Despite Arctic Cat's production pause, recent weather has snowmobile businesses optimistic
OSSEO, Minn. — Arctic Cat announced this week that it will temporarily stop production, and will likely cut much of its workforce in Thief River Falls and St. Cloud. That could mean hundreds of people out of work.
The announcement comes after last winter's mild temperatures led to a major drop in snowmobile sales.
But snowfall in recent days has local dealerships optimistic.
"We see a lot of new parts installed," said Jim Biskey, service manager at Heinen Motorsports in Osseo.
Last winter season, sled work and repairs were rare at Heinen.
An extremely mild snowmobile season had the sales department a little backwards.
"We were selling motorcycles in December and January that people were riding home," said Jordan Deutscher, sales associate. "You don't see that because it's the winter. You shouldn't be able to do that."
After a winter with average snowfall, Heinen might have 15 to 20 snowmobiles left on their showroom floor. After this past winter, they had nearly 100.
Sales dropped 50% from the previous year. But it's funny what several inches of fresh powder can do.
"As soon as it started flying yesterday and sticking and staying on the ground, and not just melting right away, phones were going off the hook for people wanting snowmobiles," said Deutscher.
And if the snow can stick around, they could get back on track. But across the industry there is concern about what the Arctic Cat news means for snowmobile dealers.
"They're not going to be producing anything for the next six months," said Deutscher.
At the same time, Heinen and others have been told they won't be left out in the cold.
"I don't think you're going to have a problem getting the majority of the parts," said Biskey.
So, it's business as usual for the service and sales departments. They'll keep their fingers crossed that this week's winter blast, was just the beginning.
"As long as the snow sticks around there are going to be sleds selling, people are going to go riding, it's just what we do here in Minnesota," said Deutscher.
