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Nevrenuf
| | Posted on Monday, January 26, 2009 - 09:31 pm: | 
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so jess, do you know whether the other shops are gonna keep them or they going to get rid of them altogether. |
Davegess
| | Posted on Monday, January 26, 2009 - 09:45 pm: |
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Those are 4th quarter sales so they look right times 4. |
Lemonchili_x1
| | Posted on Monday, January 26, 2009 - 09:51 pm: |
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"over half of all Buell sales are overseas"
How accurate is that? Anybody know where most of the overseas sales are? UK? Germany? Japan? (It's certainly not Aust/NZ!) |
Bombardier
| | Posted on Tuesday, January 27, 2009 - 03:30 am: |
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The only reason HD is still afloat is because there is endless shit to bolt on to one of them.
No profit in the sales of HD just the after sales backup/ add ons.
Imagine if Buell got together with some switched on Buell riders and started producing lightweight/performance parts for the bikes.
More profit and better after sales service because it would be worth the dealers while. |
Diablobrian
| | Posted on Tuesday, January 27, 2009 - 03:39 am: |
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Buell Parts Sales:
The only way to sell them is if the dealers stock them, and most don't want to stock
anything Buell except for a t-shirt or 2 (in XS womens) and maybe one style of hat.
It's a catch 22 they won't stock the stuff because they claim it "doesn't sell around here"
and it doesn't sell because we Buell owners don't like waiting for the several weeks it
can take for them to get a Buell order sent in because they wait for it to "get big
enough".
I personally won't buy riding gear or helmets sight unseen and without trying out shape
and size, and if I'm going to wait for weeks I'll buy from someone that supports the brand
better than the dealership that won't stock what I want.
Impulse buys don't give 2 weeks notice. It's that simple.
(Message edited by diablobrian on January 27, 2009) |
Diablobrian
| | Posted on Tuesday, January 27, 2009 - 03:56 am: |
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Oh yeah, accuracy of over half of Buell sales happening over seas?
here is the quote:"only builds 10,000 bikes a year, more than half of which are sold overseas."
That is from theJune 2008 25th anniversary press release that Blake posted here on BadWeB
"http://www.badweatherbikers.com/cgibin/discus/show .cgi?tpc=253912&post=1168670#POST1168670
(it's in the 6th paragraph)
That help?
(Message edited by diablobrian on January 27, 2009) |
Chellem
| | Posted on Tuesday, January 27, 2009 - 09:30 am: |
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The only reason HD is still afloat is because there is endless shit to bolt on to one of them.
No profit in the sales of HD just the after sales backup/ add ons.
Uh, I have to take issue with that. Bolt-on things are nice to sell, but dealers who sell those and no bikes? That business plan just won't work. Bikes - Harleys or Buells - are the backbone of the dealership.
However, I wouldn't mind selling more Buell accessories. I was excited when the paint contest stuff started - I hoped it was the beginning of the personalization of Buells - not with shiny chrome but with more Buelly type stuff.
Maybe it still will be.
->ChelleM |
Eboos
| | Posted on Tuesday, January 27, 2009 - 09:39 am: |
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quote:Uh, I have to take issue with that. Bolt-on things are nice to sell, but dealers who sell those and no bikes? That business plan just won't work. Bikes - Harleys or Buells - are the backbone of the dealership.
I agree. Motorcycle sales is the catalyst that drives every other aspect of the dealership's business. Motorcycle sales, absent of any additional add ins, is very profitable for a dealership. |
B00stzx3
| | Posted on Tuesday, January 27, 2009 - 11:08 am: |
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I don't know much about the bike world, but aren't cars built on the business model that selling the parts and service is where they get their main profit? Similar to cell phones, they take a loss to make it up on service,ringtones and other addon junk. As far as Buell sales dropping off, its winter time. They gotta reach out to potential customers, I know I'l drive a Lightning or Uly before I'll buy a Harley. People buy Corvettes and Stangs when there older, when they can have a Cadillac or Benz. Theres always gonna be a "sport" market young and old peeps. |
Ferris_von_bueller
| | Posted on Tuesday, January 27, 2009 - 11:14 am: |
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One would assume selling bikes is the primary focus of a dealership but you cant tell me service and apparel doesnt account for a large percentage of profit. The dealer near me has a combined service/apparel dept that is larger on a square footage basis than the sales floor. You dont assign that amount of valuable real estate to non-producers.
(Message edited by Ferris_von_bueller on January 27, 2009)
(Message edited by Ferris_von_bueller on January 27, 2009) |
Eboos
| | Posted on Tuesday, January 27, 2009 - 11:26 am: |
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Sure, parts and accessories have a much higher profit margin, but you need to sell a crap load to equal the gross profit dollars of a single motorcycle sale. |
F_skinner
| | Posted on Tuesday, January 27, 2009 - 12:08 pm: |
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I am not in sales but it seems to me the majority of HD profit is in return customers. They were very effective in marketing the Sportster, in the early 80s, for 3,995 dollars and being able to trade it in within one year on a Big Twin. Sound familiar?
Just about every dealership seems to have a large area for cloths. I believe this is a part of the franchise agreement. A percentage or portion of a HD dealership has to be devoted to the boutique. I like to be able to try gear on before I buy it however I find myself at other types of dealerships that have a large inventory of items without the HD or Buell logo.
Being able to get Buell parts is always a big contention with me. If I could order on-line, like a dealer, I would be better off. It is disappointing to take your time to go to a dealership to get a clutch cable or belt and being told they will have to order it. I understand the dealerships position on stocking parts. I would be a lot more understanding if I was able to order parts from home. Imagine being able to go to a web site, pulling up a part with an exploded view, getting the part number and calling the dealership to see if they have it and if not then just buy it on-line. I had this same problem with my Ironhead Sporty but at least I had several aftermarket companies I could go to.
I am thankful that some of the sponsors offer me the ability to email, post or call them in order to get parts. I have been disappointed with every one I have dealt with for one reason or another. Sometimes out of the dealerships hands (people quit) and sometimes it is not. In these times it seems to be retail suicide to not offer an on-line ordering method like American Sport Bike. Al is my first stop, if he does not have it I check the local dealership and then it is a phone call to a sponsoring dealership.
I do not think this is a Buell solution but do believe they own part of the problem, along with us owners. There may not be a viable market, but as more Buells are sold and the majority of dealerships continue to support Buell less than motorclothes then there may be a future market.
Just my 2 cents, I am not an economist, construction worker or in the know, I am just a Buell rider that would like to rebuild a tuber and not have to wait two months only to be told the part is obsolete. Buell was the first motorcycle manufacture to take advantage of the Internet. Too bad they did not keep that edge. |
Buellinachinashop
| | Posted on Tuesday, January 27, 2009 - 12:22 pm: |
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"No profit in the sales of HD just the after sales backup/ add ons."
Not true, HD painstakenly adhears to a 50% margin. |
Eboos
| | Posted on Tuesday, January 27, 2009 - 12:28 pm: |
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quote:Not true, HD painstakenly adhears to a 50% margin.
Hate to break it to you but that is totally false. Feel free to believe whatever you want though. |
Boltrider
| | Posted on Tuesday, January 27, 2009 - 12:43 pm: |
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My quick rant - I will absolutely go out of my way for a good Buell dealer. |
Davegess
| | Posted on Tuesday, January 27, 2009 - 12:57 pm: |
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The whole deal is driven by total sales, which is partially driven by supply and partially bt demand.
Buell has been able to keep supply pretty mcuh in line with demand, there was a time when supply far outstripped demand but it seems to be OK, not perfect but OK, now.
It would be great to have more dealers and cool aftermarket stuff - there is some out there - BUT unitl Buell can ssell and build as many bikes as Ducati does we have what we have.
My guess is that the number of Buell healers is greater than the number of Ducati dealers in the USA (it is hard to count then on the Buell site) and with only half the number of bikes to sell that makes for a very slim operating profit for dealers and little demand for aftermarket stuff.
IF Buell demand would double overnight it would still take some time to get production to match that. The growth rate at Buell is already very substantial but it will take a few more years to reach Ducati levels and even Ducati is not exactly setting the financial world on fire.
Be patient, Erik has a plan. So far it had worked out pretty well. Some ups, some serious downs but steady and pretty rapid progress on pretty much every front involving design, manufacturing, sales, satisfaction, performance. If you doubt me read the book and see what it takes to get this far. |
Buellinachinashop
| | Posted on Tuesday, January 27, 2009 - 01:02 pm: |
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"Hate to break it to you but that is totally false. Feel free to believe whatever you want though."
I'm not talking sales through a dealer. I'm talking what the dealer pays in comparison to what it costs HD to build.
If HD builds a bike for 9k, they need to get 13.5 for it from dealers. The bean counters at HD religiously pound that through management.
If you know different, I'd like to know how. |
Lemonchili_x1
| | Posted on Tuesday, January 27, 2009 - 07:16 pm: |
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"That is from theJune 2008 25th anniversary press release that Blake posted here on BadWeB"
Yes that helps, thanks 
"Be patient, Erik has a plan. So far it had worked out pretty well."
I hadn't thought of it that way... Buell has weathered bad times before, I don't doubt they'll still be here at the other side of this current economic mess. |
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