At the company's dealer meeting on Jan. 23 south of Minneapolis, FXR Racing owner Milt Reimer addressed the past, present, and future for powersports and FXR’s place in the industry. Powersports Business was in attendance and can report show highlights here.
Covid & The Economy
“Covid sucked,” was Reimer’s honestly obvious message to FXR retailers. He notes, however, that the pandemic did provide a boost for the powersports industry and related active outdoor businesses, showing people that they could find new adventures and opportunities outdoors. Factory shutdowns related to Covid-19, however, caused supply chain disruptions and delays in freight shipments that made it difficult to serve a growing customer base. Considering the economy today, Reimer says that he doesn’t believe that snowmobile and powersports customers are experiencing a recession, or at least their spending activities aren’t showing that.
Reimer took the opportunity to remind dealers that FXR’s brand power is increasing in both snow and motocross markets. He said that FXR is arguably the No. 1 brand in amateur MX, judging by the apparel choices seen in starting gates at Loretta Lynn’s National MX races in Tennessee and the World Vet MC races at Glen Helen MX in San Bernardino, Calif.
The goals of FXR Racing are the same today; to engineer products to perform better than expected, and to deliver a hassle-free experience every time. Reimer reminds dealers that reaching that goal means following certain pricing guidelines. He says that FXR is not a budget brand and never will be. That structure helps both FXR and dealers remain profitable.
The gear manufacturer will also focus on its production capabilities and capacities, along with improving logistics and warehousing operations, where he admits the company has had challenges the past two years. With late deliveries last year, and an earlier order period, Reimer said that off-season inventories are up significantly. FXR’s warehouses are at maximum capacity but he that will enable early product delivery and no product shortages going into the fall.
While focused on larger operational issues, FXR keeps an eye on the ground, with support of local racing activities, unique merchandising methods designed to help customers and dealers, and a focus on the grass-roots growth of both their brand and the sports it serves. We’ll report more on FXR throughout 2023.