Author Topic: The Foggy Future?  (Read 5612 times)

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firecaptp7

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on: November 20, 2015, 06:43:45 pm
 :)
« Last Edit: March 05, 2016, 05:37:17 pm by firecaptp7 »


Ice

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Reply #1 on: November 20, 2015, 07:40:16 pm
From what I’ve gathered it seems that most, if not all, current RE dealers in the USA will be kaput effective December 31st. But the list of future dealers seems to be classified top secret? It’s only my humble opinion, but doesn’t seem like the best possible start/transition for RENA. Doesn’t seem fair to the current dealers who are hoping to continue or to current and wanna be owners who are trying to make plans. Oh well ....
Edit

 Where did you here that ?
« Last Edit: November 21, 2015, 03:38:34 am by Ice »
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tooseevee

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Reply #2 on: November 20, 2015, 08:21:31 pm


                   Ice -- No comment?  ??? ???
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The Old Coot

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Reply #3 on: November 20, 2015, 09:32:48 pm
                   Ice -- No comment?  ??? ???

He's speechless!   :o
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dginfw

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Reply #4 on: November 20, 2015, 10:27:32 pm
I was told not all dealers, but a good portion. They are keeping a few
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Richard230

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Reply #5 on: November 20, 2015, 10:39:16 pm
The dealer that I go to occasionally deserves to get the boot. They can sell the bikes, but can't service them or seem to be able to order parts. But I don't know where they will find another dealer in my area to pick up the slack.

My guess is that RE is going to squeeze their dealers to make them invest big bucks into their showrooms, sort of like H-D and BMW have done in the past.  I am not sure how that is going to work out for them, though.  The RE dealers that I have seen appear to be more "mom and pop" stores and are not going to have a lot of resources to turn their shops into bling boutiques. Next year should be interesting.....
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Arizoni

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Reply #6 on: November 20, 2015, 11:21:45 pm
I'm sure RENA has great and wondrous plans that sound great while sitting on your ass in the Board Room but at the moment, outside of India, Royal Enfield is a very small company surrounded by giants.

If they think shutting down the Mom & Pop stores and replacing them with huge glitzy showrooms they have a long, uphill battle ahead of them.

To build one of those showrooms can easily cost over $100000 USD in addition to the cost of leasing the store site.
The typical cost in my area for a 2500 sq/ft strip mall site is over $45,000 USD/year.
That makes the cost/year over $50,000/year if the $100K loan was at 6% and this doesn't include anyone's salary (including the owners).
Whoever, will have to sell a hell of a lot of Royal Enfields to just break even and feed their family.
Some of the big, established sites already carry major brand motorcycles and (I've heard) some like Harley, when asked to carry a competitive brand in their stores will not only say, "No" but they will say "HELL NO".

As I say, the idea of a Royal Enfield superstore sounds good in a Board Room but it is in reality, "a long row to hoe".
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Ice

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Reply #7 on: November 21, 2015, 03:37:33 am
                   Ice -- No comment?  ??? ???

I dunno where the letters went or what I've done incorrectly. " where did you here that" was what I had typed in before clicking post.
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malky

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Reply #8 on: November 21, 2015, 10:15:38 am
Pretty much the same thing happened in the U.K. when the importer changed. Two dealers told me the same thing, they weren't dumped as such but the new stocking regime and demo bike requirements didn't fit in with their business model so they gave up the brand. RE must have spent a fortune since the change on high profile advertising, double page ads in top selling magazines etc. Before my nearest dealer was 65 miles now it's 10, and they are very good. So things don't always work out worse.
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Ice

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Reply #9 on: November 21, 2015, 12:06:08 pm
I was told not all dealers, but a good portion. They are keeping a few

 By whom ?
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tooseevee

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Reply #10 on: November 21, 2015, 04:12:02 pm


Some of the big, established sites already carry major brand motorcycles and (I've heard) some like Harley, when asked to carry a competitive brand in their stores will not only say, "No" but they will say "HELL NO".

As I say, the idea of a Royal Enfield superstore sounds good in a Board Room but it is in reality, "a long row to hoe".

            The harley D Motor Company policy goes back a hundred years when the little harley shops were paid by the Motor Company to destroy any Indian traded in on a harley.
Then much later they put hundreds of little harley shops, who had supported harley for years, out of business by turning lawyers and trademark law loose on them and burying them in paper. Then they forced bigger dealers to create multi-million dollar boutique showrooms they have now full of already sold bikes and Chinese clothes and leather and goodies or get out. I haven't been able to make myself go into a HD dealership since 1982. The few times I had to when I was totally rebuilding my '80 FXS I hated every minute being in there.
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Ice

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Reply #11 on: November 21, 2015, 05:39:14 pm
Ice -
By whom? By a number of different dealers located in several states that I have contacted and asked ... I hardly think what's going on is a secret. It's in the industry media. It's been discussed on this and other forums. I'm hoping to learn that a good dealership will open within a reasonable distance of my home. RENA only responds to requests by referring us to the current dealer list ... which contains dealers who are no longer RE dealers? While fueling up or parking my C5, I've been asked by several curious "potential" RE riders where to see and buy one. Seems like a legitimate question to me?
Are you a dealer perhaps, Ice?

 Yes sir, by whom. It is an honest question asked again out of curiosity the same as before.
Who are these dealers with whom you have spoken with so that we may ask them too ?
 "most, if not all, current RE dealers in the USA will be kaput" would be a bold move on RE's part. Where precisely may we find references to this in the "industry media" so that we may read it for ourselves ?

 No sir I am not a dealer but I may have gone through as many parts and supplies as some dealers  :o
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Ice

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Reply #12 on: November 22, 2015, 01:02:20 am
 Nor am I looking to stir up trouble either but I do think we are off on the wrong foot here as so to speak. Just to clear the air at no time did I imply or accuse you of being a conspiracist.

 Now with that out of the way what I am trying to discern here by reasoned deduction for the obvious reasons is the validity or invalidity of most, if not all, current RE dealers in the USA going kaput.

 Agreed that IF that were to happen much grief and inconvenience would ensue for all of us. Hence the questions.

 Thank you for the industry links.  They are interesting reads which reaffirm the discussions that we had here in August about RENA taking the reigns of import and distribution.

https://forum.classicmotorworks.com/index.php/topic,22275.0.html
https://forum.classicmotorworks.com/index.php/topic,20039.0.html
http://www.royalenfields.com/2015/08/royal-enfield-takes-over-from-kevin.html

  With that established, It has been acknowledged that some dealers will not stay with RE for either their own reasons or RENA's.  "Some" is not the same as "most, if not all".

  In the links in this post and the one above it, mentions are made about RE's intent to expand the dealer and authorized repair center networks, to add brand owned showrooms and to build presence in the N.A. market.

 It is reasonable to assume that giving the axe to "most, if not all" ( rather than some or many) dealers would foster ill will on a large scale and hinder not help build the market share and presence in North America that RE and RENA have clearly stated they desire.

 Based on the information available I believe it logical to assume RE is not going anywhere other than up anytime soon.

 If anyone has information otherwise please share it for the good of the order.

 BTW If anyone is worried about being left in the cold in case their dealer does not make the jump with RENA,  Kevin Mahoney has addressed that in https://forum.classicmotorworks.com/index.php/topic,22550.msg254388.html#msg254388

 
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Scotty Brown

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Reply #13 on: November 25, 2015, 06:34:27 am
Not having a larger presence at the recent Long Beach Ca. Motorcycle exhibition was, I feel, a bit of a lost opportunity.  Nothing about the new company.  Nothing new on display, no accessories and NO EXCITEMENT in the booth.  Damn Shame ~!


tooseevee

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Reply #14 on: November 25, 2015, 11:41:49 pm
     I hope the new RENA has the slightest clue how to market REs to Americans (as Scotty Brown alludes to). I hope they don't blow it. I wish them luck.
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