Higher off-road vehicle sales have spurred 15% year-over-year growth in finance volume at Freedom Powersports, Regional Operations Manager Chase Vance told Powersports Finance.
“Off-road is absolutely killing it, and that’s across the board,” Vance said. “That’s specifically going to be tailored to BRP [models]. I’ve got some stores that are up 200% to 400% over last year and in just BRP. We’re seeing some growth in Polaris, as well, and even with Kawasaki. The side-by-side market is the fastest growing market in our space.”
Freedom Powersports is a dealer group that consists of 21 stores across Texas, Alabama, and Georgia. On average, the chain sells 1,100 units a month, 45% of which are financed.
Finance volume has been driven by an increase in consumers buying accessories for their vehicles, such as cameras, winches, and harnesses. These accessories drive up the cost of the vehicle, thus increasing the need for financing.
“We’re definitely financing more because consumers are putting more accessories on side-by-sides than ever before,” Vance said. “A metric that we track is what our per-unit sold is in the parts department and on side-by-sides. We’re starting to see more and more of the big unit builds, and so, therefore, the financing is coming into play a lot more as well.”
Additionally, off-road motorcycles have seen “a little bit” of growth year over year, Vance said without specifying.
Freedom Road gets retail financing for off-road vehicles from lenders such as Synchrony Financial, Sheffield Financial, Roadrunner Financial, Citi Retail Services, and TDECU.