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Shelf life of a BMW motorcycle dealership

motodan

Active member
I'm no doubt slow as I just realized Countryside BMW in Illinois has closed. Seems to me BMW dealerships have a very short shelf life over the last three decades. This is nothing new to most and of course there are still a couple handfuls of "Mom & Pop" (longer standing dealers) around. In Illinois and Indiana alone I can recall many dealers coming and going in relatively short order over the last 30 years...South Bend (3), Fort Wayne (2), Indianapolis (3) with one of those still going as the only BMW bike dealership in Indiana. In Illinois, there have been dealerships in: Peoria, Springfield, Savoy, Naperville, St. Joseph, Rock Island, Rockford, Countryside, Laurel, Urbana and Chicago Heights over that time. Now only Barrington and Urbana by my count (others' memories might add to this). As I've been told when asked, "Do you know how to make a million dollars in the bike business? Start with five million." Apparent tough way to make a decent return on ones investment, especially today, as we older enthusiast are putting that kickstand down for the last time.
 
countryside bmw.

I did my part. Bought 10 bikes from Mike. Sorry to see them close. Did their dealership in Kali close as well?
 
Go Az. just keeps opening up more and more bike dealerships. Their Scottsdale location sells several brands/makers bikes and can't keep up with the volume of customers wanting Beemers and other bikes. They aren't even the best to deal with, but with the owner [ owned by Bob Parsons ] who used to own GoDaddy still opening them [ the latest was a Double D motorcycle shop that he bought and made it an Indian and RE dealership just within the last month in Scottsdale ].

He's doing something right.
 
Threads like this make me appreciate my dealership--Engle Motors in KC, MO--all the more. They have been there for decades and continue to be owned by the same Jones family. Norman retired a few years back and moved south, but his son Mike, and Mike's son Adam, are still going strong and selling BMWs and Triumphs in the same location, albeit expanded and renovated through the years. I was just there this morning trying on new helmets. They have a nice selection of good--and best--helmets (Schuberth, Arai, Shoei, Klim, Scorpion, as well as a couple other brands). If I had wanted a cheap lid then I was disappointed, but in my range (the very best I can afford because my head is worth it to me) they had at least one of almost every model, style and size I could try on. The guys behind the counter (experienced riders themselves) know all the questions, all the details, all the facts, all the answers. After almost an hour of trying on and walking around, Jon ordered my choice in my particular color and will call me when it arrives next week. And BINGO … he discounts it to match the internet price. Why would I buy anywhere else?

Sorry if I seem to be rubbing it in, folks, but those of you who don't have a local dealership like Engle Motors, I feel for you. Good luck.
 
Go Az. just keeps opening up more and more bike dealerships. Their Scottsdale location sells several brands/makers bikes and can't keep up with the volume of customers wanting Beemers and other bikes. They aren't even the best to deal with, but with the owner [ owned by Bob Parsons ] who used to own GoDaddy still opening them [ the latest was a Double D motorcycle shop that he bought and made it an Indian and RE dealership just within the last month in Scottsdale ].

He's doing something right.

If he made enough $$$ from GoDaddy or its sale he can afford a motorcycle hobby.
 
If he made enough $$$ from GoDaddy or its sale he can afford a motorcycle hobby.

Gotta have money to make money. He has the money, he made something akin to a gazillion dollars on the sale of GD. Owns at least 12 dealerships here in the valley. Keeps buying more. If they weren't money makers, he'd not keep buying out other shops and opening new ones. :thumb
 
Go Az. just keeps opening up more and more bike dealerships. Their Scottsdale location sells several brands/makers bikes and can't keep up with the volume of customers wanting Beemers and other bikes. They aren't even the best to deal with, but with the owner [ owned by Bob Parsons ] who used to own GoDaddy still opening them [ the latest was a Double D motorcycle shop that he bought and made it an Indian and RE dealership just within the last month in Scottsdale ].

He's doing something right.

He’s king of the up sell


Sent from my iPhone using Tapatalk Pro
 
IRV SEAVER in Orange ca. Is working on something like 90 years, 60 with the current owners
Long Beach Bmw 30 plus years same owners
 
IRV SEAVER in Orange ca. Is working on something like 90 years, 60 with the current owners
Long Beach Bmw 30 plus years same owners

Engle Motors in Kansas City - same location, same family since 1956. And they are modern and up-to-date. Great people. Decent but not extravagant inventory. Great parts inventory. Excellent service department, /2 through the present. What is not to like. I have been their customer since 1984 and still use them even 1,100 miles away.
 
Thanks for the memories.

I bought my /5 from Pop Dreyer in Indianapolis. And while I worked in Rantoul, Illinois I used to the the guys in St. Joseph service it; a nice little shop down the road from the coaling tower.

I can't even remember the last time I set foot in BMW shop...
 
I feel your pain.
When I bought my '75 R90, I had no less than 6 dealers within a 50 mile radius of where I lived.
I now travel 245 miles one way for service.
 
For your consideration-

It seemed to me that the two major expensive car lines, BMW and Mercedes, marketed their lines as the lines to have- “if you make the grade”. For me, the rapid growth and extensive use of leasing negated that theory as now pretty much anyone could get into one of these brands.
It would, or used to seem, that that “elite status” was BMW’s thought with the bikes........ignoring the real market changes. The shift in the last ten or so years to more bikes with a broader appeal seems like playing catch-up (this “shift” is what got me interested). It would seem the loss of a place to purchase a BMW motorcycle could be linked to this.
Sometimes I look at BMW marketing and then look at Harley Davidson’s marketing as two trains moving in opposite directions.
“First the logo, now the dealers”, we are BMW.......it’s our plan :D

As always, YMMV.
OM
 
BMW has contributed to the disappearing dealer problem in multiple ways, like insistence upon decor and design elements for facilities, setting a very high financial bar for anyone contemplating starting or purchasing a dealership, refusing to protect dealer territory for multi-marque dealerships, etc. These and other requirements contribute to restricting the number of dealerships and forcing dealers to game the system in some ways. For example, my closest dealer used to have BMW and Triumph in one building but has had to break out each marque, along with others they have acquired, into separate facilities. That increases overhead and just makes it tougher for a dealer to survive, but if they don’t play the game then BMW will happily drop another dealership into the dealer’s territory, assuming BMW can find an individual or group with a large bank balance they wish to shrink.

Best,
DG
 
BMW has contributed to the disappearing dealer problem in multiple ways, like insistence upon decor and design elements for facilities, setting a very high financial bar for anyone contemplating starting or purchasing a dealership, refusing to protect dealer territory for multi-marque dealerships, etc. These and other requirements contribute to restricting the number of dealerships and forcing dealers to game the system in some ways. For example, my closest dealer used to have BMW and Triumph in one building but has had to break out each marque, along with others they have acquired, into separate facilities. That increases overhead and just makes it tougher for a dealer to survive, but if they don’t play the game then BMW will happily drop another dealership into the dealer’s territory, assuming BMW can find an individual or group with a large bank balance they wish to shrink.

Best,
DG

Eggzackery


Sent from my iPhone using Tapatalk Pro
 
My BMW dealer is my shop sponsor and takes very good care of me. He is also the only MC dealer in the province that understands what customer service is which makes it the only shop I've gone to for years. The downside is that it's a small region with a pretty small market so he can't stock a ton of extra stuff which makes things like trying on boots and helmets tough. If he ever closes I'm screwed!

I was just at High Road in Langley BC and they had the Schuberth I wanted which fit well and the girl gave me 25% off which was super nice. As soon as I had the helmet they let me demo 2 Ducatis which was also very nice as they knew I live on the other end of the country.
 
BMW has contributed to the disappearing dealer problem in multiple ways, like insistence upon decor and design elements for facilities, setting a very high financial bar for anyone contemplating starting or purchasing a dealership, refusing to protect dealer territory for multi-marque dealerships, etc. These and other requirements contribute to restricting the number of dealerships and forcing dealers to game the system in some ways. For example, my closest dealer used to have BMW and Triumph in one building but has had to break out each marque, along with others they have acquired, into separate facilities. That increases overhead and just makes it tougher for a dealer to survive, but if they don’t play the game then BMW will happily drop another dealership into the dealer’s territory, assuming BMW can find an individual or group with a large bank balance they wish to shrink.

Best,
DG

Interesting. I've been going to BMW Motorcycles of Austin (in reality Wood's BMW of Austin) since the old dealership sold out. I was a big fan of the old dealership, but they disappeared into the same boneyard that so many other BMW dealerships did. Fortunately, some of the old dealership’s good employees also went to Woods.

Woods has one huge building with Triumph, Honda, Kawasaki, Suzuki, Yamaha, Polaris, and Can-am all under the same roof, but kept in carefully separated and designated areas. I’m not sure how Wood’s managed to pull this off, but my guess is that BMW will eventually require them to put the BMW products in a separate building which interestingly enough will take them back to the same layout the old dealership had. Go figure.

E.
 
Hermy's in Port Clinton PA just celebrated its 50th anniversary. They recently expanded the building so BMW and Triumph don't share teh same showroom, Triumph is now at the opposite end, separated by service and clothing. Great people to work with.
 
The BMW VP in charge of Motorcycles in the US announced a few years ago: We need 150 dealerships. This calculated to afford dealerships enough new bike sales to stay alive. That is their corporate goal based on what they think they can sell nationwide in the US. That is all they want, regardless of what we want. Take 12,000 sales divided by 150 dealerships and that is on average 80 bikes a year per dealership. That is their expectation. We can wail and cry and post internet messages until we are black and blue in the face, but they have a plan and intend to stick to it: 150 dealerships.
 
Dealers

I guess I am a lucky one with Gateway BMW less than 50 miles away and Grassroots BMW and one in Urbana (sportland motosports) both 150 miles from my home. If I had to go the 150 miles both are old stomping grounds so it would not be horrible. If I went Japanese or Harley many choices within 25 miles.
 
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