International Dealer News IDN 148 April/May 2019 | Page 33

THE AMERICAN REPORT New MAG CEO Hugh Charvat: "What they didn't appreciate were the nuances of the distribution industry" market, and what their appeal is to the various corners of the market, was completely missed. Today, the opportunity that we now have is look very carefully and selectively at what we can do to unwind some of the decisions that were made in a way that allows us to restore some of the relationships, maybe outside of Tucker, with other customers. "Key to this will be building up the team, adding established market knowledge and understanding. In the past 90 days we've already brought in the likes of Greg Blackwell, a well known and respected industry veteran, and we've brought back John Potts, who was very well known on the Vance & Hines and Performance Machine side of the business. We've also just announced well received further appointments at Tucker, and taken with other hires such as Greg Heichelbech at Kuryakyn and Mustang, the team already looks very different to the one the business had a year ago. I think this speaks well to the start we have made, to our preparedness to make the necessary changes and our determination to meet the challenges." "We will need to approach each of the issues we are faced with, each of the challenges and each of the prior decisions on an individual basis, on their specific merits. Since those decisions were made, the market itself, the retail environment, has continued to evolve, and we have to be realistic and cognisant of that, as all distributors and businesses have to be. But for sure there can and will be www.idnmag.com changes and better ways of building better relationships. Where that involves unwinding prior decisions, we'll do that if there is a better outcome available. "Our path to market, our channel strategies, need to be based on what is best for all concerned, including the end consumer. But Tucker is not going to be selling on Amazon, for example, and we are going to be as rigorous as possible in enforcing a MAP policy. If a dealer insists on buying brand direct and wants to have an online business of their own, then fine, but they are going to have to play by the same rules that the big boys do. "Above all, Tucker has to focus on doing what is essentially a simple task, and doing it well. Tucker is in the box moving business. While there is subtlety and nuance surrounding doing that well, we have to recognise the reality that dealers no longer run "they've had a blurry windshield for too long" deep inventory and look to their distributor of choice to absolve them from the need to do so. "The secret sauce, if there is one, is how do you help your dealers to be as successful as they can be in an evolving marketplace. If we can figure out that recipe, if we can help them to want to do business with us, and to be able to do business with us, then that is how we earn their business, respect and loyalty. Our job is to make sure our dealers want to buy from us rather than another guy by simply being a better partner. That is the secret ingredient, but the objective itself is actually pretty simple. Charvat's focus on team rebuilding found dramatic expression when it was announced that industry veteran Greg Blackwell had joined Tucker as the new Senior VP of Sales and Marketing. The general industry reaction was that this was a powerful signal of intent. Blackwell's first significant role in the powersports industry was as President of Metzeler Pirelli in North America, a role he held for nine years. He then spent 14 years at LeMans (Parts Unlimited and Drag Specialties, Moose, Thor MX and ICON), initially as a pioneer of the Brand Manager role, and then for many years as VP Sales and Marketing. Blackwell's twin passions are motorcycles and bicycles, and after LeMans he managed to scratch an itch to return to his native California working for the Dutch Accell Group, one of the world's leading bicycle, parts and accessories distributors. He followed that by running PG&A for KTM North America, then got a call from Motovan, Canada, owners Mike and James Paladino. They had completed buying MTA Distributing from Larry Popp and wanted Blackwell to head up the headquarters operations they were transferring from Louisiana to California. After three years as President at MTA there was another call, and that one has seen him now faced with what will be one of the biggest challenges of his life - to make Tucker an effective competitor for the market leading distributor he did so much to build into the powerhouse it became on his watch. "From a personal point of view, my own dealings with Tucker Rocky, as it was, go way back to the days when I was the 'Metzeler' guy in the industry, to the days of Joe Piazza and Bob Nickel. TR was one of 15 distributors we had as Metzeler Pirelli, and I still have a lot of friends here from those days, people I used to go out on the road with and who are still here at Tucker, who bleed Tucker. "I look at what they've been through, and I think that their still being here represents a true passion for and commitment to their company. For Blackwell too it is all about relationships. "We have to rekindle our relationships with our vendors, our dealers and our sales teams. We have a lot of really smart people who are passionate and who want to be able "make Tucker the 'good guys' again" to love their company again. "I believe they have been in a state of turmoil with the changes that have gone on for the past few years. We just need to help them to do their jobs and use the experience they have. "The people here at Tucker have had a blurry windshield for the past few years. Coming into the company, the one thing that has been clear is that Greg Blackwell, Senior VP Sales & Marketing at Tucker Powersports: "We need to make Tucker the 'good guys' again" something needs to change - the company failed after all. Part of that change is bringing in new people - people with the knowledge and experience needed for this marketplace; people who can make the changes and reorganise the company for the future, and do so in the ways needed to get it back to be a sales organisation. "We have to recognise and understand what has gone on before, but we also need to move on. We are a new company now, and we are already in a better position than we were a year ago, especially in terms of inventory, and the new ownership understands just how important that is. "We need to look at everything we are doing, and how we do it, and change the way we are doing business. We need to identify what's good and improve it still further, but we also need to see the mistakes that were made for what they were and change direction. "We are in a difficult market and have very good competitors. If we are going to achieve the growth we think we can create, we have to realise that there's only one place that growth can come from at this time, and that is from our competitors. We simply have to be better than them. "Tucker used to be a worthy competitor, I know this, as it was my competitor. So, my goal here? To make Tucker a worthy competitor again - we need to make Tucker the 'good guys' again". INTERNATIONAL DEALER NEWS - APRIL/MAY 2019 33