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Powersports Needs CPO Programs

November 28, 2012
Powersports Needs CPO Programs

Powersports Needs CPO Programs

3 min to read


Recent headlines for the certified pre-owned (CPO) market in autos have claimed continued record sales quarter after quarter with no end to growth in sight. Consumer and industry experts consistently report CPO cars and pick-ups/SUVs are perceived by buyers to have higher quality, value, reliability and desirability than non-certified used vehicles. Auto consumers continue to seek out and confidently pay more for CPO vehicles because of the peace-of-mind and quality they represent. The most common and important elements of a certified-pre owned program are:


  • Multiple point inspections, ensuring the vehicle is in good working condition

  • Extended limited warranties/service contracts for at least three months

  • Vehicle history reports indicating a clear title from DMV sources

  • Clear, branded CPO marketing materials that indicate to the buyer that the vehicle is certified


Auto dealer benefits of CPO programs include higher unit prices and sell-through rates, increased customer satisfaction and service loyalty, and new entrants to their brands and dealerships. Not everything is easy for auto dealers — most auto CPO programs are specific to their franchise’s manufacturer so they are unable to certify other name plates, meaning Toyota dealers cannot certify Ford cars and vice versa. Even with that caveat, CPO sales continue to rise.


Now that powersports dealers are seeing more of their revenue coming from used-vehicle sales, the need for a powersport-specific CPO program has increased. Some powersport OEMs such as Harley-Davidson, BMW and Honda offer elements of a factory program, such as extending the existing factory warranties, but not inspections or vehicle history reports, or significant CPO marketing. Plus, these vehicles usually need to be newer and exclude older model years even though they might be in good condition and have lower mileage.


Some dealers have taken to self-certifying vehicles, but they are not independent programs and usually lack one or more of the common CPO elements. Plus, with so many vehicle types and OEM brands being retailed, the confusion at the dealership can be significant as to what “certified” means for that specific vehicle.


Now that we’ve identified what the programs are and the gaps in the market, what true CPO programs exist to fill them? There are two on the market today that offer CPO programs for the powersports market. The instaVIN Certified Pre-Owned Program offers certification of used motorcycles, ATVs, RVs, trailers and watercraft of any brand that meets age and mileage parameters. The program includes a vehicle inspection, a three- or 12-month limited warranty, and a vehicle history report when available. Good Sam Certified offers certification for RVs which includes a three-month limited warranty.


Dealers can choose to self-certify or simply rely on the factory warranty, but they will miss the opportunity to have a complete, independent program that their customers can trust.

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