12 • April 2025 • Powersports Business

FROM THE EDITOR INDUSTRY PODCASTS

That phrase appeared on my sidebar while writing this month’ s column. I’ m trying to figure out how to explain the current administration’ s fascination with starting a trade war with the rest of the world, including most of our

BRENDAN BAKER closest allies and countries that have supply

chains deeply intertwined with ours. Tariffs are like a cannon shot across the bow of industry and economies across the globe and will surely be felt in this industry.

Most metric dealers understand that the ups and downs in the global economy directly affect the price of many products they sell; whether it’ s a Chinese brand, a Japanese brand, or a European brand, they may be hit with tariffs in the coming weeks. From KTM trying to dig out of bankruptcy to the many aftermarket products dealers sell on the showroom floor( from hard parts to garments and accessories), it may not be possible or even practical for everything to be made in the USA.

“ Tariff risk has been well telegraphed and is largely priced in corners of the market. So Liberation Day may not be a complete shocker. However, no one wins in a trade war, and clouds are gathering over the global growth outlook,” a Barclays equity strategist shared in a recent story on CNBC.

I remember when I was racing karts and doing some work for a karting importer and, in case you don’ t know, most racekarts and parts come from Italy. My buddy, who owned the shop, told me the euro was killing their margins because it was so strong against the dollar back then. This small importer also ran a retail operation and a racing team. The owners worried the dollar wouldn’ t hold up to the euro. As we worked on some catalogs together, they wanted to wait until the last minute to give pricing. In the 20 years since, the dollar has made gains on the euro, but this small business would have shuttered if there were tariffs on top of that, like the ones being proposed today.

Fast forward several more years, I received an email from a distributor arguing about a story on the“ Made in America” pavilion at AIMExpo years ago. His argument was more or less,“ Do you know how many products a typical powersports dealer stocks that are made somewhere else?” We argued about the benefits of products made in the USA and how more dealers should stock those products

without giving credit to the further ramifications that may be brought.

Let’ s face it: there are certain things consumers and powersports customers prefer from other regions of the world. Of course, the price must be right, which is part of the issue. But I may be a little biased; I grew up in a family-owned parts store that sold foreign car parts. We sold German ignition parts and British motor oil. But I love America. It doesn’ t make me a traitor to like foreign-made products as I also love products from the USA. We should be able to have a choice without the government picking and choosing the winners and losers for us.

I understand the“ we’ re getting a bad deal” argument that the administration is pursuing, but I feel like there’ s more afoot than just an unfair trade balance. And if we cared so much about fentanyl and gangs, we have other ways to crack down on them than to start a trade war. However, Trump uses tariffs like an axe or a hammer to get a better deal. He is probably playing political Russian roulette, but that is his choice.

One of the problematic things about covering this administration’ s stance on tariffs is that it changes by the day or hour. When you sit down to write something, it’ s already been rescinded, modified, or paused. This kind of inconsistency drives markets and economies up the wall. The stock market thrives on knowing what is likely to happen, and when you have no clue what’ s about to happen, things go into panic mode. However, Wall Street is far from Main Street, where many great dealers do business. If the trade war hits Main Street the way it has Wall Street, then there may be some recoil from the administration, but that is also a guessing game.

It’ s late March as I write this, and the new round of tariffs— what Trump calls“ Liberation Day” is supposed to hit in early April. We’ ll see if anything sticks. It’ s more of a game of chicken or a stick to beat adversaries into submission or, in the case of China and Canada, start a trade war … I don’ t want to speculate on what could happen if these plans backfire. But a recession is not even the worst of it.

Do we need a better trade deal with some of our partners? Absolutely. Most countries are far more reluctant to open up their markets to U. S. goods, and many know they have us over a barrel for theirs because Americans want them, generally, whether it’ s some cheap gear from Temu or high-end bikes from Austria. How this all affects powersports dealers is still a blank sheet on a page, but I can’ t help but wonder why we are playing chicken in the first place.

POWER HOUR: FLORIDA DEALER SHARES KEY AREAS OF FOCUS WITHIN THE DEALERSHIP

In this episode of Power Hour, Madelyn talks to Nate Stickney of RiderMarket, who acquired his first dealership in 2014 and now owns three locations in Florida. Driven by a passion for improvement and growth, Stickney shares the changes he has made to boost the success of his teams and his dealerships.

After relocating from Michigan to Orlando, Florida, he was hired at a dealership and transitioned through roles in the parts, sales, service, and finance departments before becoming the general manager. In 2014, he had the opportunity to buy Sky Powersports Sanford, located thirty minutes outside of Orlando.

In 2024, Stickney acquired his third location, Indian Motorcycle Orlando and Ducati Orlando, under the same roof as RiderMarket.

“ You’ ve got year-round riding, a dense population, a melting pot of different cultures and people from all walks of life,” Stickney says about Orlando.“ I’ ve been able to take advantage of it and grow a family and a business.”

LEAD GEN, UKELELE, AND ACROBATICS OPE People, a podcast from PSB’ s sister trade publication for outdoor power equipment dealers, introduces you to Kevin Sabourin, a digital marketing leader, fascinating father, and the industry’ s leading ukelele artist – that we know of! Sabourin works for Rollick, a company that provides marketing tech services to equipment makers. He has some solid insights into lead generation for dealers. And he has a super interesting after- work life.

EPISODE 2: RON“ WOODY” WOODRUFF, CEO OF THE STURGIS BUFFALO CHIP

American Rider Insider talks about how the legendary Sturgis Buffalo Chip has become the hub for events at the Sturgis Motorcycle Rally, and host Kevin Duke discusses the rally’ s progress with the Chip’ s president and CEO, Ron“ Woody” Woodruff as the company enters its 40th anniversary.

POWER HOUR: ZERO CEO SHARES HIS PLAN TO GROW THE EV MARKET

In this episode of Power Hour, Brendan talks to Sam Paschel, CEO of Zero Motorcycles, a California-based electric motorcycle design and manufacturing company. A lifelong motorcyclist, Paschel shares how Zero’ s EV bike completely changed his riding experience, and how his company is attempting to make the same EV experience more accessible for everyone.

Last year, Zero closed a $ 76 million funding round, helping the company launch its new all-access initiative, where it plans to release six new distinct EV vehicles over the next two years, all priced at less than $ 10,000.

This move is in step with other OEM pricing models under $ 10,000. More recently, Harley-Davidson announced it was selling its Nightster model starting at $ 9,999.

Since announcing the more affordable models, Paschel says Zero has seen a 25 % increase in dealer interest since the start of the year and is on pace to double the dealer network by the end of the year. Paschel adds that Zero is receiving three to five new applications a week from dealers after the company unveiled its new“ all-access” bikes at the 2024 AIMExpo.

Paschel says Zero tries to offer easy dealer-friendly terms, such as freeflooring with automatic extensions, low on-boarding costs, and specialized marketing assistance to specific dealers.“ We respect our dealer partners and know our future runs through them,” he says.“ We want to make it as easy as we can to on-board with little financial risk and provide all the support they need in a growing adoption market.”