Here’s New Money in 12 Volt

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Most powersports vehicle owners upgrade their UTV or ATV within 30 days of purchasing the vehicle.  So a great way to capitalize on the rapidly growing powersports audio market is to expedite sales for a powersports vehicle dealer.

About 400,000 UTVs are sold annually.  By comparison, that’s more than sales of the Honda Civic or the Toyota Camry in the US (about 367,000 Civics and about 389,000 Camrys sold in the US in 2016).

But only about 5-15 percent of UTVs come with audio from the factory, so there’s plenty of opportunity for the aftermarket, say industry members.

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Polaris dealer 3 Seas Recreation

Additionally, the market is going high end, says Brian Sherman Director of Business Development for Maxxsonics. “They  keep making [UTVs] better and more expensive and consumers keep wanting to upgrade their UTV.  It’s good news for the industry because it means it has some staying power.  It’s like the boat market where you have a secondary market where you can trade in your boat and upgrade,” he said. Then the second buyer spends some money on lighting, audio, etc.

Bryan Grace, who just left Kicker as its Powersports OEM/Product Manager said there’s a great opportunity now for 12 volt retailers in expediting to UTV dealers. But, “If you walk in and you’re a 12 volt guy and you don’t speak their lingo, they won’t talk to you,” he said.  In the car audio market you have discount levels but that’s not how powersports works…There’s no negotiating or discounts for volume buying or terms.  If a 12 volt retailer walks in with all those programs it confuses them.  They want to be talked to as a parts guy would talk to them.”

He suggests presenting a simple good, better, best audio package for each vehicle, leaving out volume discounts. “Make your margins fair” and stick to the one price.  Then offer to install on site at the dealership.

Another tip: powersports audio customers want an easy installation with easy repair ability.  They are not into custom work, he said.

As for the powersports audio dealers, “Be persistent. Get to know them and become their buddy. You are not going to get in the first time and maybe not the second or third time.”

Sherman notes that powersports audio is an enthusiasts’ market.  “The guys that are successful are the guys that get involved, they go to the riding spots and they are on the Facebook groups.”

Success in expediting is also regional.  In some markets on the West Coast, dealers are very capable in audio and doing their own work.  But smaller dealers may not have an audio expert and rely on an outside source.

Richard Young VP  Wet Sounds challenges car audio shop owners to go to their local UTV dealer and take a look at the showroom. Then, “knock on their door. In reality, that’s how it’s done. It’s based on the dealer’s individual relationship with their local Polaris, or Honda or powersports dealer.”

 

Money image: Forbes

 

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