Issue link: https://read.dmtmag.com/i/410960
16 • October 6, 2014 • Powersports Business NEWS www.PowersportsBusiness.com Dealers should notice little change with new company BY LIZ KEENER MANAGING EDITOR What was formerly known as ADP Lightspeed is now operating under a new name with a new company. Though the powersports, marine and RV division of the new company will keep the Lightspeed branding for its products, the divi- sion will be known as CDK Global Recreation. The change comes as the Dealer Services portion of ADP has spun off into a new Delaware corporation now known as CDK Global, Inc. "There's enough uniqueness to the market, customers and products that the decision was made to spinoff the Dealer Services division," Greg Smith, VP/general manager of CDK Global Recreation, explained to Powersports Business. The name was developed as a combination of elements that the new company thought defined its new business. The C stands for Cobalt Digital Marketing, a digital marketing company in the automotive segment that ADP acquired several years ago. The K also stands for an acquisition, as Kerridge Computer Com- pany was acquired in 2005. The D stands for the 40-year-old Dealer Services segment. With the Sept. 30 spinoff, CDK Global has its own stock ticker, board and leadership, separating itself from ADP. Though the new company is smaller than it used to be, Smith pointed out that it's still a significant-sized busi- ness with $2 billion in revenue. "We will be well capitalized. We expect to have good bond ratings. We expect the stock to be received well, and we'll be funded well enough that we can continue to invest and grow the business," he said. As for any change deal- ers will see, Smith says those will be minimal. Dealers' bills will likely say CDK Global instead of Lightspeed, and the person answering the phone, though familiar, will probably identify the company as CDK Global Recreation, but little else will change. "One of the cool things about Lightspeed is we already were a fully functioning com- pany within ADP, and we'll remain that way with CDK Global," Smith said. "Nothing is going to change from management or an organizational standpoint, so today there's Lightspeed, we're about a 150-associate com- pany. We have our own R&D; we have our own implementation; we have customer sup- port; we have our own sales group; we have dedicated HR and finance. We're a com- plete standalone organization. None of that is going to change. So all the people that our clients are used to doing business with are still here; we're still set up the same way we were set up in the past, so I think as far as that goes, nothing will miss a beat." The name change from ADP Lightspeed to CDK Global Recreation reflects CDK's desire to leverage its new brand. Each division within CDK will have a name of CDK Global followed by a word or phrase that describes its segment. "We looked at our markets — powersports, marine, RV," Smith said. "What we kept com- ing back to is they all serve kind of a recre- ational market — people who want products that will allow them to do recreation, enjoy their vacations or time off, whether it's on the water or woods, or over the hills." Though CDK Global Recreation will be the primary branding for the powersports, marine and RV division, the Lightspeed name will also be used when naming products. "We are going to continue to use the Light- speed name because it's so well known. What we're going to do is to continue branding our products with the Lightspeed name. We have products like Lightspeed NXT or Lightspeed EVO or Lightspeed CEM, and that's what we'll Lightspeed joins ADP spinoff CDK Global GREG SMITH Paul Devine has joined S&S Cycle as vice president of sales. "Paul brings a wealth of experience and the skillset required to keep S&S Cycle moving forward and to maintain our leadership posi- tion in the V-twin high performance market," said Steve Iggens, president of Viola, Wis.- based S&S Cycle. Devine started riding motorcycles at age 8 and is a self-proclaimed fanatic, having logged more than 100,000 miles. Over the years, he has held leadership positions in companies including Harley-Davidson Motor Company, Buell and SuckerPunch Sally's. "I couldn't be more excited to join the S&S team," Devine said. "As a rider and powers- ports professional, it's a dream come true. I am blown away by the company's 56-year history of innovation, its talented and dedicated team, and the unsurpassed quality of its products. Over the coming months, I look forward to meeting our customers, dealers and distribu- tors. With their help, we will work to expand the S&S brand and spread the message of Proven Performance industry wide. I espe- cially love that S&S Cycle is located in Viola. This area has some of the best riding roads and scenery in the world!" In partnering with the S&S dealer net- work, distributors and those with their hands on the throttle, Devine is excited by future growth opportunities. "We want to reenergize our markets and advance awareness for the excellent value proposition that is S&S Cycle," Devine said. "There is a reason we are at the forefront. Every day we set out to exceed our reputation and to earn your trust. You'll never go wrong when you insist on the best!" PSB Devine named S&S Cycle VP of sales "We will be well capitalized. We expect to have good bond ratings. We expect the stock to be received well, and we'll be funded well enough that we can continue to invest and grow the business." Greg Smith, VP/general manager CDK Global Recreation See CDK Global, Page 17 Paul Devine has been named vice president of sales at S&S Cycle.