Dealership finds success with 12-month unlimited mile warranty for used bikes
What better way to help customers add to the excitement of buying a pre-owned bike than to offer a warranty as part of the purchase? Eurosports, a Coopersville, Pa., dealership that specializes in European motorcycles, began offering a 12-month unlimited mile warranty to its pre-owned customers earlier this year.
“We wanted to show our customers that first and foremost we stand behind what we sell. Second, used bikes are just that ‘used’ and even though we go over every bike we bring in, you can’t account for unseen future events,” said Josh Marsh, sales manager at Eurosports. “The cost of a 12-month warranty is far less expensive than the damage an unhappy customer could bring. And third, by offering this warranty, it keeps the customer coming back to our dealership.”
Eurosports carries Ducati, Triumph, Aprilia, Moto Guzzi, Vespa and MV Agusta motorcycles, and offers those brands and a host of others on the pre-owned side. “We are a European dealer. We are typically known as a performance-based dealership, but we really have something for every rider out there,” he added.
The dealership has shown its commitment to the pre-owned segment by providing a warranty that makes trade-ins and purchasing used units an easy option. “I think [this warranty] is very important. It gives the customer peace of mind knowing that if something goes wrong, all will be taken care of,” Marsh said.
“Pre-owned inventory is very important to us. If we have a used bike for sale, it is 99 percent due to the customer trading in. This allows us to earn a lifelong customer as well as increase our bottom line by now having another bike to sell,” Marsh added.
As for its pre-owned business overall, Eurosports has seen positive growth, selling more used bikes in 2014 than in previous years. Marsh credits those sales to a more appropriate selection of used inventory, but it’s clear that pre-owned remains an important part of Eurosports’ sales.
Marsh said that since the warranty program did not roll out until late in the season, it’s still too early to accurately gauge its success. He hopes the dealership will continue to offer the warranty in the future. “We do feel that the cost of the 12-month warranty is far less than most repairs, should they come up,” he added.
In a lot of cases, Marsh said that used bike customers are often looking to save money. The ability to buy used, but not have to deal with the hassle of fixing any issues themselves, gives customers the security they may need to make the purchase. “This also builds a value in the customer moving forward about purchasing extended warranties,” he added.