Motorsport Aftermarket Group (MAG) is moving two of its business locations. Motorcycle Superstore is moving from Medford, Ore., to the Dallas-Fort Worth area, and J&P Cycles is separating its warehouse, administrative offices and call center and moving them from Anamosa, Iowa, to three different parts of the country.
J&P Cycles’ warehouse will move to Louisville, Ky., while the administrative offices will relocate to Texas, and the call center will operate out of Daytona Beach, Fla., the Journal-Eureka of Anamosa reported. A retail location will remain in Iowa, though it will operate out of a new facility. J&P Cycles’ move was driven by the need to ship products to customers faster. Louisville is the home of the worldwide UPS air hub, meaning once the warehouse moves, J&P will be able to reach 71 percent of its customers in one to two days, MAG retail vice president Ryan Polk told the Journal-Eureka.
J&P’s move affects 125 employees, each of who have been offered a chance to relocate, Polk said. Shipping from Anamosa will continue through the end of January, and the Anamosa location will close sometime in 2016, when MAG’s lease on the building expires.
Motorcycle Superstore, however, is moving because it has had a hard time attracting new talent in Medford, Ore. Marketing, merchandising and information technology have all had a hard time in their talent searches, reported the Mail Tribune of Medford.
Motorcycle Superstore will close its Medford operations around March 2016. The move will affect 118 jobs.
Sister company Motorcycle USA will remain Medford, but its employees, who total fewer than 10, will relocate to a new building.
MAG merged with Tucker Rocky Distributing/Biker’s Choice in May 2014, and Tucker Rocky is based out of Fort Worth.
In explanation of J&P Cycles' move, Zach Parham, son of J&P founder John Parham, posted this on the J&P Cycle's Facebook page on Thursday:
Thirty-six years after my dad, John Parham, founded J&P Cycles in a garage on the outskirts of Anamosa, Iowa, the company has grown in ways never imagined. More specifically, our ecommerce retail business is growing at an incredible rate. In order to meet the needs of the modern consumer and to maintain our dominant position, we realize our business model must change to match customer expectations.
J&P Cycles will begin phasing out warehouse, call center and office operations in our eastern Iowa facility within the next several months, beginning in late summer and concluding in early 2016. Our retail center will stay open throughout this period and beyond. The same dedicated, talented and knowledgeable people serving you in our store yesterday are here today and we hope for many more years to come.
The warehouse operations will move to Louisville, Ky., administrative offices to Texas and call center operations will expand in our Ormond Beach, Fla., facility.
The shift in warehouse operations to Louisville, is based upon the results of an extensive study conducted by a third party logistics company, who we engaged at the beginning of the year. The study concluded that Louisville was the most optimal place to locate our warehouse in order to maintain the best-in-class service that is synonymous with the J&P name. A warehouse there will allow the company to ship products to more of our customers faster than the Anamosa warehouse. In fact, we can cover 71 percent of our customers in one to two days from Louisville.
Every employee in Anamosa impacted by this decision is being given an opportunity to relocate and assist us in continuing our growth. We have great people working for us in Anamosa and I hope they will continue to be with us in our other locations.
While the physical location of our retail showroom may change, J&P Cycles will always have a retail presence in eastern Iowa, and will be located in the existing Anamosa building until sometime in 2016.
Making this decision and affecting the lives of my dedicated colleagues and friends will likely be the hardest thing I ever do. Growing up in Anamosa, I am humbled and amazed at the level of participation and support from the community that my family has received in building this great company over the years. My level of gratitude cannot be measured. In an effort to continue realizing the amazing vision that my father created, I will be joining efforts in Texas to continue building on that legacy.
Keeping the World on Two Wheels,
Copyright 2015 Powersports Business