AMD 253 August 2020 American Motorcycle Dealer 253 | Page 22

BUILDING FROM THE CORE <<< Continued from page 64 how important we see the V-twin market as being to our future and how important its revenues are to us right now. Nobody should believe any rumors they may have been hearing - Tucker Powersports is not about to walk away from the custom and performance V-twin parts and accessories market - neither from the great business we are doing, nor from the great opportunity I believe it represents for us. "Everyone knows that it is service and consumables that have been the hero for most businesses throughout the COVID-19 emergency, and they are likely to continue being of great importance, not least in the V-twin sector. Our service and workshop consumables and related sales have been a huge win for us since around the time I came in at the end of March this year, and that is core business that we can build on. "We need to get back to all our core business strengths and build on the undoubted foundation that Tucker still has. That means prioritizing Brick and 'logistics are a mature science now' Mortar dealers as well as our online re-sellers. "Far from being outdated, in our industry the Brick and Mortar outlet is of critical importance. It is our interface with our customers. Ours is an experiential market, and one that new adopters can find intimidating. Unless you grow up in a family engaged in motorcycle culture one way or another, breaking down the barriers to participation can be difficult. "Dealers are the only way to shepherd people into the industry - they are a learning center as well as a social space and a shopping experience. This multifaceted opportunity makes the Brick and Mortar outlet a unique and uniquely powerful business opportunity in what is, at the end of the day, a uniquely person to person business, lifestyle and buying decision. "I see it as the job of the distributor to help the dealer to help the inexperienced consumer to 'soft-land' into that buying decision. If we don't help our dealers to help their consumers to buy, and if we don't Marc McAllister, President and CEO knows "there's a lot to do" at Tucker Powersports. recognize the fundamentally different nature of a decision to engage with riding a motorcycle, then new entrants will not be able to surmount the barriers they can otherwise encounter. "The store is everything in this process. No dealership can deal with north of 400 plus vendors - the distributor adds value by providing the easy-to-shop solution, and we must do everything we can to help the dealer to make it easy to buy - and that includes drop shipping, why not? "With logistics being the mature science they are now, and with consumers accustomed to getting what they order the next day, drop shipping for the dealer, on behalf of the store the customer visits, is a dimension to the buying experience whose time has come - in the motorcycle businesses just as it has in so many others. The COVID-19 experience has decisively pushed doing so for dealers past the top dead center of historic industry reluctance and firmly into the realm of consumer expectation." In fact, McAllister appears to be firmly of the view that "a lot of stuff that was focussed on needs to be stripped away" and that that likely applies to most distribution businesses in most markets. In his world view, comparing how a business like Tucker is doing now to how it did a decade or more ago is no longer valid. It is being fit for a new future, a post COVID- 19 world in which the process of consumer change has been massively accelerated, it is the only way for anyone in the industry to be able to embrace the opportunities that future could have. "COVID-19 represents an opportunity to reset the baseline in a way that enables people to let go of the past. Sure, there are difficult decisions to be made, there always are - everyone needs to be sure they 'opportunity-rich environment' have the right structure going forward." Asked if that was part of the story behind Greg Blackwell's leaving, McAllister said yes. "His leaving was driven by a number of reasons. After I'd been here for around six weeks, I could see that we could streamline the management structure still further, and that we could be better at embracing a number of new opportunities. I sense that we will benefit from fresh eyes and energy where the sales and marketing structure is concerned, and there had been considerable churn before 'lockdown' anyway - some instigated by prior management, some driven by some personal choices, so I wanted to be sure that we exited furlough with all the people we needed and a clear understanding of our direction. "We have now done that. All the people who are coming back are now back [this interview took place at the end of June 2020], and I think everyone has a good sense of that direction and a clear path to help achieve the objectives. We have a solid team with solid momentum." 22 AMERICAN MOTORCYCLE DEALER - AUGUST 2020 www.AMDchampionship.com