Dealernews - October 2009 - (Page 12) SPEED READ YAMAHA FOCUSES ON PROFITABILITY, KEEPS EYE ON ECONOMIC REBOUND OEM changes format of annual sales meeting, holds 26 separate gatherings While there are signs that the economy has hit bottom and that a recovery is coming, Yamaha Motor Corp. USA’s main commitment for the coming year is to keep its dealer network profitable through reducing inventory, focusing on customer satisfaction, building popular products and promoting its Pro Yamaha program. This was the message sent to Yamaha dealers in September during a nationwide series of 26 simultaneous regional and district dealer meetings, a change from a single sales gathering. Yamaha says the meetings were more costeffective and attracted more dealership principals and staff. Henio Arcangeli, Motorsports Group president for Yamaha Motor Corp., says many dealers told him about the actions they’ve taken to weather the times, such as renegotiating leases and contracts, focusing on F&I, and upselling parts and accessories. “Everybody’s looking to operate a more productive dealership because they have to be able to make a profit with less of a volume base,” he adds. While business has been rough, Arcangeli estimates that Yamaha has lost fewer than 5 percent of its dealer base, adding, “I think on balance we’re fairing better than most of the other manufacturers.” For the OEM itself, the economic meltdown and drop-off in sales has resulted in an increase in inventory in the dealer channel. Arcangeli says the company has taken aggressive action to reduce the number of SKUs across its ATV and motorcycle lineups. This reduction is aimed at everything from models to colors. The company has also cut production levels to lean out inventory. “Yamaha has [also] been very focused on having very creative, really aggressive sales programs targeted to the consumers and to our dealers partners,” he adds. In focusing on keeping customer satisfaction high, Yamaha highlighted dealers who have achieved Pro Yamaha status and encouraged those interested in the program to jump in, Arcangeli says. Launched by the OEM two years ago, Pro Yamaha is based on boosting dealer profits by increasing customer satisfaction. Dealers that hit the mark in five areas earn points that can be used toward such perks as training, co-op promotions and additional fixtures. “We’ve upgraded our system so it’s very easy for our dealer partners to go in and track not only what their CSI score is but break it down in areas where they’re excelling and also areas where they may need improvement,” Arcangeli says. “There are also several classes in Yamaha Motor University that focus on customer satisfaction.” The efforts the company and its dealers are making might be reflected in Don J. Brown’s 2009 forecast on page 30, where he predicts that Yamaha will inch past former market leader Honda for most motorcycle market share. When asked about this, Arcangeli declines to comment on the company’s position versus the competition, but adds, “I can tell you a few positive things over the past year. Right now we’re the No. 1 market share with scooters. We continue to be No. 1 with sport ATVs,” he explains, adding that, “In the off-road market, with the 250cc and 450cc class, we’re No. 1 in both of those and also we’re No. 1 in the supersport for 600cc and also 1000cc categories. … And we’re also the No. 1 metric cruiser in the market as well.” For 2010, the OEM has introduced the new YZ250F and YZ450F motocross bikes; the YFZ450X ATV; the Star Stratoliner Deluxe; and the YFZ-R1 LE sportbike. — Dennis Johnson Scorpion Sports Dismisses Eric Anderson Brand’s creator out after a five-year run Scorpion Sports has fired Eric Anderson, vice president and creator of the Scorpion brand of helmets and apparel. The decision was effective Sept. 1. Company president Rick Miller stated that the company’s decision to dismiss Anderson did not come easily, and that all of his work for the brand is much appreciated. However, Anderson and the company “ultimately reached a point where we no longer have the same goals and objectives,” Miller said. He didn’t elaborate but added that “the basic business paradigm has shifted” and indicated that more strategic decision-making would come 12 DEALERNEWS OCTOBER 2009 from the company’s Korean partner, Kido Sports. This past summer Scorpion signed an agreement for Tucker Rocky to distribute its helmets, despite assertions made by Anderson when the company was founded that the brand would always be sold dealer-direct. “We all know I have no problem expressing my opinions about how things should run,” Anderson says. “However, I am the minority shareholder in Scorpion, not the majority owner. “Think of me as a free agent,” adds Anderson, who is also a regular columnist for Dealernews. DEALERNEWS.COM http://www.DEALERNEWS.COM Table of Contents for the Digital Edition of Dealernews - October 2009 Dealernews - October 2009 Table of Contents From the Editors InBox Speed Read Joe Delmont Cover Story State-by-Statement ATV/Dirt-by-State DJB Composite Index Special Report: Distributor Update U.S. Go-Kart Market in Serious Decline Dave Koshollek Fuel For Thought - Dave Koshollek Todd Shafer Marketing Update Merchandising Update New Products New Products: Off-Road Advertiser Index/Customer Service Mike Vaughan Dealernews - October 2009 Dealernews - October 2009 - Dealernews - October 2009 (Page Cover1) Dealernews - October 2009 - Dealernews - October 2009 (Page Cover2) Dealernews - October 2009 - Dealernews - October 2009 (Page 1) Dealernews - October 2009 - Table of Contents (Page 2) Dealernews - October 2009 - Table of Contents (Page 3) Dealernews - October 2009 - Table of Contents (Page 4) Dealernews - October 2009 - Table of Contents (Page 5) Dealernews - October 2009 - From the Editors (Page 6) Dealernews - October 2009 - From the Editors (Page 7) Dealernews - October 2009 - InBox (Page 8) Dealernews - October 2009 - InBox (Page 9) Dealernews - October 2009 - Speed Read (Page 10) Dealernews - October 2009 - Speed Read (Page 11) Dealernews - October 2009 - Speed Read (Page 12) Dealernews - October 2009 - Speed Read (Page 13) Dealernews - October 2009 - Speed Read (Page 14) Dealernews - October 2009 - Speed Read (Page 15) Dealernews - October 2009 - Joe Delmont (Page 16) Dealernews - October 2009 - Joe Delmont (Page 17) Dealernews - October 2009 - Cover Story (Page 18) Dealernews - October 2009 - Cover Story (Page 19) Dealernews - October 2009 - Cover Story (Page 20) Dealernews - October 2009 - Cover Story (Page 21) Dealernews - October 2009 - Cover Story (Page 22) Dealernews - October 2009 - Cover Story (Page 23) Dealernews - October 2009 - Cover Story (Page 24) Dealernews - October 2009 - Cover Story (Page 25) Dealernews - October 2009 - State-by-Statement (Page 26) Dealernews - October 2009 - State-by-Statement (Page 27) Dealernews - October 2009 - ATV/Dirt-by-State (Page 28) Dealernews - October 2009 - ATV/Dirt-by-State (Page 29) Dealernews - October 2009 - DJB Composite Index (Page 30) Dealernews - October 2009 - DJB Composite Index (Page 31) Dealernews - October 2009 - Special Report: Distributor Update (Page 32) Dealernews - October 2009 - Special Report: Distributor Update (Page 33) Dealernews - October 2009 - Special Report: Distributor Update (Page 34) Dealernews - October 2009 - Special Report: Distributor Update (Page 35) Dealernews - October 2009 - Special Report: Distributor Update (Page 36) Dealernews - October 2009 - Special Report: Distributor Update (Page 37) Dealernews - October 2009 - U.S. Go-Kart Market in Serious Decline (Page 38) Dealernews - October 2009 - U.S. Go-Kart Market in Serious Decline (Page 39) Dealernews - October 2009 - Fuel For Thought - Dave Koshollek (Page 40) Dealernews - October 2009 - Fuel For Thought - Dave Koshollek (Page 41) Dealernews - October 2009 - Todd Shafer (Page 42) Dealernews - October 2009 - Todd Shafer (Page 43) Dealernews - October 2009 - Marketing Update (Page 44) Dealernews - October 2009 - Marketing Update (Page 45) Dealernews - October 2009 - Merchandising Update (Page 46) Dealernews - October 2009 - Merchandising Update (Page 47) Dealernews - October 2009 - New Products: Off-Road (Page 48) Dealernews - October 2009 - New Products: Off-Road (Page 48A) Dealernews - October 2009 - New Products: Off-Road (Page 48B) Dealernews - October 2009 - New Products: Off-Road (Page 48C) Dealernews - October 2009 - New Products: Off-Road (Page 48D) Dealernews - October 2009 - New Products: Off-Road (Page 48E) Dealernews - October 2009 - New Products: Off-Road (Page 48F) Dealernews - October 2009 - New Products: Off-Road (Page 48G) Dealernews - October 2009 - New Products: Off-Road (Page 48H) Dealernews - October 2009 - New Products: Off-Road (Page 48I) Dealernews - October 2009 - New Products: Off-Road (Page 48J) Dealernews - October 2009 - New Products: Off-Road (Page 49) Dealernews - October 2009 - New Products: Off-Road (Page 50) Dealernews - October 2009 - New Products: Off-Road (Page 51) Dealernews - October 2009 - New Products: Off-Road (Page 52) Dealernews - October 2009 - New Products: Off-Road (Page 53) Dealernews - October 2009 - New Products: Off-Road (Page 54) Dealernews - October 2009 - New Products: Off-Road (Page 55) Dealernews - October 2009 - New Products: Off-Road (Page 56) Dealernews - October 2009 - New Products: Off-Road (Page 57) Dealernews - October 2009 - New Products: Off-Road (Page 58) Dealernews - October 2009 - New Products: Off-Road (Page 59) Dealernews - October 2009 - New Products: Off-Road (Page 60) Dealernews - October 2009 - New Products: Off-Road (Page 61) Dealernews - October 2009 - Advertiser Index/Customer Service (Page 62) Dealernews - October 2009 - Advertiser Index/Customer Service (Page 63) Dealernews - October 2009 - Mike Vaughan (Page 64) Dealernews - October 2009 - 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