if it is good enough for the MOrons is should be good enough for your customers, right? In addition to the Benellis, SSR Motorsports will be showing off the 2019 lineup of pitbikes, dirtbikes and side-by-sides. “The show’s format enables us to unveil products to both trade and consumer attendees… all in one place,

at one time,” added Harris. In addition to having one of the larger display areas at AIMExpo, SSR is busting out a fleet of demo bikes. Dealers and customers can take a spin on both stock and modified TNT 135s, stock and modified TNT 300s, TNT 600s, Caffeneros and Zafferanos scooters, the Buccaneer twins, and the Razkull 125 at AIMEXPO outdoors! From the first show in 2013 onwards, the goal of SSR Motorsports for AIMExpo has not changed, concludes Harris. “We are at AIMExpo to showcase the best value-driven new products, with the goal of building the bikes chosen by the next generation of riders.” SSR Motorsports/Benelli USA will be in #Booth 2414 or get a sneak peek online at: www.ssrmotorsports.com

AIMExpo 2018

AN EYE ON BRP: PAST, PRESENT AND FUTURE

nder the watchful eye of company founder Armand Bombardier, immortalized as a bronze bust in the Musée de L’Ingéniosité, a group of journalists gathered to witness the inauguration of the latest Can-Am Spyder and Ski-Doo snowmobile assembly lines later in the day. This was only the beginning of a wild ride which saw Can-Am close on big stock offering, bring dealers and vendors from around the globe to Club, bust out new off-road products, show off SeaDoo’s FISH PRO and roll out the game changing Ryker…

AIMExpo 2018

A Morning At The Museum By Robin Hartfiel

At 19, Armand Bombardier borrows money from his father to open his own garage in Valcourt in 1926. His mechanical success allows him to pay his father back by 1929.

ntil you have been to BRP in Valcourt, Quebec, it’s sometimes difficult to take in the enormity of J. Armand Bombardier’s vision. From the early snow machines, to the original SeaDoo sitting in the atrium of the museum, BRP Inc. now has a global workforce of nearly 10,500 people with annual sales north of $4.5 billion Canadian ($3.2 billion U.S.) in more than 100 countries.

Old and new Bombardier’s first office is now part of the modern museum.

An impressive post-modern glass edifice juxtaposed with the original Bombardier Garage, the inventor’s first workspace, the museum opened in 1971 with the premier of Quebec and Yvonne L. Bombardier, widow of the famous inventor and President of the J. Armand Bombardier Foundation in attendance. Then as now, the museum’s mission is to showcase the legacy of Joseph-Armand Bombardier and his successors to show visitors that everyone has the ability to solve problems, to be ingenious, and to be innovative in their personal and professional pursuits. Certainly the nearby BRP manufacturing complex upholds these values. Problem solving and out of the box solutions are exemplified in the newest assembly line. In addition to the standard tour, our group of media folks was given access to the sealed wing housing all the vehicles. Everything from the first snow machines (including the Ski-Dog snowmobile that was introduced into the U.S., but didn’t sell until it was revamped as the Ski-Doo) to the latest clay models are on display. Even though BRP recreational products split from Bombardier’s Aerospace and

The sealed vault full of landmark BRP vehicles was opened to Canadian journalists.

Transportation companies, the museum houses just about everything the Bombardier family has an interest in. The collections include more the 3,000 artifacts dating from the 1920s to the present and they are constantly changing. Many tools and personal possessions of Joseph-Armand Bombardier, as well as a vast array of recreational and industrial vehicles, technical models, mechanical components, clothing and accessories. This historical garage where it all started in 1926 is an integral part of the museum and helps explain Armand Bombardierâ&#x20AC;&#x2122;s motivation. According to legend, he toils away for 10 years trying to come up with a way to get around rural Quebec in the winter, often late at night and even on Sundays. It eats into his savings and draws mockery. The first snowmachines BRP built all the way to the newest Ski-Doo ring, an exhibit Then Bombardierâ&#x20AC;&#x2122;s son Yvon dies of peritonitis at the age of two in the winter of 1934, because the family is unable to get him to the hospital for treatment. Driven by the pain of his loss, Bombardier redoubles his increases his efforts. The next year he uses a cogged gear wheel, the sprocket made of wood covered with rubber, to pull the track. The latter is comprised of two rubber bands connected by steel cross-links. This revolutionary sprocket wheel/track system is at long last the solution for snow travel.

room at the museum.

It also remains the BRP logo to this very day!

AIMExpo 2018

After renovating its product development center a couple years ago, BRP pledged to invest $118 million into its Valcourt manufacturing activities. “Three years later, we have committed 80% of the total budget to modernizing our manufacturing facility,” added Bisjoli. “This is key to strengthening Valcourt’s strategic role as the center of expertise for design, research, development and manufacturing for all BRP activities worldwide.” Money well spent! Rather than a standard assembly line, the plant features self-propelled carts that connect like a miniature railroad as the engine for a sled or a Spyder drives itself to meet up with another car containing the tunnel/ chassis. Unlike a train however, these cars are not on rails. If there is an issue at any point in the assembly process, the cart can drive itself to a QC area without stopping the entire line. Instead of having to run two factories, BRP can now produce snowmobiles and 3-wheel vehicles on the same production line and produce them quicker, and personalize them… we saw several totally different variations of an 800cc sled running down the line simultaneously. This flexibility makes the line extremely efficient and change overs from Spyder to Ski-Doos can be done over a weekend if needed.

Ribbon Cutting The dedication of BRP’s ultramodern manufacturing facility in late August followed hot on the heels of launching BRP’s new North American Hub deep in the heart of Texas in the middle of July. “Sales, marketing and dealer network development, will be the three primary functions for our Plano facility,” said BRP Senior VP and general manager of global retail and services, Sandy Scullion. At nearly 17,000 sq./ft, the Texas hub will handle about 140 employees. However that was dwarfed by an expansion plan back home in Canada. “Valcourt has always been at the heart of BRP’s innovation,” said José Boisjoli, President and CEO. “Modernizing the plant was critical to ensuring its efficiency. It’s the combination of small-town support with world class know-how that puts us in such a unique position: updating our facilities with a major investment like this means we are not only providing state-of-the-art tools and technologies to our local workers, but we are being more efficient, more productive and more innovative than ever.” At least that is what we think he said… Dealernews was the only anglophone among the media on hand for the dedication and our French is admittedly rusty.

BRP Club

A full house at the BRP Club in Denver witnessed no less than five new Can-Am off-road offerings, in addition to the Sea-Doo FISH PRO prototype and the world premiere of the Ryker from Can-Am On Road (formerly Spyder). More than 2,400 people joined the Club, including staff and media, 794 dealers from North America and 930+ dealers total, representing 55 countries.

“We are still focused on leveraging innovation and accessibility to bring BRP’s fun and excitement to more riders than ever before,” said BRP President & CEO José, living up to the promise to deliver a new side-by-side every six months from 2015 through 2020. The new Maverick Sport MAX DPS 1000R is the seventh vehicle introduced since that time.

“The new Can-Am Maverick Sport MAX vehicle is designed for performance-driving enthusiasts who enjoy conquering off-road challenges alongside their friends and family,” said Bernard Guy, BRP Senior VP Global Product Strategy. “We continue to advance Can-Am ownership by equipping our Continued on page 62

BRP Club

Continued from page 60

vehicles with functional designs, superior ergonomics and specialty features to stand out against the competition.” Upgraded FOX 2.0 PODIUM QS3 suspension package, power steering, and 60-inch width are said to improve the overall riding experience for the Sport MAX. The rearmounted Rotax V-Twin provides the motivation and there are already 200+ accessories ready to go, with more on the way. MSRP is $18,999 U.S.

Club also saw three specialty side-by-sides roll out. The Maverick Sport X rc ($21,299 US) is a factory rock crawler, featuring a wider stance, greater ground clearance and added exterior protection. The inclusion of Smart-Lok* with ROCK mode, high-grade FOX shocks, arched A-arms and larger tires provide exceptional maneuverability when the going gets rough. Mud buggers were also happy to see the 2019 Maverick Sport X mr ($20,999 US) and Defender MAX X mr ($20,799 US). Purpose-built refinements, include snorkeled air and engine intakes.

Ryker Roll Out

Just like the Spyder changed people’s perception of not only Can-Am but then entire on road experience, BRP believes the Ryker will bring about major disruption to the status quo… and more customers the powersports industry hasn’t been able to reach in recent years. With more than 75,000 customization options from three basic SKUs, dealers have literally something for every Ryker customer with minimal inventory. Better yet, dealer-phobic customers can design and build their own Ryker via an App and then pay the dealer a core charge and install fee when their “personal” Ryker is ready… check out the Can-Am configurator at: can-am.brp.com/on-road/experience/ ryker/app-download.html

Better still, the Ryker has a twist-n-go CVT set up, and MSRP under $10K (well under to the 600cc Ace engined baseline model) and can even be leased! BRP has removed any barriers to entry they can. Despite being the easiest to ride three wheeler ever created, the Ryker is still plenty of fun. “Our research has shown that thousands more people around the world would be willing to consider riding on three wheels if it were more affordable,” said Josée Perreault, Senior Vice-President, Can-Am On-Road at BRP. “The Can-Am Ryker tackles that barrier head-on with no compromises – it’s highly sophisticated and has a long list of innovative features and technology... plus, it looks great and is a hell of a lot of fun to ride!” We were given a chance to ride the Ryker early in the morning before the dealer demo rides out at Red Rocks and even at elevation, the 900cc model offered a ‘spirited’ romp down past Bandimere Speedway drag strip and the Thunder Valley MX park. Unlike the Spyder, the Ryker lets you get away with a fair amount of wheelspin before ABS and traction control engages. In the gravel staging area it was even possible to roost the guy behind you… Sorry Brendan Baker. “Wait until you try the Rally edition,” said Jose Bisjoli. “It will really drift!” When pressed on how he knew this, BRP’s CEO broke out in a big smile and told us about some personal product evaluation antics… when was the last time a CEO for any company this large was out playing with the products?

That’s A Wrap Following the dealer meeting and Ryker demo rides in Denver, BRP announced closing on a secondary stock offering on September 18. A total of 8,700,000 subordinate voting shares were sold by shareholders including Beaudier Inc. and Bain Capital at $47 per share, for aggregate gross proceeds to the selling shareholders of $408,900,000 (U.S. dollars). Although that is tidy profit, BRP will not be receiving any of the windfall proceeds. The net proceeds of the offering will be paid directly to the selling shareholders. Still that demonstrates the fact Wall Street puts stock in BRP’s direction and investments into the assembly line and launch of the Ryker. Seems like the cog wheel company continues to gain traction at a time when many global competitors are finding it tough sledding. “We are extremely proud of the products from the 2019 lineup. In particular, we know that the Can-Am Ryker will increase the accessibility of 3-wheel vehicles and will open new market segments by allowing people to discover the thrill of riding the open road,” concludes Boisjoli. “The 2019 lineup reflects our unwavering dedication to enhancing our riders’ experience and adventures. It’s an honor to take them with us along for the ride, be it on the open road or on an outing with family and friends, making memories for a lifetime.” Past, present and future… Can-Am/BRP has it covered!

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Do NOT Engage The Crazy Rules of Engagement In Cyber Land By George Hanson

Forums: Power to the People or the Death Knell of Common Sense?

he Motorcycle space is littered with forums, some generic to the two wheel experience some drilled down to a specific model and year range. All intermixed with legitimate information and blatant nonsense. For most of us, forums represent a quick way to get a torque spec on a critical bolt or find a back road around a busy city, for some they appear to be the sole outlet for conversation from their mother’s basement. Ever want to see a forum ignite on itself? Ask which oil is best for your bike. This digital equivalent of gasoline on a fire seems to stir even the sleepiest of forum goers into wild keyboard frenzy. I would love to have the kind of spare time many of these folks seem to devote to debating the latest tires size or shock height, although I’d probably misuse it just riding my motorcycle. So, are forums really a wealth of knowledge or a source of insanity? Not surprisingly, they are bit of both and translating all the noise into viable information is very much the responsibility of the reader. Pro tip, don’t ask about oil, do ask specific questions “What tire should I use on my Harley?” is going to spawn a shitstorm of gibberish responses and a waste of time and pixels. “What tire would you recommend for my 2009 Street Glide, riding two up and big miles?” is more likely to get you legitimate answers and in many forums a discount code. Speaking of discount codes the last few years many of the larger forums have integrated manufacturers and resellers into the mix.

Not only could that fitment question on a handlebar get answered, but answered by the folks that made it and a few posts down a dealer (digital or otherwise), may chime in with a link to purchase and all of this within 15 minutes of posting your original question. Not a bad experience, assuming you are capable of overlooking and NOT interacting with the 12 folks that chimed in about off topic BS or their personal opinion on the proper angle ape hangers should reside in (for the record, I prefer vertical). Forums also represent an amazing opportunity for us makers of stuff to legitimately hear the mythical “Voice of the customer”. What used to require engaging consultants, extensive surveys and months of time is now reduced to “enter your company name/product, hit search”. More often than not, you are now looking at actual users, having actual opinions on things you actually make. Pro tip, chime in when you see that guy struggling for an instruction sheet or replacement component. You made his day, are the hero of the thread and your actions will live in perpetuity on the interwebs. So, future forum user, are you part of the solution, or part of the problem? As a twentysomething, a friend told me something that still applies, “Do not engage the crazy”, a particularly relevant approach to the world of online forums.

AIMExpo 2018

Northern Exposure By Marq C. Smith

Harley-Davidson: Mystique Or Missing The Mark?

t one time, I sold Harley-Davidson motorcycles for Trev Deeley Motorcycles in Vancouver, so I understand the allure Harley’s have for their many customers. I’ve ridden both the AMF units, and the ones manufactured after the buyout, and have to applaud everything Willy G. and his partners did since the early 80s when they got AMF out of the picture. Their bikes are big, fun, and in many ways, unique. HD created an incredible marketing plan of action that made it cool to be a Harley rider; it made you part of a family. Sure, some of the family members are a bit unruly, but they’re just as accepted as the Uncle who still tells off colour jokes. Their bikes have seldom been the height of technological advancements, but are accepted as a traditional product of a heritage manufacturer… Until recently, that is.

Looks like the Harley/Alta deal has gone south?

There is new competition in town. Yamaha, Honda, Kawasaki, Suzuki and many others, have over the years strived to create the buzz that Harley has been known for… with varying degrees of success. However it has been Polaris that has stepped up to the plate with Indian, and started to create their own successful marketing plans that seem to have HD on the run… if you read the mainstream press. Indian has created some great bikes, and have started to eat away at HD’s sales figures; a bit more every year. I, for one, don’t want HD to disappear — a dire prediction I’ve been reading in some other magazines over the past few years. Almost every other motorcycle manufacturer has tried to make their offerings varied; sport, naked, cruiser, touring, adventure touring, scooters, off-road, MX, etc. Meanwhile Harley-Davidson has arguably been making the same or similar bikes for many decades. The V-Rod was a welcome addition to the lineup, but I still feel The Motor Co. could have done much more with that engine. Like Buell, the V-Rod was never fully accepted into the fold. Mostly that was the fault of the dealers. I believe that HD tried very

Livewire!

hard to make both lines succeed, but were thwarted by the very people who were supposed to sell them. The good news for the Harley faithful, and its dealers, is a departure from the same old thing. HD has recently released news of a couple of bikes that are monumental departures for them, the Pan America ADV bike, and a new FXDR 114 streetfighter. While the Pan America looks like a nightmare from the ‘70s (I hope they change the look), the idea is totally from a new direction. The FXDR looks gorgeous, and the engines look thoroughly modern, with liquid cooling and even a totally new 60 degree design. Well Done!

Shockingly, Harley has been pursuing the EV niche. HD had an agreement with Alta to build electric-powered motorcycles, but have dropped that association to go it alone. They’ve opened a new facility for R&D on electric motorcycles, and say they’ll work on releasing a new electric bike in the next 12 months. The question is; Will large bore V-Twin cruiser pilots buy an electric-powered motorcycle that doesn’t go far before running out of juice — and takes many hours to recharge? Personally, I see don’t see the future of electric powered motorcycles in high priced ultra-exclusive machines. I see it more about inexpensive series of units that will attract people who are currently not riders, but appreciate the lack of exhaust emissions in any potential products. Zero has concentrated on high priced sport machines that are a novelty, and are expensive. I don’t know about you, but I haven’t seen one on the road yet. I think HD should build an inexpensive unit that can be used around town, and then charged quickly from any 110V socket. Once the concept is proven, then Harley can look at a bigger, badder, more expensive unit. So it looks like HD has begun a new chapter in their history, creating bikes that are completely different from anything they’ve had before — electric, adventure touring, and streetfighters. The question I have is; will the dealers, who are, after all, on the front line, accept something this new and radical? The metric manufacturers at one time built small bikes that looked very much alike. That image has

totally disappeared, as they haven’t been afraid of change, either looking for, or creating, the next new thing. Many of the HD dealers I’ve known over the years have not exactly been accepting of change. The attitude towards Buell was always that they were forced down their throats. The new Street line has also been treated by the sales force as something alien, and not worth selling. The attitude, from what I’ve seen in the trenches, is that the cruisers and tourers they’ve been selling for years have been what they’ve always sold, and will always be what they sell. Overall sales figures have put the lie to this attitude, and maybe, just maybe the management at HD has heard the call. It’s now the dealers and their staff who are the ones who’ll have to make this new direction work. They will have to accept change and diversity, just as has happened in every other motorcycle company in the last 40 years. They will have to do a great job of moving smaller lighter sportbikes, and adventure bikes, electric bikes… and whatever else it takes to capture the market. I believe that with some coaching from HD themselves, and dealership owners who can see the future, they will make this work. Indian seems to be making great inroads in the court of public opinion, but I believe HD can take this new journey, and make the brand flourish once again. It’s up to the company and their dealers to make it happen. I’ll be watching with great interest.

Marq C. Smith has been involved in motorcycles since he was 17 years old. He worked for Canadian HarleyDavidson importer Trev Deeley as well as being the dealer principal for his dealership Western Powersports (not to be confused with the American Distributor Western Power Sports) for 21 years. He currently works at Holeshot Motorsports, in Langley, British Columbia, Canada. He taught rider safety courses for 10 years, and still is involved in making sure new riders get proper training. When he is not working in a dealership, he tours all over North America by motorcycle. He does plenty of dirtbiking and ATV riding as well. Famous Last Words: “I know you believe you understand what you think I said, but I’m not AIMExpo 2018 67 sure you realize that what you heard is not what I meant.”

Interview

Questions With Anthony Bucci

nthony Bucci says he was always a tech guy with a side hustle. “I have always been a brand and retail geek,” explains the RevZilla founder, serial entrepreneur and king of the online product videos. “There is just something inherently fascinating about the emotions and decisionmaking of consumers interacting with brands. It’s probably because I’m a sucker for a great story.” We are suckers for a great story, too. We had the opportunity to ask Anthony what he sees happening in the powersports world and just like one of his legendary YouTube videos, he was on point and chock full of insights. How has e-commerce affected the industry… and the riding customer?

powersports

Since the mid-1990s, eCommerce has affected customer expectations worldwide. Speed, price and selection have become table stakes in an arms race which, in some industries, has led everyone to the bottom. The customer expects more for less, generally — the benchmark is Amazon, which, unlike nearly every other business, is playing a zerosum game. They have zero cost of capital and no current need for the healthy economics other companies live by. Good luck differentiating, beating or even competing

with the ‘Zon in any category that is a utilitarian or less considered purchase. Unfortunately other than verticalized brands and specialty categories, the eCommerce game is rapidly approaching maturity, now 20+ years post dotcom inception. All that considered, the US powersports industry is roughly 90% passion and 10% transportation. It’s primarily driven by a love for a sport that also happens to stand on the shoulders of highly considered and often expensive purchases. Bikes, parts, gear and accessories are not cheap and are often emotional purchases, as well. Powersports is specialty or “enthusiast” retail at its finest, which is one of the last defensible bastions against big discount players, including Amazon. The industry’s moat, online and offline, is that the knowledge of how, what and when to buy things matters a lot in terms of happy and safe riding. Riders can always use a helping hand, online and off, if it eases the pain of not knowing what they really need. Alleviating that customer pain is the service that all retail, including eCom, can provide that creates value for the customer, earns their dollars, pulls the sale from Amazon and keeps customers loyal over time.

Great eCommerce that will stand the test of time will succeed the same way great dealers will stand the test of time, by being service businesses that facilitate their customers’ joy of riding by supporting them every step of the way. Customers have been trained to expect more generally, but within our industry they also expect knowledge, service, accuracy and customer care. If we don’t provide it, why wouldn’t they just buy from Amazon? I would. Have customer “standards in gear” been raised above where brick & mortar dealers had established quality/comfort levels? I’d say the customer expectations have greatly increased. Forums, social media, YouTube, customer service, eCommerce companies and brands have generally demystified potential gear purchases through expanded choice and customer education. I’d like to think my work at RevZilla was a part of helping customers evolve their gear thinking from “This one on the rack fits fine for today” to “What product is the right solution for my riding style, climate, budget, fit and safety needs?” and “Who are the reputable brands and why do they do what they do?” In short, I think the loftier bar today is one part the evolution of knowledge creation and sharing in moto and one part the same evolution happening in all other categories of researched purchases, online or off. Customers that care are pretty savvy. It’s a virtuous cycle that benefits both the customer and the manufacturer because everyone has more information at their fingertips. That brings standards up from both ends of the equation. The brands can’t hide or fake it and will be held accountable if they are not delivering on their promise. What’s the next big thing? Amazon? Mobile mechanics? Pre-owned bikes delivered to your doorsteps? Amazon is here and may never leave, so it does not qualify as the next big thing.

I believe the next big things in moto will be continued consolidation of customer attention, where retailers will continue to act like media and media will continue to try to evolve their monetization model to be more like retailers.

Don’t play the eCom game, play the game you can win. Deliver joy and help to create love for your PG&A department. It’s the same equation as your dealership. It’s an old-school equation people still appreciate.

Manufacturers are also going to need to figure out how to provide more bike for the dollar while simultaneously finding a Cupid’s arrow for new riders that will actually stick. I don’t like the negative new bike purchase trends of the past two years and we all know the Boomers are aging out and have been.

Do brick & mortar chain stores like Cycle Gear raise the bar for “More of the Right Stuff?”

On the tech front, I don’t see a need for a crypto token in moto, but I do see an evolution of customer expectations of buying everything, including bikes, in the most immediate, direct and frictionless way possible. Who’s going to do the Tesla biz model of bikes? I’m sure someone, but I hope it has a motor not a battery. I still want to feel it, hear it and smell it. How can brick & mortar dealers do better job on PG&A? Is that a neverending battle? Be the best for your local customer. It’s a service business. Offer amazing service. Engage your local riders and become the hub for their continued enjoyment of the sport. Be the center of the local riding community. Listen to your customers’ pain and figure out how to alleviate it. Be the best in all the ways you can control. Know your customers. Help your customer find the right product and fit and then incentivize them to order it from you by adding value to the transaction in the form of a future relationship, not just a discount under the cheapest online price. Remember, eCom companies don’t just have websites. They have tech platforms that they enhance and optimize every single day. It’s the backbone of the business. It is the business. The traffic is higher, but the loyalty is lower than what a great brick & mortar dealer can deliver when focused on customer needs and customer pain.

As an owner of Cycle Gear by way of my stake in Comoto, I hope it continues to evolve in that direction. Before we became part of the same umbrella, the great team at Cycle Gear was working uphill against, in my opinion, mis-optimized inventory and a lack of operational support systems for a long time. My hope is the local Cycle Gear can be more of what I described earlier and less like the model of having the cheapest possible “house” brands stacked wall to wall, which is what we saw 5 years ago. Great riders who want to help other riders have been the backbone of Cycle Gear for 40+ years. I believe the current owners, including myself, are trying to arm them with the right tools and untie that hand that someone else forced behind their back. If we can do it, everyone should be better off, starting with the riders in those communities and the staffs at those stores. Would a universal retailers association of all types of dealers benefit the industry? Should MIC offer a membership category for e-commerce retailers… and if they did, would RevZilla join? I think there is a lot of benefit in shared knowledge at all levels done appropriately. I can’t speak for current management, but I personally see the value in it even if the only output is enhancing the industry’s collective ability to keep people enjoying the sport. I think the eCom guys have always been sidelined and that has been a missed opportunity. We see customer sentiment nationally, immediately and at scale which in my opinion can act as a powerful leading indicator for the industry.

AIMExpo 2018

How can we — Dealernews, MIC, RevZilla, Comoto — raise the “tide” to float all retail boats in powersports? Riding and bike sales are the beating heart of the industry. If people aren’t riding or buying motorcycles, businesses can do things right and still not be able to overcome that headwind. I believe that more natural consolidation may occur, fortunately or unfortunately. I also think more of the leading brands that have relationships with their customers apart from the manufacturers need to work together to add value, enhance the customers’ experience and decrease the friction (and potentially cost) of owning a new bike. And that’s most important of all, especially if it’s a first bike. Do you see Millennials beginning to riding motorcycles soon… or do we need to wait until the next generation to try again? Millennials are a product of many things, but what they are not is the 1950s or ‘60s male. They just don’t look at motorcycles the same way. They see life differently and in some cases through an understandably pessimistic lens. Riding needs to become more accessible for them and there will have to be something — a bike, a movement -- which makes it more culturally relevant, accessible and cool, in a broader sense. I don’t have a crystal ball. I know many, if not all, of the manufacturers have been trying to crack this for more than a decade. My biggest current fear is what happens if we see another recession in the next 1 to 3 years? We could see an accelerated culling of businesses that have not found stability in the lagging new bike sales of the last 24 months. I hope not. I’m an optimist. I think the powersports industry will figure it out, but when it does stabilize, like many things, the norms of then will not be the norms of today. #fingerscrossed Is bigger better in this industry? What’s too big? Parts Unlimited? Tucker? Amazon? Was RevZilla/Cycle Gear the beast that awakened the Amazon mega monster to powersports opportunities? Size and scale matter in every business. There is a value to big, just as there is a value to the smaller company’s ability to shift, change and execute more quickly. It’s all tradeoffs. Outside of Amazon, profitable revenue growth can cure many things, but we do run the risk of big companies feeling like they can get away with being “evil” here and there or potentially biting off too much and getting sideways. We’ve seen both in our industry in the past decade. It cycles, no pun intended. Regarding Amazon, they have been “woke” (speaking Millennial for a second) for more than a decade, nearly two. Bezos is a terrifying super genius. Motorcycle eCom Anthony fears, hates but respects him. Business Founder Anthony thinks he is amazing in a way that few have ever been. I’d like to think RevZilla’s presence staved Amazon

off in a tenuous time, post-recession, when they could have siphoned the lion’s share of online sales very quickly while offering much less service, knowledge and content value add, but probably with the same price. That mass market online consolidation, which can crush the manufacturing and retail landscape forever, has happened in so many other categories. In my heart, I do believe we “did good, by doing good” in the sense that our conversation with all of our brands was always, “How do we do more for the customer together in the medium to long term and allow riders to get more for their moto-dollar?” I think our model, with the support of so many brands that were willing to think new-school, allowed the industry to raise the bar for what’s expected for online shopping in moto and create avenues for more customer satisfaction and value beyond “Well, it’s cheap and Prime-able.” Healthy competition always benefits consumers in the long term and transparency for consumers is only increasing. The same things apply to Comoto and the other larger players at this point. There is nowhere to hide if big guys decide to stray from their brand promises just as the discount mass market of Amazon, Walmart/Jet and the rest is always ready to pounce. What are your thoughts on Harley Davidson’s stock situation, introduction of smaller models like e-bikes, the FXDR street fighter and the Pan American Adventure model? Try new things until you can get your balance sheet healthy and stabilized while still trying to figure out what’s going to get the Millennial off the couch, or iPad for that matter, and riding a new (or used) bike. Not evolving and challenging your accepted norms is giving up, even for the bar and shield. I applaud the Live Wire, small cc bikes and other jolts to the expected HD approach. Would you share what you are thinking of doing next? Right now I’m kissing lots of frogs in an effort to be openminded to what next large opportunity may move me - in or out of moto. No good kisses to report yet. In the interim, I am angel investing and advising a handful of companies while also doing some non-profit work with the Tony Hawk Foundation and pro bono exec coaching. I’m having the most fun helping founders and CEOs grow and intermittently jotting down some of my leadership nuggets on my blog, anthonybucci.com The other half of the time is a prolonged moment to enjoy my wife and young family in a way that was completely foreign while leading RevZilla. The business always came first, until one day it didn’t. Reflecting on one’s lifestyle while transitioning into a very different one generates great perspective. A little bit of space also allows you to finally appreciate what you have created along with all the amazing people who did it with you. The goal is still the same. Always keep moving forward but be able to look back fondly.

“Anthony’s opinions in this article are his own and he’s made it clear he’s not speaking on behalf of RevZilla management or the board.”

What I Used To Do I was always a tech guy with a side hustle. I founded RevZilla.com in 2007, after deciding that I wanted to buy a motorcycle and realizing there were no great online options for apparel or a helmet. If you must know, my parents were not supportive of the motorcycle and I was ultimately pushed over the edge to riding after being inspired by the founder of Chrome Hearts during an eCom pitch meeting in 2005. My first bike was a used ‘00 Ducati Monster Dark. In nine years, my co-founders and I scaled RevZilla to be the largest eCommerce brand in the worldwide motorcycle aftermarket. W e went from zero revenue and zero employees to over $150M and ~250 people and earned the expected scars. We never raised money and were ultimately acquired as part of an industry roll up including retailer Cycle Gear in 2016. It was a great outcome on a number of fronts which also led to the creation of a new parent company called Comoto Holdings. After a nearly a decade as RevZilla’s CEO, I chose to leave day-to-day operations in 2017, but I am still a board director and partial owner of the collective organization. A large part of RevZilla’s success was our original content via our YouTube channel, where we reinvented the product review and demonstration video beginning in the summer of ‘09. When we began, we had no budget to hire a host, so I did the honors and thankfully it worked. Being the chief exec and external face of the brand was a very unique position that I am honored to have occupied and the videos and media still live on today. I still get pulled in front of the camera here and there as well. Previous to RevZilla and right after the dotcom bubble burst, I had a senior sales and biz dev role at an eCommerce platform agency that designed and built experiences for large and small brands. During the wild west of 2004-2007, I won large platform and development contracts with national brands including: Vineyard Vines, Smashbox Cosmetics, Spencer Gifts, L’Occitane, Oneida, Chrome Hearts and others. My book of clients and the countless RFPs we didn’t win were my crash course for business models on the consumer internet. Before that I wrote code. I asked my parents for VB 3.0 for my 14th birthday and taught myself to build annoying apps for Prodigy in the early days of the 20-cents-a-minute dial-up Internet. I continued to learn and develop software throughout my teens until the end of college, when I knew the developer route was not my calling. In my early years, I hawked candy bars on my front lawn and marked up gum out of my middle school locker. I sold burned CDs full of MP3s (legally, I swear) in high school and eventually had a short-lived late-night breakfast sandwich scheme out of my freshman Drexel dorm. The head of student housing loved that one and my parents got used to shaking their heads. I got pretty good at asking forgiveness. I always saw opportunity all around me, even when I was a kid. I was always driven. Lastly, I have always been a brand and retail geek. There is just something inherently fascinating about the emotions and decision-making of consumers interacting with brands. It’s probably because I’m a sucker for a great story. #neversettle You can find Anthony and read more from his blog at www.anthonybucci.com

AIMExpo 2018

Confessions Of A Customer® By Eric Anderson

HEALTH AND WELL BEING OF THE SHARED ECONOMY Consumer goods can’t buy you happiness - experiences can

hey say money can’t buy you happiness, but if your money is spent on ‘experiential purchases’ and not consumer goods, then perhaps it can. Harley’s success story started with HOG in the 80s building a family of riders who were then provided with further “reasons to ride” centered around social circles. More recently, EagleRider has built a hugely successful business supplying regionally mobile motorcycle experiences and fly ‘n ride tours. Polaris just launched Polaris Adventures...carefully avoiding the “r” word (rental) in their marketing program. Do you see the trend? Old and young generations alike are flocking to the “experiential world” while shirking the hassles of day-to-day ownership. This is consistent with the societal move toward shared economy businesses like Uber and AirBnB. It’s the experience these new customers are after and not necessarily the ownership of an automobile, time share condo or vacation home. My neighbor owns 1/3 share in

“Research from Cornell University has found that spending money on material goods only brings short term happiness, while experiences provide greater satisfaction long term.”

an airplane. My son-in-law shares one of my cars on a 50/50 basis. A friend splits ownership on a boat which they co-operatively rent out on weekends. Do you see where this is going and how it is different than our Man Caves of the 80s which were filled with “toys” we used only 10 to 12 days a year? “Research from Cornell University has found that spending money on material goods only brings short term happiness, while experiences provide greater satisfaction long term. When buying consumer goods, shoppers deliberate about their purchases, doubt their choices and agonize over missed deals, leading to less satisfaction overall. Experiences, however, are more easily decided upon because they meet a set of expectations, and are therefore less painstakingly weighed against other options. They are also highly subjective, and thus less likely to be compared in a negative light to other choices. How a person views a purchase can also affect their satisfaction - for example, a person may see a box set of music materially, as a collection of CD’s, or experientially, as hours of musical enjoyment.” These are the words of Tannith Cattermole after reading the Cornell University study (Thomas Gilovich, Cornell University professor of psychology, and Travis J. Carter, Cornell Ph.D., published the paper “The Relative Relativity of Material and Experiential Purchases” in the January 2010 issue of the American Psychological Association’s Journal of Personality and Social Psychology).

Prospective customers may see a new motorcycle or UTV as a great materialistic addition to the garage (which many no longer have) or a machine to deliver wondrous experiences… or both. But, if prospective customers don’t live near a terrific riding area, they won’t see the value in owning that dream machine which rarely leaves the garage. It may be easier to travel to a beautiful spot 3 or 4 times a year and “experience” something new on a (rented) dream-making machine like a motorcycle, SCUBA apparatus, ultralight, skydiving parachute, mountain bike, wakeboard boat or UTV. If you live in a tourist area, could your business expand to offer “adventures” in addition to products? Would you know how to promote that aspect of your business to incoming domestic and international tourists? Have you also noticed how community colleges are offering all sorts of active introductory courses? Intro to Golf, Horseback Riding, Archery, Wine Tasting and Outdoor Cooking are only a few. How about you pitch your local adult education program on teaching a 4 hour course on “Intro to Motorcycling?” This could be a precursor to the hands-on MSF course as well as a lily pad for those who simply have questions about how to use a motorcycle, how to own it, license it and insure it. In other words, overcome their intimidation before you attempt to teach them to ride or buy. Sell them the “sizzle” before they even know if they want to buy one, lease one or rent one. Offer the excitement to the public

encouraging their curiosity to visiting your store and ultimately enrolling in a riding course. Build the “bridges” so prospective customers can gradually have their apprehensions overcome by actual hands-on experiences and excitement. You might also consider offering rentals…without calling them rentals. Sell them as mini-escapes, motovacations, weekend adventures or riding experiences. How about those pre-owned units which haven’t sold yet? Could they assist in “mototasting” experiences like wine-tasting experiences helping to sell cases of wine? Similarly, I will never forget my first underwater breath of air in a community college pool which changed my life forever. I didn’t “rent” the gear—I paid for an introductory underwater experience and have been a SCUBA diver and lobster hunter ever since. My first experience on a motorcycle wasn’t related to a dealer, but it could have been. How can you get more butts on “experiential” seats at your dealership, away from your dealership or rented from your dealership? Get it! Parking and praying won’t sell more units. “Selling packages instead of pieces” has been a concept I have pushed for over 30 years. Take the same advice and apply it to selling “packages of experiences” instead of the old-fashioned a la carte methods you are still using in your store. Your business’ health and well being will improve as you do the same for your customers.

Welcome back Dealernews! It’s refreshing to have the powerhouse of dealer magazines back in the mix. It’s also refreshing to know this is the only trade magazine in powersports which is owned by...um...a dealer instead of a large corporation. Even the advisory board consists of all dealers! It’s always been tough to take advice from a large corporation consisting of executives and editors who have never worked retail a day in their life. Now, dealer-driven Dealernews comes full circle by bringing together the best columnists in the industry along with editor Robin Hartfiel. He has been a champion of dealers dating back to 1991 when he was first hired by Dealernews’ John Murphy...who is also on today’s masthead once again. My 25-year old column, Confessions of a Customer™, has always forced dealers to look at their business through the eyes of their MSRP-paying customers. Now, Dealernews will deliver content from dealers... by dealers...and for dealers to objectively push you toward growth amidst your peers. I look forward to assisting the Dealernews team in delivering truly pertinent powersports data, statistics, benchmarks, metrics, interviews, surveys and content which enable you to objectively see how your business compares to the rest. As an original Dealernews columnist and friend used to tell us all, “You all need to be cured of your own rectal myopia.” Dealernews is here to help everyone “come full circle” and see the light each week and month. I will see you out there in retail land because we will also need your help in maintaining our balance. BTW, I am the new VP of Dealernews, but that shouldn’t surprise you.

AIMExpo 2018

Now don’t get me wrong, like every Golden, he’s a good boy and, in spite of his actions, I really don’t think he’s stupid. He’s actually an extremely fast learner. He’s just, well… not really overly observant in some cases. Make that all cases. Buster has a doghouse that I spent way too much money on at one point, hoping that it would keep him warm in the winter, (therefore allowing me to leave him outside rather than muddying up my house every night). It’s a neat doghouse, complete with insulated walls and a swinging door that, by design, the dog can nudge open with his nose and go in and out as he pleases. This seemed a great idea to me, mostly because Buster has been pushing his way through closed doors since birth. Unfortunately, the one door he wouldn’t push through just happened to be the one on his doghouse. He’d sit in the rain and whimper, looking cold and pathetic. And, though I tried and tried to teach him to use it, he was scared to death to go in the house with the door attached. (I even tried to shove him through, which ended with me covered in hay and mud and the dog running off through the yard.) Last month, I finally decided to remove the door, which pretty much made the thing into just a regular doghouse, worth maybe 1/8th what I paid for it. Fortunately, the plan worked – without the door attached, his fear of being trapped seemed to dissipate and he soon learned to actually get in out of the rain.

Of Dogs & Motorcycle Dealers Somebody Stole My Door! By William Douglas Little

hey say you can’t teach an old dog new tricks, but what about an old dealer? Things change, but it is how we deal with them that separates the smart dogs from the pack. By observing my dog, I saw a microcosm of my daily challenges in the dealership played out… no really. And like my dog sometimes I don’t have the sense to come in out of the rain! A couple years back, my wife and I got a cute little Golden Retriever puppy who, despite our best efforts, has turned into a, let’s say, “less-than-attentive” Golden Retriever dog.

A few days ago, however, I realized that it would be much more convenient if I turned his doghouse around the opposite way. That way, I could look out of the kitchen window and see directly into the house and make sure that he was, in fact, where he was supposed to be. So, I walked into the yard and spun the doghouse 180-degrees. No big deal. That completed, I called for Buster who finally came running from my garage, (no doubt destroying something of mine), kenneled him up and left for work. Midway through the day, the worst of the rain came rolling in and I remember thinking to myself, “it’s sure a good thing that dog learned to use his doghouse!” A real toadstrangler, the rain poured down like we haven’t seen in a while and the cold wind moved right in along with it. I could just imagine Buster laying in the doghouse, nice and cozy in his straw and wood chip bed, looking out at the weather beyond. As I pulled into the driveway that evening, my headlights shone through the murkiness of the storm and, between swipes of my wipers, I saw the sorriest excuse for a dog that I’ve ever seen in my life. Drenched from ear-tip to footpad – his matted, wet hair stringing down – was my genius dog: a look of total confusion on his face. It only took me a few seconds to assess the situation and figure out exactly what I was seeing, which is when I decided that maybe I’d been giving Buster a little too much credit. You see, the dog was sitting at the back of his doghouse, staring at the wall and obviously wondering who had stolen his door. Remember when I said that he isn’t very observant? Exactly where Buster sat was where he had

Dealer, entrepreneur, author William Douglas Little.

entered the doghouse for the past several weeks — before I had spun it around that morning. In his mind, that’s where the door should have been. He never thought to walk around to the other side… he just sat there in the cold rain, staring at a blank wall. Part of me wanted to laugh, but the rest of me just felt sorry for the poor dog. In fact, I’ve owned a lot of less-than-smart pets in my life, including a cat that would run into a wall, back up, and then hit the same wall again, (true story). As Forrest Gump stated, “Stupid is as stupid does.” You see, in business — as in life — things change, and often times that change seems insurmountable, especially if we don’t fully understand what’s happening around us, (old dealers embracing the Internet is a good example). It’s then that we find ourselves confused, even feeling defeated — looking at what should be obvious, yet seeing only the oblivious. The next time you find yourself staring at an impossible problem, take a step back. Reassess the situation and take a quick stroll around the back of the doghouse. You might just find that the solution is right there, just waiting for you to climb in.

William Douglas Little is a former radio personality, stand-up comic, an auctioneer, a former multiline dealership owner an author and a father of three. He lives on his farm in rural Missouri with his wife Beth. Find William’s book, “Mexican Bowl Fishing: And Other Tales of Life” on Amazon.

AIMExpo 2018

Personnel Files By Alex Baylon

The Next Best Management Buzz Words: Strength-Based Cultures

ecently I was reading an article about “strength-based work cultures.” My first impulse was to shake my head. It’s almost impossible to keep up with the everchanging ideas revolving around management, motivation and employee engagement. The idea of strength-based work cultures has been around for years, but it’s making a comeback and is the current “new again” buzz for managers. I kept reading the article, despite my doubt, because I figured worst case scenario I’d waste a few minutes, best case I may learn something that could be applied to powersports world. Most of these exciting management approaches are based on pure common sense. As in, just treat your employees like people, not numbers: say please and thank you; show appreciation; allow employees to give input and be heard; and help employees reach their full potential. If you do this, you’ll likely have employees who enjoy their jobs and want to stay. Having a strength-based culture is also based on that common sense. Of course, if we all had common sense and actually used it, we probably wouldn’t have high turnover rates — or employees who become so disgruntled that managers have no choice but to let them go. Strength-based cultures are basically those that allow employees to use their strengths. Brilliant, right? Basically,

employees should focus on work that they do well, and build strong foundations in work allows them to excel. If you have a motorcycle mechanic who is awesome at working on bikes, but not so good at customer service, then that employee’s focus should be on maintenance and repairs. As a manager, you should try to keep that employee away from the parts counter and interactions with customers. Highlighting these strengths will improve the employee’s self-esteem, make them happier and make them a better team member. By having a company that focuses on a strength-based culture, employees are able to continually learn and develop skills related to things that they do well, instead of rambling through their career trying to learn things that they aren’t interested in and they will likely not be successful in doing. A strength-based culture allows all employees to understand each other’s strengths… which in turn helps teams work together to be more productive and increases positive feelings between employees. The best news about strength-based cultures is they have been found to increase employee engagement. So now the issue becomes how to figure out what an employee’s strengths are so managers can utilize those strengths to increase productivity and retain employees.

First, the management gurus at Gallup (www.gallup.com) suggest you put your employees through an online quiz called CliftonStrengths 34. For the low price of $49.99 (yeah, it’s on sale!) you can get a complete profile of “who you really are and how to maximize your potential by unlocking full access to all 34 of your CliftonStrengths themes.” Sounds like a bargain, right? Here’s an easier way: go to https:// high5test.com/ and take the free High 5 Test. Have your employees take the test. The results will highlight strengths that you and your employees should focus on. Sounds easy. So I tried it.

So now I bet you’re wondering, was this little quiz even CLOSE to how I see myself, or how I actually behave? Truth be told, I think it was pretty spot on. Now, what to do with this information? I think it’s clear I shouldn’t be in a position that doesn’t allow me to utilize my mind, to explore ideas, and to troubleshoot those ideas. This means, I’m probably never going to be completely happy with others telling me what to do or when to do it. I need freedom to try new ideas, and to help others succeed. Doing the right thing is important to me and I want others to do the right thing, too. This information could come in handy… but honestly, I already knew that. Your employees probably already know what their strengths are, too. They definitely know what interests them and what type of work makes them happy and fulfilled. They also know more about what needs to be fixed in any particular business than those people who aren’t actually doing the work.

The Take Away

Taking the “quiz” is super easy. Answer whether you agree or disagree (on a sliding scale) for multiple questions regarding various topics from how you feel about competition, whether the glass is half empty or half full, if you like challenges, whether you follow through with commitments, and how patient you are. After answering about 30 questions, you’ll receive “Your High 5” which are your personal five top strengths. At this point, you have a choice, because even when something’s free, it really isn’t. You can pay $40 for more information, or just click the arrow to obtain more information about each of those strengths. I’ve put my results below with a brief comment about what each bullet means.

My High 5 Results: 1) Coach: Your objective is to develop people’s potential. Contrary to what others might think, you believe that every person has the potential for development. 2) Catalyst: Your objective is to act and to initiate action. You cannot wait until the discussions are over, wondering when we can actually start doing something. 3) Optimist: Your objective is to bring positive spirit. If there is someone believing that the glass is half-full instead of half-empty — then it’s you. 4) Deliverer: Your objective is to take responsibility. If there is a person who is emotionally bound to follow through on all promises — then it’s you. 5) Peace Keeper: Your objective is to solve conflicts and to establish harmony. You believe that, because conflicts divide us, one needs to find areas of common agreement to go further.

Instead of focusing too much on the newest management buzz word, spending money and time on training that isn’t really needed, maybe we all should focus on using more common sense. I can’t help but think if we all were better communicators, if we actually listened to our employees (and we heard what they said), and if we let employees assist with answering some of our big questions, everyone would be happier, more content, and more engaged. And that’s what reduces turnover and the expense of retraining people. Now, that is my idea of a Strength-Based Culture!

MotorcycleIndustryJobs.com founder Alex Baylon has been hiring and firing people in the powersports industry for 25 years. Currently with a major distributor, he has also been with Dragon Alliance, Ceet Racing, MX GP Services in Europe, Acerbis USA, Motonation/ Sidi Boots and Scott USA. He started MIJ as he saw a need in the industry for people who are passionate about the motorcycle industry to have an employment outlet. The motorcycle industry like many others has always recycled employees from one company to another and it has always been done by word of mouth. MIJ allows companies in the industry to post their openings and give others in and out of the industry a chance to apply and insert new blood and fresh ideas in the many opportunities in the motorcycle industry.

AIMExpo 2018

non-motorcycling friends and family. The ultimate goal is to encourage them to join us. The good news is that throughout this past year wherever I’ve shared the Plus 1 Rider message it seems to have struck a chord. The fact is motorcyclists by and large are eager to share their experience. There is certainly no other topic that they enjoy talking about more. This goes for motorcycle dealers as well. The question is how do you go about sharing your experience without alienating or turning off your audience? How do you ignite that initial spark of curiosity and willingness to give motorcycling a try without scaring them off in the process? Here are seven suggestions:

The Plus 1 Rider initiative Sales Tips For Talking To Non-Motorcyclists By Scot Harden

ack in January I wrote an op-ed for American Motorcyclist magazine regarding the downward trend in new motorcycle sales, the need to bring new riders into the sport and our failure to engage Millennials. Pretty daunting prospects, but I believe there is a simple, yet powerful way we can turn the tide. The Plus 1 Rider Initiative is based on a simple premise: The best hope for reversing the trend in declining ridership lies within ourselves, the existing motorcycling community. This includes both individual motorcyclists and businesses, particularly motorcycle dealers, all engaging with nonriders on a highly personal, one-to-one basis. Later I wrote an article for Dealernews.com offering suggestions on how to activate Plus 1 Rider at the dealership level. Everything from offering special coupons to existing customers to bring in new buyers/riders, hosting a special movie night or other open house promotions for nonriders to running a month-long contest in which current customers enter a prize drawing every time they bring in someone who makes their first motorcycle purchase. The bottom line is there are plenty of opportunities for any dealer to share the experience, and ideas to engage

1) Keep it casual — One of the most important considerations when engaging a non-motorcyclist is to make them feel comfortable. If at all possible, ask them to come into your office or sit with you somewhere quiet to have a discussion about motorcycling. Sit next to or at an angle from the customer. Never put a desk or other barrier between you if you can avoid it. The goal is to eliminate barriers and lower the confrontation level. Remember you stand up to fight… sitting with someone is the best way to have an open, casual conversation. 2) Remember You Are Always On Call — The best place to have an initial conversation about motorcycling is often outside the dealership. Let’s face it, if someone is in your shop they are probably already thinking about buying a bike anyway. As a motorcycle sales professional you are constantly on call. The best place to have that initial conversation about motorcycling with a friend or family member is probably at home or in a non-workplace environment. Never let an opportunity slip by to bring up the topic and share your passion for the sport. 3) Limit “Moto Speak” — Keep the conversation at a nontechnical level and refrain from using moto jargon and slang as much as possible. There is no better way to alienate an audience than make them feel like an outsider from the start. Remember, you want to communicate as much as you can about the experience, where you went, what you saw, who you were with. Leave out the technical aspects, your choice of tires, engine set-up and/or handlebar selection. That will come later after they are part of the fold. 4) Get Personal — Make sure to talk about the feeling you personally get while riding, how it enhances your life, the freedom you experienced, how refreshed you felt afterwards, the great dinner you had at the one-off restaurant you visited, the band you heard at the event you attended, the people you met along the way. Talk about all the great experiential things you did and how the motorcycle was the perfect way to get there. 5) Avoid Bravado & Braggadocio — There’s no need to share how fast you rode, what risks you took or mention any close calls you had. While this may be okay for some limited audiences, it is simply counter-productive for most. The biggest obstacles for conversion to motorcycling is the

inherent fear and safety concerns most non-motorcyclists possess. 6) Mention The Community — Make sure any newcomer understands they are not alone. There are plenty of resources to draw upon, including great safety and training programs, associations like the AMA, local clubs and other groups to be a part of. Motorcycling offers a great fraternity (or sorority) to join. 7) Speak From The Heart — People react to and remember far more of the emotional content shared than the informational content in any exchange. “How” you say something and the body language and tone behind it is much more important than “what” you say. Motorcycling is one of the most fun and rewarding activities one can experience in life. Anyone who comes in contact with you should immediately understand this and have no doubt about how you ‘feel’ about the subject. These are just a few suggestions on how to engage nonmotorcyclist at the dealership level. You can have an impact on the sport and drive the next generation of enthusiasts forward. I firmly believe it is going to take a collective effort of everyone involved in motorcycling to turn around the current trend; OEMs, aftermarket, clubs, the AMA and, last, but certainly not least, motorcycle dealers and motorcycle sales professionals. I’m betting on this last group to have the greatest impact on the current trend. I’m optimistic we can get this done. After all, motorcyclists are positive, life affirming people. Who wouldn’t want to be associated with that?

AMA Motorcycle Hall of Famer Scot Harden has enjoyed a nearly 40-year career as one of the world’s top off-road racers and compiled a set of records that few can match. From 1971 until his final professional race in 2007—at the age of 51—Harden mastered a wide range of off-road disciplines. He also has compiled an impressive resume of motorcycle industry jobs as a brand builder, team manager, sales professional and product planner with such companies as Husqvarna, KTM, BMW, Zero Motorcycles and Best in the Desert. Harden also is owner of Harden Offroad, a business consulting practice. He was inducted into the AMA Motorcycle Hall of Fame in 2008.

AIMExpo 2018

STACYC products include: • 3 Speeds, Selectable by Parent • 30-60 min Run and Charge Time • Quick Change Battery • Light Weight; Kid and Mom manageable • Low Stand-over Height; Kids can reach the ground • Ability to push bike as a standard balance bike, has freewheel • Develop skills early and safely for all two wheel activities STACYC’s Dealer pilot program launched back in July 2017 and response has proven that the “idea” is more than just one dad’s quest to build the ultimate training tool for his three-year old son. “The skills kids learn on their STACYC translate directly to bicycle and motorcycle riding, in turn giving them more confidence in their riding and better chance at pursuing a lifelong, lifestyle on two wheels,” claims Ragland.

STACYC

Getting Kids On 2 Wheels

t is no secret we need more riders for this industry to succeed. However where does the next generation of riders come from? STACYC (acronym taken from STAbility CYCle) co-founder and CTO Ryan Ragland thinks he has found the answer. “We’ve engineered an electric balance bike that has redefined the process of getting kids proficient on two wheels,” he says. “The days of adding training wheels to a mini-moto or bicycle for the 2-5 year old are over.” Not only do the little e-bikes encourage kids to ride more often, they teach the critical element of throttle control… something other balance bikes overlook. “Your child can learn to push, balance, and coast in the non-powered mode. Graduate them to the powered mode as they show proficient use and understanding of the brake and the ability to coast and brake while standing. Coasting eventually leads to constant use of throttle and giggles,” notes Ragland, a second generation rider/racer himself. After spending a decade in racing and R&D for KTM North America, Ragland used his engineering knowledge to develop a small, lightweight electric bike for his son Robby when he turned three years old. From there STACYC was born, with its first model launched in December 2016. The 12EDRIVE model was intended for initial use without power, enabling a child to learn balancing techniques by walking. As confidence continues to build, the “powered” electric mode, which comes in three stages, can be introduced for a seamless transition and continued development. Since then, STACYC has introduced the 16EDRIVE for bigger kids. Now each model’s name correlates to the diameter of the wheels in inches, with the 12EDRIVE intended for ages 3-5, and the 16EDRIVE for ages 5-7. Standard features for all

Last year at AIMExpo STACYC showcased young Robby Ragland doing demos which became one of the most talked about exhibitors at the show. It also facilitated expanding STACYC’s dealer network to nearly 100 shops. That strong dealer network has helped STACYC introduce more than 2,500 new riders in the past year alone. “AIMExpo has allowed us the opportunity to share the STACYC brand with valuable players in our industry as we work toward the common goal of bringing new riders into our sport,” explains Ragland. The latest 12EDRIVE and 16EDRIVE models will be featured at STACYC’s booth. “Share the Love of Riding’ is more than a tagline, it is a mission and we live it every day,” concludes Ragland. “STACYC was created to allow parents to share their passion for riding with their kids in a safe, active and exciting way that captures their attention in a world of nonactive distractions. Share your passion for riding with your customers and share this mission with us.” For a look at the future charge over to the STACYC “Fun Zone” (Booth #448) or their display area (Booth #356)… If you can’t wait for AIMExpo, click on www.stacycstabilitycycle.com It must be in the genes? AMA Hall of Famer Scot Harden’s grandson spends hours riding his STACYC.

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Booth #2200

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The BEA stated that the historical lack of detailed federal data regarding outdoor recreational activities has handicapped both the private and public sectors. They also said the release is a milestone for business executives, small-business owners, entrepreneurs, and government officials, who will rely on these detailed data to plan, grow, and gain new insights into this dynamic part of the U.S. economy. The BEA data showed that Motorized Vehicles was the largest activity within conventional outdoor recreation in 2016, accounting for $59.4 billion of gross output. Recreational vehicles accounted for more than half of this value at $30.0 billion. Today collaboration between land agencies and recreation groups is a cornerstone of any successful motorized travel program on public lands. Offroad user groups are now an important stakeholder in public land management decision-making. That hasn’t always been the case!

DUAL ROLE OF DEALERS IN TRAIL ADVOCACY

by Don Amador

wo recent recreation-related government and industry economic reports and a shift by land agencies to working with OHV clubs in a collaborative manner highlight a critical dual-role that Dealers of powersports products have in the 21st Century. In 2017, the Outdoor Industry Association (OIA) published its Outdoor Recreation Economy Report. The OIA report states that outdoor recreation generates $887 billion dollars in consumer spending and employs 7.6 million Americans. That report highlights and details the significant economic impact that both motorized and non-motorized recreation has in this country. In early 2018, the U.S. Department of Commerce’s Bureau of Economic Analysis (BEA) releases new prototype statistics from the Outdoor Recreation Satellite Account (ORSA) that shows the outdoor recreation economy accounted for 2.0 percent ($373.7 billion) of current-dollar GDP in 2016. In addition, the outdoor recreation economy grew 3.8 percent in 2016, compared to growth of 2.8 percent in the overall economy.

According to the 2008 Off-Highway Vehicle Recreation in the United States and its Regions and States: An Update National Report from the National Survey on Recreation and the Environment (NSRE) in 1960, when the first U.S. National Recreation Survey was done for the Outdoor Recreation Resources Review Commission, offhighway motorized recreation was not included as a recreational activity. There were, of course, many people who rode motorcycles on back country trails and used 4-wheel-drive vehicles (such as jeeps) to gain access to the back country, with and without roads. But there was no recognition of off-highway motorized recreation (then referred to as off-road driving) as a population-wide outdoor activity and the use levels were modest. However, OHV use is now recognized as one of the faster growing outdoor activities. Dealers should actively participate in the collaborative process as a strategy to bring land agency staff, conservation groups, local government, powersports businesses, other diverse stakeholders, and the trail-based recreation community together with a common goal of both protecting resources and providing a high-quality outdoor experience. This stakeholder process is centered on attending meetings and field trips where information is shared, values are appreciated, and relationships are formed.

Federal and some state land agencies have made a long-term commitment to a substantive stakeholder process on the front-end of the planning process. This is a much needed and welcome change from historic planning efforts where the agency had already made the decision and was simply going through the required public process as more or less of a formality. The agency’s shift to investing more time up front in collaborative efforts also requires the recreation community (both dealers and clubs) to make a similar commitment to getting some skin-in-the-game by attending meetings and substantively engaging with agency planners, recreation staff, conservation groups, and other stakeholders. I also have a proven axiom that “The quality of your local trail recreation program is or will be directly proportional to the quality of your engagement with agency staff and other users.” Now is the time for your dealership to appoint a designated representative to attend local club meetings, land use planning meetings, and make that longterm commitment to help ensure that your customers, friends, and family continue to have access to high quality trail-based recreational opportunities. The collaborative process and economic data have made your dealership a defacto clearinghouse for trail access information and related activities. Today, your destiny is not just selling a lot of powersports related products but is fulfilling your role as a leader in keeping trail-based recreation alive and well for current and future generations of customers and friends. Congrats to those dealerships who have already embraced this important responsibility? And, thanks to those who will step up to the plate. It is the future of the powersports industry. Don Amador has been in the trail advocacy and recreation management profession for almost 29 years. Don is President of Quiet Warrior Racing/ Consulting. Don served as a contractor to the BlueRibbon Coalition from 1996 until June, 2018. Don served on the California Off-Highway Motor Vehicle Recreation Commission from 1994-2000. He has won numerous awards including being a 2016 Inductee into the Off-Road Motorsports Hall of Fame and the 2018 Friend of the AMA Award. He may be reached via email at: damador@quietwarriorracing.com

.org

Motowearhouse Offers New Ways for Motorcycle Riders to Help Each Other

Randy Hyden

You Meet The Nicest People In The Motorcycle Industry By Robin Hartfiel

otorcyclists are good people… from the days of meeting the nicest people on a Honda to the Jerry Lewis MDA telethons where Harley donated giant checks up through the charitable work being done by groups like Road2Recovery, the motorcycle community seems to be the first to step up and the ones who dig the deepest for charity. Powersports industry veteran Randy Hyden is a prime example of this innate altruism in action. His retail business has morphed into a program to connect fellow shop owners with business development professionals… and he has even expanded his outreach beyond business to helping those who suffer addictions get connected to treatment centers. His Motowearhouse business model is something that is both tried-and-true and unique; a retail store that easily allows experienced riders to trade up their previously enjoyed riding gear so that entry level riders can obtain high quality riding gear at an affordable price. “Anyone who has ridden for a while has collected some riding gear and inevitably some of it just sits in the closet unused,” Hyden explains. “If you have some good gear

Motowearhouse Showroom

that is not being utilized, you can bring it to Motowearhouse and receive a store credit that can be applied to a purchase of some product that you need and will use.” In response to the “sharing economy” business model, Hyden cites some cases where the trade-in value is equal to what’s being delivered, so no money is actually needed to get a customer what they want. “It’s our answer to the challenge of providing the best value to our loyal customers and still retain profitability.” It certainly helps keep the stock rotating. He also buys overstock, outdated and other gear to keep the shelves filled.

In addition to buying, selling and trading new and used motorcycle riding gear, Randy is also helping people in other ways — he connects those who are in need of help with experts who can provide the needed results. Sometimes that’s directing small business owners who are over-worked and underpaid towards a consulting firm that helped Motowearhouse double its sales in only 90 days. Randy explains why he wants more business owners to know about the BD Growth Program. “Anyone can talk about making more money or having freedom in life… However, there are very few in the world who can make it happen.” According to Hyden, Bryan Rider, founder of BD Growth, a business coach/consultant with a proven record of transforming businesses with sluggish

results. Therefore I am confident that when I connect Bryan with a business owner, he will help them get beyond what has been handicapping them.” In addition to sharing the wealth with customers and fellow small business owners, Randy also helps those who suffer with addictions get connected with a treatment center that will help them turn their life around. “It’s really tragic that people are slowly dying from addictions when there is help available,” says Hyden, who has been able to put his own demons in check. “Problem is that many have tried various ways to get sober, but have been unable to stay clean. They have trust issues and low self-esteem.” If they can connect with someone who they can trust, someone who “gets” them, then they are more likely to do what is needed. “My friend Ehren of EffectMedia has a digital marketing company that creates authentic relationships between people who need addiction treatment services and those who provide them. I am proud to be involved with a company that designs marketing campaigns that produce consistent, repeatable results for our clients. Yes, just like Bryan, EffectMedia guarantees its results!” Motowearhouse’s slogan is “More than just a store” and considering all that Randy and his team are doing, that catchphrase is right on the money.

Photography by Joe Bonnello

sales growth into profitable healthy operations. That ultimately provides the owners with the time, money and freedom they deserve. “The key in his program is in getting beyond having the right systems and strategy. Bryan provides the ability to get through the mental “noise” that plagues most business owners.” His coaching provides clarity, certainty and consistency throughout the business. “Information isn’t enough for a business to succeed. It takes transformation. Rider is committed to creating systems that actually work in today’s economy. He is so good at doing this that he guarantees

Motowearhouse 125 Business Center Drive, Suite I Corona, CA 92880 Phone: (951) 547-4305 E-mail randy@motowearhouse.com AIMExpo 2018

WHAT’S A TRILOBITE?

And What Does It Mean To Your Bottom Line? By Robin Hartfiel

o what is a “trilobite” and why should an ancient fossil matter to a powersports retailer trying to reach Millennials and future generations? This interesting dichotomy is just part of the equation that should boost the bottom line and broaden the reach of many motorcycle dealers. Plus, it has the makings of one of those quintessential motorcycle industry stories. Stop me if you have heard this one before — two guys walk into a bar… no, seriously. Motonation Boss Bill Berroth just happened to run into a guy after show hours at the AIMExpo last year. Not just any guy, but a diehard motohead and passionate fan of American muscle cars, Bikers Crown CEO Martin Solar. What began as idle bar talk quickly took a turn toward business. It seems that Bikers Crown has been the leading family of dealerships in the Czech Republic for the past two decades and had gotten in to the gear game, a topic Berroth is well versed in. Motonation has always specialized in doing things differently when it comes to importing and distributing high end protective gear. Bringing together classic styling cues and superior technology, Martin started with Trilobite riding jeans and has branched out into a full range of ADV, Urban and Retro wear. Trilobites are a paleozoic era armored arthropod. Trilobites were among the most successful of all early animals, roaming the oceans for more than 270 million years. “There is a quarry near my house that I grew up riding motocross in and it was full of trilobite fossils,” says Solar. “It had a flexible protective shell and was the inspiration

for the four-layers of protection found in the Trilobitex material.” Starting with a Dyneema UHMSPE (Ultra High Molecular Weight Polyethylene) material, the “Trilobitex” material evolved to become 15 times stronger than steel! “When Motonation was created, it was based on a philosophy of doing as many things differently from its competitors as possible,” says ex-enduro racer, Berroth. “When racing you will never pass anyone by following them, you have to be creative and bold by selecting lines that the others have not used.” Berroth believes Trilobite is a line others haven’t taken… which is a perfect fit for Motonation’s apparel offerings. “Plus, Martin is a really cool guy. We both want to have the best product available. The collection offers every rider a different choice.” Heritage combines high tech with a refined vintage vibe. Distinguished Gentlemen riders and the cruiser crowd will find a wide array of options to choose from. Street & Travel speaks to all ADV riders on a quest for exceptional riding performance. Comfort and safety are the key targets. This gear is designed for riders who eat miles, thrash the dirt roads and everything in between. Urban is a balanced blend of form and function. Feel good and look good in Trilobite’s urban collection, on and off the bike. Just in case you have been under a rock and missed it, Trilobite had been on the move. In the year since two guys walked into a bar, the media and reps were treated to the

Trilobite Heritage Ton-Up Jeans

Left to right: Motonation’s Bill Berroth, Alex Arrues of Kon Tiki and Trilobite’s Martin Solar

brand launch at the historic Kon Tiki Motorcycles, reps have been trained in the features and benefits and pricing and packaging have been dialed in. “Trilobite is ready to rock,” quips Berroth. Instead of littering the floors of ancient seabeds, these Trilobites will boost your bottom line! “Czech” out www.trilobitemoto.com for tech specs or go straight to the North American source, Motonation: www.motonation.com

Street & Travel Rally Jacket and Probut X-Factor Jeans

AIMExpo 2018

SHOEI J•O

We’ve seen them flooding the marketplace as what is old is new again, but the new J·O isn’t just a trendy “vintage” lid — far from it! Extensive wind tunnel testing and the latest technology went into the helmet before the SHOEI name went onto it… every SHOEI is still handmade in Japan utilizing a sophisticated process that involves more than 50 people for each and every helmet. “Dealers may have seen this helmet at the European trade shows or in Japan, but we finally have it! We have been begging for this helmet for the past two years,” says SHOEI’s marketing man Matthias Beier. Distributed by Helmet House, MTA and Motovan, the SHOEI J·O should be reaching dealers by mid-November. SHOEI SAFETY HELMET CORPORATION 3002 Dow Ave. Tustin, CA 92780 Phone: (714) 730-0941 www.shoei-helmets.com

HELMETLOK III

Customers need to secure that new SHOEI JO they just scored? Another Aussie invention, the HELMETLOK III features an outward-opening carabiner to lock down lids, yet it fits in a pocket, jacket or belt loop! In a bit of James Bondage, er, security, the 4-digit combination lock allows for a personal security. The TPE coating provides a non-scratch surface and the numbers have been DOUBLE engraved so that they never ever rub off. “It makes a great add-on sale to anyone purchasing a new helmet or just looking for a way to lock their gear to their bike,” says Rocky Creek’s Janice Jansen. Available via American distributors, including Sullivans, Romaha and Southern MC. Rocky Creek Designs 142 Rocky Creek Dam Road Dunoon NSW 2480 AUSTRALIA E-mail: jjansen@rockycreekdesigns.com.au

MOTOZ RALLZ

While you may not win Dakar with them, the new Tractionator RALLZ from MOTOZ will have you and your ADV customers winning with your wallets. Based on the popular Tractionator Adventure series, the RALLZ features a more aggressive tread pattern (80% dirt/70% street, according to U.S. importer Pacific Powersports). To quote 80s new wave band Men At Work, these tires come from a land down under. Designed in Australia for dependable performance in a wide variety of conditions without the need to change tire pressure between off-road and on-road. The hybrid combination of natural rubber with a high Silica synthetic compound makes for better wet/winter grip. “We feel the Tractionator RALLZ is the most technically advanced ADV tire available,” says Pacific Powersports’ Brian Cornelius. Rolling into AIMExpo? Pacific Powersports will be in Booth #1128. Pacific Powersports, Inc. 42345 Avenida Alvarado, Unit B. Temecula, CA 92590 Phone: 951-719-3663 www.pacificpowersports.com

POD

There is a real science to protection and working in conjunction with leading Universities in Australia — what, more Aussies? POD Active presents the breakthrough K8 knee brace. Inspired by the human body, POD has taken hinge design to another level with a patented Hinge that uses shockabsorbing synthetic ligaments. “These ligaments, tested to 100,000 cycles without failure, are engineered from Vectra Fibres that are 5 times stronger than steel, to provide progressive, multi directional motion control,” explains POD CEO Brett Nicholas. POD K-Series Knee Braces are distributed exclusively by WPS in North America. POD Active Pty Ltd 115 Myers St, Geelong, Victoria 3220 AUSTRALIA www.podactive.com

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Beginning in about September, generate a flyer or handbill on what to do for winter (and when to purchase), and start handing these out to everyone who walks through your doors. The following outline should help you with the design and format of your own shop flyer: Inform your customer of what will happen if he doesn’t prepare for winter weather. Include the extra service costs of a fuel system “clean and make run.” Also mention the backlog of work your service department experiences with the “Spring Rush.” You might want to mention how lonesome he will be if his bike is in the shop while his friends are out riding! Explain good battery maintenance, i.e., water levels topped off, vent tube attached and unkinked, terminals tight and snap cords in place. Go over the features of a battery tender as opposed to a trickle charger (which may over-charge a battery).

Wünschisms By Uncle Paul

Winterization: Texas Style

he following “Brain-Drizzles” come from some 35 years of racetrack and wrench spinning experience.

According to Wunschism #19* “The only people that predict Texas weather are fools or foreigners.” I have to admit, many of us Gulf Coasters are pretty much sissies when it comes to winter weather riding. “Winter weather” here is defined as any weather excluding cut-offs, T-shirts and sunblock. Let the thermometer drop below 50° or get a little rainy and we park the bike, cover the boat, hunker down and glare at the sky. Since Wunschism #19 negates any possibility of weather prediction, the big question becomes, “when will it hit?” It’s best to figure on the weather crudding up sometime between November and February, and never lasting more than 90 days. We’re not talking Fargo, North Dakota, folks, so Texas-style winterization consists simply of keeping the machine in a decent state of tune, covered and a little battery and fuel system maintenance. A Profit Thing Customers are always looking for gadgets for their toys, so you might as well make winterization “a profit thing,” in addition to serving the customer. Stock up on four items: snap cords (remote battery terminal leads), battery maintainers such as the SuperSmart Battery Tender, some fuel stabilizer (products like PJ1 Octane Plus or Sta-Bil) and a few motorcycle covers (such as Dowco or Ga-Zee-Bo).

Let the customer know that since you don’t know exactly when they will store the bike (due to winter weather), it is important to top off the fuel tank regularly and dab a little fuel stabilizer in with each fill-up. By the time he reaches the house, the stabilizer has worked its way through the system and the fuel system is protected. Sta-Bil comes in a small 4 oz. or 8 oz. containers that are easy to stash under the seat or in the tank bag… think of it as a liquid condom for your carburetors. Instruct your customers on the importance of covering the bike to protect it from airborne crud and critters after riding. Nylon covers can be used wet and they won’t mildew (like canvas). Some of the better covers even have a coating on the lower panels so the bike can be covered hot and not melt the exhaust system. Personalize your flyer with shop name, address, phone and FAX number. Also mention that you’ve got ideas and goodies such as fogging oil, silicone spray, etc., in case your customers anticipate storing the bike for periods longer than 90 days. Epilogue These Winterization techniques also apply to farm equipment, watercraft, lawn mowers, chain saws, generators and snowmobiles (summarization?). Don’t limit your target audience to motorcyclists. Farmers buy stuff too! That’s it on Winterization: Texas Style… “just like kissing your sister, nothing to it!” Wunschism #43.

*Paul Wunsch was the owner of Love Cycles, a service-only shop located in Houston, Texas. “Wunschisms” are truisms that, according to the author, are often plagiarized or modified clichés – statements quoted so often that the employees of Love Cycles have numerically designated the most popular. Paul passed away November 21, 2003 but his wit and wisdom live on in the pages of Dealernews.

bikes that they are never going to purchase. They take time away from a client who may be buying a bike… at my shop. Today! I would rather the secret shopper came in when it was quieter. Obviously, you do get customers in who have no intention of buying, especially if you are a multiline dealer, but my sales staff is trained to constantly ask closing questions, and the response can tell you plenty. But many of the answers of the secret shoppers are off a bit, and if you are astute, you can pick them out. And when it’s busy, wasting time on someone who will never buy a unit is sacrilege.

Anonymous Dealer

DO 20 GROUPS ADD UP?

aving been a member of a 20 Group for a while, I find that all in all, it’s something that every powersports dealer should belong to. No matter what the problem, someone else in the group has experienced that same issue, and more often than not, has a solution that can work for you. Even if that’s not the case, the combined brainpower and experience may be able to solve the problem for you. Everyone in a 20 Group is in the same boat as you. I have heard several shop owners tell me that they are uncomfortable sharing financial information with others. I could understand if the people in the 20 Groups were direct competitors, but the administrators of every program I have ever heard of take pains to make sure that’s never the case. Every member there can learn from the others, and all of them have their financial info out for all to see. Trust me; you will learn far more than you will ever lose in information shared. You are, after all, not sharing military secrets. So those of you who are on the fence; get off of it, and join a 20 Group. Tell me in a year if it’s not worth it. Yes 20 Groups are great, and I encourage everyone to join one. But there is a downside that I find quite irritating. Most of the groups (and many of the OEMs) encourage the use of “mystery shoppers” — basically they send someone in to test the quality, and level of the sales peoples’ selling skills. In theory it makes sense, in reality it chaps my hide! Firstly, they always seem to show up when we are incredibly busy. They take up salespeople’s valuable time looking at

“How can you tell that they are secret shoppers?” you ask. It’s usually not too hard to tell. They ask questions that no one else asks, and their responses to closing questions are inconsistent with real buyers. I have several times had a salesperson remark that their previous customer seemed to be a secret shopper. I make notes, and I find that they are often correct; something I can glean from the reports we get. Now, to make it clear, I have instructed them to treat the secret shoppers well, get them to a point where they have to commit, and, of course, they never do. It seems to generally be a big waste of time. Then you get slightly odd reports. We had one fellow say that we never offered him a test ride. The salesman reported that he couldn’t get that shopper settled on one bike, and, therefore we never offered a rest ride. If we cannot nail down a particular bike that a client wants, we never offer a test ride. Test rides, as far as I am concerned, is to seal the deal, and not something that you offer to everyone. Also, on top of all that, it was pouring rain. We also never allow test rides in the rain. I’ve had this discussion with our 20 Group moderator. His response is always that, “Don’t you want to know how your sales staff is doing?” Of course I do. I always want to know how well my staff is doing. I find it much more edifying, however, to take some wax and a cloth out on the floor, and polish bikes while I listen to the sales pitches around me. Then I can coach the salesperson involved as we go along. I also look at unit grosses per salesperson, how much time they take with clients, how many clients they see in a day, how much discounting is going on. All of those things are indicative of our service levels. Any good sales manager should be able to tell you how the store is doing as far as keeping clients happy. So, yes, I love 20 Groups, and believe that they are very useful. But I don’t believe that “Secret Shoppers” give me any info that I don’t already know. They are just an annoyance that I put up with. Maybe if I’ll put up a sign: “No Secret Shoppers Allowed.” Maybe that’s the way to go? I’ll have to bring that one up at the next 20 Group meeting.

Yes, our international man of mystery is a real dealer; no we are not going to tell you who he is. Saying the things that you are thinking, without risking getting for franchise pulled. The Anonymous Dealer has more than three decades experience at the dealership, in every position from porter to dealer principal.

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FLAT TRACK COMES OF AGE Springfield Mile Hits 100 & AFT Celebrates Record Growth By Robin Hartfiel

niquely American, Flat Track Racing his one of the longest-running championships in the history of motorsports… and one of the brightest lights in terms of growth and busting demographic barriers. In a season that saw the iconic Springfield Mile hit its 100th running, attendance is up, way up! In the past three years since AFT CEO Michael Lock took over, AFT has gone from 193,000 total season fans (live attendance and FansChoice.tv viewers) to more than 2.6 million in 2018. Better yet, a whopping 30% of firsttime attendees are between 25 and 34 -- effectively an untapped demographic in terms of motorcycle purchases. This unprecedented turn-around was the backdrop for the historic running of Springfield (I, II and Short Track).

So successful in fact, that even the business press is paying attention to Flat Track. No less a business authority than Inc. ran with the headline: How American Flat Track Became the Fastest Growing Sport in Motorcycle Racing More manufacturers. More sponsors. More talent. And a lot more fans. How? By using a simple approach any business can follow. “When I sat in the grandstands at a few races I saw a number of things that made the sport unique: A blue collar, authentic American scene, close camaraderie, a real sense of community, a genuine respect for the heritage of the sport... those things are pure gold.” Lock told Inc. contributing editor Jeff Haden as this issue was going to press. And despite the growing mainstream acceptance, Lock has made sure not to alienate the graybeards in the fan base. Famed announcer Dave Despain came out of retirement to call Springfield Rd. 1, along with VIPs like Willie G. Davidson and Bruce Rauner, the Governor of Illinois. Springfield II saw Scott Parker return to the track where he won 14 AMA

Nationals… as Grand Marshal. “It’s always fun seeing the flat track community when I attend a race, people and friends I haven’t seen in years from all over the country,” said Parker, still exhibiting his affinity to reach fans. “Being the Grand Marshal at a race like this is similar to a big splash of gravy on top of a great dinner!” As for the business approach that any business can follow? You will have to read Inc. for that! Dealernews played hooky to attend the rained out first day of Springfield Mile I and then came back for the landmark running of the 100 purely as fans of the sport. However we can attest to the changing face of ATF racing and near universal appeal. www.inc.com/jeff-haden/how-american-flat-trackbecame-fastest-growing-sport-in-motorcycle-racing.html

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Dealernews VP Stan Simpson makes a toast to Skip Van Leeuwen

TRAILBLAZERS 2018 BANQUET By Robin Hartfiel

ver the past 74 years, the Trailblazers Motorcycle Club has become the hottest ticket in motorcycling. This year, as has been the case for the past five years, all 800 seats were completely sold out in a matter of hours â&#x20AC;&#x201D; four months before the annual Trailblazers Banquet back in April!

Our industry equivalent of the Oscars, the Emmys and the ESPYs all rolled into one, Trailblazers was originally called “The Old Timers” — an organization founded in 1936 by AF Van Order, a Los Angeles area motorcycling enthusiast. The first requirement was that you have ridden motorcycles for at least 20 years. AF would round up fellow riders for informal sessions of bench racing. By 1940 it was time to get serious and schedule a banquet. What could make an epic bench racing event even better? The Tom Cates Memorial Bike Show. The gathering of historically significant, sublime and simply whimsical motorcycles is worth the price of admission alone. However the cats were eventually herded away from the motorcycles into the Carson Center for the banquet. Emceed by the legendary Larry “Motor Mouth” Huffman and Trailblazers president Don Emde, the evening opened with the National Anthem sung by Sandi Weidler and an invocation by Craig Vetter.

The Tom Cates Memorial Bike Show is always a highlight!

The program continued with awards from the bike show and lead up to the presentation of The Dick Hammer Award to Tom White, who passed away from cancer in 2017. Since 2000, the Dick Hammer Award has been presented as the club’s highest honor to a person that demonstrates “Drive, Determination and Desire in everything they pursued.” That certainly defined TW80! Although White winning The Hammer Award was definitely a highlight, the other honorees were no slouches. Speedway legend Scott Autey, roadracing champion Kel Carruthers, announcer Bruce Flanders, dirt tracker and industry exec Dennis Kanagae, trials rider Debbie Evans and desert hero turned Honda-exec Chuck Miller comprised the Class of 2018. In conjunction with our friend Chris Carter from Motion Pro, Dealernews VP Stan Simpson presented a ceremonial toast to racer-turned-aftermarket distributor Skip Van Leeuwen. It is not too early to start planning for the 75th Anniversary Gala! Trailblazers has announced the Class of 2019 and it is the literal who’s who of the motorcycle industry. They will be inducted at the banquet on April 6, 2019 at the Carson Center, in Carson, California. The inductees are: CHRIS AGAJANIAN

2nd Generation Race Promoter

A.C. BAKKEN

Desert racer, ISDT gold medalist

MARK BLACKWELL

1st 500cc National MX Champ, OEM exec and industry leader

ED BURKE

Dealer, long career in motorcycle design at Yamaha

JOHN PENTON Hammer Award winner Tom White (above)... Trouble (below)

6 Days and Enduro Champion, Founder Penton Motorcycles & Hi-Point accessory line

REX STATEN “Rocket Rex” Factory Yamaha & Harley-Davidson motocross racer JIM WILSON

Pioneer American motocross rider & Trials Champion

THE EARL AND LUCILE FLANDERS AWARD In addition to his Hall of Fame Induction, Chris Agajanian will receive the newly renamed Earl And Lucille Flanders Award DICK HAMMER AWARD: EDDIE LAWSON & WAYNE RAINEY Stay tuned to the Trailblazers M/C website for ticket sales… there is also a link to the 2017 and 2018 Hall of Fame videos from Motocross Files executive producer Todd Huffman. AIMExpo 2018 97 www.trailblazersmc.com

Ave Atque Vale Jeff Fox

ve atque vale is the Latin phrase for “hail and farewell.” An example of ave atque vale is those attending a high ranking Roman officer’s funeral would say “Vale” to the person who has passed. It is our sad duty to salute some of the motorcycle industry’s pantheon of heroes who have passed away in the past 12 months. Bruce Brown, Joe Ramos and Gavin Trippe are just some of the legends who are now blazing trails on the other side after shaping and guiding the industry for entire generations. Godspeed gentlemen! However no one touched the lives of more dealers, more road reps and more aftermarket manufacturers than Parts Unlimited’s past CEO/President Jeff Fox. His memorial service brought together everyone from all aspects of our industry from around the globe. Dealernews publisher John Murphy spoke of his friend at the memorial service in Janesville back in May.

form now. I’m betting he’s happy, healthy, and that he’s here right now with us... right here in this room! So Jeff has all the answers now... no more questions about anything. Now don’t get me wrong, Jeff had most of the answers when he was down here on earth, but there were some things even Einstein’s brain didn’t grasp: Black holes in deep space? Jeff knows all about that now! Time travel, quantum physics and the theory of relativity? Piece of cake for Jeff now. I think Jeff was the smartest “normal guy” I’ve ever met. I know an AstroBiologist, but you can’t hold a conversation with him because he’s too out there, but with Jeff, you could talk about anything. So we now have the SMARTEST, most capable “Special Envoy” as our new ambassador, representing us all in the SPIRIT REALM!

“Tonight we decided we would make any address, any references to Jeff, in the PRESENT TENSE, because I am certain — 100% certain — that Jeff’s Spirit, his Soul, his Personality, and all that that entails:

... and who wouldn’t want Jeff Fox as their representative?

His HONOR his INTEGRITY, and his great SENSE Of HUMOR. It is alive, and he’s all there... he’s just in another

Jeff is going to be helping in different ways now. I’m figuring that he’ll be giving us little signals, little directional changes in each of our lives that will

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Jeff is going to be with us all now, especially his loving and dear close family.

help us follow the: Path of Least Resistance, the way Nature intends, the ways our Lord wants us to follow... the different paths for each of us that is in line with our personal destiny. I read a quote recently, and I’d like to share it with you: “The greatest antidote for grief is ACTION!” So if this is true, I’m betting that Jeff would want us to keep marching forward. With the LOVE OF JEFF IN OUR HEARTS, and the full FAITH, that we have. “ONE HELL OF A MAN” is now working on our behalf and waiting for us, UP IN HEAVEN!

AIMExpo........................................................................37 American Lifan...........................................................101 American Motorcyclist Association (AMA)..............81 Anthony’s Leatherworks............................................89 Best In The Desert.......................................................95 DX1................................................................................25 Motorcycle Industry Council (MIC)............................44 Motonation...................................................................11 Motonation.............................................................CVR 4 Motorcycle Industry Jobs (MIJ)..................................17 MOTOZ...........................................................................34 National Powersports Auctions (NPA)...................... 9

Racer X..........................................................................21 ROXOR.........................................................................103 Seaside Visual..................................................... 99-100 SSR Motorsports/Benelli USA..................................45 Suffragists...................................................................93 Tread Lightly................................................................83 Trilobite........................................................................91 Tucker Powersports....................................................43 Tucker V-Twin..............................................................61 Vroom Network...........................................................63 Western Power Sports.............................................2-3

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AIMExpo 2018

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my old Powersport Industry buddies and reestablished our friendships and kinship, and guess what? They didn’t give a crap if I was in a wheelchair or tap dancing on tables… they accepted me for who and what I am now… “Ironsides” was born out of the realization that I needed help. By denying the “helper” the opportunity to help me, I am denying that person the opportunity to obtain the “Grace from God” they would receive by helping me. By denying Help, I am denying the “Great Spirit”, the opportunity to share Grace with two sentient beings here on Earth. Don’t be afraid to ask for HELP in your personal and business lives! Take it from a guy who’s tried it both ways: Solo Voyage vs Riding with your buddies or the HELPER that’s come into your lives? Man, there’s no way to make it solo!

Backfire

By John Murphy

HELP!

“

hen I was younger, so much younger than today, I never needed anybody’s help in any way. But now these days are gone and I’m not so self assured, Now I find I’ve changed my mind and opened up the doors…”

Dealernews magazine is here to HELP in your business lives. That’s what we do. Use us; talk to us; give us feedback on the ways that we can better your business and personal lives. I guarantee that we will listen! Sincerely, John “Ironsides” Murphy

Those are the opening lines to the old BEATLES song, “Help”, but they could just as easily been the chronicle of my life. I was 43, the publisher of Dealernews from 1990-2000, a husband, a father of two young children and basically, kicking-ass. Then the changes came. I was destined to fall off my ride at full speed. In 1999 I was diagnosed with progressive MS after many signals that I ignored became too obvious to hide or dismiss as age related. My physician, Dr. Stanley van den Noort, world famous MS researcher at University of California, Irvine, once told me “John, you have a tremendous capacity for denial.” He highly recommended, or perhaps best described as, “twisted both my arms” into an early retirement because my symptoms were progressing very rapidly, and there was concern for my immediate, as well as long-term, prognosis. I followed his orders, but was still in a state of denial about my need for assistance in my life. I was going to take this on by myself. I already felt I’d let down my family and my colleagues in the Powersports Industry by getting the disease and making the decision to retire. So, dammit, I’m not going to burden anyone with my crap. It took years of contemplation for me to finally get it! I needed HELP, and I needed it now. I reached out to some of

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John Murphy started his Powersports career selling booth space for the original Dealernews Dealer Expo back in 1983. He then went on to become Publisher of the magazine from 1990 to 2000 before retiring from Dealernews 18 years ago when he was diagnosed with progressive multiple sclerosis. He retired and raised his two children with wife, Patti (former production manager for Dealernews back in the day). But John has beaten the odds. The doctors were correct when they said he would never ride again, and that he would be in a wheelchair, but it ends right there. “Ironsides” Murphy is back in the saddle again and ready for the challenge of ushering Dealernews into the next 50 years.

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