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Motorcycle DealersPublished by: First Research, Inc. Published: Sep. 29, 2008 - 10 Pages Table of Contents
AbstractMotorcycle dealers include about 4,500 stores with combined annual revenue of $15 billion. No major companies dominate; most dealers have a single retail outlet. Large dealers, like American Powersports, are regional and consist of 20 or fewer stores. The industry is highly fragmented: the 50 largest companies represent just 10 percent of industry sales.COMPETITIVE LANDSCAPE Discretionary personal income and interest rates drive demand, since motorcycles are high-ticket purchases and often financed. The profitability of individual companies depends on volume and sales of higher-margin goods like heavyweight motorcycles. Large dealers have advantages in broad inventory selections and negotiating power with manufacturers. Small dealers can compete effectively by providing superior customer service or offering unique services, like bike customization. Annual sales per employee average $300,000. Major competitors include private market sellers, other recreational vehicle dealers, service center chains, and independent service shops. PRODUCTS, OPERATIONS & TECHNOLOGY Major products include new and used motorcycles, scooters, motorbikes, ATVs, and snowmobiles. New motorcycles, scooters, and motorbikes account for 60 percent of sales; used products for 15 percent; ATVs, snowmobiles, and golf carts for 15 percent. Other products include boats, jet-skis, and go-carts. Apparel, parts, and accessories are known as aftermarket products. Most products sold by motorcycle dealers are known as power sports products. Many dealers offer repair, maintenance, customization, installation, or insurance services. Touring and cruiser motorcycles are designed for comfort and long distance rides. Custom motorcycles emphasize style and ... Get Full Details About This Report >> |
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