OEMs offer Canadians rebates
Incentive addresses cross-border shopping issue created by price disparity
In order to keep Canadian customers in Canada, at least two snowmobile manufacturers are offering discounts to those purchasing sleds north of the border.
Polaris Industries Inc. of Medina Minn. and Bombardier Recreational Products Inc. (BRP) of Valcourt, Que. have each introduced rebates for Canadian customers to reduce the price difference of snowmobiles between Canada and the United States.
This issue has come to the forefront in recent weeks because the US dollar has been struggling, helping to cause a huge disparity in snowmobile prices between the two countries.
Customers are paying as much as a third more for a snowmobile in Canada as they are in the United States. This has some Canadians heading south to try and pick up a new sled. The manufactures, however, have guidelines forbidding dealers from selling to customers in other countries, which is done largely to protect local dealers.
A Grand Forks, ND Ski-Doo dealer made news last month when he was ordered by BRP to stop selling to Canadians. Ron Thompson, who owns the dealership, said BRP needed to do something for the Canadian customer to save face. It looks like they listened.
To combat the cross-border shopping, BRP is offering Canadians a rebate worth hundreds of dollars depending on the model. Polaris has also responded with a rebate up to C$1,000.
“These programs neutralize the cost to the Canadian consumer and strongly encourage Canadians to purchase in Canada,” Polaris says.
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