Outdoor Power Equipment

February 2013

Proudly serving the industry for which it was named for more than 50 years, Outdoor Power Equipment provides dealers who sell and service outdoor power equipment with valuable information to succeed in a competitive market.

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their hands.They are good at it, and it's fulfilling work. Not everyone wants to or should go to college. I applaud Dan Ariens for the efforts Ariens Company is making to partner with local Wisconsin schools on apprenticeship programs for students interested in manufacturing and engineering. Similar efforts on a broader basis could address both the lack of service technicians and manufacturing employees discussed above. 5. What will be the top trends in the OPE industry in 2013? WC: I've heard GIE+EXPO attendees say for years that there's no reason for attending — nothing's new! Obviously, we manufacturers beg to differ, especially when we commit significant portions of our budgets to research and development. Battery-powered alternatives to gasoline power continue to drive OPE consumer product trends.The biggest obstacles are upfront investment and battery replacement costs. Someday, whether it be for operating cost reasons or because industry has finally figured out how to deliver the longevity and performance required for commercial products, we may see lawncare contractors make the shift to battery power. Hydrostatic pumps and motors have been the domain of commercial mowers for at least 25 years. Now, smaller, more economical, hydrostatic offerings have opened up the conversion of mechanically driven or operated units to hydrostatic operation. In the last few years, Billy Goat has introduced a hydrostatic overseeder, brush cutter and vacuum. This makes sense for contractors only if the increased productivity, ease of use, and fatigue reduction outweigh the old alternatives. 6. What is your overall outlook for the OPE industry in 2013? WC: We're certainly excited to see that housing starts increased modestly in 2012, and the pace is expected to increase in 2013. The The Baby Boomer generation continues to either downsize or outsource their lawncare and landscape needs if they remain in their houses. There is no doubt that many lawns and landscapes have been damaged by weather events of 2012. All this and modest economic recovery bode well for a marginally better 2013. 7. What advice do you have for OPE dealers? WC: At the risk of sounding like a broken record, dealers would be well served to focus on OEM product lines that, either direct or through distributor, offer significant value to their dealerships. Good programs offer total solutions from in-store merchandising, to creative co-op advertising designed to pull customers into their stores, to inventory replenishment programs, to prompt warranty processing, and above-average gross margins. If, when you meet with your suppliers, they don't convince you, it may be time to look at your alternatives. Pete Yunker PRESIDENT OUTDOOR POWER EQUIPMENT AND ENGINE SERVICE ASSOC. (OPEESA) & PRESIDENT POWER EQUIPMENT SYSTEMS, INC. (PES) (SALEM, ORE.) 1. What should OPE dealers know about your company/organization heading into 2013? Pete Yunker (PY): One of the main strategic focuses for PES this year will be implementing lean practices throughout the company. We are really focused on increasing efficiencies and being able to quickly adapt to new challenges and opportunities as they OUTDOOR POWER EQUIPMENT FEBRUARY 2013 21

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