The elimination of surcharges was a primary focus of the National Powersports Dealer Association (NPDA), and dealers are happy to see the association is making headway.
While surcharges were seen as legitimate during the pandemic, to continue to hit consumers with these fees for a third model year seemed to be overreaching to many dealers, according to Mark Sheffield, an advisor to NPDA, who alerted us to this issue.
Sheffield says that data shows shipping charges have normalized. “If commodity prices remain elevated, it’s time to adjust the MSRP. Surcharges had morphed into a stealth price increase, allowing OEMs to advertise low prices, while dealers took the brunt of customer’s anger.”
BRP has been making a lot of headway in the UTV segment lately with the launch of the new Maverick R SSV. However, Sheffield points out consumers were tired of seeing a “pandemic surcharge” line item on their bill-of-sale. He believes that removing the charges will give BRP a leg up against the competition.
“I know that I’ll be making sure all the dealers I work with are aware of this change and will be making strong recommendations that dealers support the OEMs doing the right thing,” Sheffield wrote on his LinkedIn page. “I know that in our dealership, Woods Cycle Country, an OEM that doesn’t use a surcharge has a selling advantage.”