Yamaha switching to Agency Sales model

[squibb34]

Yamaha have announced, in the US at least, that they are planning to adopt the direct sale agency model.

They would sell direct to the customer, using dealers as a part of the delivery system where needed. Aside from the obvious profit motive, they talk of overhauling their existing dealer base, with those retained being appointed official service centres. It's not clear how customers could trade their existing ride, presumably seen as a means of leaving some margin for the poor old former dealer.

We have seen similar trends elsewhere in the motor trade, but surely this will be the death knell for the smaller solus outfit.

 

[JohnnyBoxer]

Yamaha have announced, in the US at least, that they are planning to adopt the direct sale agency model.

They would sell direct to the customer, using dealers as a part of the delivery system where needed. Aside from the obvious profit motive, they talk of overhauling their existing dealer base, with those retained being appointed official service centres. It's not clear how customers could trade their existing ride, presumably seen as a means of leaving some margin for the poor old former dealer.

We have seen similar trends elsewhere in the motor trade, but surely this will be the death knell for the smaller solus outfit.

Or an opportunity for the solus dealers to become super service and accessory outlets

 

[Jeremy]

Business can't be that great. Marsh Yamaha in Exeter has closed today.

 

[Pukmeister]

It won’t be long before most brands use this means of generating sales with lower overheads.

 

[Blacknbluex2]

It won’t be long before most brands use this means of generating sales with lower overheads.

I enjoy the experience of walking round a showroom .... the smell of new bikes is lovely.... i like to look at them and sit on them as well to compare different specs etc...then enjoying the purchasing of the chosen one...... if they're going down the Dyson route it will become very sterile for me.
Where will you go to look at them then?

 

[Berin]

Or an opportunity for the solus dealers to become super service and accessory outlets

Good point. Most of the dealers can only stock supplier branded kit. I’m thinking of my local KTM/Triumph dealer who stock only KTM and Triumph clothing and accessories, plus a few bibs and bobs. They could do much better if they sold more popular clothing and accessories, I’m sure.

 

[Berin]

It won’t be long before most brands use this means of generating sales with lower overheads.

Maybe they’ll lower the overheads even more by no longer existing!

 

[Santa-2512]

What you dont see, or know, is the dealers love it,

No more scrabbling for sales at month or quarter end, no more cutting profit margins to get that quota ticked


No more models that dont sell but take up floor space. And are let go way underlist eventually

Now they get a fixed commission whether they sell instore or online

They still get introduced to the customer, do the handover, and start the aftercare process

No more sitting in a showroom drinking chai lattes lol

 

[Berin]

What you dont see, or know, is the dealers love it,

No more scrabbling for sales at month or quarter end, no more cutting profit margins to get that quota ticked


No more models that dont sell but take up floor space. And are let go way underlist eventually

Now they get a fixed commission whether they sell instore or online

They still get introduced to the customer, do the handover, and start the aftercare process

No more sitting in a showroom drinking chai lattes lol

Interesting - didn’t know that. Of course that still depends on the manufacturer making stuff that people want!

 

[The Other PaulG]

Business can't be that great. Marsh Yamaha in Exeter has closed today.

Shame to see even Yamaha dealers closing - their current CP2 and CP3 offerings seem to be very highly regarded, and Yamaha traditionally have decent reliability and pricing too, plus they offer options right across the different capacities. If Yamaha struggle, some of the less imaginative brands will be doomed.

 

[wessie]

Shame to see even Yamaha dealers closing - their current CP2 and CP3 offerings seem to be very highly regarded, and Yamaha traditionally have decent reliability and pricing too, plus they offer options right across the different capacities. If Yamaha struggle, some of the less imaginative brands will be doomed.

Yamaha caught the Honda & BMW disease of insisting on corporate identikit solus dealers.

They fucked over Frasers, Spa Motorcycles and Hammonds in Gloucestershire to have Completely Motorcycles open a unit on an industrial estate at the back of Staverton airport. That went well, didn't it?

Meanwhile, Hammonds retired, Spa are doing okay selling Benelli, FB Mondial, Keyway, Sym and Peugeot stuff made in China and Frasers made what turned out a good decision by taking on Royal Enfield and expanding their Piaggio range by adding Moto Guzzi to Aprilia.

 

[Pukmeister]

I’m a lifelong Yamaha fanboy but I despise them for what they did to the little guy like Peter (Dave) Hammond to chase the corporate empire dream.

Nobody deserves that.