Nothing has changed in that regard for the last few decades.

Time to accept that and happily shop away online without leaving our house.

 

I think you totally miss the concept of my earlier post.
If a dealership is in a large demographic, say Atlanta.
In Atlanta there are 25k Harley riders. (hypothetical numbers here, making my point is all)
Of those 25k riders, 18k of them buy big ticket parts online.
As a dealer, which I'm not, but in either case, I'm not stupid...I'd MUCH rather those sales be brought to my store than the internet.

You've got to be bullshittin' if you think ANY dealership wouldn't want those sales.
If ALL dealers offered a discount worth anything, the sales would stay home and these dealers wouldn't be struggling.
Nobody would be buying over the internet OR having to drive 300+ miles as you mention.

These dealers are killing themselves.
The money is being spent on these bikes.
They just don't want to change their mindset and get it.
It's a no-brainer.

 

And that thought process is what has brought the demise of this country.

 

Stopped at Zanotti's just last Sunday. Talked to the parts salesman. He would not give me the 20% discount in the store. I am only able to get that if I purchase online. Doesn't make any sense to me.

 

It should make sense. The answer is obvious. Read all the posts. Some of them hit the nail right on the head.

Actually, the opposite is what brought the demise. Over paying for **** that is readily available for less, overextending yourself to do so.

Perhaps if more buyers looked for the better prices,..... and more sellers looked for the lower overhead,......

 

Yes, ANY dealership would want those sales. However under todays current Harley Davidson business model it's pretty obvious they don't want those sales. Seems kind of silly doesn't it but let's make the assumption all of the dealer owners aren't stupid. Why then don't they want the increased business you refer to?

Simple answer: Because they are unable to increase their volume using let's say 20% discount without discounting their current business. The numbers just aren't there. Let's say one of those Atlanta dealers is currently doing $10,000,000.00 in parts business at 40% gross profit. Of course any dealer would like another $5,000,000 (hypothetical) at 25% gross profit (20% discount) however how do you access that business without discounting your current business. If the dealer ends up with $13,000,000 (20% off $10,000,000 + $5,000,000 new dollars) he ends up making significantly fewer dollars at the new higher volume than he did originally. ($2,600,000 vs $4,000,000).Anyone on this forum interested in making fewer dollars for working more?

How do you successfully accomplish that. You break your dealership into 2 parts; over the counter sales and internet sales. Two different departments, 2 different sets of employees. Over the counter business is MSRP and Internet sales is 20% off. Guy comes in to buy an exhaust he pays MSRP (or close). Same guy places an order on the internet, his questions/calls are only answered 2 hours a day and he gets a 20% discount plus has to pay shipping even if he lives a mile from the dealer. Sound familiar??? Can you say Zanotti's. Walk into Zanottis and demand the 20% discount and they will laugh you out of the building. Try and return something in person to Zanottis that you bought online. More laughter. Not knocking Zanottis business model. I'm a big fan.

The sales will stay home, half of the dealers will go out of business and the remaining will eventually revert to charging MSRP. Right now we have the best of both worlds.

 

If a dealer went to the discounter model (Zanotti, Lake Shore, etc.) they would eventaully build up an online clientele that exceeds their counter sales business. Doubt that? Well, I will probably never set foot in Zanotti's brick and mortar establishment (they're over 2,000 miles from me), but I've spent a bit of loot with them online.

What would stop a dealer from discounting sales from their website but then allowing a customer the option of having the part shipped or local pickup at the counter?

Implementing a new business model always carries some expense, but having a long-term vision to employ a strategy that increases the bottom line is just good business management.

Fact is, there are always gonna be guys who will pay MSRP for all of their parts at the local dealer, and this model doesn't impact that segment of the business. That same segment also likely has the dealer do every bit of service too.

 

I would much rather do business with a person face to face than over the internet, but until these Dealers wake up and realize all the potential "volume" they are losing, I will continue to shop online.
The key word is volume. Volume = $$$$. They are so wrapped up in making a quick profit that they are losing sight of the big picture.

My latest conversation.....How much are the wheels? $749. I can get them for $602 online, will you give me free installation if I buy from you? Sorry, that special is only for MVP members. Can you match their price? No. So in other words, I pay full price and then pay full installation? Yup

Their business must be great to not work a deal for a sale.

 

Bingo.

I speculate that many buyers have no clue that an internet alternative exists, and there's always the group that is comprised of impulse buyers - they walked in that store with no clue of buying anything specific, and walk out with $200 worth of doodads.

We're seeing a free market economy at work, and it's a beautiful thing. When more customers start buying online, you'll start seeing the locals discounting. As more dealers start an online business and start competing for business, margins will be tougher to maintain and discounts will have to decrease to keep profitable.

 

to be honest, i never go to a dealer. i have a shovel and harley likes to pretend they don't exist anymore so i have an independent shop where i get my parts. harley does have to realize that they're not the only game in town. a friend of mine has a twin cam and harley wants to charge him 1000.00 to put apehangers on(doesn't want to tackle it himself). the indie shop will do the same job for about half that (or less), using a wiring harness as good as that from harley and top brand name cables. i'd rather support the indie shops than anybody. quality is what you ask for, prices are where they should be, and they don't look like a clothing boutique