Why are V-Twin motors so expensive?
- Thread starter Dracone
- Start date
Justintime
Member
:up:Hard to fit a GM ZZ502/502 on a Big Dog but Lets try it
:up:Pricing strategy is an art as much as a science. The reality is that when BDM priced their bikes into the $30-$35k and higher range, they narrowed their target market, and they shortened their shelf-life.
High end luxury items depreciate the fastest, and tend to be fads.
BDM's overhead had a lot to do with this as well. When you calculate BDM's total cost, and I mean all the costs including operations, not just OEM parts, it was an expensive bike to build.
What I'd like to know is what was the margin they gave their dealers?
I am very familiar with the 3 tiered distribution systems, and the trend is away from it.
BDM can come back very slowly, and I think what Sheldon is doing now focusing on parts not builds, is smart.
The strategy should be to preserve the customer base by offering parts, salvage as much loyalty and goodwill as possible, then come back very very small with custom builds on a Just-in-time manufacturing methodology. Sell direct as well as through dealerships.
My strategy would be to incent my dealer network to stock parts, offer extended and very generous warranties on parts, support the dealers with exchange policies, etc.
I would also plan an Owners Rally somewhere central in the U.S., invite any dealers to setup displays, sell inventory, and present what his plans are for feeding the Dog nation.
It can be done, I've done it, and I've seen it done several times.
High end luxury items depreciate the fastest, and tend to be fads.
BDM's overhead had a lot to do with this as well. When you calculate BDM's total cost, and I mean all the costs including operations, not just OEM parts, it was an expensive bike to build.
What I'd like to know is what was the margin they gave their dealers?
I am very familiar with the 3 tiered distribution systems, and the trend is away from it.
BDM can come back very slowly, and I think what Sheldon is doing now focusing on parts not builds, is smart.
The strategy should be to preserve the customer base by offering parts, salvage as much loyalty and goodwill as possible, then come back very very small with custom builds on a Just-in-time manufacturing methodology. Sell direct as well as through dealerships.
My strategy would be to incent my dealer network to stock parts, offer extended and very generous warranties on parts, support the dealers with exchange policies, etc.
I would also plan an Owners Rally somewhere central in the U.S., invite any dealers to setup displays, sell inventory, and present what his plans are for feeding the Dog nation.
It can be done, I've done it, and I've seen it done several times.
RoofDude
Well-Known Member
I would agree with Machete. The price did get out of hand, IMO. My bike new was $24K & change. I did pay extra ($1500) for the 117" as 107 was the stock motor at the time. Even with a $1500 engine upgrade, my price was 25,800. I wouldnt have payed 5-10K more. One of the things that sold me was, the price. I thought for that price, there was a lot of value as opposed to a Harley, or anything else. Other than pipes, it was done. No chrome to buy, no braided lines to buy, etc... Hell I easily have that in my RK. Its not a fair comparison but, I probably had 25 in my Fatboy too.... & the BD is waaaaay cooler, faster, etc...