2014 Availablility and Price D&H Cycles

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I agree with topgear that a fly n ride is not such a bad thing nor should it be considered an expense. It is another ride/adventure. An expense to me is having a bike shipped and trying to work that fee into the price of a bike. Reference another statement about used cars being the main profit center followed by service and then new vehicles, On the adventure site someone had posted that he was a service mgr for years and in the motorcycle industry for decades and that service is not that high on the profit scale due to the cost of equipment, lifts, tools, computers, etc.. Used vehicles are always first on the profit scale due to the fact that they pay next to nothing for them and then charge a high price laced with additional fees.

I also have heard alot of good stuff about D&H but I am concerned about riding back from there during its initial break in. It seems that it would be kind of a sucko ride with a brand new bike. Please jump in on this comment. Thanks

 
Slightly off topic, but since it was brought up, I used to sell Fords. I actually sold Nissans for a month, but the guys at that dealership were crooks, so I left to a brand new Ford dealership.

Here's about how it breaks down, and may or may not be applicable to motorycles:

Car dealers have MSRP sticker price, invoice, and holdback. The holdback is the difference between what the dealer paid and what invoice is. So even if someone buys a car at invoice, the dealer is still making money, because there is profit saved in the holdback.

Lower end cars, like a V6 mustang, or a Chevy Cobalt, something under 25k only has about $1100 between invoice and sticker, and probably $600 in holdback. Higher end vehicles, like loaded Powerstroke F250s, Fully loaded Silverados, Corvettes etc have close to $4k between invoice and sticker and maybe $2k in holdback...I may be high on the holdback number...It's been a long time. So, even if I sold a $52k truck for full price, I was paid comission on around $4k profit. Holdback does not play into that number and almost no one ever paid sticker for a car. Average profit was around $1500 +/-. Conversion vans had aroud $10k worth of profit built in. If we sold one of those, we got a steak dinner and a jacket. I never sold one because I was a loser.

Now...Take a used car. Say someone traded in their truck and bought a new one. Say we paid them $10k for a free and clear trade-in. It would be cleaned and on the lot the next day for $14k. The prices were coded, so the salesman would tell a buyer it was $16k. They would deal down to around $14k, so the dealer and salesman saw a profit of $4k. Easliy...Almost every time. Used cars are where the money is, and new cars are just to attract the buyers to the dealership. That probably isn't all true, but new car sales have no where near the profit of used cars because of the way they are priced...I've been told that all those numbers I gave have gone up substantially since I left in 1996.

Figure the same goes for used MCs, just on a smaller scale due to the prices being lower. Not much profit in new bikes, but as much as a dealer can muster in used bikes.

 
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It definitely makes sense that a dealership would make more money by flipping a used car than selling a new one. For one thing, there are noi other interested parties involved (like a manufacturer) looking to carve their profit out of the deal.

But that does not mean that a used car deal is more expensive to the buyer. You need to remember that as soon as you take delivery on the brand spankin' new car, and drive it off the lot, the moment you put 1 mile on it, it is now a used car and worth a healthy chunk o' change less than it was two minutes ago.

It isn't necesarily fair. It's just the way it is.

PS - Buying used cars from private parties can be an even better deal for the buyer, but buyer will also assume considerable added risk that the vehicle won't be all that it is represented it to be. You have to be a bit sharper to play in that game.

 
I agree with topgear that a fly n ride is not such a bad thing nor should it be considered an expense. It is another ride/adventure. An expense to me is having a bike shipped and trying to work that fee into the price of a bike. Reference another statement about used cars being the main profit center followed by service and then new vehicles, On the adventure site someone had posted that he was a service mgr for years and in the motorcycle industry for decades and that service is not that high on the profit scale due to the cost of equipment, lifts, tools, computers, etc.. Used vehicles are always first on the profit scale due to the fact that they pay next to nothing for them and then charge a high price laced with additional fees.
I also have heard alot of good stuff about D&H but I am concerned about riding back from there during its initial break in. It seems that it would be kind of a sucko ride with a brand new bike. Please jump in on this comment. Thanks
Lots of people do fly/drive and rides for initial break in. The key is to vary your engine load and RPM's for the first 600 miles. Our route took us through 3 national forests, the Natchez Trace Parkway and they Texas Scenic byway. We kept to backroads and went through lots of pretty small towns which take your speed down to 25 or 30. I never kept the RPM's constant for more than 10 minutes. I would have done the same thing over 2 or 3 rides at home if I had picked up the bike at a local dealer. The route was planned in Microsoft Streets and Trips and loaded it on a garmin GPS - I put the mount on at the dealership as the first farkle.

The trip was amazing - here are some pictures from the Natchez Trace Parkway - speed limit is 50, almost no traffic. The fall colors were still out, the road is in beautiful shape.

FJRNatchezTraceParkway.jpg


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This trip was funded by the lower cost of buying the bike from D&H. In summary: great dealer, very good price, beautiful trip home and an adventure to remember.

 
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Not to hi-jack the thread, but we've travelled across the Trace many times on the Gold Wing.

IF you're looking for a fast paced, exciting, thrilling, curvy ride (such as The Dragon), this is definitely NOT your road.

However, if you're looking for a kicked-back, leisurely pace thru some really pretty scenic country with lots of history behind it, this is it.

There's lots of stops to look/see stuff and, of course, to stretch the legs, etc. Fuel can become an issue and will usually force you off it to find a gas station.

At one time, there was one gas station on it, but I'm not sure if that place is even still there anymore.

From Nashville all the way to Natchez (or vice versa) is normally a two-day trip for us at the posted 50 mph.

We usually end up spending the night at the Comfort Inn in Tupello, MS when we go across there as we're usually coming up from Natchez towards Nashville.

It's one of my favorite motorcycle rides along with The Dragon, The Talimena Trail out of Mena, AR and Pacific Coast Hwy.1 from Monterray to San Louis Obesbo.

Each one has it's own characteristics that make them great motorcycle roads.

 
Slightly off topic, but since it was brought up, I used to sell Fords. I actually sold Nissans for a month, but the guys at that dealership were crooks, so I left to a brand new Ford dealership.
Here's about how it breaks down, and may or may not be applicable to motorycles:

Car dealers have MSRP sticker price, invoice, and holdback. The holdback is the difference between what the dealer paid and what invoice is. So even if someone buys a car at invoice, the dealer is still making money, because there is profit saved in the holdback.

Lower end cars, like a V6 mustang, or a Chevy Cobalt, something under 25k only has about $1100 between invoice and sticker, and probably $600 in holdback. Higher end vehicles, like loaded Powerstroke F250s, Fully loaded Silverados, Corvettes etc have close to $4k between invoice and sticker and maybe $2k in holdback...I may be high on the holdback number...It's been a long time. So, even if I sold a $52k truck for full price, I was paid comission on around $4k profit. Holdback does not play into that number and almost no one ever paid sticker for a car. Average profit was around $1500 +/-. Conversion vans had aroud $10k worth of profit built in. If we sold one of those, we got a steak dinner and a jacket. I never sold one because I was a loser.

Now...Take a used car. Say someone traded in their truck and bought a new one. Say we paid them $10k for a free and clear trade-in. It would be cleaned and on the lot the next day for $14k. The prices were coded, so the salesman would tell a buyer it was $16k. They would deal down to around $14k, so the dealer and salesman saw a profit of $4k. Easliy...Almost every time. Used cars are where the money is, and new cars are just to attract the buyers to the dealership. That probably isn't all true, but new car sales have no where near the profit of used cars because of the way they are priced...I've been told that all those numbers I gave have gone up substantially since I left in 1996.

Figure the same goes for used MCs, just on a smaller scale due to the prices being lower. Not much profit in new bikes, but as much as a dealer can muster in used bikes.
The bike business runs like the car business with smaller margins. More like 12% and hold backs are given on quantity of units sold. Some of the Saturday price wars dirt bikes would go out the door with the only profit being freight& set up costs! As you said used vehicles are where the money was made. No one wants to pay retail for a Japanese bike because they rarely have to. Harley and BMW haven't let themselves fall into that bid war so easily by giving other deals and keeping the bike near retail. Pretty smart move when you look at it.
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I have bought 5 new FJR1300's from D & H starting with the 2003. I now have a 2013 and will probably keep it for longer than the others. I would never consider buying from any other dealer. There is complete honesty from D & H and they always give you the best price up front. The setup is very important and they are so thorough. It was worth the 180 mile trip and a great way to start the break in for the new bike.

 
Never did a fly and drive, but I saved significant bucks by twisting the arms of sales managers and store owners showing them internet advertised prices. I would have no problem with purchasing a bike from afar, but I could get close to the same price locally. I was successful doing this with a 1997 Yamaha RSTD, 2003 FJR, 2006 GL1800 (saved around $4k on that one) and 2012 Super Tenere.

On the 2003 I went to a local dealer in Longmont CO and told the sales guy I would purchase the FJR right now (actually plunk down the five bills for PDP) for $9999 (D&H price). Told him he had 15 minutes to make up his mind. He went to see the owner and fifteen minutes later I was in the PDP waiter's line. IIRC, the OTD before taxes was $10.2k

As far as worrying about service performed in a timely manner...what service? Most of these Japanese bikes require a minimum amount of servicing, the majority of which can be done in the man cave. The Honda dealer sales person asked me what I would do for service if I purchased out of state. I told him that he would be fixing my bike if it broke and they would do it in a timely manner or else. I have taken the Wing to the dealer for minor stuff, like a secondary ABS master brake cylinder inspection/recall. Never had an issue with service department. I did mention to the sales manager (who I was dealing directly with on the sale) about the jerk sales guy and what he said. Told him if he worked for me, he would be gone.

So I kind of miss the old FJR and am considering a '14 model. Might be a good stable mate for the Wing
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Of course it wouldn't as fast as the Silver Streak - they were the fastest
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Wow...You're a stud!!

I can see it now:

You: "You're gonna fix my bike the way I want..OR ELSE! Oh yeah, your sales guy is a jerk. If I was the owner, which I'm not, nor will I ever be, I would fire him right now...OR ELSE!"

Service manager: "Get the **** out of my shop!"

Gimme a break. And we wonder why service people are short on patience. Thanks!!

 
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Not much of a stud. I dealt with the sales manager on the Wing purchase from the gitgo. Told him about internet prices from various stores around the country and he said he couldn't touch the price. I said ok, I will go out of state and save a few thousand. By the time I got home (three whole miles) he called me and said he talked to the owner of the store and they would do the deal, plus five hundred bucks. He wanted to actually see some printouts of internet prices to close the deal. I agreed and brought them to the store. He had stepped out to lunch and one of his sales men, after I explained why I was there wanted to see the printouts. He looked at them and then flatly stated that these prices were bogus and the stores were basically crooks. He didn't want to give me back the printouts and said if I purchased from one of these out of state dealers, who would work on the bike. I said his service department would and he alluded that I would not be a 'preferred' customer and would go to the back of the service waiting line. When the sales manager came back from lunch I told him of our conversation and he wasn't pleased at all about the behavior of his sales man.

Rest of the story is we did the deal that night. I ordered the level 4 2006 and he had it shipped from California in about a week. Since then I have received good quality and timely service from the service department. I would never, ever give the service a bunch of ****. That's like hassling a waitress, sending the food back and maybe getting a little 'secret sauce' upon return... The service manager or his technicians have never told me to get the **** out. Never gave them reason to.

The sales guy was a total jerk and had nothing to do with the negotiations.

 
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