There are very few career choices that will be insulated from the effects of a globalized economy. These are among the few examples of jobs and margin that will be insulated from the effects of outsourcing and globalization within your working lifespan: Author Construction Vehicle Repair Health Care These are among those that will be impacted: Everything else. I'm not qualified to suggest what any brick and mortar company should do however, for some of us it might be a good idea to anticipate and embrace change. Because it has arrived.
My point is the theory of globalization will be severely impacted by rising fuel costs. The notion of globalization relies on the assumption that one can transport things for a nominal fee. If that fee becomes several times it's assumed rate business models will change accordingly. Just something to consider when talking about global change, there are many variables!
I'm sure you're right but let's use a random example and see how much of a difference it may make: R1200GS MSRP $18785 (2014) R1200GS Weight @ 520 # I realize that shipping between WA and AK is not an issue however, just as a benchmark of value... The highway distance between WA and AK is roughly 2500 miles. The steamship distance between WA and AK is roughly 1700 miles Cost to move the bike that distance on the steamships at @ $30.00 per hundred pounds = $156.00 for the 3.5 day service. $156 dollars is approximately 0.8% of the cost of the machine. If costs were to spiral out of control and suddenly a gallon of fuel for your car went from $4 to $20 you'd still be looking at a fairly small piece of the overall cost of any significant purchase. Small replacement parts and the like would be hit at a disproportionate rate but freight for items of value will not soon be a determining factor.
That's the way I see motorcycle manufactures heading.......only they are charging for the bikes. Here in Alaska that is biting them in the ass. Look at all the bitching about dealers on here. There is no way a dealer up here can carry all the parts for the variety of makes and models they sell. That I can understand. The manufactures won't sell the diagnostic equipment to anyone but the dealer. So the dealers have a monopoly. Whenever, there is a monopoly on anything the service is usually poor and the prices high. Competition is what brings service up and prices down. Remember how MTA used to treat people when they were the only show in town???:huh Over the years I have bought several new cars, pickups and a commercial dump truck from dealers. I have only used a dealers service for warranty work. Other than that I do the work myself or it goes to a local mechanic because I get better service and prices from them. It ain't rocket science. While I like to see people buy local.....and many do. I try to myself. BUT the majority will vote with their wallet. I know I do when the service sucks......cause there is no excuse for that.:eek1
My favorite part about this whole rant... How freaking smart my fellow AK motorcycle riders are! I love you guys. Brendon... Way to keep up the good fight. Seems people think we're getting rich around here selling motorcycles, parts and accessories. If you gotta buy stuff from Revzilla to save a few bucks, then you gotta do it. If you can come to terms with helping us stay in business by spending a few extra bucks on something that we sell, we appreciate it. Immensely. There are so many variables involved... We pay shipping on accessories to our shop that RevZilla will ship to you for free. They service a nationwide client base that we are not privy to because of location. Ideally we try to stock intelligent parts and accessories in our shop in Fairbanks. Then we try to keep your business in the store by offering VALUE ADDED SERVICES like suggesting why the products we've chosen are the best we've found in the marketplace. Our goal is to sell experience and expertise and we know that we cannot be the next RevZilla. But what we can do is tell you where the kick ass rides are around our area. We can tell you which bikes perform better if you like to sniff out the wayward trail vs. crush immense miles down the AlCan... We can tell you which jackets and pants we find to work the best in AK, because we ride and we share the same passion as you do. I can tell you from a simply personal perspective... I made WAY more money working as a carpenter than I make working at Trail's End BMW. But I love what I do. And I love the people that I've met and continue to meet. Sometimes working on strictly a dollar and cents basis is important. Sometimes there is greater quality to be had by spending a little more to support those that you live around. Maybe if I make more money, I'll be able to spend some of it at your business. Then again, what do I know? I'm in Egypt eating $1 meals for the winter so I can afford to sell motorcycles in Alaska for another summer. Cheers everyone! Support us local guys if you can afford to. We love you for it.
FlyRescue - curious, do you tip the waiter if you go out to eat? Assuming you can stomach some truly absurd margins the restaurant business demands and actually go out to eat that is... Having managed a few retail stores and done the math on what it takes to keep the lights on, anything below 20% really quickly stops making sense of you have any employees. There's a reason small businesses only have a few employees, they're expensive. Especially if you want good ones. Then there's the whole cost of heart that building in Alaska... I'd have bought that water cooled gs I keep lusting over at trails end if i didn't have to buy oil and pellets to stay warm. Probably an atv too. Sorry Justin, hope you and yours are safe over there. Re: Bob's bmw. Great shop, used to live 20mins from them. Bought a helmet and some gear from them. They're great at what they do but it was easily the most expensive shop in the dc area for just about everything. But the do what they do so well plus actually have inventory such as jackets in all sizes, helmets in all sizes, gloves in all sizes, a full range of women's gear, and parts in stock, that a lot of people were and are willing to pay for it. Of course, they also have 100x as many local customers... As far as parts and apparel go, I'd love it if local shops would have what i need when i need it. I also know it's an impossible task most of the time. Some times i do better online, sometimes i make out fine locally, sometimes i get to choose getting screwed by shipping or 'overpaying' locally (of which I'll choose the latter). I honestly just wish i could find tires up here for something close to what i could get them for down south. Shipped up or purchased locally, it chaps my ass to pay double for rubber than i used to.
Looks like you're in FBKS so it might not help but Alaska Leather meets those requirements for me. I have bought tires from Barb at a better price than I could find anywhere on line even if they did ship them for free. They have somehow always had the gear I needed, in my size, and for on-line comparable pricing or better. I do go there during sales and movie night when they've got killer discounts. Besides all that, it's fun going there and they treat you like family
I can understand why the bigger shops are big due to their customer base, location, etc. I consider myself as an average consumer. What makes me return to any business either a bike shop or restaurant is customer service. If you have subpar service no matter your business size or being the only game in town, people will go elsewhere.
True. I buy stuff at TMS when I can. My limited experience is that everyone has been friendly and knowledgable. I really appreciate not having to talk to some "know it all dipshit" that doesn't really know shit. You can walk in and talk sport bikes, big DS bikes, dirt bikes, gear etc. with someone that actually rides and uses the stuff. Big plus IMO. I am always surprised at the stuff they have in stock, stuff I can actually use. Brendon tried to sell me a nice Ducati Multi this summer and I would have bought it from him had I not checked my bank account and decided a used WR was more in my budget. But that "out the door with the bike for $300" pitch almost got me. But once he gets a KTM 1190 on the floor I may not be able to resist. I appreciate that we have shops like TMS and Alaska Leather. They dont price gouge the shit out of me (unlike many other businesses up here) and I would like to see them stay in business so I support them. As far as shop services are concerned, I always do my own work. Its my ass on the bike so the only person that will do the job to my satisfaction is me. I have the luxury of spending hours tidying everything up and making sure everything is perfect. Shop techs dont have that luxury. Justin: what the hell are you doing in Egypt? Sounds like an adventure waiting to happen. Drop me a note when you pass by Girdwierd. Last time I saw you in Chiapas was a freakin long time ago! I'm going to wander up to the 'banks next summer on the WR and pester you. Yep, feel exactly the same way.
The 1190? You're in big trouble, like $16k trouble... 3 deposits so far and planning our service training, trying to make KTM street bikes happen...again.
Amazing how it wasn't that long ago that all mfg's were staying under a self imposed 100hp ceiling and a 200hp factory race bike seemed like a lightning bolt. Now you can stuff damn near 200 ponies in your garage and it's not considered outrageous. Sort of.
This "I know it all attitude" is why people in Anchorage do not use TMS Parts Department. Everybody that read Barb's post knew what she was saying except the kid that loves his title so much that he makes sure everybody is aware of it. Mr Assistant GM/Systems Admin, you and your staff could learn something from Barb's. Alaska Leather is the true definition of Customer Service.
I agree and see folks praise her in other forums, like the MTF. I have bought stuff there even though I can buy it cheaper on line.....cause I know she will take care of any problems......now and in the future. Maybe she should teach a class for those that have problems with their customer service skills. After all she knows the motorcycle biz unlike the rest of us moron's on here.......eh???:huh
She was kidding and so was I. I welcome any criticisms of my business, it's how we can better ourselves and our methods. All we do is try to take care of customers. If you feel we aren't taking care of you, please speak up. Again, open that avenue of communication, we want to perform better, and take care of you lot as best we can. I'm sorry for bad experiences in the parts dept. in the past. The past is just that. All I can focus on is the future and looking forward.
