G oog le BadWeB | Login/out | Topics | Search | Custodians | Register | Edit Profile

Buell Forum » Quick Board Archives » Archive through June 30, 2009 » Are discounting dealers KILLING the brand???? « Previous Next »

  Thread Last Poster Posts Pages Last Post
Archive through June 11, 2009Daves30 06-11-09  08:45 pm
Archive through June 11, 2009Wolfridgerider30 06-11-09  02:11 pm
Archive through June 09, 2009Cityxslicker30 06-09-09  05:09 pm
         

Author Message
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Thursday, June 11, 2009 - 08:49 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

City, you sold 240 Buells per year? Man, I bow to you. Good job!
Even with some HD sales in there that is an impressive average.
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Thursday, June 11, 2009 - 08:50 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

"I'm sure Gander does the same thing once in a while?"

Absolutely, but not on high dollar, low margin items like firearms. We don't even get a discount on those, unless our Mother Ship allows it or the mfg puts one through for employees.
Top of pagePrevious messageNext messageBottom of page Link to this message

Ft_bstrd
Posted on Thursday, June 11, 2009 - 08:55 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

The margin isn't a constant. Lower priced bikes have a much slimmer margin. Higher priced bikes have a larger margin.

Cars are the same way.

A Civic doesn't have the same percentage margin as an Accord. An accord doesn't have the same margin as a TL.

A Blast doesn't have the same margin as a CVO.

And no, a $20,000 car doesn't have a 30% margin built in.
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Thursday, June 11, 2009 - 09:13 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Geesh, I always thought firearms had at least 200% markup! (smile)
Thanks for setting me straight.
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Thursday, June 11, 2009 - 09:20 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

"Lower priced bikes have a much slimmer margin"

I don't agree, example the Blast. Buell's msrp is 5 grand. How much do you think a dealer paid for it? 3500? That's 30%. If a dealer paid 4k, that's still 20%. The profit isn't larger, but the margin still holds true.
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Thursday, June 11, 2009 - 09:31 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

at least up until 07, there was not 1000.00 profit in a Blast.
Top of pagePrevious messageNext messageBottom of page Link to this message

Brumbear
Posted on Thursday, June 11, 2009 - 09:32 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

The only one givimg big discounys seems to be the guy who really does not seem to want them on the floor in the showroom.
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Thursday, June 11, 2009 - 09:48 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Bingo!
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Thursday, June 11, 2009 - 09:56 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Not true. Suburban HD up here has been a great Buell dealer and shop. So has Hal's, both have had 08 1125r's for 8k.
Top of pagePrevious messageNext messageBottom of page Link to this message

86129squids
Posted on Friday, June 12, 2009 - 12:31 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

This has got to be one of the greatest threads EVAAAAARRR.

Don't F with Daves. He knows of what he speaks, whether or not he divulges to youn's.

Wow, lots of my bones and joints crack when stretched. Feels guud.

Carry on.
Top of pagePrevious messageNext messageBottom of page Link to this message

Cityxslicker
Posted on Friday, June 12, 2009 - 04:17 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

It was 1200 bikes total, Buells were less
2003 -3
2004- 12
2005- 22
2006- 29
2007 22
2008 19
They were about 10% of my annual sales
Top of pagePrevious messageNext messageBottom of page Link to this message

Wolfridgerider
Posted on Friday, June 12, 2009 - 06:52 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

These aint 08's and thats the issue....
as soon as they hit the floor.... discount...






Top of pagePrevious messageNext messageBottom of page Link to this message

Blake
Posted on Friday, June 12, 2009 - 08:22 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

But how much is added for freight, dealer prep, and documentation?
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Friday, June 12, 2009 - 08:53 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

What dealership is this?
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Friday, June 12, 2009 - 08:56 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

I think we all already agreed that blowing out left overs isn't the problem and something that just has to be done. The dealers with leftovers need to monitor their inventory better. It is a hard, fine line and sometimes you get it right other times not.

Yes, they can pick up some profit on the "fees"
I think freight from the factory was about 250.00 it is probably more now. I know my shipping costs have gone up in the last 2 years on products I get charged freight on.

Most sales depts are going to get a bill from the shop for about another 200-250.00 for the setup. Some will claim that the money for that is still staying in the dealership and that is true. But, the dealership does have to pay someone to unload,uncrate, setup and wash the bike before it can go on the showroom floor or be sold so there is some real cost in there. It is not all profit.
So, let's just say about 500.00 total cost on frt and setup.
Anything above that is added profit for the dealer.

The ever popular "Doc" fee. That helps the dealer too. But again, none of the office people I know work for free and office people do not actually generate any income for the dealership so money to pay them has to come from somewhere.

It is not as simple as it seems.

City, still impressive numbers. 240 bikes per year is a lot of bikes no matter which ones they are.
How many bikes per year did the dealership sell?
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Friday, June 12, 2009 - 09:49 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

When I go to the grociery store to buy bread the price is 1.99. Not 1.99 + frieght + stocking fees + setup.

Its ridiculous and makes dealers look like thieves.

(Message edited by Buellinachinashop on June 12, 2009)
Top of pagePrevious messageNext messageBottom of page Link to this message

Wolfridgerider
Posted on Friday, June 12, 2009 - 10:06 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Every time I sell a load of building material its

cost of goods +
freight +
crating charge +
tax =
total charge to customer
Top of pagePrevious messageNext messageBottom of page Link to this message

Ft_bstrd
Posted on Friday, June 12, 2009 - 10:13 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

When I go to the grociery store to buy bread the price is 1.99. Not 1.99 + frieght + stocking fees + setup.

You WANT those fees to be separate when buying big ticket items for sales taxes. If those fees are wrapped up in the price, you will pay taxes on the extra costs.

The dealer must pass those costs on because THEY incurred them.
Top of pagePrevious messageNext messageBottom of page Link to this message

Court
Posted on Friday, June 12, 2009 - 10:24 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

It's fun right now in the Porsche world since Porsche had a "4 month" 2009 model year. Mant dealers currently have 2008, 2009 and 2010 models in stock which makes for some killer deals . . .like $20,000 off.

The current thought is MSRP less 12% less $5,000.

Motorcycles may be similar. I've always asked for a fair deal, not the cheapest and have always been very satisfied.
Top of pagePrevious messageNext messageBottom of page Link to this message

Daves
Posted on Friday, June 12, 2009 - 11:10 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

"I've always asked for a fair deal, not the cheapest and have always been very satisfied"

And there you have it.
If you don't like the price, the fees, the dealership, the salesperson, the color of the building, then don't buy your bike there.

Everything you buy has all of the costs involved added in, plus profit. Some industries it's figured in the price, some add it on. Doesn't make any difference, we all pay it one way or another if we agree to buy that product.
Top of pagePrevious messageNext messageBottom of page Link to this message

Buellinachinashop
Posted on Friday, June 12, 2009 - 11:53 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Lesson learned. If and when I buy a new bike...pay for set-up and frieght up front and dont put it in the loan. Or pay for them with interest.
Top of pagePrevious messageNext messageBottom of page Link to this message

Court
Posted on Friday, June 12, 2009 - 12:31 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

>>>If you don't like the price, the fees, the dealership, the salesperson, the color of the building, then don't buy your bike there.

My wife did precisely that last week . . . she went to replace her MB CLK350C with a 2009 . . . was sitting at the sales gal's desk with a checkbook open and the gal started into the "what do you want to pay?" and the "I'll have to talk to my sales manager". We never do business with anyone who lacks the authority to make the deal. . . I mean THAT'S why we're there.

She walked.
Top of pagePrevious messageNext messageBottom of page Link to this message

Cityxslicker
Posted on Friday, June 12, 2009 - 02:54 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

I sellz some bikes. I usually keep my eye on my own ball. The only month I ever got beat was the moth I took 3 weeks off for vacation

We are in a 'down' economy and I am on track to do 280-300 this year without breakin a sweat. We started feb 1 and closing the doors Nov 1; so we are seasonal, and it more like 280-300 in 9 months.
Again, I sellz some bikes. I came from insurance/estate planning industry, not the car industry, so its a totally different work model, networking management, and follow up program. bikes are easy, try talking someone into a new handlaid mohagany casket.
Top of pagePrevious messageNext messageBottom of page Link to this message

86129squids
Posted on Friday, June 12, 2009 - 04:22 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Wow, CityX- I've always wondered about that kind of sales.

When my dad died, I left Nashville with my grandfather headed to Pasco county FL to deal with it. Had a snafu dealing with the death certificates, was kindly offered the use of a vacant desk at the funeral home (part of a chain) to make the calls I needed to make. Happened to look around the desk I was sitting at, got a thorough look at a flier showcasing all the several dozen sales leaders in the funeral biz for that quarter/whatever time period.

Weird, surreal, left a strrange taste in my mouth. So to speak.
Top of pagePrevious messageNext messageBottom of page Link to this message

Cityxslicker
Posted on Friday, June 12, 2009 - 08:22 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

wanna know where the real 'killing' in sales is? its there
Burial plot 700.00-15k plots with a 'view are of course more'
Prices go up if you are in a above ground mausoleum.
Hole to dig 595
concrete floor 875
crypt walls (optional) 275 per wall
minimal casket, 3598 (nobody ever bought that one) average casket 12k
filling the hole 595
head marker stone 1k - to what ever your grief causes you to spend
service, 350 for seating and site, minimum
pastor, market donation rate
flowers 600- to what your grief makes you spend
the hearse 795 plus mileage
The SUV "Dubbed" hearse 1295 plus mileage

Average commish 3500-5000
These are numbers from 10 years ago, the industry average says that cost doubles on realestate every 10, and goes to a + 1/3 every 7 on services. Its a very lucrative field. It does teach you cold call skills, network skills and of course referrals make the biz. If you werent booking and holdin 6-10 'events' a month you didnt keep your spot. Also sold 'pre-need' plans where you could lock in todays prices for current monthly payments and installments to defer the end big price tag....one of the toughest gigs out there. I did it for two years.
Top of pagePrevious messageNext messageBottom of page Link to this message

Oddball
Posted on Friday, June 12, 2009 - 09:03 pm:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

I already told my parents I'm sending them on a year long medical tour when the time comes. They come back in a little box all for nuttin.
Top of pagePrevious messageNext messageBottom of page Link to this message

Froggy
Posted on Sunday, June 14, 2009 - 12:10 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Slicker, would it be perfectly legal for someone to just dump my body in a river and call it a day? I have always though funerals were a scam.
Top of pagePrevious messageNext messageBottom of page Link to this message

Cityxslicker
Posted on Monday, June 15, 2009 - 02:08 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

In the history of doing it, I am sure that it has happened. There was a funeral home in Yakima that got busted for recycling caskets. Most of the funeral homes and mortuaries are all chains. They all have their standard ISO 9000 guidelines and what have you.
Actually it wasnt that bad of a gig, I never saw a corpse or had any dealings with them. For me it was really purely administrative.
There is a point where it does get to you though, the turn over in the industry is pretty high.
Top of pagePrevious messageNext messageBottom of page Link to this message

Oddball
Posted on Monday, June 15, 2009 - 09:42 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

Thinks of that WKRP episode......

"One day, your gonna buy it...."
Top of pagePrevious messageNext messageBottom of page Link to this message

4cammer
Posted on Monday, June 15, 2009 - 11:48 am:   Edit Post Delete Post View Post/Check IP Print Post    Move Post (Custodian/Admin Only)

A little off topic but.......yes the funeral industry does seem a bit creepy, money-hungry and cold, but there are some very compassionate ones out there. We lost our son Caedin June '02 and the funeral home that we were suggested to contact handled the service and his cremation (we wanted him home with us) at no cost, and they do the same for all instances where a child has passed. Helped us quite a bit at a terrible time.
« Previous Next »

Add Your Message Here
Post:
Bold text Italics Underline Create a hyperlink Insert a clipart image

Username: Posting Information:
This is a private posting area. Only registered users and custodians may post messages here.
Password:
Options: Post as "Anonymous" (Valid reason required. Abusers will be exposed. If unsure, ask.)
Enable HTML code in message
Automatically activate URLs in message
Action:

Topics | Last Day | Tree View | Search | User List | Help/Instructions | Rules | Program Credits Administration