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Anonymous (not verified)
Edited Date/Time
1/8/2016 3:39pm
So after 15+ years of doing business with Fox (Fox Canada) have decided to close our account because we didn't do enough business with them this past year. Blows my mind. Our off-road demographic is shrinking where we are located (no tracks, trails are almost all gone) but come on we are trying! I will admit it's been a few slow years with them, but this is how they deal with their customers?
Should I be looking at my customer base and sending them emails (yes this is how we were notified) that we do not want them as a customers anymore because they didn't spend enough $$ with us this year? That would be insane to do such a thing. I don't care if a customer spent $5, $50 or $500 with us, we are SO GRATEFUL they came into our shop in the first place.
I had a customer come in today looking for a new set of Fox gear and it was so frustrating and embarrassing to tell them I couldn't get it for him.
Any other dealers experience anything like this??
Should I be looking at my customer base and sending them emails (yes this is how we were notified) that we do not want them as a customers anymore because they didn't spend enough $$ with us this year? That would be insane to do such a thing. I don't care if a customer spent $5, $50 or $500 with us, we are SO GRATEFUL they came into our shop in the first place.
I had a customer come in today looking for a new set of Fox gear and it was so frustrating and embarrassing to tell them I couldn't get it for him.
Any other dealers experience anything like this??
The Shop
However.....
Fox has to send a certain amount of product and promotional material to every dealer.
If you can't justify the ROI then they will probably stop sending it.
Simple business; you have to use the resources you have where they will do you the most good.
Hell Alias cut the dealer out completely and now sells direct online....new business model.
Basically what I am saying is there is probably no liability or loss to Fox to allow a low-volume dealer to stay on. Any gear they sell, no matter how little, equals profit/ROI. Am I missing something?
Overall he is very demeaning and doesn't understand the difference between small and large business.
My thoughts are that sending product which is in a finite supply to someone that is not moving it is not helping your business.
I'm with you FGR01. What is it costing them to keep us on? So let's say they close off even 10 accounts a year at an average of $2000. Were I come from $20,000 is a lot of money. They must be doing so well they don't need it.
Screw 'em. It's for kids in the mall anyway.
The inside guy I talked to at Fox Canada said we can 'become a dealer again' but we have to buy in. It's the principle of the matter that makes me angry. If I had anyone of you as a customer I would never in a million years give you the boot for not spending enough money annually. Could you imagine that???! "I'm sorry John, you only spent $1400 with our dealership this year. It's not enough. You will have to buy from our competition from now on"
Pit Row
We are very low-volume for some of the brands we carry and we have never had any of them drop us. Admittedly, we have never been a Fox dealer so I cannot speak specifically about their practices. I don't think it's an ROI thing for them. Sounds more like a marketing/brand image thing.
Steadman, I feel ya on the loyalty thing. Many of these companies will get built up to huge proportions on the backs of small dealers and once they reach the top they might not drop you but they will force you to submit to dealer agreements that essentially force you out. Don't want to point the finger at any action camera companies or anything like that, though !
The system is set up to reward retailers that push the product and do large numbers.
I've seen a lot of retailers sitting on a book of previous bike buyers or customers and never once have they ever picked up the phone to call them about a sale they had. It used to crack me up. Every time you walked in they were just chatting. Chatting doesn't keep the doors open too long.
My suggestion, start asking everyone to like your Instagram and Facebook and start pumping out sales. Every new bike that roles in should be blasted out. Every new line should be blasted out. Order a cool special item in for a customer, blast it out. Re-share riders photos that are wearing gear you have hanging in the store letting everyone know the sizes you have in stock. Are you having a Supercross viewing party? Why not? Become the local retailer that is cool to hang out at. Then beat the online sales with anyone that asks. Who cares, no skin of your back to do that and quite honestly as long as your not putting up a billboard saying you sell fox wear at 30% off all the time you'll be fine. Take care of your previous customers. If the guy walks in and buys a bolt, tell him to purchase your old stock for 25% over your cost, move some product and you won't be back on Vital pissed.
Post a reply to: Is this how Fox does business?