Thursday, January 14, 2010

What's REALLY going to happen in 2010?

If you're not the type that likes to know the hard facts, stop reading. Just flip over to a Blog that will fill you full of "warm-fuzzy" feelings, because not everything is peachy. Sorry, only "shoot from the hip" stuff here.

Motorcycles -

If you haven't already noticed, many of the big manufactures aren't coming out with new models this year. Lets face it, we're all watching our penny's, and the manufactures are being hit hard. I can't speak for the entire Country, but here in Arizona Dealerships are closing, and if they're still around, they're not making money.

What will you see? -

The Dealers - 2010 will be the time to buy a new bike. Dealers are doing everything they can to clear 2008 (yes, you can still find unsold 2008 bikes), and 2009 models off their showroom floors. The 2010 models have arrived, and older stuff needs a home. What they're finding is that even with heavy discounts, they aren't selling. You and I, even with a huge discount, can't bring ourselves to buy. It's a never ending circle. The Dealers need to sell, but fewer people are buying, and they go under. Many of these Dealers invested heavily (buildings, inventory, employee's) when times were good, and simply can't make their bills.

The Manufacturers - Fewer new models will come out, changes to existing models will be few, and plans for future models will be put on hold. Simply, less money is available to push forward, so the only other option is to hold fast, and hope things improve.

Simply, 2010 will be known as the year HUGE dealerships close. HUGE chains will close stores in an effort to ride out the storm, and you, the consumer, will have fewer places to see the latest and greatest.

Apparel Retailers -

Distributors - Simply, sales are WAY down on the retail front. Many have brought in way too much product, and they can't get rid of it without taking a huge loss. New product is arriving, and is sitting on the shelf. In order to save the bottom line, many are ordering smaller shipments from the manufacturers, hoping a smaller inventory will save the day. In the end, there's a wait involved because there's simply less product to go around. Everything rolls down hill, which leads me to the next point...

"Brick & Mortar" Stores - As I mention above, Dealers typically carry apparel as well. Fewer Dealers, less product locally to purchase. Fewer places to shop locally leads me to yet another link in the chain...

Online Stores - Here it gets interesting. I've mentioned it before, but with so many Americans out of work, new companies are popping up everyday. These new online stores are looked upon as a blessing by the apparel Distributors. They have lagging sales, so building a larger retail base makes perfect sense. The more companies selling their products, the better, right? A few have even "unofficially" tossed their "new dealer" requirements in the desk drawer so they can build this base. The end result, wow, you name it...

For those looking for that magical deal of a life time on gear, it seems like a positive. These younger companies need to stand out in the current crowd, and the easiest way to get the word out is to offer "too good to be true" pricing. Cut all the prices down to nothing, and hope to make it up in volume. The reality is, volume is WAY down, so after only a few months, they disappear. If you got your gear, and paid little, you're safe. If you're one of the customers who bought right before they go under, welcome to a mess.

In the meantime, those online companies (such as ours) that have been around a while, understand that in order to keep the doors open we need to make a profit. We cut where we can, offer the fairest price we can afford to offer, and streamline our operation to save money. The simple fact is, you can only do so much (and we're always looking for better ways) before customer service suffers. Walking this fine line puts us at a disadvantage, since these new companies could careless about providing anything other than the lowest price.

Again, it's a revolving door. The Distributors need to sell, and bring on new Dealers. These Dealers go under, don't pay the Distributors for the product, and leave the customers high and dry. The solid companies attempt to compete, but can't, and disappear. In the end, we all loose.

In 2010 you'll see many great online companies closing their doors (we're already seeing it), new shaky companies will come on-scene and fail, and those that remain will have taken a beating. Oh, don't forget all these new taxes that will create more wounds.

Personally - I personally look forward to 2010. I've always thrived on challenges, and what better way to see what you're made of, than to take on today's market with a smile. There's always a light at the end of the tunnel, only this time the tunnel isn't straight.

Monday, December 14, 2009

Christmas is almost here...

If you watch even a small amount of TV, you know that the economy stinks and people are feeling the pinch. Yours truly fits into that category. I personally have to go back to 2007 to find a Christmas where money wasn't a huge issue. Yea, I know that the housing bubble burst in late 2007, and the Stock Market followed in 2008. 2009 was the year of the "double whack". The housing continued in the toilet and unemployment hit all time highs. While I'm not one to celebrate New Years, this year I'm going to stay up and watch the clock hit 2010...

Christmas has taken on a new meaning for myself and family. Regardless of how I thought I saw Christmas, it's changed. In the past I would be the first guy to bellow that Christmas was about family, and I honestly meant it. However, I also was the guy shopping for the perfect gift, and would pay anything to get it. I didn't want to be the guy who sat there Christmas morning, wondering if I spent enough to equal the gifts I received... Funny how things can change your perspective.

Yes, I'm an owner of a retail store. Yes, I stay in business because people spend money. Yes, I'm the guy telling you to shop smart.

I've been doing this 11 years, and in that time I can honestly say that I've never been in it for the money. Of course I need to turn a profit. Without profit I don't exist. The difference is that I firmly believed that I had to earn it. If someone else was offering something I didn't, they deserve the sale. It's that simple. What I never expected is for a time to come where people simply felt scared to buy. We are there now, and everyone can see it.

Let me tell you a story...lol. Last year I was sitting around the house and had nothing to do. All of a sudden I felt the strong urge to buy a RC helicopter. I figured I could fly it around the back yard, mess with the dogs a bit, and generally have a little fun. Across the street from my house I have a small hobby shop, and being that I like to buy locally if I can, I dropped in to see what they had. While small, they had a great selection. I walked around a bit, looked at the prices and walked out. I just couldn't justify the expense. In 2007 I would have slapped down the cash without thinking twice.

In this day and age everyone needs to buy smarter. If a Dealer tells you that the more expensive helmet (example) is what you need, ask why. If they can't spit it out in a way that makes sense, trust your gut and walk away. Never allow yourself to be pushed into something you don't need. While I can go on and on about price, it's sometimes better to buy something you require, and forget about how much (or little) it costs. It would be super easy for me to tell you that the best stuff comes with the highest price tag. It's simply not true.

Here's some insider info... I've looked around online at other companies selling the same stuff I do. It's part of my job. Many of them do a great job, and I respect them. However, be careful. I've seen more and more companies popping up using price and "specials" as their only sales option. Look, the item they're selling is the same as everyone else. My advise is to look behind the product at who's running the show. Ultimately this is the "unknown" you're paying for, and it will lead to issues if the company falls apart after the strong sales pitch. Anyone can "sell" if given the right personally, or training. Integrity is something you either have, or don't have.

I won't be writing again until after New Years. I hope you have a GREAT Christmas, and wish you a fantastic New Year. See you in 2010.

Wednesday, November 11, 2009

Veterans Day

March of 1986 was one of the proudest days of my life. It was the month that I graduated Basic Training at Fort Benning. Later Airborne school.

I was a young kid, and like most kids my age, I thought I knew everything. I looked at joining the Army as more of an adventure. Honestly, I wasn't looking at it as a means of serving my Country. Only later did I have this perspective, and understood the sacrifice.

This part of my life in many ways seems like another life. Many of the details have been lost with time. The memories that stand out most are those that center around the teamwork and camaraderie I experienced. Knowing that those around you were truly people you could trust. The bond between soldiers, is a bond never really recreated outside in the real world.

Today, I'm proud of my son Tyler, who spent two tours in Iraq, and my Son-in-law Preston who is currently serving in Afghanistan. I'm also proud of my father who served in Korea, and my Father-in-law who served in WWII and Korean. My Uncle who served in Vietnam and was injured in the process. I'm the second generation, of three, that has served this great Country, and feel honored to be part of an ongoing belief in self sacrifice.

To all that have served, this day is yours. Remember, very few can be honored by their Country on this day. You are all special, and everyone owes you a deep sense of gratitude.

Wednesday, October 7, 2009

High-End helmets. They worth it??

Times have been better, and in the last 2 years it's hard to not have been effected. Either personally, or indirectly. Even I have found myself being a little more thrifty when it comes to where my money goes. This is simply the smart move. The high-end helmet market has seen the biggest impact. Not everyone has $500 lying around for one piece of equipment.

I feel there is a VERY specific person who takes the leap into the high-end helmet market...

The most common are the 30+ riders (I include myself in this category). These riders are more likely to have owned a high-end helmet in the past, and understand the value. Often they've owned less expensive helmets, and have found their limitations. Spending the extra $300 is something they have accepted, and most importantly, have seen the results. It's not a "mystery" purchase. I joke in the store everyday that it's easier to take a step up the helmet ladder, than to take a step back... Once you're ridden with a helmet that is exceptional, you're ruined for life...lol.

The second group (which includes many of the above) are riders who ride everyday. Either to work, or are retired. These riders want their helmets to preform, and understand that while a less expensive helmet can meet their needs, the high-end models do it just a bit better. It's worth it to spend the extra money now, since they "live" in the thing 2 hours (or longer) a day. It's simply,"the right tool for the job."

While there are several more categories, that I won't list here, I'll end it with this last one. The riders who have been riding for years, have owned less expensive helmets in the past, and have come to the conclusion that it's time to make the leap. These riders have a list a mile long (which is good), and if they spend the extra money, they want a HUGE return on their investment. If the step up from mid-priced models, the the high-end models isn't AMAZING, they might as well stay where they're at... When I speak to these riders, questions are a HUGE must. Finding the "right" helmet takes time, but every second is worth it. The rider, nor I, want the end result to anything less than perfect.

I've lectured many times (and continue too), that not everyone needs a high-end model. There are less expensive options out there that will fill their needs. However, if you choose to make the leap, seek out someone you trust and get the information you need. Not all high-end helmets are the same. If you get yourself into a high-end model that doesn't meet your needs, you're wasting your money.

Tuesday, September 29, 2009

If I hear, "How's that working for ya?"one more time, I'll LOOSE IT..!

If you've seen any of my videos, you'll notice that I try my best to keep my evaluations "Real". I say the good with the bad, and don't pull any punches. I'll admit, there are some products that I don't care for, and choose not to do videos. I'm the first to say that I don't know everything, and what I hate, someone else might feel is fantastic. I simply leave those products alone, and let others express their opinions.

Now, to my point. There have been a few products I've felt obligated to do videos which, don't have a 100% favorable evaluation. When these are posted, the phone calls come rushing in from the manufacturers, the distributors, or often, both. The "toss down" comment is always, "I saw your video. How's that working for you?" In other words, how many have I sold.

I'm not stupid, and understand that when I point out more bad points, than good, I risk not selling any of that product. I could stand up in front of the camera, point out features, or only point out features that I like, and leave all the bad features to myself. I have Internet access, so I've seen other video reviews where they do just that. After watching I always shake my head and wonder if people honestly believe what they have to say...

I started out 4 years ago doing just that. I would stand up, point out the products features, and leave it at that. After one or two, I just didn't like this approach. If I was watching, I would want to hear the bad with the good. Ever since, this has been my mission. No product is perfect.

Has it hurt my bottom line? Well, do people buy products that I don't have 51% good to say? Probably not. I have just this to say about that... I COULD CARE LESS...! If you have a great product, it will come out. If it sucks, then it shouldn't sell. It's that easy. There are way too many products that are great, to have them get the same review as the products that fall flat.

I get calls and emails every week from customers who say, "Hey Todd, I wish I had found your video's before I bought my last helmet/jacket/bag. I watched it, and you would have saved me a ton of money. You're right, it's not what I envisioned."

I will continue calling it like I see it. If there are those out there that prefer not hearing the bad with the good, and they choose to buy somewhere else, that's fine.

For all of the Manufacturers and Distributors out there... I would embrace different viewpoints, and work on fixing the things that need fixing. Because I'm honest, when you do hit it out of the park, I will be your best ambassador. Don't shoot the messenger...!

Wednesday, August 26, 2009

Shoei in 2010...?

Wow, I opened up my latest motorcycle magazine, and low and behold, there was an ad for the new Shoei RF-1100 and X-12... What the Hell are these guys thinking... Nothing makes me more angry than to see an ad for a product that I can't buy. What, we don't get enough "teasers" on TV...? They say September 29th... We will see. Rarely do they hit their mark.

My second issue is that they see fit to advertise, but yet us (Dealers) can't get ANY information on the new models. Trust me, I've tried. I did manage to find a few photo's online, but nothing from Shoei. It would be nice to have a little information, so when people see their ads, we don't sound like idiots...lol.

I have both the RF-1100 and X-12 on pre-order so I can get out on the road as soon as possible. It scares me a bit when companies make changes, to product that was really, really good to begin with. I have my fingers crossed that both models are steps forward. They (Shoei) better too. If the price goes up, but you don't get anything other than a cosmetic change, I will have a fun time doing the video reviews...lol. Shoei might not have such a great time.

It's a "dry" heat huh..?

This will be a quick one… Hot is hot, and when it hits 115+ here in Arizona, I can assure you that it doesn’t feel 95, 85, or even slightly under 100…lol. Today we had our first summer tip over in the parking lot. The customer came in, tossed down his side stand, and in about 5 minutes it was lying flat in the parking lot. Nothing damaged, other than the asphalt. Nice hole where the kick-stand was freed.

Here’s The Helmet Harbor, LLC  “stay as cool as you can during the Arizona summer” tip of 2009.


Head to Walmart, buy a personal misting system (Misty Mate), and toss the bottle inside your tank bag. Route the mister up to your handlebars, aim the nozzle straight up, and open it when your get moving. The mist will hit the wind, drift back to you, and drop the temp about 20 degrees…

Yes, in Arizona, staying cool isn’t a luxury. It’s simple survival…lol.