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A new perspective, PLEASE READ

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  • A new perspective, PLEASE READ

    First an Introduction: I've raced since 1984/ grew up around this sport. I'm passonate about it. I have served as Commadore of Midwest for 7 years staring at age 19. I have been an inspecter, Referee, and have sold more races than I can recall. I also like to think of myself as a promoter/ mentor. I have helped more than 8 new drivers enter the sport, and assisted in finding them quality used equipment. I am self employed as is my wife. My writing style is a bit short, just as I speak. I am not afraid to be critical. But my interest is only for the love of the game. Short story long ,I am not nearly as surly as I might sound. Please excuse the SP .
    I have a perspective I want you to bounce around a while. I ask that you please don't reply Yet as I am going somewhere with this. THANKS FOR READING.

    MY BUSINESS:
    I handle about 100 seasonal maintenance accounts. I have my clients sign a contract with me once a year. They are in the "club". I provide them things so hopefully the feel O.K. about paying me. My trade is very competitive. 300 other companys would like to have my business. I have very good retention. I lose maybe 10%-15% for various reasons. Economy, moves, job loss, rule changes, ( I MAKE THE RULES). and some I plain just piss off. I've been at this biz for 12 years. I have an advertising budget. I have tryed Radio, newspaper ads, walking flyers around, yard signs, signs on the trucks ect, referrals. This year I am only using referrals, and truck signage.

    I changed the rules last year, raised my prices 10%. I have lost about 15% this season. My most loyal accounts are still with me and I have gotten and signed 2 referals from My "MEMBERS".
    I am counting on my exisiting clients to keep me in new accounts. I also got 2 accounts by people that drove by, saw me doing my "thing" became interested, then stopped and sought me out.

    Can you guess how my business is going to be by this time next year?
    Any Idea why a "sane" person would rely on such a business plan?
    Could I reasonably Blame my failure on lack of equiptment?
    Could I blame my "members" for not finding me enough work?
    Do you see any parallels?

    to be continued....... thank you for reading.
    Steve 77G

  • #2
    New blood

    continued....

    will add more tonight. this goes along quite nicely with Admin recent post.
    Steve

    Comment


    • #3
      More perspective

      Answers
      We will hang on until a critical mass is reached. at that point I start laying off guys, cutting corners to keep income just above expense, and eventually decide to cut my losses since I can no longer afford to advertise for new "members" .
      I am not exactly "sane" I am happy with the status quo. I plan to sell out this fall or next spring. So I'm not in this for the long haul any more.
      My equiptment is irrelavent. I am the product and the service I provide.
      How I choose to run it or what I do it with, isn't really that important as long as a majority are satisfied with the results and the continue to Pay me.
      Boat racing mirrors real life.

      New thoughts
      I have found that If decide to work at it I can find as many new cleints as I desire. Last year I placed 10,000 flyers, radio ads and increased business over the year before. I have retained some, got rid of the pitas and also lost naturally some other business. Point is I can always find new members if I work at it.
      several very sucessful national lco's have figured out quite well how to generate new business. they don't provide a very good product but hey they can replace the turn over every year and GROW.
      MARKETING IS KING
      when I started I didn't have one tool that I needed to do the work! I didn't even start looking for mowers until I had signed up 12 accounts.
      A former high school buddy I know went the other route. He spent a small fortune on new trucks , trailers, mowers, ect. No work signed! He resorted to trying to steal some of mine. He didn't get any and I found out (loyal customers) any way, he won't stay open much longer. Remember Job one, Marketing is king. all that stuff ain't worth any thing if no one wants him to use it. Or knows he has it. or is open as a business.
      In my small pond very few Know who I am and What I do. I have to work very hard to stay afloat. I absolutely cannot just rely on my members to keep my business alive. I ask for referrals, I reward referrals. every time I have contact with a "member". even then It is not enough.

      I have a Budget for advertising. so should our sanctioning bodies. (I'm sure they do) I don't market to former customers or their children. They know about me, If they want to come back they will find me. I have to constantly find New Markets. Productive new markets. Year after year in the same areas I have found just dosen't generate the work.


      I quit trying to be something I am not. when I first starting out I would do anything that I thought would Pay. huge landscape jobs that I had NO IDEA how to bid or do. things I hated to do. put up with people and situations I shouldn't have.
      Now I only do things that I am good at. I have these things down to a pretty good formula. I market my strengths. I can't be all things to all people. Mainstream Huge LCO's can "do it all" just not very well.
      I am not MAINSTREAM AND NEVER WILL BE. So I don't look to compeate with that crowd, or use them as the standard to judge my business. I have found my own little target market.
      Enough for now ( thanks again for reading ) Once again I please ask to withold comments. I will totally welcome and encourage any debate after my final post. Feel free to open a steve bashing thread if needed but I need to get these few posts out as clearly as I can. Thanks again guy's
      Last edited by Steve Johnson; 05-06-2006, 09:20 PM. Reason: More to add

      Comment


      • #4
        btt

        bump bump bump bump bump
        bumpbump

        Comment


        • #5
          The last post THE FUTURE'S SO BRIGHT, I GOTTA WEAR SHADES

          Read very Interesting.
          My final thoughts as to this subject. This apply to all sanctioning bodies.
          Apba needs to look at itself as a business whose Number one goal is to Increase membership and revenues. This is errespective of it's non profit status. Apba owns property ,and pays salerys so it's should be ran as a business.
          Make a budget for marketing. I spend 10% of my revenues. Where and what are my dues used for. 25 years times 150.00= 3750.00 or 5000 members x 150.00= $750,000.00 I'm sure some could be trimmed somewhere to increase the marketing budget.
          Mainstream the Propeller Mag to get it out on Newsstands. sell advertising space. Tana does a good job. switch the focus.

          Hire someone smart to do this job. I'd suggest Palmquist.
          utilize the internet to increase membership. Intice people lurking to join, Get involved. Did you see how many hits this one site gets? Everyone should get hydroracer.net stickers for your trailer. Paid for out of the Budget, not mine.
          I'm already doing ALL I can afford. I have even went as far as buying a rig to demo for any one to ride. I might just park it on the corner with a for sale sign on it. Whoever buys it will also buy a racing membership and get ME for a day at the lake. I can no more afford to do this than you can. Minnesota is about five new guys away from having an active club again. We are also close to, lose one more and forget it. What should We do?

          How much did the bill board ad at the winter nationals cost? A few of them on the interstate would sure increase our exposure.

          We are never going to get our equiptment to be sold on showroom floors again. Why fight this. equiptment can be gotten into the hands of any one that has the money. we already have an on-line virtual store. We need to create a demand for it. put the horse back in front of the cart.
          we are not mainstream, embrace and enjoy the difference. we have a lot going for us right now.

          Create salesmen of all of us. Reward us for recruting. Every member should have a way to sign up new members on the spot. collect the checks and mail it in. At the races.

          It is right to demand that our sanctioning bodies do this. It is our Money they work off of. we should expect that self preservation should be the first order of business.

          NO ONE WILL DO IT FOR US
          no Mercury- No OMC- No hotrod - no Bass -no Yamato.

          When racing was popular, you can bet that one of the above was behind a marketing campaign.

          This needs to happen. I offer my help. Expect more. point your leadership in the right direction. We have More tools at our disposal now than ever. Its up to us to use them.
          Increase your membership - you Increase your options and the other issues can then be addressed. The sport isn't so broke that you need to re-invent the wheel. Tweeked sure, let the clubs handle there own unique problems.
          I think the future can be very bright.
          If an Idiot Like me can figure it out - the bright folks of the racing family got it made. Just LOOK IN THE RIGHT DIRECTION.
          Thanks for reading my rant. Inhope I didn't come across like Dennis Miller. I had the same things to say 4 years ago, on another site. Some clown hijacked that one. I hope this is heard. Comment away!
          Blow this full of holes or let's get started.

          Steve Johnson,
          Small Business owner
          25 year racing Veteren 77-G 2 US 3 US 1-G
          Family guy
          Slacker.

          P.S. I have no plans on running for political Office ! But I will do what is asked of me.

          Comment


          • #6
            Great posts, Steve.

            Region 10 has an embarassment of riches in new drivers this year. My nephew and I are going to talk with these new racers and find out why on earth they decided to go boat racing. We'll share what we find out.

            There is already a common thread that I can start seeing with these folks before talking to them. That thread is that it was made easy for them to get equipment and advice. There are the HARM J kids - you've seen the pics of the boats that Region 10 racers are helping them build. They have access to motors - I believe it is a lease deal for now. There is an "older" kid that has started in 20ss. Daren Goehring set him up with a race ready rig and lots of online help. We have two more kids coming in via a long time racer who recruits young people to drive for him - he has the boats and motors.

            Beyond finding out whether or not the ease of getting equipment made a difference, we're going to try and find out "why boat racing?" Are these folks like Ryan and I, boat racing geeks with no background in racing who wanted to give it a shot? Are they a skipped or shirt-tail generation from a family of boat racers? Did they see friends boat racing and want to try it? Did it come to them in a dream - is there a drug we can administer?

            I think this type of information would allow a marketing campaign to be focused on folks most likely to race boats.

            I'm afraid just hiring someone to do slick DVDs and displays and travel to boat shows/boat races just the first step. Once an enticing hook is dangled, they need to see the bait. How do we show them that yes, you can do this? How do we organize the effort that takes them by the hand shows them where and how to get a race ready rig together? This marketing genius would have to be able to do this next for a person in any region. Otherwise, we're relying on the customers to do the work again. And there is a point where the customers are going to have to pick it up - at the race site, when the new racer is a fellow customer. That's where the hook gets set.

            This effort will have to get paid for. I'm not going to get into that can of snakes. The unlimiteds and the F-1 (Champ, GP, Prop, etc) tours in this country have gone through unending cycles of "hey, we need to be doing marketing" to "hey, we don't want to pay for this stuff". It ain't free. No matter how it gets paid for.

            Thanks for the place to ramble...
            Mike Johnson

            World Headquarters
            sigpic
            Portland, Oregon
            Johnson Racing

            Comment


            • #7
              Stirring interest

              It was displays like this that got my interest as a youth. How many clubs still do this? Notice the second display was by APBA.
              (click on picture to see full view)
              Attached Files
              Tom L.

              Comment


              • #8
                Tom the one on the left is from the boat show in Phila and was set up by the DVORA thats my Dad in the picture with Phil Doerle's DSH on display they also had a TV set up with a VCR of boat races. Dad put alot of time in the sport just because he loved it.
                Destiny is a matter of chance,it is a matter of choice; it is not a thing to be waited for, it is a thing to be achieved.

                Comment


                • #9
                  Some thoughts

                  There are some levels that I feel need to be sought out on promoting our sport. First let me say that my family got active 3 years ago with our son in "J" stock after attending a race at Constantine,Mi.. I was aware of this race site as a youth by going to races there. After taking my son there I was approched by Dean Sutherland at the drivers meeting to welcome Adam and I to the race and after asking some question if we were interested in possibly racing we said yes. Dean let Adam help him at his pits for the day and Adam had a ball with it. We went home that nite and talked it over with mom and we decided it would be a way for our family could have fun and travel. Thru the help with the members a Michigan Hydroplane Association we purchased the necassary equipment and went racing. Dean was instrumentle in gaining another member for their club and we have ment many new friends along the way. This way of promotion was done at the club level.
                  Now lets talk APBA role in promoting. I feel the stock commission could do some promoting on a larger public awarness with the help of local clubs. It needs to be a joint venture. Have money alocated by the commision to secure booth space at large boat shows like the Detriot boat show and the Miami boat show, etc. to hit the masses with who we are. This would be a demigraphics issue and would have to be resurched to help get the most bang for the buck.
                  The third alturnitive is private promotional sponsors. Sam and Sharon Winer have made a living of putting on OPC races in large city venuse for 15 + years. As the APR super racing league http://www.aprsuperleague.com/They pay travel $, they pay prize money and they seek out the sponsorship for their cause. It's a time consuming and never ending job. But they pull it off, very well ,year after year.
                  With all the sports young kids are active in I see a tremendous amount of $ being spent. Moto cross racing is huge with the younger crowed. Money spent by most familys are in exces of $10,000 for a competitive set up. Go Kart racing is big also with simular $ spent. One father told me he spends $200 a race just on tires. We managed to get Adam into boat racing for around $5000 and have spent very little since. Why are the AMA and the National karting Federation getting these youth? Promotion!, Purses! ,and travel $. It's all our job if we want to make the sport we love grow. Just my to cents worth.
                  Last edited by Tomtall; 05-11-2006, 05:59 PM.
                  Tom L.

                  Comment


                  • #10
                    Good points

                    Lots of good points being made here. let me add to Tomtall's observation about karting. Everytime a person asks me about boat racing, the equipment, cost etc I always stress that we don't have consumables like karting such as tires, brakes, clutches. Also, to be competitve in karting you really need to spend $ on a computer and data aquistion systems. Plus the really top notch guys have different tire/wheel combinations for different tracks and weather conditions. Big $$$. kneel down racing is a bargain.

                    Bill III
                    Support your local club and local races.

                    Bill Pavlick

                    I'm just glad I'm not Michael Mackey - BPIII

                    Comment


                    • #11
                      And....

                      I agree with all that was said above. But boat racing has to be competitive to appeal to new racers or the public. If a new racer doesn't see a chance to be in the thick of competition soon he will get discouraged quicky.

                      The number one thing that will help the sport is to substantially raise the minimum weights in all classes. This will do many things.

                      The average new racer is not a young kid like when many of us started. He is a middle aged guy with a few extra pounds on him who finally has a bit of time and money to try something new to satisfy his mid-life crisis. If he can't get within 40 pounds of minimum weight he won't be competitive.

                      Higher class weights also naturally tighten up the pack rather having the leader a half lap ahead and boats strung out all along the couse.

                      Building super light boats is expensive and they become disposable. Higher weights translate to safer and more durable boats. That gives the added benefit of there being much more used equipment available to new racers.

                      So what if by raising the weights the top class speeds are a couple mph lower. It's still racing and a lot more fun and interesting because it is competitive. NASCAR undersands that to be an absolutely non-negotiable part of marketing their product. No matter what, the rules must support close competition.



                      Comment


                      • #12
                        Mac I don't think it is a weight issue. An ASH just can not handle a 250lb guy. Hell I may be short but I am no small guy either. I need to add 30lbs to my CSH to make weight. This is not a vary light boat either. I think if I added any more weight I would sink the thing when I'm getting in it.
                        Mark
                        G-11
                        125H
                        When the green flag drops, the bull**** stops!!!!!!!!!!!
                        Keep'em Sunny Side Up Boy's!


                        [

                        Comment


                        • #13
                          Entertainment Bus. or Hobby ?

                          Very Intersting Posts Steve

                          Having helped run a local circuit of races in the 70's off and on till now; it always seemed a fundmental point that was overlooked most times by the racers, in that like "wide world of sports" where we all kinda wanted to be, on TV maybe we should consider the whole show, that we are in show biz.

                          I am guilty of treating my sport as a somewhat casual weekend getaway, but really we have tried to long to survive on our kids taking it up.

                          I do believe that one reason the sport may be kinda hard to market, is that it is VERY individual and specialized (4-500 people in population of 400 million in North America) in stock. I know with an open trailer there is always the wow factor at the gaspumps still, we have that on our side.

                          Maybe a J setup in Wally World beside the gokart thing ?

                          Randy Dodd
                          SPEED-SPRAY-ACTION !!!

                          Comment


                          • #14
                            Weight

                            Lights: I agree that a 250 lb guy can't run ASH. A new guy who is 140 lbs may want to start out there. But there are a lot of average 6 foot guys that may have trouble getting close to weight in C, D or E classes. They probably need to start out in 20SS, 25SS or C. They sure don't need to jump into D or E classes to start off with just to make weight. What are they going to do?

                            But more than that, weight is the great equalizer in this sport. It makes the racing more competitive. And it makes the boats safer and more durable.



                            Comment


                            • #15
                              Originally posted by mac19f
                              I agree with all that was said above. But boat racing has to be competitive to appeal to new racers or the public. If a new racer doesn't see a chance to be in the thick of competition soon he will get discouraged quicky.

                              The number one thing that will help the sport is to substantially raise the minimum weights in all classes. This will do many things.

                              The average new racer is not a young kid like when many of us started. He is a middle aged guy with a few extra pounds on him who finally has a bit of time and money to try something new to satisfy his mid-life crisis. If he can't get within 40 pounds of minimum weight he won't be competitive.

                              Higher class weights also naturally tighten up the pack rather having the leader a half lap ahead and boats strung out all along the couse.

                              Building super light boats is expensive and they become disposable. Higher weights translate to safer and more durable boats. That gives the added benefit of there being much more used equipment available to new racers.

                              So what if by raising the weights the top class speeds are a couple mph lower. It's still racing and a lot more fun and interesting because it is competitive. NASCAR undersands that to be an absolutely non-negotiable part of marketing their product. No matter what, the rules must support close competition.
                              I wont try to speak for all potential new drivers, but as a newer APBA member (1 year and starting my second ,with a few races the year before )
                              I didnt expect to be in front the first year. I just expected progress, as we are not from a boat racing family. my brother and I dont have the years of experience and knowlege behind us in the pitts that most of you a fortunate to have (IM not complaining just stating a fact ) I feel we have made very good progress. so I am very happy in that regard. My point is that I had to convince my self i wanted to drive all over to do this boat racin thing. It had nothing to do with thinking i could win right away.Sure I want to win and expect to win some races But that isnt what got me started

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