Commentary

Selling The Outdoors: How Brands And Retailers Connect

Email is the channel preferred by outdoor product retailers for hearing from manufacturers — at least those with only a few locations, judging by Brand and Dealer Relationship Trends, a new study from Huebner Marketing, conducted by Ascend2. 

Of the retailers or dealerships polled, 37% of those with one to five locations prefer email, versus 26% of those with six to 20.  

However, in-person visits are favored by 55% of firms with 20+ locations. At that level, only 11% choose email.  

Brand communications in whatever channel are critical in this time of supply chain issues and COVID-19.  

That said, this is a booming. field—nearly half of sellers of big-ticket outdoor products report than their business grew by 10% or more last year. 

What do we mean by outdoor products? The respondents sell: 

  • RVs — 29% 
  • Boats — 32% 
  • ATVs — 37% 
  • Snowmobiles — 18% 
  • Golf carts — 26%
  • Motorcycles — 28% 
  • Jet skis — 20%
  • Zero-turn mowers — 38%

Meanwhile, they are moving online — 49% of the respondents are focused on increasing their online sales, indicating a switch to digital. However, 53% hope to increase their in-store sales and 53% to improve the customer experience. 

And many see online ordering as the most valuable technology a manufacturer can offer, including 63% of retailers with more than 20 locations, and 48% of those with 6-20 and 52% of those with one-five. 

Moreover, 50% of those with more than 20 stores want manufacturers to provide an online company store, as do 35% of those with one-five. 

The top challenges facing dealerships in the year ahead: 

  • Market fluctuations — 38% 
  • Product quality at all levels — 28%
  • Fuel price fluctuations — 28%
  • Dealer staffing — 27%
  • Changing consumer tastes — 27% 
  • Potential interest rate hikes — 19% 
  • Political atmosphere — 19% 
  • Unstable overseas economies — 18%
  • Inadequate warranty support — 14%
  • Dealership consolidation — 14% 

 And, they face these challenges when working with manufacturers:

  • Timing/speed of delivery and service — 39% 
  • Product quality — 34%
  • Price point — 30% 
  • Ease of ordering/sales process — 23% 
  • Customer service support (dealer) — 22%
  • Agreement terms—21% 
  • Sales training—19%
  • Lack of product differentiation—19%
  • Lack of brand positioning—17%
  • Promotion of my business/lead generation—16% 
  • Respect of territory—16%

Brand reputation is deemed extremely important by 48% and very important by 27%. Only 3% say it is not at all important. 

Retailers want other forms of support from brands, including cooperative advertising programs (68%), more flexible use policies and programs (48%), better online access to brand and marketing materials (42%), higher reimbursement percentage (36%) and more manufacturer-branded marketing materials (36%). 

And retailers also desire these tools from manufacturers: 

Warranty and support — 53% 

Incentives — 31%

Sales leads — 31%

Cooperative advertising programs — 29% 

Sales lead follow-up — 29%

Post-sales customer service offerings (for buyer) — 27% 

Sales training — 25% 

Sales events — 22%

What to end-customers want? They are motivated by:

  • Price — 46% of retailers 
  • Warranty — 32% 
  • Brand reputation — 30% 
  • Customer support — 30%
  • Product features — 30% 
  • Product availability — 28% 
  • Financing options — 23%
  • Dealer product knowledge — 19% 
  • Ability to test the product — 18%
  • Product curb appeal — 10%

Retailers have a slightly different set of priorities: 

  • Price point — 40%
  • Timing/speed of delivery and service — 31%
  • Customer service support (dealer) — 30% 
  • Agreement terms — 24% 
  • Manufacturer’s brand strength — 22%
  • Sales training — 21%
  • Ease of ordering/sales process — 21%
  • Promotion of my business — 18%
  • Respect of territory — 16% 
  • Product differentiation — 13%

What would motivate a retailer to add a brand?

  • Demand for product/brand — 67%
  • Product relevancy — 60%
  • Manufacturer warranty support — 28%
  • Other brands’ national advertising — 18%

Ascend2 surveyed 279 retailers of big-ticket outdoor items.

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