December 25, 2014 at 7:16 pm #39383
Just wanted to address the elephant in the room.
What are people thinking on k1s exclusive crg dral?
I find it odd that this comes down shortly after psl gets awarded distributor of the year. Again.
December 26, 2014 at 11:36 am #39403
In the last two years, we have seen two different Italian manufacturers go a new direction.
IAME from Russell Karting and Italian Motors to IAME USA West/East
CRG from PSL Karting and CRG-USA to CRG Nations (including CRG-USA)
IMO, PSL Karting has done a phenomenal job with the CRG brand. The Indoor side of the business certainly has a lot to do with the move, I assume. We will be interview K1 Group in the coming days to find out more.
David Cole - EKN Managing Editor
December 27, 2014 at 2:10 pm #39426
I am surprised by the move in that PSL and CRG USA have been pretty solid. But Mr Tinini operates differently than you most would expect. I know how their manufacturing planning works. And the bottom line is that it’s all about the contracts. K1 had to present CRG with a big purchase contract to have this happen. I don’t think it matters so much about the rental karts. Just the number of karts overall. K1 clearly has a great plan and will begin to execute it very soon.
Best of luck to all CRG dealers, drivers and supporters.
December 27, 2014 at 6:30 pm #39441
Forget where I saw it, but it sounds like PSL decided to go in another direction.
GO Designs, LLC
December 28, 2014 at 1:57 pm #39477
I saw PSL state in several areas online that this was not their decision. K1 probably put up some big promises on sales and marketing of the brand. There’s been lots of changes in how companies are distributing products here in the US over the last few years. OTK distribution and dealer network, IAME East/West, Praga distribution and dealer network. The factories want more control and organization over how their products are distributed and marketed.
December 28, 2014 at 3:17 pm #39482
I’m going to agree with the notion that PSL did not see it coming. It was only late summer that the western Canadian CRG distributor became a PSL dealer.
In doing my research for a track operation I did hear a few repeated concerns about some pretty agresive business taticts on the rental side of things. Having said that, business is business and they’ve obviously been successful.
I haven’t had any experience dealing with them on the equipment side and wondering what other people have experienced.
I’m sure a company like k1 knows exactly what the margins are in each sbu, and i don’t know how many customers they will bring from the rental side to the racing side (which I’m sure CRG is hoping for).
I also wonder if this means they will be miving from OTL rentals to CRG, even though I haven’t seen anything electric from CRG. Still surprising as last i heard CRG’s turnaround on orders was still six months and OTL recently moved into a new facility.
Has there been any suggestions of k1 getting into the outdoor track business?
December 28, 2014 at 3:50 pm #39483
The rumor I heard was that K1 leveraged the deal with an order for $ 3 mil in rental karts, that probably will double CRG’s revenue next year! It probably did not take CRG too long to make a decision on this. The details in the post are very vague, but consider that almost all K1 locations have some kind of IRL, Stock Car display it is not hard to imagine that they may add a CRG race kart display! Maybe even have them for sale at all 25 locations?? The release also states that PSL and CRG USA will run the team, could that become a K1 team. K1 is one of the largest businesses in the karting industry world wide and what they do could have a big impact on karting in the US. They have acess to over 1 million customers that are all potential new customers to kart racing. They may even go so far as developing their own outdoor series? These are just my thoughts who knows what they plan but if they get serious we will definitely know they are there! They are a real business and are turning over big $, this was not done without a plan!
December 28, 2014 at 4:31 pm #39487
I don’t know how many rental karters K1/CRG plan to pull in to competitive karting when the rental crowd sees the $5,000 price tag for a chassis, and the $700 tag for one ceramic brake rotor.
December 28, 2014 at 6:33 pm #39493
We’d like to thank everyone for all the positive comments supporting PSL Karting, and all our partners. We’ve received 100’s of email’s, Facebook private messages, public messages on our FB wall, phone calls, and text messages to all. The support is truly incredible. Especially our competitors (teams+drivers) who give us the motivation to be professional in every aspect of our business.
At this moment, PSL will continue to supply our customers and new customers, CRG product for 2015. We will continue to offer our unmatched race program, driver development program, engine development program and online-store featuring the biggest product names in the industry.
January 7, 2015 at 4:31 pm #40063
FWIW, K1 has said on Facebook that they’re moving into the outdoor business. Sounds to me like the electric karts are staying at the indoor facilities, but they’re going to use the CRG rental karts on a new track in so-cal called the ‘K1 circuit’. See the comments on this post…
From K1 RaceGear: To All: We would like to provide some clarification. As you read the OFFICIAL press release (as the…
This whole announcement has certainly been interesting to say the least! I’m hoping that CRG and K1 use the opportunity to promote the hell out of karting to their massive customer base at their indoor tracks. Could be huge for the sport!
Who says karting doesn’t have a silly season!
S2 Semi-Pro Stock Moto - SKUSA Rocky Mountain ProKart Challenge
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