How can Harley Davidson Dealers afford the lease or rent on the prime locations of their dealerships?
Joe B asked:
ever notice? all HD Dealers have a top of the line high traffic, prime location, they have to be spending major lease or rent contracts, how do they make money to pay for it?
HD sales are off 35% for 2008
and,,, the Japanese Motorcycle Dealers have back road, run down locations and many of them are sold outta bikes.
ever notice? all HD Dealers have a top of the line high traffic, prime location, they have to be spending major lease or rent contracts, how do they make money to pay for it?
HD sales are off 35% for 2008
and,,, the Japanese Motorcycle Dealers have back road, run down locations and many of them are sold outta bikes.
December 4th, 2008 at 11:30 am
Ever think that maybe Harley owners are paying way too much for what they’re getting? That perhaps what they pay for is a name and the “Harley mystique” (translation—myth). Don’t get the wrong idea here. I’m not trashing Harleys. They have good products and, if their pricing was more realistic, I might even own one. But as long as yuppies and RUBs continue to shovel cash at Harley dealers, why should they back off their exorbitant prices? So, yeah, they can afford the prime locations, as long as they can take us all to the cleaners…
December 9th, 2008 at 9:03 am
There is a reason Harleys are so expensive. Last year, in a local H-D dealer, every bike in the place, except the 883 Sportster, was $27,000 or more. I guess they install extra chrome or something. Didn’t matter which model, it had a $27,000+ tag on it. Must be the overhead costs!
Happy riding.
December 9th, 2008 at 4:46 pm
Mostly by ripping of their customers and charging double or more for everything in the store with a Harley-Davidson logo on it…
Harleys are hugely overpriced and so are the accessories you buy to go on them… and some people with more money than brains still line up to pay for it, just because their RUB friends all have one!
December 12th, 2008 at 1:12 pm
You should check the Harley dealer in Dothan Alabama as opposed to Dothan Power Sports (Honda, Yamaha, Suzuki, Victory. DPS has a PRIME location and I am yet to go in there without seeing 30-40 shoppers. The day I took delivery on MY bike I was 5th in line for F&I. They have two sales (F&I) offices. They delivered 25 bikes that day, and had at least that many more customers walk in while I was waiting for about four hours. Would you rather sell one bike a week and make 3000.00 profit on it or sell 200 bikes per week and make 300.00 profit on each? Seems the dealers might be pricing themselves out of business? I intend to look at Harley in a few months, but am leaning more towards a Yamaha or Honda for my wife.
December 14th, 2008 at 7:36 pm
dont know what planet you live on here in phoenix az the jap shops like Metro Motorsports are no differant than the H.D. shops. Metro has all 4 jap brands under one roof.
December 17th, 2008 at 4:24 am
If you would read your own question you might learn something.
December 19th, 2008 at 9:39 am
It is just part of their good business model, just like Walgreens. You will never see a Walgreens unless it is on a busy corner.
HD also supports their dealers much more than the Japanese manufactures do. They have extensive dealer programs, financing, training, and design teams which make each location what it is. The Jap dealers just seem to be some guy who sets up a little shop on a back road and hires a mechanic and a salesman and calls it good-much like HD was in the old days.
Probably part of the reason they are the best selling bike in the US. Also part of the corporate wide effort to change their image over the past 25 years.
December 21st, 2008 at 10:27 pm
they can afford it because of the steep profit margins. lots on the bikes it self, but most of the money comes from the overpriced chinese made, clothes, shirts, jackets, leathers, and accessories for their bikes. Why buy an american bike only to outfit you and your ride will all chinese crap. They are evidently doing pretty good for a t-shirt company, that makes bikes.
December 22nd, 2008 at 11:00 pm
They have plenty of money for that after they fleece the sheep who walk through thier doors. These people are just dieing to overpay for anything with the Harley logo. And then there is all the shop time.
On top of that look at all the other manufacturers inventing new engines for wildly differnet bikes. Harley has been saving money on development and tooling since 1930 by just making one lousy but famous engine this whole entire time.