PowerSports Business

December 26, 2016

Issue link: http://read.dmtmag.com/i/765954

Contents of this Issue


Page 0 of 31

PSB FOCUS Dealer-only auction expands to fifth location BY DAVE McMAHON EDITOR IN CHIEF Simply put, National Powersport Auctions' expansion into the Philadelphia market was all about timing and location. NPA executives had been considering a location in the northeastern U.S. for several years. And when the right facility in an ideal location became available, NPA was proud to go live in December at 2554 Ford Road in Bristol, Pennsylvania, accepting dealer consign- ments and repossessed vehicles. The 35,000-square-foot facility will accom- modate more than 500 units per month and will house meeting rooms, offices and condi- tion report stations like the other NPA opera- tions in San Diego, Dallas, Cincinnati and Atlanta. The new location is near the intersec- tion of the 95 and 276 highways, 29 miles from the Philadelphia airport. "After 26 years, five locations and nearly a million vehicles sold, this is an accomplish- ment we should all be proud of," NPA founder and CEO Cliff Clifford said. The first sale is scheduled for Jan. 11, and all sales will be held the Wednesday before the Friday Dallas auction each month in 2017. "We've had additional facilities on our radar screen for a number of years. For us, it came down to where and when," said Jim Woodruff, NPA's chief operating officer. "Looking at the demographics, the North- east has always been very attractive. The density is terrific from a dealer and product perspective. We have a good core base of lender volume that we deal with in that area, and honestly the dealers in that part of the country have been hungry for NPA to get up there and bring our volume and processes to them." Bob Fitzpatrick, NPA's newest GM and a longtime industry professional, will oversee the latest dealer-only auction facility. Along with Fitzpatrick, NPA sales manager Dusty Krepp will be headquartered at the new Philly location. Dealers who might have felt limited by their liquidation options due to the location of NPA's locations in Cincinnati and Atlanta now have an alternative in Philly. "There's still some volume that stayed up in that market that dealers had a hard time liquidating because transportation to the other locations is not too bad, but it is time out of their showroom, and a little bit extra expense," Woodruff said. "I think the timing is perfect, particularly as dealers have gotten more sophis- ticated about turning inventory and trying to optimize the value both on the front end and back end." Dealers who might not have considered NPA in the past due to the lack of a loca- tion in the northeast are already becoming more familiar with the NPA Value Guide. In 2016 alone, more than 4,000 dealers per- formed 500,000 lookups on the Value Guide's website. Unit values are updated daily, with more than 26,000 models available for search. Units can be filtered by region, timeframe, mileage and condition. The Value Guide can protect the dealer from buying too high on trade-ins. NPA also has moved its Dallas location. Now in a brand-new, stand-alone building at 900 Gerault Road in Flower Mound, the first Timing, location right for NPA Philly 10 • December 26, 2016 • Powersports Business www.PowersportsBusiness.com This issue: Auction/Pre-Owned Next issue: Outlook 2017 See NPA, Page 11 AVERAGE WHOLESALE DEPRECIATION OF 2-YEAR-OLD (2014) MODELS 2016 YTD (JANUARY-NOVEMBER) Avg Wholesale Prices Orginal MSRP 80% 70% 60% 50% 40% 30% 20% 10% 0% Cruiser-Domestic Cruiser-Metric Sport Side-by-Side ATV-Utility ATV-Sport MX Scooter Dual Sport SEASONAL AVERAGE PRICING BY MONTH CRUISER-DOMESTIC SEASONAL AVERAGE PRICING BY MONTH CRUISER-METRIC SEASONAL AVERAGE PRICING BY MONTH SPORT BIKE SEASONAL AVERAGE PRICING BY MONTH SIDE-BY-SIDE Source: NPA 120% 110% 100% 90% 80% 70% 60% 50% 1 2 3 4 5 6 7 8 9 10 11 12 2012 2013 2014 2015 2016 5 Yr Avg Month 120% 110% 100% 90% 80% 70% 60% 50% 1 2 3 4 5 6 7 8 9 10 11 12 2012 2013 2014 2015 2016 5 Yr Avg Month 120% 110% 100% 90% 80% 70% 60% 50% 1 2 3 4 5 6 7 8 9 10 11 12 2012 2013 2014 2015 2016 5 Yr Avg Month 130% 120% 120% 100% 90% 80% 70% 60% 2012 2013 2014 2015 2016 5 Yr Avg 1 2 3 4 5 6 7 8 9 10 11 12 Month Source: NPA w w w . p o w e r s p o r t s b u s i n e s s . c o m NEWS: KTM North America's new president . . . . . . PAGE 3 FINANCE: Wells Fargo CDF industry study . . . . . . . . . PAGE 6 FOCUS: KBB: Top value-retention units . . . . . . . . . PAGE 12 CYCLE: Indian, Zac Brown Band give back . . . . . . PAGE 22 Tucker Rocky/Biker's Choice relieved about two dozen staffers of their duties in recent months. Tucker Rocky also recently decided to close its warehouse opera- tions in Oregon and Colorado, and consolidate inventory in its primary distribution centers. "Over the past three years, we have focused on our DC strategy and invested heavily in square footage, people, processes and technology to provide unparalleled service levels," said Dan Kent, vice president of Oper- ations. "Our facilities in Denver and Portland are smaller and do not have the space to support the technology and stocking strategies necessary to meet our current standards. Therefore, we are closing these DCs at the end of INSPIRING SUCCESS THROUGH MARKET INTELLIGENCE Wolf Pack united Black Wolf Harley-Davidson supports its Bristol, Va., community and expands its event offerings. SEE PAGE 30 HOTNEWS New American American LandMaster rebrands and announces 2017 models. SEE PAGE 18 Rookie's choice Managing editor Liz Keener shares her first experi- ence at the 2016 EICMA in Milan, Italy. SEE PAGE 21 Dealer meeting in China reveals ZForce 1000 EPS BY DAVE McMAHON EDITOR IN CHIEF Dealers described the trip as "once in a lifetime." And when the dealer meeting commenced, show- casing new models for 2017 at the company's headquarters in Hangzhou, China, those same dealers were awe-struck at the "legitimacy" of the event: an audio and visual presentation that ranked up with any OEM presentation they had ever seen; cultural entertainment that caused many dealers' phone batteries to run low due to the extensive video recordings; and, most important, the new models and pricing — those all combined to bring good cheer galore from a world away from home. Yes, it's safe to say that the 2017 CFMOTO Dealer Meeting was a supreme mix of business and pleasure, and the industry's leading indepen- dent voice had a front-row seat for the journey as the lone media invitee. Charles Ni, chief sales officer, shared some important data with dealers. CFMOTO has been the No. 1 supplier of ATVs in China for the past five years, in addition to being the leading manu- facturer of large-displacement motorcycles in China. More than 15 percent of the company's employees are staffed in the research and devel- opment department. In fact, CFMOTO's commit- ment to R&D since 2012 has grown by more than 189 percent. Dealers also learned that U.S. sales growth doubled in 2015. Dealers were treated to a tour of the massive See CFMOTO, Page 5 Service techs to benefit from new Wisconsin center BY KATE SWANSON ASSISTANT EDITOR Sturtevant, Wisconsin, has served as a home for BRP's Evinrude boat engine manufacturing facility for many years, but now it will also host a state-of-the-art powersports training facility as well. The new North American training insti- tute serves as a facility where dealers and their employees can be trained to maintain and repair all vehicles in BRP's product lineup. In celebration, BRP hosted a ribbon cutting at its Sturtevant facility in November, with promi- nent BRP members and employees alike. Alain Villemure, vice president and general manager of BRP's Marine Propulsion Systems division, and Martin Soucy, vice president of BRP's global aftersales, described how the facility will benefit BRP and its dealers. Soucy explained that the proximity of the training facility with BRP's existing Evinrude manufacturing plant is no coincidence. Previ- ously, training had occurred at BRP's offices in PSB: FOCUS Auction/Pre-owned SEE PAGE 10 BRP opens North American training facility See BRP, Page 4 See Hot News, Page 3 December 26, 2016 • Volume 20, Number 1 • $3.99 BRP celebrated the grand opening of its North American training facility with a ribbon cutting in November. BRP's Martin Soucy (center left) and Alain Villemure (center right) were present to cut the ribbon. 2017 MODEL CFMOTO DEALER MEETING CFMOTO's growth, partnership on stage Tucker Rocky layoffs hit two dozen staffers First stop on the tour of Hangzhou, CFMOTO's hometown, was the Lingyin Temple, a Buddhist temple that is known for its grottos and rock carvings. The writing on the yellow wall translates roughly into "Western Paradise Within Reach." CFMOTO unveiled the ZForce 1000 EPS Sport UTV dur- ing its U.S. dealer meeting in Hangzhou, China.

Articles in this issue

Links on this page

Archives of this issue

view archives of PowerSports Business - December 26, 2016