Merry Christmas another BMW dealer is gone..... - K-Bikes.com - Excellence in Motion
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post #1 of 22 (permalink) Old Dec 24th, 2005, 10:50 pm Thread Starter
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Thumbs down Merry Christmas another BMW dealer is gone.....

Hi All,

I'll keep an ear out for everyone, but it appears that BMW of the Tristate (Cincinnati) is going to close its doors shortly (like as in 01/01/06).....

I have a few confirmations from the local riders group, so it's got some credibility....

At this point, I haven't spoken with anyone at the dealership, but as they have my GT in for service - be assured I will be contacting someone there ASAP.....

alow

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post #2 of 22 (permalink) Old Dec 25th, 2005, 12:20 am
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Unhappy Thats bad news.

Well maybe someone will pick up the slack in the area. Rode BMW for many years with no local dealer and no internet to help. Guess I can do it again. I may be to old to learn how to work on this new stuff.

Wow I didn't know BMW made motorcycles, Yeah I think Honda does too.
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post #3 of 22 (permalink) Old Dec 25th, 2005, 9:01 am
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Was told at my dealer in Louisville that the owner was trying to get a deal going to reopen a shop in Indy.Maybe he should have waited for Tristate.I have heard this Tristate rumor before,maybe its just that a rumor.I hope so,really hate hearing of all these dealers closing.

Enjoying The Ride. Eddie Layton
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post #4 of 22 (permalink) Old Dec 25th, 2005, 2:21 pm
 
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Thumbs down Bmw Na

Where is the support from BMW NA! - The whole bunch should be fired!! I also understand Rockford BMW will close.
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post #5 of 22 (permalink) Old Dec 25th, 2005, 2:27 pm
 
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Quote:
Originally Posted by scot

Wow I didn't know BMW made motorcycles, Yeah I think Honda does too..
Imagine a Benz motorcycle or a Volvo ? - or what about a Hummer ;-)
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post #6 of 22 (permalink) Old Dec 26th, 2005, 9:43 am
 
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BMWNA Dealer Support

B Haugen Wrote:


Hi B,

I'm curious as to what you think BMWNA should've or could've done differently?

JS
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post #7 of 22 (permalink) Old Dec 26th, 2005, 11:01 am Thread Starter
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Unhappy

Quote:
Originally Posted by jschilberg
B Haugen Wrote:


Hi B,

I'm curious as to what you think BMWNA should've or could've done differently?

JS
There are a ton of hoops that BMW NA requires a dealership to jump through to run a dealership.

I also learned a long time ago (with a F650CS fiasco) that BMW NA doesn't give a crap about the rider or the dealer. Further, the dealer is usually stuck in the middle when problems crop up - and they get little to no support from BMW NA....

That's just my opinion of course but I've dealt with both BMW NA and dealerships over the past several years.

I'm quickly coming to the conclussion that if this dealer does indeed close, I may not be riding the Mighty K much longer......

alow

2003 BMW K1200GT (Orient Blue) (Fast)
1982 Honda MB5 (Not So Fast)
IBA #22048

"This motorcycle is simply too goddamn fast to ride at speed in any kind of normal road traffic unless you're ready to go straight down the centerline with your nuts on fire and a silent scream in your throat."
- Hunter S. Thompson
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post #8 of 22 (permalink) Old Dec 27th, 2005, 9:55 pm
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Question Ride to Columbus

100 mile ride for service. Oh well hope they are good, bet my wife will be happy picking me up for my next $200.00 oil change ( as we refer to a service ). Went to Tristate earlier today. They say they are done. Seemed well stocked for a dealer that is shutting down? Seems a little fishy, but what do I know.

Wow I didn't know BMW made motorcycles, Yeah I think Honda does too.
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post #9 of 22 (permalink) Old Dec 28th, 2005, 8:54 pm
 
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Its no rumor, they are closing down

Hey, stopped over at BMW of the Tri-State today. They are selling everything out at dealer cost. Shop is closing its doors on this coming Saturday. People are picking up some great deals. But to be honest, I would have rather paid regular prices and had the dealer stick it out.

Word is that sales have fallen off. They sold half the bikes this year that they did two years ago. Also heard that BMW is being pretty harsh on its dealers. As I was saying to my wife on the drive home, who will buy BMWs if there are no dealers? We lost the one in Indy, I hear St. Louis is gone, now Cincinnati. You would think that BWM is either trying really hard to get ride of their dealers or they are such bad business people that they can't see the long term damage this does to the company's reputation.

If I were BMW I would be working hard to keep every dealer I have up and running. What good will it do BMW to come out with lots of great new motorcycles if there are no dealers to sell them and they have lost all their credibility with the buying public. Looking at the prices of those new R-RT.s and the K-GT I would think BMW would be busting their asses not to lose what customers they already have.

What is wrong with these hard headed folks at BWM?
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post #10 of 22 (permalink) Old Dec 28th, 2005, 9:25 pm
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There are several reasons why many of these dealers are going under. Sales are not meeting expectations set by dealer development back 5 years ago. Back when Tom Pluckinsky was running the show, and dealer development was showing a presentation that demonstrated year over year growth of 25-30%, many prospective dealer principals bought into the dream of 30,000 units per year by 2006 (in North America). Several dealer principals left that meeting and drew up plans for these Exclusive BMW Dealer Palaces rather than taking a more conservative approach.

It is obvious that BMW has come nowhere near that 30,000 annual unit number. As a result, you are seeing many of the BMW Showcase dealers kicking the bucket, and other dealers unwilling to commit to 100 units per year requirement and dropping BMW from their lineup. Couple that with BMW NA's new chief, Artero Piniero, and his cost cutting strategy that undermines the existing dealer base, and it's no wonder we see dealers leaving the marquee on a daily basis. At the same time, it's a two way street. BMW, in their effort to create a BMW lifestyle branding, as well as overstating the potential of the North American BMW market, created a situation where some dealer principals got in over their head. At the same time, there are some dealer principals that ALLOWED themselves to get in over their heads by over committing floorplan, apparel, or focused way to much on new bike sales rather than the recurring revenue brought in by Q-U-A-L-I-T-Y S-E-R-V-I-C-E. I personally know two dealers in very serious financial straights, but both dealer's problems can be traced to mistakes they made buying into the whole BMW growth thing without doing the proper financial analysis. In both cases, the adage "more money than brains" is quite appropriate.

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