14 • June 2025 • Powersports Business

As we move through 2025, the powersports industry is navigating a landscape of cautious optimism, sharpened consumer behavior, and renewed internal focus. After years marked by unpredictability, dealers and manufacturers alike are recalibrating— with many seeing encouraging signs of growth and engagement. Industry leaders are sharing a consistent theme: while MELISSA COFFEY economic pressures and regulatory uncertainty persist, teams are adapting, refining their strategies, and embracing a mindset that’ s grounded in resilience and opportunity. Let’ s check in on a few dealers and get their take on their Q1 scorecards and what’ s to come next.

FEELS LIKE A RESET— IN ALL THE RIGHT WAYS“ After a few unpredictable seasons, we’ re seeing more intentional buyers, stronger engagement, and real traction across both new and pre-owned. Folks are still chasing the dream, but they’ re coming in more informed than ever. Financing feels more stable, and the appetite for customization and personalization is definitely back on the rise. Internally, we’ ve doubled down on believing in our people— support over supervision, mentoring over managing. That leadership mindset is now part of our DNA. There’ s real ownership, accountability, and pride showing up across every department. Morale’ s high, momentum is strong, and we’ re cautiously optimistic that this could be a record- setting year.”— Kevin“ Elvis” Vaughn, general manager, House of Harley-Davidson.

Q1 2025: HIGH WINDS AHEAD Headwinds that is, and coming from all directions. Let’ s start with the obvious. Tariffs are a big concern, or are they? We haven’ t seen their impact yet. Some OEMs have announced that they will be suspending youth inventory shipments to the U. S. until further notice. Others have front loaded inventory in anticipation for this while some have apparently shifted which country their product is being manufactured in.

Additionally, we are still expecting some disruptions due to steel and aluminum tariffs. Next, we hope KTM can ride this one out. It is an incredible brand, and we look forward to seeing them thrive. For KTM though, the headlines have not been too friendly unfortunately. The volatility in the stock market has been a rollercoaster since April 2.

“ The interest rates aren’ t getting any lower and other economic indicators don’ t paint a rosy picture. How has that affected us in middle Tennessee? I guess that depends on the capability of the team that you have and the effort you are willing to put forth. Overall, we have seen a small increase year-over-year on unit count. Our margins have been compressed more than others with some OEMs. The shoppers are certainly shopping and negotiating more strongly from the initial contact. We have taken an overall conservative inventory approach to get lean and mean. Through our efforts, we have substantially reduced overall inventory levels vs. prior year while targeting the aged inventory to get it sold.

“ As a group, we have pushed for high performance in our finance department, and we believe it is paying off. The foot traffic is slightly down, while web leads have shown strong growth for us. A few other items that are interesting … some OEMs are partnering more strongly with us, while this remains an area of opportunity for others. Top management talent seems to be more readily available than in years past. So, what does this all mean? Back to business as usual, working every deal hard and maximizing every opportunity. Now, it’ s back to work for me.”— Ricardo Hueso, vice president of sales and finance, America’ s Motor Sports.

Q1 … TRENDING UP AND OPTIMISTIC“ Overall, the year is trending up over last year. We have seen a large increase in small-displacement street bikes and first-time buyers. Side-by-sides and higher displacement motorcycles are soft, especially with the high interest rates we are seeing. In general, we are optimistic about this year trending up from last.”— Jeremy Kanter, general manager, Northeast Georgia Powersports.

While 2025 is far from being free of challenges— rising interest rates, shifting OEM dynamics, and uncertain global trade impacts— the tone across the industry feels tough but hopeful. Dealers are finding ways to win through leaner inventory strategies, sharper finance performance, and a renewed investment in people. And while some dealers are indeed struggling, this is definitely not an across-the-board feeling.

Till next time, shiny side up and checkered flags.

Melissa Coffey is a two-time PSB“ Women With Spark” award winner and a powersports industry veteran with over 25 years of experience in sales and marketing leadership. She currently serves as a full-time executive recruiter with Action Recruiting and oversees her consulting firm Catch Strategy.

BY JACK MORGAN CONTRIBUTOR

Client Relationship Management( CRM) is a strategy that businesses must use to ensure that their customers are satisfied. This helps them establish long-term relationships that can lead to an increased level of trust. Enhancing the experience of your customers is very important for business success, as it can make them return to your company and they can also encourage other people to get involved with your business.

Having a CRM plan in place isn’ t enough, as it needs to be effective for it to work as needed. It should empower businesses to understand their customers more and better cater to their needs, preferences and desires. Combined with the proper data collection and analysis, CRM will enable your business to create specific offerings that are going to drive a more concentrated customer base.

CRM helps to build robust relationships with existing clients and boost brand loyalty. That’ s why we are exploring it throughout this guide so that you can implement it into your company’ s day-to-day operations.

BUILDING TRUST WITH CLIENTS All client relationships should be based on trust, as you need people to believe in your business for it to be a success. Here are some tips to build trust:

• Fulfill promises

• Be transparent and honest

• Exceed expectations

• Show empathy

• Understand client needs and concerns

• Take responsibility for any mistakes

• Work with clients to reach solutions

Having these qualities and ensuring that they’ re followed by every member of your team is essential for establishing a strong connection with clients, as it will help you to build a trusting long-term relationship. This will also give you a better chance of securing future clientele.

COMMUNICATION TECHNIQUES It’ s vital to understand how to correctly communicate with your clients so that you can effectively maintain strong relationships. For some businesses, their entire process revolves around client communication. For example, immigration solicitors in London have to speak to a large range of clients each day, personalizing the conversations to meet the needs of each person.

There are certain techniques that you can use to help boost your client communications, including:

• Active listening

• Prompt responses

• Regular updates

• Use various communication channels

• Personalized communication

CRM software is often designed to simplify the process of managing and nurturing client relationships. This helps you with building strong, lasting relationships.

EVALUATING CRM SUCCESS Client satisfaction and retention rate, also known as key performance indicators, can provide valuable insights into the effectiveness of CRM efforts. This can help you measure how successful your CRM process is and if you need to make any alterations.

High retention rates are a sign that your CRM customer management has been a success. You should also measure customer satisfaction to ensure that you continue along the right track. This can be measured through customer surveys, feedback form and social media post replies. Looking at your reviews can also be a telltale sign of whether your clients are appreciating your current services.

Having feedback loops in place is also crucial for consistently raising client satisfaction. This entails aggressively obtaining client input and acting upon their recommendations. Resolving client issues can improve relationships and their entire experience.

Measuring success can be made easier by utilizing a strong CRM system. Many factors like customer service, sales success and client interactions can be tracked and analyzed by CRM software. This information can direct decision-making in CRM and offer insightful information about how well the techniques are working.

THE FUTURE OF CRM STRATEGIES As technology continues to advance and evolve, so will CRM strategies. There are many directions that CRM can take to further improve communication and ensure that your long-lasting relationships are maintained.

Artificial Intelligence Artificial intelligence( AI) can get through massive volumes of data quickly to uncover information about demographics, preferences and consumer behavior. You can then use this information to better understand your clients’ needs and how to interact with them.

Internet of Things( IoT) Retailers can use IoT sensors to trigger personalized responses to customer actions in-store, such as discounts or product descriptions. It can also provide realtime data sharing and connectivity, which can improve collaboration and communication across teams.

Blockchain Systems for managing client data that are more transparent and safe could be developed using blockchain technology. This can improve compliance and trust, especially in sectors where data sensitivity is essential.

Ultimately, the success of a CRM strategy hinges on its ability to humanize the customer experience and build trust between yourself and your clients for improved relationships going forward.

By treating clients as individuals, listening attentively to their needs and going the extra mile to satisfy their requirements, businesses can cultivate lasting relationships that drive business success.