I stopped in a local Arctic Cat dealer a couple of weeks ago. I live near Minnepolis. I was just killing some time and thought I would check out Arctic Cat's ATV line-up. I've been intrigued by some of their new models this year.

The first thing I noticed when I walked in was that there were not Arctic Cat ATV's. They had plenty of sleds, but not atvs. I asked the dealer if they were an atv dealer. He explained to me that if I want an atv I had to go to Gander Mountain. To me this is like buying a Toyota at Target. Who the hell buys a recreational vehicle from a huge sporting goods store? I thought this was odd, but just thought it was this particular dealer. Now just yesterday I went to another dealer in my town. I have purchased many Arctic Cat sleds from this dealer over the years.

Same thing: I walk in, plenty of sleds on the show floor, no atvs. I talked to the owner and he is not one bit happy with what Arctic Cat has done with him. I'm just repeating what I heard, so don't take this for gospel. He told me that Arctic Cat is selling atv's to Gander Mountain for $500 less than their other smaller independent dealers. How can this happen? I understand the whole idea of volume sales and all that, but it sure does look like Arctic Cat is shooting themselve's in the foot. This particular dealer has been selling Cats for 20 years. Anyone that knows Arctic Cat's history knows they went through some pretty lean years back then.

Shame on Arctic Cat for doing this to their supporting dealers. Not to mention doing this to dealers in their HOME state! I did some calling around and found out that there are atleast 3 other dealers that are no longer selling Arctic Cat atv's and are toying with the idea of dropping their sled line too.

I found out all this by stopping by to take a look at the new 650 and the new DVX. I guess I'll be keeping my Rubicon which has been back to the dealer...ummmm...zero times. The hell with the DVX, I'll just shoot some more business at my local Kawasaki dealer (I bought my V-Force there) and add a KFX400 to my stable.

One last rant. I tried to email Arctic Cat, and this is what I found on their website: Need a little product support? Unfortunately, we don't have on-line product and customer service support at this time. So if you're having mechanical problems with any Arctic Cat product, your dealer is still the best source of information and assistance Your dealer? That's a laugh, with all the dealers they are/will lose.

Bruce

 

true i think arctic cat has some good products but there marketing has got to get better or they are going to sink.
I have seen 5 dealers in a 70 mile radius quit selling the bikes cause they wanted them to stock and sell an unreasonable amout of units and the little dealers around here can not sell that many units. so they quit selling them at all. if i was a company i believe i'd rather have some sold more than none at all.
then a new dealer opened about 1 mile from my house and they are doing reasonably well. but after seeing the others quit selling them i just keep waiting for them to quit one day.

I am currently saving up to buy a big 4X4 but am unsure as to it being a Cat. I hardly hear anything good about the company. i know the bikes are good but with out the company acting right that is a big factor. especially when spending so much money. it will be a few months before i buy so i still have time to hear some good comments on them. but right now as much as i hate to say it i am leaning toward the polaris or even the dreaded Honda W/ no suspension travel and no ground clearance but around here everybody seems happy with the minimum they offer. everybody, at the last ride i went to, was on hondas. but it will be hard to go backwards form the Cat i did own cause once you know better is out there it is just frustrating.

 

Thats interesting. Whre I live there is a dealer that has a huge selection to view.
50 Miles away is another dealer with a smattering of machines. 180 miles is another dealer with machines.
So I am confused to why these others do not. Maybe they do not want to buy them and keep them on inventory?

 

well i don't know if i am correct, but maybe there are no atv's is because of the season (atvs don't really have a season) but when it snows, and its winter they usually have more snowmobiles than quads in winter, and probably have more quads that snowmobiles in summer

its my theory,


later

 

My local dealer was very specific about his intentions with Arctic Cat concerning ATV sales. They've been selling Cat products for 20 years and now Mother Cat is taking a dump on them. How can a local smaller dealer compete with the likes of a Gander Mountain superstore when the local dealer has to pay $500 more for them?

Gander mountain has their prices listed at around $300 less than MSRP on average. Since no one pays retail for any of these machines anywhere they've already got a $500 advantage over the local dealer. It's just deplorable that AC would do this.

As far as their supply being down because it's winter: We have strong atv sales in this part of the country 12 months a year. That is not the issue. The issue is corporate greed. Thanks, but no thanks, Arctic Cat can KISS MY ***!

Bruce

 

So your saying that Gander is buying the rides cheaper than your local dealer? That does not make very good business sense.
Most companies have a across the board price for all dealers whether they sale two or twenty. So to imply that company B gets a reduced price does not equate. I can understand selling at a lower price but I would wager their buying them for the same $$$$$$

The difference between Large versus Small Business's in the retail world is usually turn over rate. I am sure your local dealer could compete with prices it just drops thier profit margin a scoash. So maybe it is greed on thier part instead of AC Corp?

 

<FONT size=2>
Do you purchase items from Wal-mart,Lowes,menards,k-mart,Ford,Chevy,Dodge,Northern tools.....on and on and on. ALL the big corporate Co. give better pricing for quantity. Some dealers will pass the savings on but some will not.

My family runs a small engine repair shop and deals with this ALL the time! Take Briggs engines, I tell a guy that it will cost XX dollars to replace an engine (no labor) and the first thing He tells me "I can get a whole lawnmower for that amount from Wally world and it has the same engine!!" The sad thing is....HE IS RIGHT!! There are items we used to stock but finally gave up because the BIG companies were selling the same item for less than We could purchase as a 20 year dealer for them!!

So you say Arctic Cat can KISS for this reason? If you really look and ask questions, you will be telling MANY Co. to KISS YOUR ***!
</FONT>

 

My intention of this post wasn't to debate about Walmart and other big conglomerates. I was simply relating what I was told by my local and trusted dealer. How is it fair that a small dealer is charged $500 more than the big superstore? If someone makes their best deal on a quad, the small dealer cannot compete. They are already $500 behind the eight ball.

I have always been one of Arctic Cat's biggest fans and supporters. I've owned more than 10 AC sleds in the past and have been treated very well by my local dealer.

It looks like AC is just getting greedy by the deal they are making with Gander Mountain and others. It's no big deal to me. It's just a shame that the number 5 or 6 ATV maker is alienating their hometown dealers. All the manufacturers are making great machines these days. Arctic Cat is just making my choice much clearer.

Bruce

 

<FONT size=2>
You said it "local and trusted dealer" That is what I look for. And that is what our family has to do to keep in business. Don't get me wrong, I feel the same way you do but the only way I can try to beet it is to stay away from the big superstore. I have always figured that when you put a product out for sale you should have your cost and a profit margin figured in and sell it for that amount. But that doesn’t seem to be the way it is done anymore. Small Family owned Businesses are becoming a thing of the past.</FONT>

 

I don't really agree with the whole thing but let me play "devils advocate" fo a minute here.

Arctic Cat has the lowest ATV sales numbers out of all the major players so I don't think I would call it greed. They are looking to increase their visibility.

As a consumer, you look for the most bang for the buck. You see it these forums all the time. Who/where has the lowest price on this or that? Arctic Cat is doing the same thing. They want to get thier product out to as may people as possible, increase sales numbers, impress stock holders and try to gain market share. Gander probably negotiated X number of units at X$ each. The smaller dealerships don't have the capital resources and can't do that. As a result AC looks at X$ in contractual sales with Gander vs. ?? in sales from dealers. It will be interesting to see how they plan to support after the sale.

As stated before, small family owned businesses are a dying breed. Answer yourself this question. When you change the oil in the family car or repair that bad deck railing, do you support the local family owned auto supply or hardware store? Or do you go to the big box nationwide chain auto supply and the Home Depot/Lowes looking for a good deal?

Like it or not, it is one of the reasons the good old USA is the worldwide economic powerhouse that it is.