Sales snowball
Snowfall brings business to snowmobile industryBy WHITNEY PANDIL-EATON, Staff Writer wpandileaton@minotdailynews.com
Article Photos
You may have seen them zipping by, outfitted in colorful ensembles to match their arctic rides, leaving white plumes rising toward the sky. Road-side ditches and open dormant fields are the new "hot spots" in Minot for snowmobilers, that is but they aren't the only ones having fun this winter.
While the rest of us see white, a select few see green.
"This is the most snow we've got in a while and to me, it's money falling from the sky," said Lyle Renfrow, owner of D & L Motorsports.
The company, located at 4019 S. Main St., does routine repair and maintenance on snowmobiles. With all of the snow, Renfrow said he has seen at least a 200 percent increase in business from last year.
"It's apples and oranges comparing this year to last year," he said, adding that for the entire month of January in 2008 he had $3 in business, but on Saturday alone he had already done $300 worth of business.
When the snow started to fall in November, many enthusiasts tried to take advantage, but after so many snowless years, Renfrow said, most snowmobiles wouldn't start due to old oil and gas, or simply because their owners hadn't started them up in the latter years.
In the present economy, many are choosing to repair what they have instead of buying new winter rides. At roughly $120 to have a snowmobile winterized and ready to go, more than 20 people have come through his door already this year.
"I hope it keeps going to make up for the past few years," Renfrow said.
But for those with a little more expendable income, the unusual snowfall combined with historically low interest rates tempted some to update and others to try their hand at a new sport.
"This year has been awesome, we've had to replenish products numerous times already," said Jason Nelson, co-owner of Paradise Spas and Motorsports. "We are selling them faster than we can get them."
To help keep up with demand, Nelson said he travels throughout the region acquiring snowmobiles from public and private suppliers. With his numerous contacts, he said he can get any make or model year a customer is looking for.
Paradise Spas and Motorsports, located at 1615 S. Broadway, has been in business for 23 years, but the motorsport division, which sells ATVs and used snowmobiles, came five years ago.
"Last year, the Canadian dollar was strong, so a majority of our sales went to Canada," Nelson said. "But this year, the U.S. dollar is stronger so the sales have stayed here and now with the snow, we are seeing even more sales."
He said there are two sale seasons in the snowmobile industry. People who buy during the pre-season, September and October, buy regardless of local snowfall because they have plans to take it to snowy places. In-season buyers, who purchase between November and December, do so because there is snow on the ground already or is anticipated to fall soon. But if there's no snow by then, he added, people won't consider buying until next year.
"The good news for us is that we got our in-season snow early, so sales were aggressive and they haven't slowed down since," Nelson said.
The average cost of a used snowmobile ranges from $1,000 to $10,000 depending on the model and year, but Nelson said, the advancements in technology have made them more reliable and last longer - he saw one snowmobile with over 10,000 miles.
Nelson said other technological enhancements mean the newer snowmobiles are more environmentally "green" with less exhaust and are more family-friendly in terms of seating, comfort and controls.
The snow fall has created a domino effect in terms of snowmobile, accessory and apparel sales. But, Nelson added, Paradise's maintenance department has seen increases in sales as well for people who choose to keep what they already have.
With all of these factors combined, "We predict this to be our best year ever," Nelson said.
