Polaris 2005 Annual Report Download - page 19

ROCKY
MOUNTAINS
SOUTHWEST
OPPORTUNITY AREA
NORTHERN
PLAINS GREAT LAKES
NORTH-
EAST
CANADA
SOUTHEAST
OPPORTUNITY AREA
Historically strong market share and dealer presence.
Building dealer network to grow market share.
Selectively adding dealers where increased market share opportunities exist.
2005 ANNUAL REPORT 15
customers on ATV safety. In 2005, we joined
the Specialty Vehicle Institute of America
(SVIA), which is now handling training.
To help dealers close sales, we provide
comprehensive merchandising, demonstrations
and financing programs, as well as sales
training. Our Way Out online training tool
allows dealer representatives to improve their
product knowledge quickly and conveniently
via 15-minute online modules.
Building a stronger network. Over the past few
years, we narrowed our dealerships down to
those with the capacity and merchandising
skills to perform in an increasing sophisticated
retail environment. Now, we’re turning our
attention to growth in underdeveloped U.S.
regions, specifically the East Coast and South.
The growth will come from a combination
of expanded existing dealerships and new
relationships. We’re leveraging the Polaris
Capital Assistance Program (CAP) to help
these dealers make needed store improvements
and we’re investing significantly in cooperative
advertising to drive traffic.
Targeting tools to drive traffic and close sales.
In the past, we introduced many new dealer
programs and improvements. While we did
As the face of Polaris to consumers, our dealers play an important role in our success. By nurturing the
right kind of dealers and giving them the tools they need to increase sales and profitability, we all win.
so with the best intentions, implementing so
many changes was costly to Polaris and time-
consuming for dealers. In 2005, we began
helping dealers quickly implement fewer,
more-targeted tools.
To drive traffic, we have a flexible
exterior signage system. Signage is especially
important for newer product lines like
Victory, where visibility is key to increasing
awareness. We also continue to develop
new cooperative advertising events, like
Factory Authorized Clearance, Test Ride and
our upcoming Dare to Compare events. We
produce the ads and handle placements so
dealers can focus on selling.
Maximizing dealer sales time was a key
impetus for changing our ATV safety training
program. Historically, our dealers trained Polaris
DEALER HELPS POLARIS SEE RANGER’S WILD SIDE Polaris introduced
the RANGER in 1998 as a utility vehicle, but Bill Nash and other
leaders at RideNow Powersports in Arizona immediately saw its potential
as a sports vehicle. “We’re next door to the Imperial Sand Dunes, the
largest dunes open to off-road use in the country, so there’s a lot of sport
ATV use here,” Bill explained. “The 4x4 RANGER offers the performance
and suspension capability of a sport ATV, but it can seat three and is
safer, so it’s attractive to women and families.”
RideNow wasted no time customizing RANGER with wild paint jobs,
chrome roll bars and stereos. “We couldn’t keep them on the floor,” said
Bill, who owns two himself. “Polaris listened when we told them there’s
another market out there for
RANGER . That’s why you’re seeing the new
Limited Edition XP 4x4 in Midnight Red, with faster acceleration.”
MARKET SHARE BY U.S. REGION
ATV
66%
Victory Snowmobile
52%
40%
PERCENTAGE OF POLARIS-EXCLUSIVE
DEALERS BY PRODUCT LINE
The high percentage of Polaris dealers
that sell Polaris products exclusively
has translated into a profitable relationship
for Polaris and our dealers for many years.
03
1,700
04 05
2,000
1,900
TOTAL POLARIS DEALERS
We strategically refocused our dealer network
in 2005 to ensure our partners can compete in an
increasingly sophisticated retail environment.