Content provided by United States Warranty Corporation
Top of mind as many gear-up for riding season are emerging trends business owners are facing. As with any industry, the powersport industry is fiercely competitive. Facing economic uncertainty, revenue right now is the top driver for summer.
Although recreational powersports sales are up, we anticipate an uptick in repair and replacement parts as used units are hitting online selling platforms and brick and mortar shops.
While the logistics of obtaining these parts are easing up in certain sectors, our claims adjusters are seeing more used units with a variety of engine issues. Isolating the root cause is often the most difficult part of the process. Generally, we determine if a claim is going to be authorized in 3 calls or less. Behind the scenes, this is not to say that the adjuster is not reaching out for pricing, verify OFW & recall status. Depending on a dealership or franchise, they have access to labor time estimators. We find that having a third party and educating the contract holder saves time and money.
Offering a warranty after the original factory warranty is just smart business. It allows riders a safety zone in inflationary parts and access to authorized repair facilities. If your dealership or shop is in our network, we provide the contract holder discounts for coming to you for repairs.
Not all service contract administrators are the same. Plan options are standard along with many no-cost benefits. Going back 20 model years helps some providers, that is for sure. Recently at the AIM Expo, we heard from many of you across the US and Canada that having a one-stop shop, automating the F&I process with a cloud-based F&I management platform is business critical.
One way we have sweetened the pot is by offering exclusive dealer partners incentive and promotional initiatives in addition to profit-sharing and rebate programs.