Good Economy

[Anthony]

I am cautiously optimistic right now in both business and personally..........We have not cut pay , fired anyone or any thing like that. We actually did a minor remodel of the store to freshen it up. We are not afraid to spend money right now although we make darn sure we need to spend it. In the past maybe we spent a little more freely ,  now we think twice.  I suppose that is how I am handling my personal life too. Doing my part to stimulate the economy without going nuts. Man.................I really want to say something political but I will refrain ! Anthony

[Anthony]

PAJoe.....You are right about the fact that if a dealer works at it they will indeed sell. Plenty of people walk through the doors every day. What gets done with them after they enter is what makes or breaks the dealership.

As far as $ made on clothing. More gross % is made on clothing but more gross $ is made on motorcycles.

[mark61]

Mark,
kinda sounds like tax payers building a new stadium for a Billionaire sports team owner.  Then, the stadium increases ticket prices because they have a nice new stadium.

         Oh we did that about 3 times for Philly and Pittsburgh  each. Football, Baseball and Hockey. And yes they raised the prices afterwards....Don't even get me started about Penn State University! EVERYTHING is over priced there including parking. Plus to add insult to injury they buy toilet paper you can see your finger prints through. All that for TAX PAYER supported state college!

mark61

[carolinayarddog]

"My point is that I think people are sick of the media , the President and the winter... Please dont turn this in to a political debate..."

Huh?

[V24me]

Carolinayar,

+1   

Hypocrisy = my least favorite thing on this planet

[Upswept]

It sounds to me like you're an honest businessman who respects his clients.  That will get you business every time.  Please don't turn into a dealer like the one here in the central texas area.  This dealer marks parts and accessories by 20-30-35 percent and then denies it saying freight costs have gone up.  This shows a total lack of respect for the customer.  No more of my business for him.

[FLH]

I really believe that this whole economic mess was planned and orchestrated by the usual suspects. And the clear thinking people here know who I'm talking about. How else could the economy just fall off a cliff?

Can't wait to just ride. 

[PoorUB]

oh, if you do some research you might find that Harley makes more money selling clothing than bikes...how may $1.50 T shirts did you pay $20-$30, I know my closest has a few.

Joe, if you do some research you will discover that HD clothing and other dust collector stuff comes to 4%-5% of their gross sales. HD could drop the clothing and not even notice it.
If you don't belive the figures, look up HD annual reports on HD's web site, it is all there!
I would like to know who started this B.S. about the money HD makes on clothing, because it is sooooooo far of base it is silly!!!

[02roadcling]

When we become a communist nation and everybody gets the same, I wonder which model of new HD we will all ride. How the heck will we be able to find our bike in the parking lot? Think they will all be red?

[Rick]

Hannums ?
My 5 year old Daughter loves those little key chains
I take a trip to hannums once in a while ,, Bought my Softail there
drove past two other dealers to get to them ,,

I don't know an Anthony , Must be at the other location
Media is where I visit ...
You can't ask for nicer folks ..two years after the sale, out of warranty ..They still
look out for my best interest ,,,

[redrokit8]

One interesting thing you will find in a bad economy is that shoppers can only stay away from stores and malls for so long.
obviously, there is a lot of addiction to spending money and even those who don't buy and just look, can only stay away for so long and then they have to return.
I noticed that at work ( auto dealership ) and at a shopping mall this weekend. A lot more people looking for " the deal".
Whether they have the money or credit remains to be seen but there is definitely more people looking.
I went with my daughter to help her buy some furniture and the stores we visited were busy.
Here at work we have much more interested auto buyers but the challenge is to get the customer who can put down the required amount so the loan is not "under water".
But it's a start.

[Moosedeuce]

Everybody can sit at home with their money if they want, my job goes away 3/31 but I'm buying all new riding gear and planing on taking more trips this year than ever before. I ain't waiting on CHIT. 

[Panzer]

Special,
didn't realize we could take personal shots, when I can think of one, watch out!!!

V24me,
Let Specialx1 bust your chops, please, that way maybe he'll leave me alone.
He's a tad warped.   A tad??.........ha ha.

So you all know, I don't know him...........let the war begin.

[V24me]

Specialx1, a little warped???  Just be glad there are only alphabet keys on computers.  If he had pictures to choose from - the wood shed wouldn't be enough to contain that!!!!

[Big_Bulky_RK]

oh, if you do some research you might find that Harley makes more money selling clothing than bikes...how may $1.50 T shirts did you pay $20-$30, I know my closest has a few.

Joe, if you do some research you will discover that HD clothing and other dust collector stuff comes to 4%-5% of their gross sales. HD could drop the clothing and not even notice it.
If you don't believe the figures, look up HD annual reports on HD's web site, it is all there!
I would like to know who started this B.S. about the money HD makes on clothing, because it is sooooooo far of base it is silly!!!

OK, I have to agree with Joe.  When you see Harley jackets made in China selling for $450 I've got to believe that Harley sees a huge percentage of profit in their clothing.  If 5% of their business is making a 50 - 75% profit, I have to believe they would feel the effect of not having it.  5% of their gross sales may equal 20% or more of their profit.  Lets not confuse gross sales with percent of profit.
PoorUB,  If you ran a business would you rather have a million in gross sales at 2% profit or $100,000 in sales with 20% profit?  Just food for thought. I believe the clothing line brings in more than 20% profit for that part of the business seeing that the clothing comes from China. That is why gross sales statements are not factual of the profitability of any one part of a  company. Plus every Harley items of clothing that is sold, you might say, you are paying to advertise Harley's product. Now that's cheap marketing.  Figure that into the overall profit as well.  Yes I'm guilty of wearing them too. 

[Moosedeuce]

I went to my local dealer to get a leather jacket, it was discontinued but they found one at another dealer, handed me the print out with the location and the price. The jacket sold for 305.00 the dealer cost was marked out but I could still read it, 192.00.  That's 30-35 % correct?

[tipper10]

FOR YOUR INF.

I WORK AT AHD DLR IN THE SE. WE HAVE ABOUT 230 NEW BIKES IN AND ARE MOVING THEM SLOWLY YES BUT THEY ARE MOVING, AS FAR AS PARTS AND MCLOTHES WE AVERAGE ABOUT 350K PER MONTH AT ABOUT 40 TO 50% GP.....

[jclark311]

2 HD dealers by me, the one in Lakewood NJ, is busy, you have to wait to order parts on a Saturday, Trenton World Class HD, is another story, I like to go there because its close to work, but I was in there today, and it was dead. You dont have to wait for parts, but they dont have anything in stock. They tell you, in stock parts are 20% off, but they dont have any? Hope they survive! I was reading a Harley history book last night, and this isnt the first time Harley has survived a bad economy. The only difference now, is the military doesnt buy Harleys to go to war. That saved them 2 times before!

[HroadhogD1]

   It saved Harley Davidson, but look what it did to Indian Motorcycle Co.  Oh, have you seen the prices of the Indian Motorcycles?  Not good for them, especially at their asking price.     

[mark61]

FOR YOUR INF.

I WORK AT AHD DLR IN THE SE. WE HAVE ABOUT 230 NEW BIKES IN AND ARE MOVING THEM SLOWLY YES BUT THEY ARE MOVING, AS FAR AS PARTS AND MCLOTHES WE AVERAGE ABOUT 350K PER MONTH AT ABOUT 40 TO 50% GP.....

     Looking over the parts list with the dealer price and suggested retail price it looks to me while there are SOME things only 40% mark up there is a hell of a lot more makered up 100%! I am looking at the 2009 list.

mark61

[CraigArizona85248]

FOR YOUR INF.

I WORK AT AHD DLR IN THE SE. WE HAVE ABOUT 230 NEW BIKES IN AND ARE MOVING THEM SLOWLY YES BUT THEY ARE MOVING, AS FAR AS PARTS AND MCLOTHES WE AVERAGE ABOUT 350K PER MONTH AT ABOUT 40 TO 50% GP.....

     Looking over the parts list with the dealer price and suggested retail price it looks to me while there are SOME things only 40% mark up there is a hell of a lot more makered up 100%! I am looking at the 2009 list.

mark61

50% GP (gross profit) and marked up 100% are the same thing.

Example:  A part costs the dealer $10.  They mark it up to $20.  That is 100% markup.  But... it's also 50% GP because the $10 profit is 50% of the sale price.

-Craig

[76shuvlinoff]

 
  30 year factory rat here and there isn't any voluntary retirement coming in my lifetime. Some may say my head was in the sand but I bought my first new bike ever last month, it was now or never. Almost immediately after that I lost three good people out of the maintenance dept I run, other depts were hit worse. I know it isn't pretty out there, I personally faced each one of them with the news when the time came. Those of us left have lost some benefits and taken a pay cut to try to keep afloat.

It won't fix much but I think everyone needs to turn off the freakin TV for two weeks. 

Mark

[Tollbooth]

 The whole economy is in the toilet. The people that caused it got rich with no chance of punishment. WTF.

The only thing that is for sure is, Figures lie and lie'rs Figure.

[egstandard]

I tried to do my part this morning. Armed with $500.00 cash looking to buy a Weber gas grill. Went to 4 stores that I knew sold them for $399.99. No one had one in stock. So ,don't tell me that the consumer isn't spending. In my mind, the 4 stores cut their own throats by not stocking an item that I knew they previously had. Back to the charcoal grill for me.

[JamLazyAss]

 
  30 year factory rat here and there isn't any voluntary retirement coming in my lifetime. Some may say my head was in the sand but I bought my first new bike ever last month, it was now or never. Almost immediately after that I lost three good people out of the maintenance dept I run, other depts were hit worse. I know it isn't pretty out there, I personally faced each one of them with the news when the time came. Those of us left have lost some benefits and taken a pay cut to try to keep afloat.

It won't fix much but I think everyone needs to turn off the freakin TV for two weeks. 

Mark

Hey Mark,
30 Year plant rat here too. Syracuse NY, New Process Gear. Was a Chrysler plant for decades.
We manufactured 4 wheel drive transfer cases.
After 33+ years, they told me at lunch that it was my last day.
Being management, I had a choice.
1) Take one year severance and leave.
2) Just leave.

So I took option #1 and never looked back.
There is life outside of that plant. A damned good one.