The following comments were submitted by Arctic Cat franchised dealerships in the Q1 2014 Dealer Sentiment Index research study, produced by Baird Research and Dealernews.
- The only thing that seems to be selling are the 500cc ATVs due to cheap pricing in our area, but cheap pricing comes at the expense of profit. [OEM keeps] dumping Prowlers on us, but they aren’t selling. Keep dumping the Wildcats, but they aren’t selling (unless it’s a Trail or fully loaded Wildcat X Limited).
- We have high expectations for the new Wildcat Trail model.
- They continue to push product, regardless of dealer situation or market issues.
- Where is the Prowler Crew model?
- The discounting of new snowmobiles is a direct result of over-production and too many model choices available to allow dealers to represent the entire line. The factory mentality of "carryover is good business for advertising early fall sales" is short-sighted and naive. The profitability and health of their dealer network should be of concern to them, also.
- At a recent dealer show, company management was happy with retail sales. However, they then asked dealers to double and triple their orders over last year. Is this the new math?
- If you’ve ordered it and it’s scheduled within a 90-day period, you are getting it. They have to make shareholders happy.
- Arctic Cat does not understand that forcing product at the wholesale level does not create retail demand. Good dealers suffer and price-choppers chop their way to extinction, only to be replaced by another fool.
New model ordering programs promote over-ordering and inventory glut year after year. When are these companies going to learn that the marketplace will only absorb so much?