Harvest Depot – Berne, IN – March 10, 2007

CONTACT
Harvest Depot
6908 US Hwy. 27
Berne, Ind. 46711
260/589-3000
OWNERS
Doug and Linda Schwartz
BUSINESS PROFILE
Doug Schwartz’s helping-hand attitude was a major factor in his introduction into the powersports industry and is part of what sustains his enjoyment as a dealer today. Schwartz, along with his wife, Linda, owns Harvest Depot in rural Indiana. As a youngster, he was often the one keeping his friends’ rides running on long trips. Now, he doesn’t mind answering simple technical questions from customers over the phone, something few dealers do, Schwartz says. “When I was young, you went into a dealership with a simple question, and they couldn’t help you; it was always, ‘Bring it in,’” Schwartz said. “I have a different philosophy. I don’t mind trying to help people out over the phone if I can. I had one customer on a trip to Tennessee, and I was trying to troubleshoot him through his machine on the top of a mountain.” Harvest Depot has been around for 15 years, starting out in a barn on Schwartz’s property. Four years ago, when the county said rezone or move, he took advantage of some highway property that had recently become available. Schwartz and his small crew, which includes Linda, a store/office assistant and one mechanic, went about renovating the 7,000-square-foot space. The new look recalls Berne’s Swiss roots. The old barn is used as a product warehouse and can hold about 25 units. Harvest Depot is a single-line Polaris dealer, something that has been nothing but a benefit for the company, Schwartz says. “We really know the product,” he said. “Instead of having to tell customers why we’re selling them brand X instead of brand Y, we try to match them to the model. I’m not tied to selling brand X because I’m loaded with them.” The tactic allows Harvest Depot to stock more parts inventory and has made Schwartz more efficient in order sessions, he says. The company carries the same philosophy on the aftermarket side, working solely with Parts Unlimited. Harvest Depot sells Polaris ATVs and UTVs.
GREATEST CONCERN
Although the economy is a concern, Harvest Depot put some practices in place ahead of the recent slump that have helped it stay afloat thus far and should carry it through to brighter days, Schwartz says. He believes the economic situation has hit bottom for his dealership and that things are turning around. “We’ve made some cuts during the last couple years and got the overhead down,” Schwartz said. “We just try to see what’s coming and go with it.” Manufacturers have stepped up more recently to help dealers navigate through down times, Schwartz notes. “They’re taking initiative to help out with inventory levels and [interest rates],” he said. Schwartz anticipates that discount dealers will have the hardest time with economic hardship.
WHAT’S HOT
Larger cc vehicles are selling best at Harvest Depot during the first part of the year, Schwartz says, 800s especially. RZRs recently arrived at the dealership and have been doing really well, he added. In terms of the larger, overall picture, ATV sales have fallen, while Polaris’ Ranger models are holding their own. By and large, those that are buying don’t need credit, Schwartz says. He has also seen a sharp increase in customers looking to trade in their old machines and upgrade to something new. About half the deals he cut in 2007 involved a trade-in, more than ever before, Schwartz says.
CUSTOMER BUYING TRENDS
When Harvest Depot made the move to its highway location, the company picked up the Fox clothing line. “It brings in a whole new level of customer,” Schwartz said. The line also has drawn in more women. “We definitely get women coming into the store now, and we didn’t have that in the country,” he said. A tighter economy means more price shoppers, increasing numbers of trade-ins and customers who are more savvy. “People are getting wiser to the phrase ‘If it sounds too good, it is,’” Schwartz said.
PARTS AND SERVICE
With one service technician, whom Schwartz helps out, Harvest Depot runs a tight department. The segment has been on an upswing, with customers tending to fix up older machines over purchasing new, Schwartz says. “We’re highly trained and specialize only in Polaris,” he said. “We don’t need to have a mechanic who knows three or four brands. It helps with troubleshooting.”
PROMOTIONAL HOME RUNS
Schwartz has an eye for marketing. One simple, but effective, component Harvest Depot added to its twice-yearly open houses was a dartboard. The dealership uses the board to facilitate the giveaways it offers during the open houses. The number the customer hits corresponds with the number of the prize they have won. It’s been great for building excitement amongst customers and getting them involved because they have nothing to lose, Schwartz says. The worst thing that can happen is they hit the wall. If a person buys a new unit during the event, they throw a dart to try and earn free accessories. A second promotional keeper for the company has been its partnership with a local semi-pro hockey team. The team’s mascot uses a Polaris Scrambler to do tricks during breaks. In exchange, Harvest Depot gets a pair of prime season tickets, which it occasionally gives away to its loyal customers.
WORDS OF ADVICE
“The main thing is being upfront with the customer and being honest,” Schwartz said. “That’s what you need for customer loyalty. [Customers] are catching on to all the advertising gimmicks … if you burn a customer, they’re never coming back.”
­—Lisa Young