Issue link: https://read.dmtmag.com/i/626951
FOCUS PSB Service Dept. 14 January 25, 2016 • Powersports Business www.PowersportsBusiness.com Motorcycle dealers especially strong in Q4 BY LIZ KEENER MANAGING EDITOR Service was a positive department for many dealers throughout 2015. Most dealers reported their service department was average, somewhat strong, or very strong in each quarter of the year. In the most recent quarter, Q4 2015, 40 percent of dealers participating in the Powersports Business/RBC Capital survey reported their service departments were somewhat or very strong. Another 37 per- cent reported their service departments were average for the three-month period running October through December. Q4 BY SEGMENT Dealers who carry side-by-sides, ATVs, snow- mobiles, motorcycles and PWC all saw average or somewhat/very strong fourth quarters in their service departments. (Dealers in this area may be counted more than once if they carry more than one type of vehicle.) The largest percentage of dealers (40 per- cent) reporting somewhat or very strong service departments came in the motorcycle segment. Another 36 percent of dealers were average for the quarter. Side-by-side and ATV dealers reported simi- lar numbers as each other, which isn't surpris- ing, since most dealers in one category sell the other as well. Thirty-six percent of side-by-side dealers were somewhat or very strong in ser- vice in Q4, while 39 were average. Thirty-five percent of ATV dealers were somewhat or very strong, and 40 percent were average. Snowmobile dealers were mostly average, with 48 percent giving their service department that ranking in the fourth quarter. Another 34 percent were somewhat or very strong, while only 18 percent were somewhat or very weak in the service department. Twenty-nine percent of marine (PWC) deal- ers who took the survey were somewhat or very strong in service during the quarter, while 44 were average. FULL YEAR 2015 During Q3 2015, 46 percent of dealers had somewhat or very strong service departments, and 37 were average. In Q2, nearly half — 49 percent — of dealers polled said their service departments were somewhat or very strong, while 37 percent rated the department average. That quarter no one reported a very weak ser- vice department. Q1 2015 was the least successful quarter of the year for the service department. During the first three months of the year, only 29 percent of dealers reported having somewhat or very strong service departments, while 44 were average, and 27 had somewhat or very weak departments. Q4 2015 almost mirrored Q4 2014, except 2 percent of dealers moved from somewhat or very strong to average in Q4 2015. During the prior year's fourth quarter, 42 percent of dealers reported somewhat or very strong departments, while 35 percent were average. Twenty-three percent were somewhat or very weak in Q4 of 2014 and 2015. PSB Dealers report strong 2015 in service Slovenian specialists to unveil selected bike, car systems Akrapovič is marking an important milestone in the company's history in 2016, when the Slo- venian exhaust specialist is observing its 25th anniversary. This significant landmark will be celebrated throughout the year with various events and the highly exciting production of a very limited edition of selected motorcycle and car exhaust systems. To kick off the celebrations, Akrapovič has prepared a special logo to mark the occasion, featuring an interlocked "25" in the shape of a racetrack, with a chicane design element to honor one of the most important areas of the firm's history: the highly emotive and exciting world of racing. The logo debuted on the 2016 Akrapovič calendar, with creative illustrations that reflect some of the company's major mile- stones since its inception in 1991, when it was founded by Igor Akrapovič. The new logo will be featured prominently through the season on all of Akrapovič's two- and four-wheel racing platforms around the world, including MotoGP, WSBK, Super- cross, Super Stock, MXGP, EWC, DTM and FIA WEC. The first race to see the new design was the Supercross season opener at Anaheim, Calif., with Red Bull KTM Factory Racing rider Ryan Dungey (the reigning 2015 champion) along with teammates Marvin Musquin and Dean Wilson all riding with the 25th anniversary logo on the exhausts of their KTM 450 SX-F Factory Edition bikes. "This is not only a momentous event for the company, but also a very happy and reward- ing one on a personal note for me," owner Igor Akrapovi č said. "When I started making exhausts for myself and some racing friends back in the early 1990s, I never envisaged that the company would become what it has or achieve so much in both the commercial and racing worlds. All this has been realized through dedication to be the best and the unstinting belief and hard work of the loyal Akrapovič workforce, and I would person- ally like to thank all of those who have been responsible for getting us to this point. Impres- sive honors such as Red Dot: Best of the Best are a true recognition of everything that the whole workforce contributes to making the company number one, and the pride shown in every product demonstrates this commit- ment. Racing has always been the lifeblood of Akrapovič, and so to go into our 25th anniver- sary with 100 world champions to our name is a fantastic and almost unbelievable success — I believed we would be able to make competitive exhausts, but to have so many champions is almost beyond what I could have imagined!" Since the company's humble beginnings in the early 1990s, Akrapovič has gone from strength to strength. The first major milestone in its history came in 1993, with entry into international competition in the Pro Superbike and later WSBK championship, leading to a partnership with Kawasaki Deutschland after the Akrapovič system outperformed the factory version. Continued expansion in high-level racing led to the company achieving its first vic- tory on the world stage in 1997, when Japanese factory rider Akira Yanagawa won a WSBK race on a Kawasaki. On the retail side, Akrapovič designed and offered customers full titanium exhaust sys- tems for Kawasaki and Yamaha sport bikes in 1997 — a product that has grown and become more innovative and widely available to a diverse range of motorcycles as the company has evolved. In 1999 the company moved to bigger prem- Akrapovic commemorates 25 years of exhaust technology See Akrapovic, Page 15 SERVICE DEPARTMENT RANKING BY QUARTER SERVICE DEPARTMENT RANKING BY SEGMENT IN Q4 2015 !"#$%&"'(")*#+,"-+'.*-/%-0'12'34*#+"# 9% 8% 12% 8% 7% 33% 21% 37% 38% 33% 35% 44% 37% 37% 37% 20% 20% 14% 15% 21% 3% 7% 2% 2% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Very Strong Somewhat Strong Average Somewhat Weak Very Weak !"#$%&"'(")*#+,"-+'.*-/%-0'12'!"0,"-+'%-'34'5678 8% 6% 5% 5% 32% 30% 30% 31% 24% 36% 39% 40% 48% 44% 21% 22% 22% 15% 20% 3% 3% 3% 3% 7% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Motorcycle Side-by-Side ATV Snowmobile Marine (PWC) 3% Very Strong Somewhat Strong Average Somewhat Weak Very Weak Source: Powersports Business/RBC Capital Markets Q4 2015 dealer survey Reigning AMA Supercross champion Ryan Dungey uses Akrapovic exhaust on his KTM.