ATV, Snowmobile and Jetski Dealers Industry Terminology

ACV (Actual Cash Value)

The realistic, as-is value a dealer will pay for a customer’s trade-in before reconditioning costs and fees.

- We appraised the ATV’s trade ACV at 4,200 dollars pending reconditioning. - If the ACV is below payoff, we’ll need cash or rebates to cover the negative equity. - Set trade ACV using book value, auction comps, and recon estimates.

APR (Annual Percentage Rate)

The annualized cost of borrowing expressed as a percentage, including interest and certain fees on a financed unit.

- The promotional APR is 2.99 percent for 36 months on select PWCs. - A higher APR may still make sense if the OEM is offering big rebates. - Verify the APR on the retail installment contract before delivery.

ATV (All-Terrain Vehicle)

A straddle-seat, handlebar-steered off-highway vehicle, typically with 3 or 4 wheels; distinct from UTVs (side-by-sides).

- This ATV has 11 inches of ground clearance and selectable 4x4. - Customers often cross-shop ATVs and UTVs for utility tasks. - Make sure the buyer understands ATV age and helmet regulations.

Book Value (Guide Value)

Estimated resale value from pricing guides (e.g., NADA/J.D. Power) used for appraisals, trade-ins, and pricing decisions.

- The NADA/J.D. Power clean-trade book value is 6,750 dollars. - We price used units near book value plus recon and market premium. - Use book value as a baseline, then adjust for condition and seasonality.

Brake & Reverse System

An integrated system on PWCs (and some powersports) that uses a reverse gate or gearbox to decelerate and maneuver backward.

- The PWC’s brake and reverse system shortens stopping distance dramatically. - Train buyers to practice reverse steering in open water. - Verify reverse gate function during the water test.

Break-In Procedure

Manufacturer-recommended operating steps for a new or rebuilt engine to seat components and ensure reliability.

- For the first 10 hours, vary RPM and avoid extended wide-open throttle. - Remind the owner to follow break-in before the first service. - Failure to follow break-in can void powertrain coverage.

CARB Compliance

Conformance with California Air Resources Board emissions and evaporative standards; required for sale/registration in CA and often referenced nationally.

- This model meets CARB 3-star PWC emissions standards. - California shipments require CARB-compliant evaporative systems. - Keep CARB labels intact for inspections and resale.

Cavitation

Formation of vapor pockets in a jet pump that reduces thrust and can damage components; typically caused by air ingestion, damage, or excessive clearances.

- The PWC cavitates on holeshot; the wear ring is likely out of spec. - Debris near the intake grate can cause pump cavitation. - Cavitation complaints often show higher RPM with low thrust.

CRM (Customer Relationship Management)

Systems and processes for tracking leads, customers, communications, and sales follow-up to improve conversion and retention.

- Log every showroom up in the CRM and set next-contact tasks. - CRM data shows a 14 percent lead-to-close rate on UTVs. - Integrate web leads to the CRM for faster response.

Dealer Prep (Freight & Setup)

The dealership’s work and costs to receive, assemble, and ready a new unit for delivery; often shown as freight and setup fees.

- Dealer prep covers uncrating, assembly, PDI, and test run. - Explain freight and setup on the buyer’s order to avoid surprises. - OEM programs sometimes reimburse partial setup labor.

DMS (Dealer Management System)

Dealership software platform that integrates sales, parts, service, inventory, and accounting operations.

- Create the repair order and parts pick list in the DMS. - Our DMS pushes inventory to the website in real time. - Reconcile floorplan interest through the DMS accounting module.

EFI (Electronic Fuel Injection)

Computer-controlled fuel delivery replacing carburetors, optimizing air-fuel mixture for performance, efficiency, and emissions.

- EFI improves cold starts on snowmobiles versus carburetors. - We flashed the EFI map to fix the fueling stumble. - EFI reduces altitude and temperature tuning hassles for ATVs.

EPS (Electronic Power Steering)

Assist system that reduces steering effort and driver fatigue on ATVs/UTVs, adjusting assist by speed and load.

- EPS cuts steering effort at low speeds on rocky trails. - The EPS warning light indicates a possible sensor or power issue. - Customers upgrading from base trims often prioritize EPS.

F&I (Finance and Insurance)

Dealership department and products that handle financing, warranties, and protection plans, as well as regulatory compliance in the sales process.

- F&I penetration on extended service plans is 42 percent. - Coordinate with F&I to finalize the retail installment contract. - Compliance training is mandatory for the F&I office.

Flat-Rate Labor

Standardized labor times used for estimating, pricing, and paying technicians, regardless of actual time spent.

- The flat-rate time for impeller replacement is 2.0 hours. - Tech efficiency improves when flat-rate times are accurate. - Quote jobs using the flat-rate manual plus parts.

Floorplan Financing

Short-term inventory financing that allows dealers to stock units; interest and curtailments accrue until the unit is sold and paid off.

- Non-current units increase floorplan interest expense. - Watch curtailments on aged inventory to protect cash flow. - OEMs sometimes offer floorplan interest assistance during season launch.

GVWR (Gross Vehicle Weight Rating)

The maximum allowable total weight of a vehicle or trailer including payload, fluids, and accessories.

- Ensure the PWC trailer’s GVWR exceeds the loaded weight. - Towing an ATV plus gear may exceed the SUV’s GVWR. - Tongue weight targets are based on GVWR and balance.

HIN (Hull Identification Number)

A 12-character unique identifier for boats and PWCs, similar to a VIN; used for registration, titling, and history checks.

- Verify the HIN on the PWC matches the MSO before titling. - The HIN is molded into the starboard transom. - Use the HIN to check recall status and theft reports.

Holdback

A portion of MSRP or invoice the OEM pays back to the dealer after sale, typically to support inventory carrying costs.

- OEM holdback is 2 percent of MSRP paid quarterly. - Holdback helps offset floorplan interest on slow movers. - Don’t build deals assuming holdback—treat it as back-end margin.

Impeller & Wear Ring

Jet pump components that generate thrust; the impeller spins within a close-tolerance wear ring to move water efficiently.

- Excess impeller-to-wear ring clearance causes cavitation. - Replace the damaged wear ring and recheck pump alignment. - Performance impellers can improve holeshot on heavy PWCs.

Inventory Turnover

A metric showing how many times inventory is sold and replaced in a period, often calculated as cost of goods sold divided by average inventory.

- Our ATV turns improved from 2.1 to 3.0 after pre-ordering smart. - Aim for faster turns on seasonal snowmobiles pre-sell. - Higher turns free cash from floorplan interest costs.

Jet Pump

Waterjet propulsion unit on PWCs and some jet boats that accelerates water to create thrust and steering control.

- Inspect the jet pump for oil leaks and bearing noise. - Sand ingestion can score the pump and reduce thrust. - The jet pump nozzle directs steering on a PWC.

Kill Switch/Lanyard

A safety device that stops the engine if the operator falls or leaves the seat; typically a tethered lanyard on PWCs and ATVs.

- Always connect the lanyard to the operator’s PFD or wrist. - Test the kill switch during PDI and delivery. - Many trail systems require functional engine cut-off devices.

KPI (Key Performance Indicator)

Quantifiable metrics used to gauge dealership performance across sales, parts, and service operations.

- Our KPIs include close rate, gross per unit, and CSI. - Service KPIs track effective labor rate and tech productivity. - Set monthly KPI targets for parts attachment per unit sold.

LTV (Loan-to-Value)

The ratio of the loan amount to the unit’s value (price or book), used by lenders to assess risk and approvals.

- The lender capped LTV at 120 percent including add-ons. - High LTV deals may require stronger credit tiers. - Use rebates to reduce LTV and secure approval.

MAP (Minimum Advertised Price)

An OEM or supplier policy that sets the lowest price a dealer may advertise; it doesn’t dictate actual selling price.

- Don’t post below MAP—use call-for-price for compliance. - OEM audits MAP violations and can reduce co-op funds. - Promotions can advertise value without breaching MAP.

MSO (Manufacturer’s Statement of Origin)

The OEM document that establishes ownership of a new, untitled vehicle or PWC used for titling and registration.

- Confirm the MSO details match the unit’s VIN/HIN before titling. - We cannot release the MSO until the deal is funded. - The DMV needs the MSO to issue a title on a new unit.

MSRP (Manufacturer’s Suggested Retail Price)

The price recommended by the manufacturer for retail sale; a reference point for pricing and discounting.

- The MSRP is 12,999 dollars before freight and setup. - Discounts off MSRP vary by season and availability. - Accessories are priced at MSRP unless bundled.

NADA/J.D. Power Guide Value

Published valuation benchmarks for used powersports units used in appraisals, pricing, and lending.

- We used J.D. Power clean retail to set the asking price. - Book values lag; check auction and marketplace comps too. - Finance approvals often reference NADA book value.

Non-Current Inventory

Prior model year units still in stock; typically discounted and costlier to carry as seasons change.

- OEM incentives help us move non-current snowmobiles in spring. - Non-current aging drives up floorplan interest. - Price non-current units aggressively before the new model launch.

OEM (Original Equipment Manufacturer)

The brand that designs and manufactures the original unit or part, as opposed to aftermarket suppliers.

- Customers often prefer OEM belts for warranty repairs. - OEM parts pricing updates monthly in the DMS. - Distinguish OEM accessories from aftermarket kits on quotes.

OTD (Out-the-Door) Price

The final, all-in purchase price a customer pays, including fees and taxes.

- The OTD price includes freight, setup, tax, title, and doc fees. - We quote OTD to avoid pricing misunderstandings. - Ask the shopper for their zip code to calculate OTD tax.

P&A / PG&A (Parts, Garments & Accessories)

Retail accessory categories sold alongside units, often a key profit center and customer satisfaction driver.

- Our P&A per unit sold target is 800 dollars. - Bundle PG&A with unit sales to raise gross profit. - Stock helmets and PFDs near the delivery bay to boost attachment.

PDI (Pre-Delivery Inspection)

A standardized inspection and setup process that ensures a new or serviced unit is safe and ready for delivery.

- The PDI checklist includes torque marks and fluid levels. - Document water test results on PWC PDIs. - A thorough PDI reduces early warranty claims.

PSI (Tire/Track Pressure)

Pounds per square inch—pressure specification for tires, shocks, or other pressurized components that affects handling and wear.

- Set ATV tire PSI to spec for accurate demo ride handling. - Snowmobile front shock PSI affects ski bite and ride height. - Low PSI can trigger TPMS warnings on some UTVs.

PWC (Personal Watercraft)

A small watercraft operated by a rider on or in the craft rather than within, commonly called a jetski though that is a brand name.

- PWC sales peak around Memorial Day; stock early. - Remind buyers that PWC registration requires the HIN. - Offer PWC covers and flush kits at delivery.

QC (Quality Control) Inspection

A final verification step to confirm repairs and setups were done correctly and safely before delivery.

- QC every unit post-service to reduce comebacks. - The QC checklist flagged a missing cotter pin on the trailer. - Build time for QC into the shop schedule.

Recall Campaign

A manufacturer-mandated repair or update addressing a safety or compliance issue; performed at no cost to the owner.

- Run the VIN/HIN to check for open recalls before sale. - Recall parts are on allocation; schedule customers when kits arrive. - Claim recall labor at the OEM flat-rate time.

Recon (Reconditioning)

The repairs, detailing, and prep needed to make a used unit retail-ready; affects gross and time-to-sale.

- Recon the trade with new brake pads and a detail. - We budgeted 450 dollars recon on that used sled. - Recon time impacts days to frontline and turn speed.

Repair Order (RO)

The formal work document capturing customer complaints, labor operations, parts, and technician notes for a service job.

- Open an RO for the 100-hour PWC service. - Every part installed on a job must be listed on the RO. - The RO documents customer concerns and approvals for compliance.

Spark Arrestor

A device in the exhaust that prevents emission of flammable sparks; required on many public lands to reduce wildfire risk.

- Many trails require USFS-approved spark arrestors on ATVs. - Verify the exhaust spark arrestor is clean and intact. - Selling into fire-restricted areas? Stock spark arrestor options.

Studs & Carbides

Traction hardware for snowmobiles: studs mount to the track for grip; carbides are wear bars under skis for steering and durability.

- Studs improve braking and acceleration on icy trails. - Replace worn ski carbides to restore steering control. - Discuss traction kits during snowmobile delivery for safety.

Title & Registration

The legal process of establishing ownership and the right to operate a unit on public lands or waterways.

- Submit the MSO and bill of sale to complete title and registration. - PWC titling rules vary by state; verify before delivery. - Our doc fee covers title and registration processing.

Trade-In Allowance

The amount credited to the customer for their trade-in on a purchase, often combining ACV and any negotiated over-allowance.

- We can increase trade allowance if you add accessories to the deal. - Trade allowance equals ACV plus any over-allowance we choose to apply. - Keep trade allowance and selling price separate to stay transparent.

TSB (Technical Service Bulletin)

Manufacturer-issued guidance for known issues or improvements, including diagnostics and revised procedures; not safety recalls.

- A TSB updates the torque specs on the drive clutch bolts. - TSBs are not recalls; the customer pays unless under warranty. - Check the DMS for open TSBs at write-up.

Two-Stroke vs Four-Stroke

Engine cycle types: two-stroke fires every revolution (simpler, lighter), four-stroke fires every other (cleaner, often more durable).

- Two-strokes offer lighter weight; four-strokes excel in fuel economy. - Explain oiling differences before delivery to prevent failures. - Many modern PWCs have shifted to four-stroke engines.

UTV / SxS (Side-by-Side)

A multi-seat, steering-wheel-equipped off-road vehicle with side-by-side seating; used for utility, recreation, and trail riding.

- This UTV’s payload and tow ratings beat comparable ATVs. - Sport SxS buyers prioritize suspension travel and EPS. - Discuss cab, plow, and winch packages for UTV utility customers.

VIN (Vehicle Identification Number)

A 17-character unique identifier for vehicles like ATVs/UTVs used for registration, history, and parts lookup (PWCs use HINs).

- The VIN is on the frame near the front lower A-arm. - Finance and insurance forms must match the VIN exactly. - Use VIN decoding to order correct parts.

Winterization

Seasonal storage service steps to prevent fuel degradation, corrosion, and freeze damage in engines and cooling systems.

- Add fuel stabilizer, fog the engine, and drain water systems. - Offer winterization packages to PWC owners in September. - Improper storage can cause freeze damage to intercoolers and pumps.

Zinc/Anode (Sacrificial Anode)

A replaceable metal component that corrodes preferentially to protect other metal parts from galvanic corrosion, especially in saltwater.

- Replace the PWC’s anodes annually in saltwater use. - Corroded anodes protect the pump and heat exchanger from galvanic damage. - Verify anode contact points are clean during PDI.