OPINION – The big box factor on overzealous regulations
The continuing presence of powersports vehicles in big box retail locations is largely a divisive issue in this industry.
The issue surfaced again recently when Cabela’s announced the addition of Kawasaki ATVs to some of its U.S. stores. Cabela’s joins the ranks of Bass Pro Shops and Gander Mountain as fellow big box operators currently carrying ATVs.
If you’re a dealer, you’re up in arms over your product, which is pretty much identical to what’s in the next county anyhow, being placed in a destination location. After all, how do you compete with a store that’s so big it has a mountain and a creek in it? A store that consumers won’t think twice about driving more than an hour to shop at?
On the other hand, taking a stand against OEMs being able to sell their product to big box retail outlets is, at its very core, an attack against the fundamental right of capitalism — being able to freely sell your product to the bidder of your choice. And that stance, although perhaps overly simplistic, is tough to stomach.
Plus, there’s a supporting argument that seems logical: The additional exposure of having ATVs in destination locations could eventually help grow the market, perhaps lure consumers that otherwise wouldn’t have purchased an ATV in the first place. And that could later help dealers and aftermarket companies by bolstering PG&A and service sales. All of those countering viewpoints, however, don’t bother me as much as this: Could the increasing trend of having ATVs in big box stores lead to unnecessary government regulation?
The federal government is currently proposing a number of changes to ATV standards. Most of them, including making voluntary safety standards mandatory, make absolute sense. The one that doesn’t is requiring dealers to have consumers sign paperwork at the point of sale, notifying them of the safety hazards of children riding adult-sized ATVs. Dealerships are already being asked to voluntarily inform consumers of this safety hazard. And from my discussions with dealers, that seems to be occurring at a regular rate.
But will that same conversation between salesperson and consumer happen at a big box retail store? And if it doesn’t, will the likelihood of more government interference be the result?
Before answering the latter question, we should jump back to the first one. One of the arguments dealers have against ATVs being sold at big box outlets is the sales force at a Cabelas or a Bass Pro Shop won’t be as educated in powersports vehicles as their dealership counterparts, thus creating possible safety concerns.
Supporters of ATV sales at big box stores could roll their eyes at that and reply that the quality of dealers’ sales personnel can, at times, be equally suspect, or that training can lessen or altogether close that gap.
But what’s not debatable is the public’s perception of big box stores: great selection, great prices, but often-suspect service.
Personally, I’ve been to two of the big box recreational stores that either have ATVs or will have ATVs, and I had two entirely different experiences. In one store, I wasn’t approached by a salesperson for the entire 30 to 40 minutes I was there. In the other store, I couldn’t walk from one department to another without getting helped by knowledgeable sales personnel.
And that’s hardly a feel-good percentage if you’re a federal policymaker. If consumers are only informed of the possible safety hazards for children 50 percent of the time, then maybe more government regulation is needed. And maybe the selling of ATVs at big box stores should be more closely scrutinized.
Of course, making such a judgment over just two shopping experiences isn’t practical. But the prevalent thought over the lack of big box stores’ service can’t help in eliminating this point-of-sale proposal addressing youth ATV safety concerns.
A proposal that seems too heavy-handed, too much the by-product of a litigious society with no real lasting effect on the consumer.
In fact, it seems awfully similar to what you will find at a big box recreational store when you shop for life jackets. Each life jacket, no matter the make or model, has a multi-page booklet attached to it that boils down to one fact: If you happen to fall unconscious and then flop into the water, the life jacket won’t keep your face above water, meaning you’ll drown. Shocking, huh?
Really, the shocking point here is the government’s failure to realize what manufacturers and dealers already know: They’re dealing with a more savvy consumer. A consumer, according to survey after survey, that is doing more online research and approaching the point of sale much more educated than ever before.
Couple that with the dealership’s approach to further educating the consumer on youth safety issues and somebody has got to raise a hand and ask, “Isn’t this enough? Can’t we now put the onus on the parent?”
Of course, that can’t be asked if the salesperson at the dealership isn’t doing their part. Or, perhaps more likely, their counterpart at the big box store. psb
Send your comments or questions to PSB?Editor Neil Pascale at npascale@ehlertpublishing.com.