What does your warranty plan cover?
Ramsey: We offer a two-year, unlimited-mileage warranty on our on-road products, and a one-year, unlimited-mileage warranty on our off-road products. Both warranties are set up to offer total coverage for the first half of the program; powertrain and electrical for the next one-quarter of the program; and powertrain only for the last one-quarter. We also offer up to a 48-month extended warranty that is bumper to bumper.
How do you provide parts availability and shipping in the U.S.?
Ramsey: For coast-to-coast, it's about a week for normal shipping. Dealers can opt to expedite orders. All products come out of our warehouse in South Carolina but we have used a third-party warehouse in Fremont, Calif., in really busy times. We bring all our products through ports in Savannah, Ga., and Charleston, S.C.
Let's say you've just signed on as a dealer. What's going to be your initial capital investment for service tools?
Ramsey: We have pretty small requirements for new dealer setup. Our current minimum level allows for a single-line dealer to start with five units from either the on-road or off-road segments. We do not have a parts or tool requirement but do have a start-up POS kit that ranges from $250 to $400. So the initial investment can be as low as $10,000 based on the product mix.
And technician training?
Ramsey: We have partnered with Cyclepedia to create online service manuals and training programs for each model in our line as well as each major repair category — EFI, brakes, electrical, etc.
Finally, what are some of KYMCO's marketing and sponsorship programs?
Pawelka: We have current sponsorships with NHRA, AMA Pro Racing, Charlotte Motor Speedway and Kentucky Motor Speedway. We run a co-op program that allows for up to 5 percent and 75/25 split on the dealers wholesale unit purchases to be used for local advertising. The percentage and the per-invoice reimbursement split are determined by the dealers unit booking volume, which we currently do twice per year.
We are also running a promotion for June through August that doubles the earned co-op for all booking dealers. We have a strong three-tier program for national, regional and local advertising and we produce ad slicks and commercial media that are available at no charge to our entire dealer base.