Honda Otago to close

[Virago]

http://www.odt.co.nz/news/business/48971/honda-otago-close

"For a third time in seven days, a Dunedin business has succumbed to the recession, with the shareholders of Honda Otago placing the business in the hands of liquidators on Tuesday, with the loss of nine jobs.

Last weekend, property consultancy DTZ's Dunedin office was closed following a head office directive from London, with the loss of seven jobs, though it will be reopened as a new employee-owned company.

Last week, Carpet Court signalled it may lay off up to eight staff, following a 20% downturn in work during the past three months, but yesterday confirmed six redundancies.

Contacted yesterday, Dunedin liquidator Hudson Biggs, of Grant Thornton, said the proprietors of Otago Motorcycles Ltd, which traded as Honda Otago, placed the company in the hands of liquidators.

It was the authorised Honda dealership, he said.

Seven jobs plus the owners' two positions were lost.

Mr Biggs said the liquidators had only just begun making an inventory of stock and vehicles, and it was too early to estimate how much might be owed.

The first report is due in about a month.

Otago Motorcycles' directors and shareholders are Garry Clarke and Wayne Pocklington, of Dunedin, and Bruce Davidson, of Alexandra, Companies Office records say."

[scumdog]

Bummer.


We have a Honda dealership down here, I wonder how it will fare??

I would have thought a Honda dealership would have been fairly safe???:confused:

[merv]

Bummer.

I would have thought a Honda dealership would have been fairly safe???:confused:

That's probably what Wellington thought about its Holden Dealership too, but it struck trouble a month or two back.

[Burtha]

Dang. Wot a shame.
:(

[robo555]

Does this mean cheap bikes at closing down sale?

[jim.cox]

I would have thought a Honda dealership would have been fairly safe???:confused:

Always thought it strange that Veitch's dropped the honda franchise

But this IS sad news

[vgcspares]

Losing a "you meet the nicest people on a" Honda dealership is no great loss, but they were a "bad boy" Triumph dealership as well ... what's wrong with Dunedin, aren't they buying bikes any longer ?

[Winston001]

Bummer.

I would have thought a Honda dealership would have been fairly safe???:confused:

I'm staggered that any Honda dealership would close. The Honda franchise has long been regarded a gold mine and a dealership used to be worth a lot of money.

How the mighty have fallen. Seemed a reasonable place to go into whenever I was passing, plus they have the Harley dealership as well.

Good businesses do fail - what happens is the owners get a bit overexcited in a good year, borrow heaps of money, and then use it for something else like property development or the building next door etc. If sales go down suddenly there is no cash flow to pay the bank. Bugger. But usually the business can be sold if the fundamentals are right.

Which suggests this business wasn't attractive to a buyer for some reason. Interesting.

[jim.cox]

I'm staggered that any Honda dealership would close. The Honda franchise has long been regarded a gold mine and a dealership used to be worth a lot of money.

How the mighty have fallen. Seemed a reasonable place to go into whenever I was passing, plus they have the Harley dealership as well.



Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"

[Warr]

Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"
What he said.
Boyds up here dropped Honda and took on Suzuki.

[fatzx10r]

that's not good, more job losses. i wonder who will pick up the honda franchise?

[JimO]

there isnt many options, MCR, Veiches or SPV

[Winston001]

Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"

My bad but now I'm confused. Had the distinct impression the Honda shop blended into Harley. Across from MCR but obviously not. That must be McIver and Veitch. Which used to be in Moray Place and Downtown Motorcycles had the Ducatis Laverdas etc in Princess St. Holland and Bell up Gt King St.

Don't think I ever visited Otago Honda.....and never will. :eek:

[xknuts]

Always thought it strange that Veitch's dropped the honda franchise...

They swapped for the biggest selling bike franchise in NZ, Suzuki !
I believe "Blue Star Honda" family are hard to deal with, but I could be wrong.


there isnt many options, MCR, Veiches or SPV

Damn shame really, esp losing the mechanical expertise for those who have Honda's & new Triumphs. :weep:

[AllanB]

Bummer - great guys - I purchased my Hornet new from them - and the GS1200ss I traded back to them to get the Hornet! Both were delivered to me in Christchurch free of charge.

A shame.

Honda have had a hefty price increase lately and apparently more to come - as wonderful as they are, if a Nakedphile like myself, had the dosh for a new bike the new CBR1000 Predator & Speed Triple are about the same dosh and the Hornet 600 is dearer than a Street Triple 675 ........ choice is good for the buyer, maybe not so good for the dealers.

Apparently there is a NEW Suzuki dealer starting up in Christchurch next month, service should be good - they are also a well know big brand car dealer....

[pete376403]

That's probably what Wellington thought about its Holden Dealership too, but it struck trouble a month or two back.
Actually the trouble that struck that particular dealership occurred about six months ago. They have to order (and pay for) new vehicles six months ahead. That and a pretty extensive upgrade of premises all over Wgtn and the 'burbs.

I guess it would be much the same for any motor vehicle dealer (car or bike)

A huge investment on floor stock, and people not buying = dealers closing

[Wingnut]

I believe "Blue Star Honda" family are hard to deal with, but I could be wrong.



Dont ya mean Blue Wing...

From my experience at Otago Honda, Im not all that surprised that they are closing. They missed out on two sales from me. Once was when they never bothered to phone me with a price on my VTR for a trade (after I had ridden down especially for them to view it) and the second time was when they refused to let me out on a demo.

I feel soory for those loosing their jobs but the sales dept wasn't all that flash in my opinion. Comparing them to McIver and Vietchs is like chalk and cheese.

[SixPackBack]

Fuck thats hard to believe....all those dodgy south island gay spieghts ads had convinced most of us northerners that honda, the south and rampant gayness to be mutually exclusive:niceone:

[Wingnut]

Fuck thats hard to believe....all those dodgy south island gay spieghts ads had convinced most of us northerners that honda, the south and rampant gayness to be mutually exclusive:niceone:

The Speights ads have only become gay since they started brewing it in Auckland. Why try and fix it if it aint broken!!!

[tigertim20]

Dont ya mean Blue Wing...

From my experience at Otago Honda, Im not all that surprised that they are closing. They missed out on two sales from me. Once was when they never bothered to phone me with a price on my VTR for a trade (after I had ridden down especially for them to view it) and the second time was when they refused to let me out on a demo.

I feel soory for those loosing their jobs but the sales dept wasn't all that flash in my opinion. Comparing them to McIver and Vietchs is like chalk and cheese.

Im not surprised they are closing either, generally wheen I have walked in there, I get reated as though Im nothing but a nuisance, stopping them from reading their magazine. Ive been in there 7 times in the last year, couple times looking for a bike, and a few other times for various parts, and some expensive riding gear etc. EVERY time, their lack of positive customer service has led me to purchase from the internet, although there was one guy there who had previously been brilliant, havent seen him there for a while though.
Im a bit sorry for those losing theoir jobs but when you treat customers (the people essentially paying your wages) badly enough that they walk out without putting cash down, then, well you cant really whinge that youre out of work. Youre in customer servise at the end of the day

[SixPackBack]

The Speights ads have only become gay since they started brewing it in Auckland. Why try and fix it if it aint broken!!!

Nope. No mention of Mocca, frappa, culture et al in those ads, just homosexual southerners rejecting women and sleeping under the stars.....honda styles:eek:

[sparky.scott]

Im not surprised they are closing either, generally wheen I have walked in there, I get reated as though Im nothing but a nuisance, stopping them from reading their magazine. Ive been in there 7 times in the last year, couple times looking for a bike, and a few other times for various parts, and some expensive riding gear etc. EVERY time, their lack of positive customer service has led me to purchase from the internet, although there was one guy there who had previously been brilliant, havent seen him there for a while though.
Im a bit sorry for those losing theoir jobs but when you treat customers (the people essentially paying your wages) badly enough that they walk out without putting cash down, then, well you cant really whinge that youre out of work. Youre in customer servise at the end of the day

I made the trip up there 1st thing on Saturday morning as the Southland Honda dealership are useless to take a new cbr600 demo out for a ride after phoning ahead and booking a time and when i get there all i got was some whinge and bitch that they cant let me have it then and there, shame for them as i had the cash in my back pocket just waiting for them. Only ever found one guy there who was any decent, guessing the same guy as you?

[JimO]

I made the trip up there 1st thing on Saturday morning as the Southland Honda dealership are useless to take a new cbr600 demo out for a ride after phoning ahead and booking a time and when i get there all i got was some whinge and bitch that they cant let me have it then and there, shame for them as i had the cash in my back pocket just waiting for them. Only ever found one guy there who was any decent, guessing the same guy as you?

that guy's name was Kevin?? if so he is at MCR now

[brads]

My bad but now I'm confused. Had the distinct impression the Honda shop blended into Harley. Across from MCR but obviously not. That must be McIver and Veitch. Which used to be in Moray Place and Downtown Motorcycles had the Ducatis Laverdas etc in Princess St. Holland and Bell up Gt King St.

Don't think I ever visited Otago Honda.....and never will. :eek:

Yes the Honda( M & V) shop did blend into the Harley shop,that was before they changed to Suzuki(still M & V) back in 2004,Uptown motorcycles had Ducatis etc

[oldrider]

Dont ya mean Blue Wing...

From my experience at Otago Honda, Im not all that surprised that they are closing. They missed out on two sales from me. Once was when they never bothered to phone me with a price on my VTR for a trade (after I had ridden down especially for them to view it) and the second time was when they refused to let me out on a demo.

I feel soory for those loosing their jobs but the sales dept wasn't all that flash in my opinion. Comparing them to McIver and Vietchs is like chalk and cheese.

No I am not surprised either but I am disapointed to see a bike shop go down. :mellow: Not good news. John.

[tigertim20]

I made the trip up there 1st thing on Saturday morning as the Southland Honda dealership are useless to take a new cbr600 demo out for a ride after phoning ahead and booking a time and when i get there all i got was some whinge and bitch that they cant let me have it then and there, shame for them as i had the cash in my back pocket just waiting for them. Only ever found one guy there who was any decent, guessing the same guy as you?

Quite possibly, this guy that was good was, well he certainly wasnt fat, but "stocky" is a way of putting it I guess! and reasonably short, always smiling, really friendly demeanor. sound the same?

[gammaguy]

Losing a "you meet the nicest people on a" Honda dealership is no great loss, but they were a "bad boy" Triumph dealership as well ... what's wrong with Dunedin, aren't they buying bikes any longer ?

ever been there in winter?bikers there are hard core.trouble is,there are only so many of them..............

[Virago]

...Good businesses do fail - what happens is the owners get a bit overexcited in a good year, borrow heaps of money, and then use it for something else like property development or the building next door etc. If sales go down suddenly there is no cash flow to pay the bank...

I don't think that was the case here. They were in leased premises, with a good landlord. They extended their woefully inadequate workshop space a couple of years back, but I doubt that would've broken the bank.


My bad but now I'm confused. Had the distinct impression the Honda shop blended into Harley. Across from MCR but obviously not. That must be McIver and Veitch. Which used to be in Moray Place and Downtown Motorcycles had the Ducatis Laverdas etc in Princess St. Holland and Bell up Gt King St...

Uptown Motorcycles became Honda Otago when they shifted across the road in Princes Street about five years ago. They were ousted from the old premises to make way for the Armstrong Prestige Mercedes development.

I've shopped at Honda Otago lots, bought heaps of bike gear and spares from them, but never bought a bike from them - I always found their prices on second-hand bikes just a little bit higher than others. However, one of my "lotto" plans was to buy a brand new VTX1300 from them.

Dave Shand was a good salesman, easy-going, friendly and helpful. One of their best assets.

Personally, I think MCR's growth, and perhaps SPV's presence, has hurt them. The sad reality is that Dunedin just doesn't have the biker population to support so many manufacturer dealerships. They come, they go...

[fatzx10r]

Dave Shand was a good salesman, easy-going, friendly and helpful. One of their best assets.


Dave was one of the good guys, didnt mind going out of his way to help. a friend of mine who had his bike stolen, the dick that stole it took it into honda once to get something looked at, Dave had a hunch it was my mates bike and rung me asap, and my mate got his bike back. he was the only person that i used to deal with their.

R.I.P Shandy

[LBD]

Dealt with them a few times for bits and service, alway friendly to me and happy to natter about bikes and things while you wait....sad to se it go.

[Brian d marge]

sorry tangent ahead .......

sad to hear about the shop , but lets face it the whole bike shop thing is down the pan ...the whole business model of the bike shop is out dated and ..well I wont go as far as saying flawed ..

crash damage and consumables . thats it ,,as sad as it is , you dont want repair ..

well repair could work ( maybe ) ..fixed price and a mechanic on the ball ,,ie get it right first time, and is quick and accurate ...........

Harley had it right with image and strong branding, but even now the bike side is falling down

Royal Enfield had it right with the bikes , cheap , and the spares are REALLY CHEAP ... and MAY ...( if the spares remain v cheap ) get it right again with the new bike ... ( I doubt it as the tooling was expensive )

I dont know , i would go down the events side of thing , good customer service ( limited range though , but backed up with a network ,,ie people who will take on the big jobs) and trying to involve bike shop and customer and bike in an event ,,,( no a sausage sizzle is plain dumb ... best left for schools trying to raise money for new chalk ,,)

a bike shop is service work , be happy in providing a service . ...... ( a customer wants to hop on bike and share experience of a ride with friends in /at after the ride ....had a few beers , dont worry bike shop is here to get you home ...........


Stephen

[Xaria]

I have had nothing but awesome service at Honda Otago. Almost as good at MCR, McIvor & Veitch only really acknowledged me the last time I was in and SPV have not to this day noticed I have been in their shop.

On a more cynical note: Does anyone know if they are running a sale as I really need a new pair of winter weight gloves.

[my_r32]

My boyfriend went past there twice this morning, said the doors wern't open, no bike out on the street as per normal, basically looked closed apart from a couple guys inside moving some bikes around.

Its quite sad to see a dealership close really. I had some good dealings with both Kevin and Dave there. Helped me out heaps :)

[Kemet]

there isnt many options, MCR, Veiches or SPV

Unless something has happened since I last had a look, there is also the guys at Advanced MC in Waverley St, South D (a side street next to Warewhare and Pak n Slave).

[Ecclesnz]

Unless something has happened since I last had a look, there is also the guys at Advanced MC in Waverley St, South D (a side street next to Warewhare and Pak n Slave).


They are still going and delivering great service

[Kemet]

They are still going and delivering great service
Multi choice for ya Ecclesnz:

Do you

A) Work there
B) Own it
or
C) just like it enough to post what you posted

:bleh:

[Solly]

Can't say I bought much from these guys, but when we were looking for a bike for Amazon, the guy who served us couldn't be more helpful.....even going as far as offering a bike for the weekend....now thats' something you don't hear all that often.

[Ecclesnz]

Multi choice for ya Ecclesnz:

Do you

A) Work there
B) Own it
or
C) just like it enough to post what you posted

:bleh:

Option C. I admit I'm not mechanically minded, any time I have gone there seeking assistance they have been more than helpful, charged pricing as if I was a dear friend and been just a great experience all round.

[carver]

honda hamilton are still doing very well here

[shafty]

honda hamilton are still doing very well here

Pity you can't get to look thru the windows after hours - a major failing in more than one bike shop............

[JimO]

Unless something has happened since I last had a look, there is also the guys at Advanced MC in Waverley St, South D (a side street next to Warewhare and Pak n Slave).

they are importing bikes from japan, in fact undermining the other bike shops so i doubt they will be wanting to take on a honda franchise

[carver]

Pity you can't get to look thru the windows after hours - a major failing in more than one bike shop............

jump the fence......
i did it years ago

[JimO]

i see Fishers Meats is going as well

[smoky]

Does this mean cheap bikes at closing down sale?

They have a nice 06 blackbird with only 3000ks on the clock - already cheap as

[smoky]

honda hamilton are still doing very well here

But their attitude sucks in there - I still prefer Boyds

[Headbanger]

they are importing bikes from japan, in fact undermining the other bike shops so i doubt they will be wanting to take on a honda franchise

Wellington Mototcycles seem to get away with it.....

[Virago]

Hmmm, small advert in this morning's ODT:


TRIUMPH MOTORCYCLES OTAGO, 462 Princes Street - Freephone 0508-466-321

Is the shop staying open, without the Honda dealership?

[JimO]

Wellington Mototcycles seem to get away with it.....

no i meant all their stock is bikes from japan, i doubt they do trade ins or have a workshop

[Kemet]

no i meant all their stock is bikes from japan, i doubt they do trade ins or have a workshop

They have a workshop and second hand bikes

[JimO]

They have a workshop and second hand bikes

they are all second hand, so they take trade ins and do work for customers???

[hayd3n]

i take all my work and just bought tyres from advanced and they even picked me up/dropped me off just for a 260 dollar z4 rear tyre
\great service friendly go out of their way
hell im gonna to get a full rebuild in a couple of weeks

[Forest]

Hmmm, small advert in this morning's ODT:



Is the shop staying open, without the Honda dealership?

Ring the number and ask...

[Virago]

Ring the number and ask...

It just doesn't seems right, phoning Triumph Motorcycles Otago on 0508-HONDA-1...:lol:

[Robert Taylor]

Does this mean cheap bikes at closing down sale?

I think that what too many people have no conception of is that being a motorcycle dealer is not a license to print money. The bigger dealerships are the higher their overheads and it is notable that dealer margins on new bikes are razor thin. There are also far too many dealers and bit players. Often your biggest competition is the next dealer just up the road that shares the same franchise. Which leads to THE biggest problem, too many dealers are paying way too much for the trade ins, theres stupid competition to get the deal and the price on the new bike becomes a dutch auction. The most insane example is trading of 250cc 4 stroke MX bikes. Technically these bikes are worth NOTHING after a couple of years. The frame and running gear is flogged out and many of the minimalist engine components are at their limits in stress hours. I bet many many dealers can lay claim to trading such a bike and paying too much for it. Then onselling it and having it blow apart a few days later incurring maybe 4-6k worth of damage. They have to wear it.
The industry has very serious problems re sustainability and I really feel for the franchised dealers who try and dit it properly, they have to compete with too many industry parasites who from a basis of less committment pick the eyes out of it. If there is one positive to the recession it will also weed out a few of these parasites.

[Headbanger]

If any company is dumb enough to trade gear in for more then they are worth to them then tough titties, Stupidity has its own rewards.

Although I don't believe you have any inside line into whatever caused Otago Honda to go under, Likewise I have never met anyone who thought a bikeshop was a license to print money, In fact 100 percent the opposite.

[Forest]

I think that what too many people have no conception of is that being a motorcycle dealer is not a license to print money. The bigger dealerships are the higher their overheads and it is notable that dealer margins on new bikes are razor thin. There are also far too many dealers and bit players. Often your biggest competition is the next dealer just up the road that shares the same franchise. Which leads to THE biggest problem, too many dealers are paying way too much for the trade ins, theres stupid competition to get the deal and the price on the new bike becomes a dutch auction. The most insane example is trading of 250cc 4 stroke MX bikes. Technically these bikes are worth NOTHING after a couple of years. The frame and running gear is flogged out and many of the minimalist engine components are at their limits in stress hours. I bet many many dealers can lay claim to trading such a bike and paying too much for it. Then onselling it and having it blow apart a few days later incurring maybe 4-6k worth of damage. They have to wear it.
The industry has very serious problems re sustainability and I really feel for the franchised dealers who try and dit it properly, they have to compete with too many industry parasites who from a basis of less committment pick the eyes out of it. If there is one positive to the recession it will also weed out a few of these parasites.

I agree with a lot of what you're saying, but there is definitely room for well run bikeshops in this world.

It isn't fair to compare NZ with Australia. So don't put too much weight on this, but the top Ducati salesman working for Peter Stevens in Melbourne sold 248 brand new bikes last year.

[Solly]

I think that what too many people have no conception of is that being a motorcycle dealer is not a license to print money. The bigger dealerships are the higher their overheads and it is notable that dealer margins on new bikes are razor thin. There are also far too many dealers and bit players. Often your biggest competition is the next dealer just up the road that shares the same franchise. Which leads to THE biggest problem, too many dealers are paying way too much for the trade ins, theres stupid competition to get the deal and the price on the new bike becomes a dutch auction. The most insane example is trading of 250cc 4 stroke MX bikes. Technically these bikes are worth NOTHING after a couple of years. The frame and running gear is flogged out and many of the minimalist engine components are at their limits in stress hours. I bet many many dealers can lay claim to trading such a bike and paying too much for it. Then onselling it and having it blow apart a few days later incurring maybe 4-6k worth of damage. They have to wear it.
The industry has very serious problems re sustainability and I really feel for the franchised dealers who try and dit it properly, they have to compete with too many industry parasites who from a basis of less committment pick the eyes out of it. If there is one positive to the recession it will also weed out a few of these parasites.

What he said........I think???? :confused::confused:

[Robert Taylor]

If any company is dumb enough to trade gear in for more then they are worth to them then tough titties, Stupidity has its own rewards.

Although I don't believe you have any inside line into whatever caused Otago Honda to go under, Likewise I have never met anyone who thought a bikeshop was a license to print money, In fact 100 percent the opposite.

Theres actually a LOT of pressure from many quarters, especially the relevant distributors for the dealer to ''perform'' I.e order lots of bikes off the distributor, that places lots of pressure to do deals. It wouldnt be an overstatement that with many franchises you are a serf to the distributors / manufacturers agenda. To coin your phrase if you dont perform its ''tough titties'' Because also there is such an historic turnover of dealers there is a very small ratio of very experienced industry people. And frankly, if there were many many more experienced people that would not neccessarily suit the distributors. Any industry insiders who may read this will understand exactly what I mean.

[Headbanger]

Theres actually a LOT of pressure from many quarters, especially the relevant distributors for the dealer to ''perform'' I.e order lots of bikes off the distributor, that places lots of pressure to do deals. It wouldnt be an overstatement that with many franchises you are a serf to the distributors / manufacturers agenda. To coin your phrase if you dont perform its ''tough titties'' Because also there is such an historic turnover of dealers there is a very small ratio of very experienced industry people. And frankly, if there were many many more experienced people that would not neccessarily suit the distributors. Any industry insiders who may read this will understand exactly what I mean.

And none of that has ever been a secret....

Sell the crap or lose the franchise, Try not to go broke doing it.Sounds fair to me.

But yes, I can see your point in that pressure to move units may cause idiotic trade-ins that will result in a bigger hole then if they didn't sell the bike.

More fool them for doing the trade, Bad management no matter where pressure is coming from.

Not that anyone with any information has so far commented on the Otago Honda sitiuation.

[Robert Taylor]

And none of that has ever been a secret....

Sell the crap or lose the franchise, Try not to go broke doing it.Sounds fair to me.

But yes, I can see your point in that pressure to move units may cause idiotic trade-ins that will result in a bigger hole then if they didn't sell the bike.

More fool them for doing the trade, Bad management no matter where pressure is coming from.

Not that anyone with any information has so far commented on the Otago Honda sitiuation.

Of course there are likely myriad reasons for their failure but the fact is there are so many industry ''idiots'' to compete against it creates a rod for the backs of those trying to do it truly proffessionally.

[Headbanger]

Of course there are likely myriad reasons for their failure but the fact is there are so many industry ''idiots'' to compete against it creates a rod for the backs of those trying to do it truly proffessionally.

Fair enough, And your point about the amount of franchises is quite a good one, Seems Harley sell enough bikes to rank quite highly yet manage to do it with a small handful of dealers, In comparison nearly every 2 hick town has a couple of Jap bike dealerships......Granted they survive off farm bike/quad sales.

[Forest]

Fair enough, And your point about the amount of franchises is quite a good one, Seems Harley sell enough bikes to rank quite highly yet manage to do it with a small handful of dealers, In comparison nearly every 2 hick town has a couple of Jap bike dealerships......Granted they survive off farm bike/quad sales.

They certainly don't survive off the servicing!

Getting an NZ farmer to pay for servicing a farm bike is almost impossible. They either do it themselves, or don't do it at all.

[brads]

Not that anyone with any information has so far commented on the Otago Honda sitiuation.

More than likely because its none of our business,As far as im concerned the only people that should and do have an idea are the companys that will have lost stock that was on the floor.
Also,you people on hear that are hoping that you may get a bargin on some cheap gear now that they have shut.....:nono:,Why didnt you support them when they could have done with your help??

[brads]

They certainly don't survive off the servicing!

Getting an NZ farmer to pay for servicing a farm bike is almost impossible. They either do it themselves, or don't do it at all.

Thank christ all these farmers dont live around oamas then :niceone:

[NighthawkNZ]

More than likely because its none of our business,As far as im concerned the only people that should and do have an idea are the companys that will have lost stock that was on the floor.
Also,you people on hear that are hoping that you may get a bargin on some cheap gear now that they have shut.....:nono:,Why didnt you support them when they could have done with your help??

Was in there on Friday... a lot of stock is being returned to the stockist so they can redistribute it all... I also asked if they are going to have any closing down sales and they said most likely...

Both me and Xaria bought our bikes, gear and supported them we didn't go anywhere else for parts, services, WOFs etc, spent a bit of money with them over the years. They were always friendly and knew there stuff. Not only that they were just down the road from our flat... sigh was dangerous at times :drool:

Suppose I will have to look at another shop...

[inorganic]

Overpriced product in far flung underpopulated corner of the world.And the economics dont work? Gee whiz..............

[scumdog]

Overpriced product in far flung underpopulated corner of the world.And the economics dont work? Gee whiz..............

And yet BMWs are sold here - I thought those Tuetonic types were more fiscally aware than to risk selling in circumstances such as you described...:whistle:

[Robert Taylor]

Overpriced product in far flung underpopulated corner of the world.And the economics dont work? Gee whiz..............

Sounds like you better open a bike shop then? Lets just say it might be a levelling experience.

[Dragon]

there isnt many options, MCR, Veiches or SPV

I didn't like spv at all and infact they still have my deposit from when I was looking at getting a ninja. :mad:

[Winston001]

They certainly don't survive off the servicing!

Getting an NZ farmer to pay for servicing a farm bike is almost impossible. They either do it themselves, or don't do it at all.

Interesting. I thought bike shops made most of their business from ATV farm bikes plus trail bikes. Road bikes are the glamorous sideline.

I have a client who started out 15 years ago in a small rural town just doing repairs. Today in the same town he has a Suzuki dealership and plenty of work. He has plenty of road bikes in but the main work is farm bikes. If he didn't get paid he wouldn't have a business.

[trainingwheels]

I heard that Otago honda liquidated last friday??... whats happening to the bikes?? auctioned or what?..... the staff get a good payout??... anyone?..:(

[Maha]

.....Dont know
.....I would imagine
.....Would not think so.

[tigertim20]

go past and have a nosey!!

[Robert Taylor]

Suffice to say businesses go into liquidation because they are not sustainable, returns are not high enough relative to overheads.
I find it a distasteful quirk of human nature that there are always those looking for bargains on the back of someone elses misery.

[cowpoos]

I find it a distasteful quirk of human nature that there are always those looking for bargains on the back of someone elses misery.

Thats very politically correct statement Robert!!

[MDR2]

Iwent in there a few weeks ago just windwo shopping and I had the manager no less showing me around and offering me some loan gear to go for a test ride.

I thought to myself, I never get this kind of treatment at McIvor! And i was planning on going back soon to take one or two bikes out to get a feel for them... then I heard about the receivership :( I walked past today for a nosey but the place is all shut up and a notice has been hung on the door stating who's taking care of the liquidation and a contact number.

[Ms Piggy]

Iwent in there a few weeks ago just windwo shopping and I had the manager no less showing me around and offering me some loan gear to go for a test ride.

I thought to myself, I never get this kind of treatment at McIvor! And i was planning on going back soon to take one or two bikes out to get a feel for them... then I heard about the receivership :( I walked past today for a nosey but the place is all shut up and a notice has been hung on the door stating who's taking care of the liquidation and a contact number.

Yep have to agree with ya. It's sad news to hear they've gone under. A really friendly bunch of guys! I went there twice on my last trip South and both times was treated to awesome customer service.

As for that stuck up lot at McIver and Veitch, pfffft I'll never give them any of my hard earned $$.

[cowpoos]

They certainly don't survive off the servicing!

Getting an NZ farmer to pay for servicing a farm bike is almost impossible. They either do it themselves, or don't do it at all.


What a load of shit...infact...you just made that up didn't you???


Cock

[Solly]

Suffice to say businesses go into liquidation because they are not sustainable, returns are not high enough relative to overheads.
I find it a distasteful quirk of human nature that there are always those looking for bargains on the back of someone elses misery.

Way of the world Robbo boy....way of the world.

Sad, i know.....but true :no:

[Hailwood]

My 2c worth..I also think that the internet is having a big impact on bike shops especially with parts...The price difference between getting a part via fleabay and from your local dealer can be anything from 10 to 50% and you ususally get it quicker from fleabay.....I have been guilty of doing this when I had the HD...set of detachable saddlebags from my dealer $2200...same item from USA $1200 delivered to my door..thats almost 45% saving.....airfilter from dealer $160..same item fleabay $122..25% saving.....I know that dealers have margins etc and costs to cover and I am sure that most of us want to continue to support our local dealers (The service and backup at my dealership is fantastic) but....................maybe just maybe this is becoming a bigger issue for the industry????? Just my observation anyway

[tigertim20]

True, but if someone on ebay can supply you parts fast, I cant see why a dealer cant do it just as quick, and if they set up an online service for most of the parts they do, theyd cut some of the overheads, and be able to reduce their prices a little to remain competitive, without dropping much of their profit margin.

[Squiggles]

True, but if someone on ebay can supply you parts fast, I cant see why a dealer cant do it just as quick, and if they set up an online service for most of the parts they do, theyd cut some of the overheads, and be able to reduce their prices a little to remain competitive, without dropping much of their profit margin.

Alternatively, you buy via the dealer and the wrong part arrives, so you ride back down to the shop and have them fetch the right part. You buy online and the wrong part comes, quite often you're up shit creek or it costs ya double for the shipping.
Given how many parts there are out there, and how many revisions are made, it'll cost more than its worth to do OEM bits. Some aftermarket pieces sure, but ya cant stock everything.

[Headbanger]

Either way its a case of adapt or die.

All business models have an end point as customers change the way they do business, The companies who want their money have to be able to change with them or go broke.

Such is life.

[Robert Taylor]

My 2c worth..I also think that the internet is having a big impact on bike shops especially with parts...The price difference between getting a part via fleabay and from your local dealer can be anything from 10 to 50% and you ususally get it quicker from fleabay.....I have been guilty of doing this when I had the HD...set of detachable saddlebags from my dealer $2200...same item from USA $1200 delivered to my door..thats almost 45% saving.....airfilter from dealer $160..same item fleabay $122..25% saving.....I know that dealers have margins etc and costs to cover and I am sure that most of us want to continue to support our local dealers (The service and backup at my dealership is fantastic) but....................maybe just maybe this is becoming a bigger issue for the industry????? Just my observation anyway

The exchange rate against greenbacks has recently taken care of that problem, if it remains at around 50 to 55 cents US its better for NZ as it helps our export industry. Also bear in mind that big US companies recieve much greater bulk purchase discounts, and because they have a wider / much larger market they run on very small margins / high turnover. And when the exchange rate was in the mid to high 70s that distorted their advantage somewhat. Add to that many private imports do not attract customs clearance fees, gst on those fees and gst on the written value, often fraudulently underwritten by request.
Unfortunately given all of those factors NZ dealers are not competing on a level playing field and get tainted as rip off merchants by those who are not interested / dont understand why such disparity occurs. There is a strong case to advocate the re-introduction of import licensing so that it protects NZ business and all those they employ. Or at minimum private imports should attract the same clearance / port fees etc and gst as per normal business.

[Robert Taylor]

What a load of shit...infact...you just made that up didn't you???


Cock

Actually Poos the statement has a ring of truth. There are many good farmers who dont skimp on servicing but there is also a very high proportion that only get their bikes repaired when they break down. The bill will be invariably huge because of neglect and it will be whinged about. And quite a few dont understand what is fair wear and tear and what is legitimate warranty.
I had 30 years in that industry and I can well understand where that statement is coming from. The situation is getting worse because all ATVs are now made lighter to satisfy a US law that dictates they must not exceed a maximum weight. This in an attempt to reduce rollover injuries / deaths and reultant litigation in that market. 15 years ago we thought these machines were very marginal for the over-use they are put to on our farms, now they are a whole load lighter and less rugged.

[Robert Taylor]

Thats very politically correct statement Robert!!

Ok, politically incorrect with the same meaning would include ''the vultures are circling''

[Robert Taylor]

True, but if someone on ebay can supply you parts fast, I cant see why a dealer cant do it just as quick, and if they set up an online service for most of the parts they do, theyd cut some of the overheads, and be able to reduce their prices a little to remain competitive, without dropping much of their profit margin.

Because the retail and wholesale setup is for a percentage of a population that is barely over 4 million, not hundreds of millions. And in a sealocked country thousands of miles from the producers and supply chains. Do the maths and read my other post.

[cowpoos]

Actually Poos the statement has a ring of truth. There are many good farmers who dont skimp on servicing but there is also a very high proportion that only get their bikes repaired when they break down. The bill will be invariably huge because of neglect and it will be whinged about. And quite a few dont understand what is fair wear and tear and what is legitimate warranty.
I had 30 years in that industry and I can well understand where that statement is coming from. The situation is getting worse because all ATVs are now made lighter to satisfy a US law that dictates they must not exceed a maximum weight. This in an attempt to reduce rollover injuries / deaths and reultant litigation in that market. 15 years ago we thought these machines were very marginal for the over-use they are put to on our farms, now they are a whole load lighter and less rugged.


The statement I was retorting to...was the almost impossable to get farmer to pay...and that would be more the exception than the rule....and workshop work is the bread and butter of many rural service motorcycle shops...and most do get the bike shops to service the machines.

In regard to your other comments re: how rugged the machines are...my personal experience is your correct...except...the engines and gearboxs of the modern quads are by far and away stronger,more powerful and capable of what is asked of them. and I have to note..if you look at the spec's on older quads...have a weee nosey at the weights back then!?!

[cowpoos]

The statement I was retorting to...was the almost impossable to get farmer to pay...and that would be more the exception than the rule....and workshop work is the bread and butter of many rural service motorcycle shops...and most do get the bike shops to service the machines.

In regard to your other comments re: how rugged the machines are...my personal experience is your correct...except...the engines and gearboxs of the modern quads are by far and away stronger,more powerful and capable of what is asked of them. and I have to note..if you look at the spec's on older quads...have a weee nosey at the weights back then!?!
and dispite this....I still think forest is a cock!

[Robert Taylor]

The statement I was retorting to...was the almost impossable to get farmer to pay...and that would be more the exception than the rule....and workshop work is the bread and butter of many rural service motorcycle shops...and most do get the bike shops to service the machines.

In regard to your other comments re: how rugged the machines are...my personal experience is your correct...except...the engines and gearboxs of the modern quads are by far and away stronger,more powerful and capable of what is asked of them. and I have to note..if you look at the spec's on older quads...have a weee nosey at the weights back then!?!

Have to agree to disagree on that. In 30 years and seeing the development of quads I also closely witnessed the after effects at successive visits to the PCD departments with successive model years. More and more reliance on manufacture of subcontracted parts to mainland Asia is also having a detrimental effect. I also am answering this from having been at one time the National Technical Manager for one of the big three and having travelled to the respective factory in Japan. Also dealing with measure reports on a daily basis. And that particular brand is arguably the most rugged brand. There, already said too much.

[Hailwood]

The exchange rate against greenbacks has recently taken care of that problem, if it remains at around 50 to 55 cents US its better for NZ as it helps our export industry. Also bear in mind that big US companies recieve much greater bulk purchase discounts, and because they have a wider / much larger market they run on very small margins / high turnover. And when the exchange rate was in the mid to high 70s that distorted their advantage somewhat. Add to that many private imports do not attract customs clearance fees, gst on those fees and gst on the written value, often fraudulently underwritten by request.
Unfortunately given all of those factors NZ dealers are not competing on a level playing field and get tainted as rip off merchants by those who are not interested / dont understand why such disparity occurs. There is a strong case to advocate the re-introduction of import licensing so that it protects NZ business and all those they employ. Or at minimum private imports should attract the same clearance / port fees etc and gst as per normal business.


I dont disagree with you at all on this regarding the lack of level playing field and the relative size of our market, nevertheless it must be eating into dealers' bottom lines. I just got delivered the air filter I mentioned from USA, not only for $$$ less but also quicker than the dealer time quoted from the distributor. It is the right part because I checked the number before ordering..

With only so many dollars to spend, it seems as if more and more people are looking for best bang for buck and if you can research it and get factory parts etc for way less then I know where most people will go...sad but true

[Forest]

The statement I was retorting to...was the almost impossable to get farmer to pay...and that would be more the exception than the rule....and workshop work is the bread and butter of many rural service motorcycle shops...and most do get the bike shops to service the machines.

It isn't a question of credit worthiness. Farmers are more reliable in that regard than many others.

My point was that farmers strongly dislike commissioning an outside agent to handle the service work on their farm bikes and quads. They either:

1. Do the maintenance work themselves (in the best traditions of kiwi DIY)

2. Skimp on the maintenance until the bike or quad falls apart.

If you don't believe me, then go out and talk to rural service agents. Most of them will tell you the same.

[Robert Taylor]

It isn't a question of credit worthiness. Farmers are more reliable in that regard than many others.

My point was that farmers strongly dislike commissioning an outside agent to handle the service work on their farm bikes and quads. They either:

1. Do the maintenance work themselves (in the best traditions of kiwi DIY)

2. Skimp on the maintenance until the bike or quad falls apart.

If you don't believe me, then go out and talk to rural service agents. Most of them will tell you the same.

And then want max dollars at trade in time...................

[98tls]

They certainly don't survive off the servicing!

Getting an NZ farmer to pay for servicing a farm bike is almost impossible. They either do it themselves, or don't do it at all. Have to disagree there mate,back in the day when selling bikes at Uptown in Dunedin spent many days picking up 4 wheelers for servicing,doesnt seem much has changed as the local Su=uki dealer here is always out n about picking them up and the workshops full of them every time i go in there,someone posted up about David Shand (shandy) one of the best,when working at Uptown he was working out back and there wasnt to much he didnt know when it came to farm bikes,bumped into him a few years back at the rally in Alex.

[MDR2]

Liquidation sale on tomorrow.

Bikes for sale at reduced price. Don't know what stock will be up for grabs

bike gear upto 50% off

advert is in the otago daily times.

[HRT]

Went in last week and the bikes were discounted a couple of grand off a fair few. Gear, tyres, oils etc were all 30% off and busy as. Maybe they have some boots left that will fit this time :) Got a jacket last week

[NighthawkNZ]

Got some gloves and boots last weekend on there sale... but might have to go and have a quick look tomorrow:scooter: