Arrgghhhhh! Every week. We don’t have enough inventory. Can’t get any. Making record margins on the stuff we can get.
Here is the key fact that dealers don’t realize. If you had the ability to get all the inventory you wanted, so would your competition. When that happens, those record margins would be destroyed by the usual market discounters. Discounting is a tool used by untrained sales staff and dealers who never learned how to sell. As I still see some of the discounters giving product away, it is clear the pandemic hasn’t changed that part of the equation. All of you get the inventory you want, and it wouldn’t take long and we’d be back to trying to figure out how to sell the unsellable.
There’s also the situation of “ghost customers”. That guy or gal who checked 8 dealers looking for that specific model is only going to buy it from one dealer when it arrives.
On average, powersports dealers total revenues are up about 22% YTD. Nets are up close to 37%. It’s been a good year, why ruin it? Take some time. Do some training with your team. Learn how to take down payments on the vehicles you have on order. Keep your flooring low and your margins high. It’s different I know, but it works.
#powersports #Marine #RV #Spader