Maybe someone can explain to me why manufacturers seem to all congregate around one dealership.
In our area the majority of all the name brands and even the smaller Asian brands are all held by about 4-5 dealers. This means everyone else about 10-20 of us all fight over the very few Asian knockoffs if we want new products to sell.
This is really quite funny to me, one because I've stopped trying to get a major brand after one major brand promised to switch to us before trying to backdoor their way into a major sale while keeping their current dealer, who does little in the way of sales locally. But more then that it's funny because if you're a sales guy in a tight market, and one brand pays 3% commission and the other 5% or one is significantly cheaper then the other what do you honestly think will happen to the more expensive brand or the one with lower commissions.....I can say in our area it's pretty funny to see all the brands some of these businesses have plaques for, mostly because I can drive in industrial areas for hours in any direction and never once spot some of these units. I wonder has a manufacturer ever bothered to send a rep in and to actually drive around to see what their local dealer is moving?
I wonder if manufacturers are too focused on trying to be with the biggest names instead of developers a dealer network that truly fights hard to sell their products.
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When i was going to college/tech school in the early 1980s three wheeler sales in the texarkana tx area took off due to one japenese motorcycle dealer ability to find a niche market for the things. sold serviced and accessory parts were aimed at the agriculture in the area. In fact the MFGR sent a team to find out what he was doing to make all the sales. ATV sales in this area accounted for about 30% of all sales in the US. What did the MFGR do, copied his success and allowed other dealers to bootleg atv units in his sales franchise area. Sold them without a service dept to back them up and expected him to do the warranty work ,service ,etc. He adopted a stance if you didnt buy from him take it back to whom you did. The mfgr didnt care as long it meant more atv sales. His overhead in parts ,service dept and general overhead was overlooked until he took a no service stance against the BOOTLEGGERS.
Kickbacks on sales, the manufacturers will never miss out.on a known quantity.
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