Motor On

When Ed Gurry gave up on his niche cabin homebuilding business in North Carolina in 2010, not surprisingly, he cited the economy.

But Gurry, also a onetime telecommunications industry executive, clearly thinks the economy is in comeback mode. That's why he spent deep into the six figures to buy and turnaround a Suzuki motorcycle dealership in Sarasota. The company, formerly Suzuki of Sarasota, is now Sarasota Fun Machines.

“I've done my homework in this industry,” says Gurry “I think there is a lot of pent-up demand for products.”

Gurry, who bought the dealership in November, bases that belief partially on one salient industry fact: Most motorcycle owners seek to upgrade or buy a new bike every two years, says Gurry. The recession, however, has pushed that time frame back to at least four years, which leads to the potential pent-up demand.

So far, Gurry has been spot-on. Revenues in the first quarter at Sarasota Fun Machines increased 156% year-over-year versus 2011. Sales were up again year-over-year in the second quarter, says Gurry, at 68%. At its peak in the mid- 2000s, the dealership had $8 million in annual revenues, a figure that dipped to $1.4 million in 2011. Gurry projects sales will be around $2.4 million in 2012.

There have been other anecdotal signs of a return to discretionary income spending on the Gulf Coast. For example, the sales manager at Suncoast Porsche in Sarasota says the dealership sold so many cars in recent months that it ran low on inventory. Several luxury homebuilders have reported brisk sales, too.

At Sarasota Fun Machines, meanwhile, the sales spike stems from more than pent-up demand and a turn in the economy. Gurry has also led a shift in the business, from inventory to accounting to marketing. The dealership had once been one of the top Suzuki performers in the country, but Gurry says “the bottom dropped out” in 2009 and 2010.

“We started all over again,” says Gurry. “We changed the entire look of the place.”

On inventory, Gurry expanded the product selection. In addition to the full Suzuki line, the dealership now sells a host of other electric and gas-powered vehicles, which range in price from around $1,000 to nearly $15,000. Two of the top new lines are Kymco scooters and Bad Boy ATVs.

Gurry has also spent heavily on targeted marketing programs, including email blasts, radio, TV and Internet ads. He hired a firm to redo the dealership website, and he sponsors local events where sales personnel could target potential customers. Says Gurry: “I had to reposition the brand.”

A Detroit native, Gurry held senior executive sales and marketing positions with AirTouch Communications in Atlanta for several years. He left in 1999, when the company was sold, and eventually merged with Verizon. He later started a vacation homebuilding business in the Blue Ridge Mountains in North Carolina. The company fizzled in 2010 though, says Gurry, when “no one was getting financing.”

Gurry heard about the opportunity to buy the Suzuki dealership through a friend, and he moved on it quickly. He self-financed the purchase, which was essentially an asset sale. The showroom and facility is 6,000 square feet.

“I've always had a passion for motorcycles,” says Gurry, who estimates he's traveled 100,000 miles over the past few decades with his wife on a variety of motorcycles. “One of the biggest things we try do here is have fun.”

Video: Amanda Heisey