I heard some rumblings about Piaggio Canada

[BDIAgencies]

I heard some rumours that Piaggio US is pulling out of Canada...or aleast they pulled there distributor for Canada...

Anyone else hear anything... :twisted:

[Weldangrind]

I haven't heard anything. I wonder if that just means Vespa, or if Aprilia won't be supported either.

[Reveeen]

Piaggio Announces Transition of Business Operations in Canada

NEW YORK, Nov. 10 /CNW/ -- Piaggio & C. S.p.A. (Piaggio Italy), the builder of such leading scooters and motorcycles as Piaggio, Vespa, Aprilia, Moto Guzzi, and Derbi, announces that it has terminated its exclusive distribution agreement with Canadian Scooter Corporation (CSC). The company is preparing to launch new business operations in the Canadian market allowing dealers to enjoy a direct relationship with a company of the Piaggio Group. Confirming Piaggio Group's commitment to the Canadian market, Piaggio Italy has called upon Piaggio Group Americas, Inc. (PGA), to develop and support a Canadian dealer network equipped to increase market share and provide the finest product support in the industry.

PGA announces that, effective immediately, it is inviting all dealers who had an executed dealer agreement with CSC in effect on October 5, 2009 (Former CSC Dealers) to submit warranty claims and new warranty registrations to PGA. Interested dealers should submit the latest version of their executed agreement with CSC, along with the Dealer Principal's name, contact number and email address, either: (i) by fax to the attention of the PGA Finance Department at the following fax number: (212) 380-4459, or (ii) by overnight courier to: Finance Department, Piaggio Group Americas, Inc., 140 E 45th Street, Suite 17, New York, New York, 10017-3144. Any dealer with questions regarding the submission of this information (only) should contact Adrian Mendoza, either by email at: amendoza@piaggiogroupusa.com, or by telephone at: (212) 380-4428. Dealers who respond promptly to this invitation with the requested information will receive, within a matter of days, detailed instructions on how to submit parts orders, warranty registrations and warranty claims for processing and reimbursement on a going-forward basis. The claims and registration processes are likely to evolve over the next few months as computer systems are developed to handle requests from Canada.

For customer care related issues (only), until a new Canadian Customer Care system is fully in place, PGA asks dealers and customers to contact PGA via email at: CanadaCare@piaggiogroupusa.com. PGA requests the patience and understanding of French-speaking dealers and customers as French language support is developed and put in place.

Any Former CSC Dealer who wishes to be considered for appointment as a dealer in the new dealer network should send a letter expressing their interest, along with a copy of the latest version of their executed agreement with CSC and the contact information of the Dealer Principal (unless that information has already been provided), either: (i) by fax to the attention of Adrian Mendoza at the following fax number: (212) 380-4459, or (ii) by overnight courier to: Adrian Mendoza, Piaggio Group Americas, Inc., 140 E 45th Street, Suite 17, New York, New York, 10017-3144.

PGA anticipates that new dealer agreements will be offered to select dealers in Canada no later than January 2010, and that a fully operational Canadian sales and service system for vehicles, accessories, and parts will be in place in February 2010. To kick-start the new sales season, a meeting is currently being planned for January 2010 to present the newly launched dealer network with 2010 sales programs.

From:
http://www.newswire.ca/en/releases/archive/November2009/10/c7956.html

In the blogs there is plenty of discussion (who would have guessed?), some blaming CSC, some Piaggio, of interest to note is:

PGA (Piaggio Group America) also resumed control from their South America distributor at the same time? (early Nov.) Interesting fact that has been quietly buried.

It would seem that Piaggio figures they have a better "handle" on sales, and local conditions, then the folks actually "on the ground", and have decided to operate their Canadian, and South American, dealer networks by remote control.

BTW: Vespa Halifax is offering deep discount prices at the moment to clear stock.

[Q]

Piaggio did the same thing in the US back in the late 70s or early 80s. My uncle owned the San Francisco Vespa dealership when Piaggio came in, bought him out, and opened up a huge and fancy dealership right on Van Ness Ave. They hired me to be the service manager.

Q

[Oengus]

I have to wonder if this is all in alignment with Foshan, Piaggio’s venture with Zongshen?

Piaggio sells small displacement motorcycles, like this 150cc bike that has 13.25 hp 9500 rpm.

http://www.piaggio.com.cn/UserImages/00000362.jpg

Or this 125cc bike that has 11.50 hp at 9000 rpm.

http://www.piaggio.com.cn/UserImages/65972-2009-11-20-00000838.jpg

And this one, with 125cc with 11.04 hp @8500 rpm

http://www.piaggio.com.cn/UserImages/00000338.jpg

　　 Foshan Zongshen-Piaggio motorcycle Co., Ltd is a joint venture by Piaggio Group ( Italy ) and Zongshen Industry Group(China) which founded on 16th,April,2004 with a registration capital two hundred million RMB. The company locates at zhangchai Hi-Tech Industry Zone, Foshan city, Guangdong province, and occupies an area of 110,000 square meters, we have R&D center, Physical and chemical laboratory in the factory, besides of these, we have advanced welding and painting houses, motorcycle assembling line and testing line, logistic center etc too, the main equipment of production and testing are imported from Italy, the management system are set up according to Piaggio company standard.
　　Italy Piaggio group (www.piaggio.com) is the biggest motorcycle producer in Europe who produced the first scooter “VESPA” in 1946. Besides of Piaggio brand, it has another 5 world famous brands too, including: Vespa / Gilera / Derbi / Moto Guzzi / Aprilia. As the biggest seller of motorcycles in Europe, Piaggio group has more than ten factories and over sixty thousands workers worldwide.
　　Zongshen Industrial Group is a giant private company founded in 1992, it has R&D center, production factory and complete sales system. It is composed by more than 30 sub-companies, including one shared company Zongshen Engine factory. “Zongshen” brand was identified as a famous Trademark in China by SAIC. In Dec 2004, Zongshen was granted as the most valuable motorcycle brand.
　　According to the schedule that the Zongshen-Piaggio will increase their yearly production ability to 500,000 in next 3-5 years, amount which 100,000 OEM Piaggio brand will buy back by Piaggio Italy Company and sell in Europe. Zongshen-Piaggio will be the most advanced and biggest production plant of Piaggio group over sea investment.


What is Harley going to do with its relationship with Zongshen? Its worth investing in the Chinese production, then to buy that product and distribute it in the US….but they could never sell Chinese made Harleys in the US, it would never fly.

However Piagio can or may shut off other markets, they can offer a full line and already do. They can manufacture in china and sell in the US value priced sport bikes. A dealer could stand alone in the US Market selling Piaggio brands.

Vespa / Gilera / Derbi / Moto Guzzi / Aprilia

Derbi has some cool bikes.
Like this 125cc
http://www.arpem.com/motos/modelos/derbi/flash/2008/derbi-cross-city-125/derbi-cross-city-125-ld10.jpg

With only one US dealer in NY city I will not even bother to get a price….
There is one for sale on ebay classified adds in England for 1,800 pounds or $2,900 US too much for a 125cc bike, but its a cool design.

[Weldangrind]

What is Harley going to do with its relationship with Zongshen? Its worth investing in the Chinese production, then to buy that product and distribute it in the US….but they could never sell Chinese made Harleys in the US, it would never fly.


I believe that "never" is a long time. Despite what we may hold dear, I can imagine that several folks who could otherwise not afford a Harley might buy a Chinese version.

It happens in all sectors. There was a time when no self-respecting guitarist would buy a Mexican Strat (a Fender Stratocaster made in Mexico), but now Eric Clapton raves about his. Several off-shore versions are out there, and most people would not know the difference.

[Oengus]

It’s interesting stuff, I am not a big HD fan never have been. I do like the XR1200 though, I would like a lower cost version of that model. I do not need that much power though; I’d take half that and would like it at half the price. An XR600 maybe for $5K and then how about an XR300 for $3K?

http://www.raptorsandrockets.com/images/Harley-Davidson/2008_Harley_XR1200-side-onR.jpg

Its just a ladder that some may climb that’s all….they can make a value line in China.

That technology could be carried into a Zongshen line of sport bikes, sold through its own dealer network.
Which could be sold in Paggio dealers that also carried all the other Paggio brands? Those other brands as well could have Chinese value lines within them.

Eventually the prices will not be that much lower the Chinese cannot control the market or the cost of labor or material…they are already realizing that. They have to cut production and also raise prices, its not as if they have other options. Cutting production and refining the products and defining markets better. The advancement in technology comes from abroad. The refinement and technology costs money, it drives the costs up.

[Q]

I've been involved with Piaggio since I was a little kid. Here's a short article from Scootourist Magazine June 1963 about my dad's Vespa shop. I'm glad they are doing well.

http://img.photobucket.com/albums/v499/QDM/vespa1963jpg.jpg

[Reveeen]

they could never sell Chinese made Harleys in the US

Were they not stuffing Rotax engines into Buell motorcycles?

[Weldangrind]

I've been involved with Piaggio since I was a little kid. Here's a short article from Scootourist Magazine June 1963 about my dad's Vespa shop. I'm glad they are doing well.

Q, that's pretty cool! I've never heard of a flywheel magnetizer. Does it really work?

[Q]

It worked but I don't remember many flywheels becoming demagnetized. It was just a set of coils that the flywheel fit over. You plugged it into the wall for a few minutes and TA-DA, strong magnets again.

Q

[phil]

i have noticed that the zong scooters have a quality control sheet included that has a piaggio header. as for hd would we buy a harley if it had chinese parts on it? or are we already 8Oi also remember hearing, not so long ago, that " harley would NEVER have water cooling, air cooled is a tradition!" just a little while back i bought a new to me car, you know last full size American muscle car, the vin starts with a 2. (no offence intended just case in point)

[Oengus]

Why not….its not loyalty its quality to get to quality you climb in costs. The only advantage the Chinese have is labor rates, they do not have any other advantages.

Will the Harley eventually be made in China? That would require a factory that could do that, currently they do not have that capability.

Harley is looking for Chinese part support for US made bikes sold in china. Possibly they may lend the Harley brand to other Chinese made products sold in China? I have not heard of them doing that.

http://www.harley-davidson.cn/