Issue link: http://read.dmtmag.com/i/523095
FOCUS PSB Tire & Wheel www.PowersportsBusiness.com Powersports Business • June 15, 2015 • 19 months. Even with this seasonal swing, they contribute a much higher 37 percent of sales for the year Canada. In the U.S., cruiser/custom/touring is the largest tire class at 46 percent of sales, while ATV/UTV tires are second at 18 percent. In Canada, these positions are reversed, with ATV/ UTV at 37 percent, and custom/cruiser/touring at 25 percent. For the two classes combined, the U.S. is at 64 percent of all sales, and Canada is at 62 percent of all sales. Margins vary greatly between the two mar- kets. U.S. dealers generate margins ranging from 21 percent on bicycle tires to 34 percent on scooter tires. In Canada, margins run from 26 percent on "with wheel" to 41 percent on scooter tires. Looking at the two largest categories, we see that U.S. dealers get 32 percent gross margin on custom/cruiser/touring, while the Canadian dealers get seven points more at 39 percent. In ATV/UTV (shown as only "ATV" in the margin charts), U.S. dealers get 29 percent gross mar- gin, which is four points lower than Canadian dealers, who average 33 percent. PSB May '14 Jun '14 Jul '14 Aug '14 Sep '14 Oct '14 Nov '14 Dec '14 Jan '15 Feb '15 Mar '15 Apr '15 ATV Custom/Cruiser/Touring Dual Hypersport Off-Highway Road Race Scooter Sport Touring Trailer With Wheel May '14 Jun '14 Jul '14 Aug '14 Sep '14 Oct '14 Nov '14 Dec '14 Jan '15 Feb '15 Mar '15 Apr '15 ATV Custom/Cruiser/Touring Dual Hypersport Off-Highway Road Race Scooter Sport Touring Trailer With Wheel CDK CONTINUED FROM PAGE 16 U.S. TIRE SALES BY MONTH AND TYPE — 12 MONTHS ENDED APRIL 2015 SAMPLE: $116 MILLION ("M") IN TIRE SALES FROM 1,700 U.S. DEALERS (833,000 TIRES) CANADIAN TIRE SALES BY MONTH AND TYPE — 12 MONTHS ENDED APRIL 2015 SAMPLE: $5.3 MILLION IN TIRE SALES FROM 168 CANADIAN DEALERS (34,200 TIRES) $13M $14M $734K $657K $716K $594K $435K $345K $200K $192K $179K $184K $439K $668K $14M $12M $6M $10M $9M $5M $5M $6M $10M $12M With Wheel 3% With Wheel 3% Average Month U.S. Sales Mix By Tire Type Average Month Canadian Sales Mix By Tire Type Sport Touring 11% Sport Touring 11% Scooter 1% Scooter 1% Road Race 1% Off-Highway 6% Off-Highway 10% Hyper Sport 11% Hyper Sport 7% Dual 4% Dual 5% ATV/UTV 18% ATV/UTV 37% Custom/Cruiser/Touring 46% Custom/Cruiser/Touring 25% Source: CDK Global