Octane Surpasses $3B in Aggregate Originations on Its Journey to Make Buying Better

August 23, 2023

Launches 3 New Partnerships, Grows RV Originations by 85%, and Increases Adoption of Octane Prequal by 140% in H1 2023

Octane surpassed $3B in aggregate originations through its in-house lender, Roadrunner Financial®, Inc, grew RV originations by 85% compared to H2 2022, and grew tractor and trailer originations by 112% year-over-year
Continued to strengthen relationships with OEMs by launching three new partnerships
Grew the number of dealers using Octane Prequal™, the award-winning digital soft pull tool, by 140% year-over-year
Launched innovative new offerings, including the digital soft pull tool, Prequal Flex™; the B2B loyalty program, Octane Preferred™; and advertising on the renowned Octane Media™ properties, which include Cycle World®, Motorcyclist®, and UTV Driver®
Closed two $400M asset-backed securitizations, OCTL 2023-1 and OCTL 2023-2, for which the senior class of notes were rated AAA by S&P* and KBRA**

NEW YORK, August 23, 2023 — Octane® (Octane Lending, Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it has achieved key milestones during the first half of 2023 on its journey to make buying better.

Octane surpassed $3B in aggregate originations through its in-house lender, Roadrunner Financial®. The company also saw considerable growth in its newer verticals. Octane grew originations in recreational vehicles (RVs) by 85% since the second half of 2022 and increased tractor and trailer originations by 112% year-over-year.

Adding to its extensive network of Original Equipment Manufacturers (OEMs), Octane launched prime and subvented non-prime financing partnerships with Iron Bull Carts, a provider of powerful, stylish, and comfortable golf carts; Scag Power Equipment, a division of Metalcraft of Mayville, Inc., one of the largest independent manufacturers of commercial and residential mowing equipment and debris/turf management equipment in the world; and Taiwan Golden Bee, one of the world’s leading manufacturers of ATVs, scooters, engines, and related key components.

By delivering a fast, easy experience, Octane strengthened its relationships with dealers. The company funded loans for over 800 dealers who had not funded with Roadrunner Financial during the same period in the prior year. Furthermore, the company’s award-winning, digital soft pull tool, Octane Prequal™, helped dealers increase their customer base by driving high-quality, high-intent buyers in-store with an experience that saves time for both dealers and consumers. During the first half of 2023, the number of dealers who added Octane Prequal to their websites increased by 140% year-over-year.

Octane expanded its innovative and differentiated offering by rolling out new products and services. Building on the success of Octane Prequal, the company launched its newest digital soft pull tool, Prequal Flex™, which enables dealers to reach consumers through all of their marketing channels, including email, social media, text, advertising, and events. Prequal Flex rolled out to powersports dealers nationwide in May and, by the end of June, over 150 dealers had used the tool to submit at least one application. Octane also introduced advertising on its renowned Octane Media™ properties, which include Cycle World®, Motorcyclist®, and UTV Driver®, enabling leading OEMs and other industry players to connect with millions of high-intent powersports buyers. In March, Octane rolled out a unique business-to-business (B2B) loyalty program, Octane Preferred™, to all of its powersports dealer partners nationwide. During Q2 2023, more than 700 dealers benefited from the first two tiers of Octane Preferred each month.

“Despite challenging market conditions, Octane has remained successful by leveraging our digital tools and unique services, as well as our strong relationships with dealer and OEM partners,” said Jason Guss, CEO and Co-Founder of Octane. “Our focus on innovation and the customer experience will continue to position us well as we deliver on our mission to connect people with their passions and make buying better.”

Continuing its success in capital markets, Octane closed two asset-backed securitizations, OCTL 2023-1 and OCTL 2023-2, both of which were upsized to $400M. The senior class of notes in both transactions were rated AAA by Standard & Poor’s (S&P)* and Kroll Bond Rating Agency (KBRA)**, a testament to the strength of Octane’s prudent credit underwriting as well as its thoughtful servicing strategies and dedicated collections activities. During H1 2023, S&P raised its ratings on eight classes of notes and affirmed its ratings on three classes of notes across three issuances.* At the same time, KBRA upgraded 14 classes of notes and affirmed seven classes across multiple issuances.** Octane has completed $2.7 billion of asset-backed securitizations through eight transactions since launching the program in December 2019. Additionally, Octane closed a new $125M warehouse facility in April, bringing its total revolving capacity to $925M, while also renewing and extending the existing maturities of its other four facilities for up to an additional two years.

Octane also continued to receive awards for its products, leadership, and culture, including “Best Consumer Lending Product” in the 7th annual FinTech Breakthrough Awards and a BIG Innovation Award from the Business Intelligence Group. Additionally, Jason Guss, CEO and Co-Founder of Octane, was named Best Entrepreneur – Computer Software – 500 or More Employees at the American Business Awards, and Murali Vajjiravel, Chief Technology Officer at Octane, placed in the tenth spot on Financial Technology Report’s list of the Top 25 Financial Technology CTOs and CIOs of 2023.

Disclaimers

This press release does not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

*The full analysis for S&P’s ratings, including any updates, which you should review and understand, is available on spglobal.com and can be accessed here for OCTL 2023-1, here for OCTL 2023-2, and here for the recent upgrades and affirmations.

**KBRA’s ratings are subject to all of the terms and conditions set forth in the related report and KBRA’s website, which you should review and understand, and can be accessed here for OCTL 2023-1, here for OCTL 2023-2, and here for the recent upgrades and affirmations.

This is not an offer, solicitation of an offer, recommendation or advice to buy or sell any security, financial product or instrument.

Our website is for informational purposes only. We do not guarantee the accuracy or completeness of information on or available through this website, and we are not responsible for inaccuracies or omissions in that information or for actions taken in reliance on that information. Please read any applicable disclosures before using or relying on information on or available through this website. Seek professional advice before investing in our securities.

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Press

Octane Completes $400 Million Asset-Backed Securitization, Upsize from Initial $300 Million Target Issuance

by Elizabeth Griswold

June 1, 2023

Second AAA-Rating of 2023 Follows Period of Innovation and Continued Momentum

NEW YORK, June 1, 2023 — Octane® (Octane Lending, Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it has closed a $400 million securitization (“OCTL 2023-2“) collateralized by its fixed-rate installment powersports loans issued through its in-house lender, Roadrunner Financial®, Inc.

OCTL 2023-2 issued six classes of fixed-rate notes: Class A-1, Class A-2, Class B, Class C, Class D, and Class E, which Standard & Poor’s (S&P)* and Kroll Bond Rating Agency (KBRA)** rated as A-1+/K1+, AAA/AAA, AA+/AA+, A/A, BBB/BBB, and BB/BB respectively, in a private offering pursuant to Rule 144A under the Securities Act of 1933, as amended. The senior class of notes in Octane’s first asset-backed securitization of 2023, OCTL 2023-1, was also rated AAA by both S&P* and KBRA**.

Due to significant investor demand, Octane was able to secure an upsize of $400 million for the transaction from an initial target issuance of $300 million. The company continued to diversify its investor base by attracting several new investors through this issuance, while also maintaining the support of existing institutional investors. ATLAS SP Partners acted as lead manager and structuring agent, with J.P. Morgan and Truist Securities serving as joint bookrunners. This marks Octane’s eighth transaction to date.

“Our capital markets strategy continues to be a differentiator for Octane and our successful securitization program is a testament to the underlying strength of our business,” said Steven Fernald, Chief Financial Officer at Octane. “We’re grateful to our institutional investor partners for their support as we connect people with their passions and make buying better.”

“Octane’s end-to-end buying experience has fundamentally changed the way individuals can make lifestyle purchases, and we’re thrilled to have supported the company on its revolutionary securitization program,” said Thomas Pai, Head of Auto / Equipment Origination at ATLAS SP Partners. “We look forward to continuing to work with the team at Octane as it continues to innovate to capitalize on strong investor and consumer demand.”

This transaction follows a period of innovation for Octane. The company recently launched its newest digital soft pull tool, Prequal Flex, introduced advertising on its renowned Octane Media™ properties, which include Cycle World® and UTV Driver®, and rolled out a unique business-to-business (B2B) loyalty program, Octane Preferred, to its over 4,000 powersports dealer partners nationwide.

Octane has completed over $2.6 billion of asset-backed securitizations since launching the program in December 2019.

*The full analysis for S&P’s ratings, including any updates, which you should review and understand, is available on spglobal.com and can be accessed here for OCTL 2023-1 and here for OCTL 2023-2.

This is not an offer, solicitation of an offer, recommendation or advice to buy or sell any security, financial product or instrument.

Press

Octane Introduces Advertising on Its Renowned Octane Media™ Properties, which include Cycle World® and UTV Driver®

by Elizabeth Griswold

May 22, 2023

Connects Brands with Millions of Engaged, High-Intent Powersports Buyers

NEW YORK, May 22, 2023 — Octane® (Octane Lending Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it is connecting advertisers, including OEMs, large dealer chains, and insurers, with millions of high-intent powersports buyers through Octane Media™, a collection of the most influential and historic brands in motorcycling and powersports.

This is the first time that advertisers can access Octane Media’s highly-engaged audience since Octane acquired the editorial properties from Bonnier Corp. in 2020. Composed of seven publications – Cycle World®, UTV Driver®, Dirt Rider, ATV Rider, Motorcyclist, Cruiser, and Cycle Volta – Octane Media reaches millions of enthusiasts looking to make their next purchase. Among Octane Media’s audience under 35, 70% own at least one motorcycle, 69% live in a household with three motorcycles, and 43% plan to purchase a motorcycle in the next two years.

Through buyer’s guides, comparison tests, and vehicle, gear, and product reviews, Octane Media helps enthusiasts make educated purchasing decisions. Additionally, by positioning the soft-pull ecommerce tool Octane Prequal™ alongside editorial content, Octane Media enables consumers to understand their buying power and obtain a real credit decision from Octane’s in-house lender, Roadrunner Financial®, Inc., as they research their next vehicle.

“We’re excited to enable advertisers to leverage Cycle World, UTV Driver, and the rest of the Octane Media properties to reach millions of powersports enthusiasts who continually invest their time and dollars in experiencing the outdoors,” said Mark Davidson, Co-Founder and Chief Revenue Officer of Octane. “By bringing together best-in-class editorial with partner advertiser messaging, we’re driving interest in the powersports industry and connecting people with their passions.”

“Our two- and four-wheel brands’ long-standing success are built on reader trust, our investment in an expert editorial team, and our commitment to producing the best reviews and features in moto media,” said Mark Hoyer, Vice President and Editorial Director of Octane Media. “Passion is the very engine of powersports. New riders and lifelong enthusiasts know we are working for them as we help connect our readers with the machines they love.”

Octane Media’s editorial staff and contributor base includes pro-level riders, mechanics, former dealership employees, former OEM product testers, and enthusiasts who love and live the lifestyle. Their passion and commitment results in editorial content that keeps enthusiasts engaged and inspired. The US audience visiting Octane Media’s review, comparison, and test pages spends an average of over 16 minutes on the site, and the open and click-through rates for Octane Media’s weekly newsletters surpass industry benchmarks by 80% and 265% respectively.

To learn more about advertising packages, contact sales@octanemedia.co.

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Press

Octane Launches Prequal Flex™, Digital Soft Pull Tool that Can Instantly Prequalify Consumers Anywhere Dealers Market Their Products

by Elizabeth Griswold

May 3, 2023

Provides Real Loan Offers Within Dealer Marketing Channels, Increasing Sales and Efficiency

NEW YORK, May 3, 2023 — Octane® (Octane Lending Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it has launched Prequal Flex™, an extension of its award-winning suite of soft-pull ecommerce tools, Octane Prequal™.

Prequal Flex is a dedicated webpage that is unique to a specific dealership and allows consumers to quickly and easily prequalify for financing. The tool gives dealers the flexibility to reach consumers through all of their marketing channels – including email, social media, text, advertising, events, and more – providing consumers with a real credit decision from Octane’s in-house lender, Roadrunner Financial, Inc., and a shorter, easier path to purchase.

Since Prequal Flex uses Octane’s proprietary soft pull technology, consumers can understand their buying power without impacting their credit until a contract is generated. At the same time, Prequal Flex sends these empowered buyers into the Octane Dealer Portal, enabling dealers to prioritize their time by focusing on the highest intent buyers with access to credit. In our pilot, dealers who used Prequal Flex saw total applications increase by 40%.

“We rely on Prequal Flex for all of our financing needs,” said Kenny Chen, Dealer Principal at Onyx Moto, San Diego’s largest pre-owned motorcycle dealership. “Sharing the link through text or email is effortless, and it offers a quick, user-friendly application. Importantly, the soft credit inquiry ensures our customers feel at ease taking the next step in the financing process.”

Dealers can also leverage Prequal Flex to drive efficiency in the dealership. By applying a Prequal Flex link to hang tags, near-field communication (NFC) cards, and other in-store collateral, dealers can encourage consumers to prequalify for financing while they walk the showroom floor, saving time at closing.

“We’re committed to providing the fastest, easiest buying experience in the industry and helping our dealer partners grow their businesses,” said Mike Dushane, Chief Product Officer at Octane. “By strengthening powersports dealers’ existing sales and marketing touchpoints with instant credit decisions, Prequal Flex enables dealers to reach more customers and helps us deliver on our mission to connect people with their passions.”

Prequal Flex is free to Octane’s entire network of over 4,000 powersports dealers. To get started, current dealers should contact their Octane Sales representative.

Dealers in the United States who would like to become an Octane partner can enroll here.

Press

Octane Launches “Octane Preferred”, B2B Loyalty Program with Exclusive Benefits

by Elizabeth Griswold

March 9, 2023

Program Builds on Octane’s Fast, Easy Experience with VIP Member Rewards and Service

NEW YORK, March 9, 2023 — Octane® (Octane Lending Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it launched Octane Preferred™, an innovative business-to-business (B2B) loyalty program with exclusive benefits. The multi-tiered program builds on Octane’s fast and easy digital experience and is available to its over 4,000 enrolled powersports dealers.

Octane Preferred members receive white glove treatment and exclusive benefits, including early access to new products and customizable marketing tools that help dealers drive sales. Dealers earn status by funding deals through Octane’s in-house lender, Roadrunner Financial, Inc., and benefits increase with each tier of loyalty earned. Dealers can see the full list of benefits in their personalized dashboard and track their performance and progress to the next tier. Currently, Octane Preferred has two tiers, with more tiers and benefits rolling out in the coming months.

“We’re thrilled to reward dealers for their business with our experiential loyalty program that adds VIP service and exclusive benefits to the speed and ease dealers already receive from Octane,” said Onaisa Landis, Vice President of Marketing at Octane. “Octane Preferred is just one of the many ways that we’re using innovation and technology to provide a better user experience and lead the industry forward.”

After piloting Octane Preferred with a pool of select dealers in 2022, the program went live nationwide in March 2023. During the pilot, exclusive membership benefits saved dealers over 200,000 minutes spent processing funded applications. At the same time, Octane saw a 5% increase in retention among dealers in the pilot program.

Powersports dealers in the United States who do not currently offer financing through Roadrunner Financial can become eligible for Octane Preferred by enrolling here.

Press

Octane Completes $407 Million Asset-Backed Securitization, Upsize from Initial $305 Million Target Issuance

by Elizabeth Griswold

February 24, 2023

AAA-Rating from S&P and KBRA Follows Period of Strong Business Performance

NEW YORK, February 24, 2023 — Octane® (Octane Lending Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, announced that it has closed a $406.9 million securitization (“OCTL 2023-1“) collateralized by its fixed-rate installment powersports loans. This is the largest of Octane’s seven transactions to-date and the first to receive a AAA-rating from both Standard & Poor’s (S&P)* and Kroll Bond Rating Agency (KBRA)**.

OCTL 2023-1 issued five classes of fixed-rate notes: Class A, Class B, Class C, Class D, and Class E, which S&P* and KBRA** rated as AAA/AAA, AA/AA+, A/A+, BBB/BBB, and BB/BB+, respectively, in a private offering pursuant to Rule 144A under the Securities Act of 1933, as amended. This transaction follows a period of significant growth and expansion into new markets for Octane.

Through this issuance, the company continued to diversify its investor base with seven new investors, which is a testament to the strength and growth of the program. Additionally, due to significant investor demand, Octane was able to secure an upsize of the transaction from an initial target issuance of $305.2 million to $406.9 million in notes. Truist Securities acted as lead bookrunner and structuring agent, with J.P. Morgan as joint bookrunner.

“We’re pleased and grateful to see such strong interest from our institutional investor partners, particularly in the current market environment, and will leverage their support to bring our fast, easy buying experience to even more customers,” said Steven Fernald, Chief Financial Officer at Octane. “Our capital markets strategy is one of Octane’s many differentiators and we will continue to build on the strength of both our program and underlying business in the future.”

In both of Octane’s two asset-backed securitizations in 2022, OCTL 2022-1 and OCTL 2022-2, the senior class of notes were rated AAA by Kroll Bond Rating Agency (KBRA)** and AA by S&P*. The company has now completed nearly $2.3 billion of asset-backed securitizations since launching the program in December 2019.

*The full analysis for S&P’s ratings, including any updates, which you should review and understand, is available on spglobal.com and can be accessed here.

**KBRA’s ratings are subject to all of the terms and conditions set forth in the related report and KBRA’s website, which you should review and understand, and can be accessed here.

Press

Octane Grew Originations by 74% in 2022 with its Fast, Easy Digital Experience

by Elizabeth Griswold

January 31, 2023

Entered 5 New Markets, Launched 9 New Partnerships, & Exceeded $1.2B in Annual Originations

Milestones:

In 2022, Octane surpassed $1.2B in annual originations, saw a 74% increase in originations year-over-year, and grew originations per dealer partner by 37%
The company continued to expand beyond powersports and entered five new markets: RVs, electric vehicles, tractors, trailers, and go-karts
Octane launched nine partnerships with OEMs, including industry leaders like Polaris Inc.
The company grew dealer digital integrations by 10X, with more than 450 dealers leveraging the award-winning Octane Prequal on their websites at year end
Octane closed two AAA-rated* securitizations, each of which was upsized to $375M

NEW YORK, January 31, 2023 — Octane® (Octane Lending Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, today announced key 2022 milestones on its journey to connect people with their passions and make buying better.

In 2022, Octane saw significant business growth, increasing originations by 74% year over year through its in-house lender Roadrunner Financial, Inc. The company surpassed $1B in year-to-date originations in October 2022, one year after surpassing $1B in aggregate loans, and six years after issuing its first loan. Octane’s momentous growth is particularly notable given 2022’s pervasive inventory constraints which slowed category growth.

At the same time, Octane strengthened relationships with its over 4,000 dealer partners, growing originations per dealer partner by 37% year-over-year and increasing the number of dealers who funded over ten loans with Octane on a monthly basis by 50%. The company has continued to differentiate itself as a lending partner through its seamless, digital-to-retail experience and innovative digital tools. In 2022, over 400 dealers added Octane’s award-winning, soft pull e-commerce tool, Octane Prequal, to their websites. Octane Prequal gives customers real credit offers while driving incremental ready-to-transact customers to dealerships, all with a soft credit pull.

Octane also expanded the number of dealers and customers it serves through new partnerships and market expansions. In 2022, Octane launched nine partnerships with leading OEMs, including Polaris Inc. Octane also entered five new verticals: RVs, electric vehicles, tractors, trailers, and go-karts. By financing go-karts and e-bikes, which typically retail at a lower price point than traditional powersports vehicles, Octane can support dealer partners with their full price range of vehicles and provide financing for customers making smaller purchases.

As Octane grew, it prioritized responsibly expanding credit access to underserved customers with its proprietary risk model which provides full spectrum credit coverage, helping more people to enjoy the outdoors than any other national lender. The company collaborated with FairPlay, the world’s first “Fairness-as-a-Service” solution for algorithmic decision-making, to help ensure that Octane continues to meet the highest level of compliance with applicable fair lending requirements and bring recreational lifestyle purchases within reach of more enthusiasts.

Octane maintained its strong underwriting discipline and consistent business performance and saw considerable investor demand for its loans. The company completed two asset-backed securitizations in 2022, OCTL 2022-1 and OCTL 2022-2, both of which were upsized to $375M and whose senior class of notes were rated AAA(sf) by Kroll Bond Rating Agency (KBRA)* and AA(sf) by S&P**. Octane has completed nearly $1.9 billion of asset-backed securitizations to-date.

Further, Octane bolstered its balance sheet by raising $100 million of corporate debt from Värde Partners, a leading global alternative investment firm. The transaction closed in October and is being used for general corporate purposes, including investing in activities that will support Octane’s long-term growth strategy. Additionally, Octane nearly doubled the amount of committed capital available to the business on even more favorable terms, bringing its total short-term revolving warehouse funding capacity to $700 million.

“2022 provided a challenging macro backdrop with inflation fueling an increasing cost of funds and expectations for increasing consumer credit losses. Despite these headwinds, we made significant progress across various strategic fronts, including scaling our products and entering new markets, while repositioning the business to face the new macro reality,” said Jason Guss, Co-Founder and CEO of Octane. “As we look into 2023, we believe our strategy positions us to successfully face down whatever unfolds in the macroeconomic environment.”

During 2022, the company received more than ten awards for its performance, products, leadership, and culture. Octane ranked in the top ten percent of the Inc 5000 list of the fastest growing private companies in America and was Certified as a Great Place to Work®.

*KBRA’s ratings are subject to all of the terms and conditions set forth in the related report and KBRA’s website, which you should review and understand, and can be accessed here.

**The full analysis for S&P’s ratings, including any updates, which you should review and understand, is available on standardandpoors.com and can be accessed here.

Press

Three tips for powersports dealers to be prepared for anything

by Elizabeth Griswold

December 14, 2022

This article first appeared in the December 2022 issue of Powersports Business.

It’s been a rollercoaster for the powersports industry since 2008. The Great Recession, flat registration numbers and an aging buyer base are a few of the more challenging situations we’ve faced as an industry – but, thankfully, we’ve been on the upswing for the past two years with steadily growing demand and strong sales numbers for many dealers.

But, both in our industry – and outside of it – there’s a sense of uncertainty as to where the economy is headed next. There’s nothing we can do to change what might be coming – but, we can take a page from the highs and lows of the last twelve years and make sure your dealership is prepared to handle whatever gets thrown your way.

#1. INSERT YOURSELF FURTHER UP THE FUNNEL

Before the rise of the Internet, dealerships were the single source of information for buyers. You worked with them as they made their purchase decision. Now, more of that pre-purchase research is happening online, but that doesn’t mean you’re left out of the process. Buyers are still using you to research, but instead of coming to your physical dealership first, they’re starting with your online presence.

Your challenge – and how you prepare your dealership for any economic environment – is to find a way to insert yourself back into the upper funnel.

Do this by sharing resources and tools your buyers need throughout their purchase lifecycle and capture their information at the same time.

You could think about adding live chat or texting to your site, offer demo rides or new rider courses on site, or let buyers value their trade. Another option would be adding a prequalification widget to your inventory detail pages. Having a prequalification widget, specifically, is useful because it gives your buyer a better understanding of their purchasing power, increasing their confidence, while also capturing their contact info and financial situation.

Pro Tip: Look for a prequalification widget that’s free and allows for soft pulls, so it doesn’t hurt the buyer’s credit. All of these strategies in this article focus on navigating any economic situation – and if you’re facing a slow market, being able to generate leads for free can be a great way to save costs.

#2. KEEP THE FOCUS ON YOUR DEALERSHIP

Marketing is a critical part of any well rounded business strategy. It’s how you capture buyer attention and drive them to your dealership – but, when the economy is slow or your supply of inventory is down, it can be tempting to scale back.

If your competition keeps their marketing going, you’ve basically given them an all access pass to steal your market share. Buyers won’t have the chance to learn about your dealership because you’ve taken your messaging down.

Also, having a steady stream of buyers is even more important during economic downturns. So make sure to center your strategy around the platforms and channels you control, specifically your website, social media pages and email marketing channels. This gives you a strong funnel of buyers and keeps you from relying solely on paid media or external advertising sites.

What you’re looking for is a well-rounded outbound strategy that keeps the conversation focused on your dealership and a strong pipeline of leads, even if you temporarily have to cut back on spending. As you build your strategy, remember buyers always want to see inventory. Use high quality photos and detailed descriptions on every listing.

Most buyers also want to see a price – but if you don’t want to include that on the listing, add a free prequalification widget instead. 7 out of 10 buyers purchase sooner because they’ve been pre approved.

Pro Tip: When picking a prequal widget, make sure you have the option to hide payment and rate information until the buyer is on your lot. That way you can still have that conversation in person.

#3. PRIORITIZE AGILITY AND SCALABILITY IN YOUR SALES FUNNEL

Making sales is what drives your business forward. There’s nothing you can do to completely avoid the ‘hills and valleys’, but you can build an adaptable lead generation strategy that works in any market.

Take the recent inventory shortage, for example. Demand has been outpacing supply, so you may have had more buyers than units to sell, but if your sales team can’t quickly identify the buyers that are most likely to convert, they could end up wasting time just sorting through your inbound leads. On the flip side – when inventory eventually rebounds and supply potentially outpaces demand, your strategy needs to be more focused on lead generation to capture buyers in your market, and beyond, so your team has plenty of prospects to work.

What you’re looking for is a way to maintain a wide reach and a strong pipeline of leads, while also having enough buyer information to segment eliminate unqualified or unmotivated buyers quickly. To make this work, you need more meaningful context on each buyer.

Giving buyers the option to prequalify from your website, for instance, increases out of state applications by 184%, while also decreases the number of applications without a location by 40%. The reason a tool like this works in any market environment is because, in high demand, low inventory environments: You have the information you need upfront to quickly deprioritize buyers who aren’t actively looking to buy or aren’t able to make the purchase.

In normal supply, decreased demand environments: You have a wide-reaching pipeline to keep your lead volume up, steadily funneling buyers to your team.

Pro Tip: Try to find tools that work with your current DMS. That way, you can keep all your lead information in one place for fast and easy sorting.

As the Product Marketing Manager for Octane, Kensey Edwards works closely with Octane’s product team to launch industry-leading solutions that help powersports dealers. Contact her at kensey.edwards@octane.co.

Press

Octane Partners with UBCO to Bring a Seamless, Digital Buying Experience to Electric Bikes

by Elizabeth Griswold

November 17, 2022

The Fast-Growing Electric Vehicle (EV) Industry Marks Octane’s Fourth Market Entrance in 2022

NEW YORK, November 17, 2022 — Octane® (Octane Lending, Inc.®), the fintech revolutionizing the buying experience for major recreational purchases, today announced its expansion into electric vehicles (EVs) through a strategic partnership with UBCO, the electric adventure motorcycle company based in Oregon and founded in New Zealand.

Effective immediately, customers and dealers of UBCO’s fully electric suite of adventure bikes will benefit from Octane’s fast and easy buying experience. Octane’s digital platform and simple application allow customers to upload documents and apply for financing online, saving time at closing. Octane also provides soft-pull digital tools that enable dealers to instantly prequalify customers without impacting their credit scores. Through Octane’s in-house lender, Roadrunner Financial, Inc.®, UBCO dealers can offer competitive rates and flexible terms to a wide range of prime and non-prime customers, making electric bikes accessible to more customers.

UBCO has seen its dealership and customer base growing fast in the US, alongside the nation’s growing hunger for adventure and off-road exploration.

“UBCO wants to get more people on two-wheels than ever before,” said Phil Harrison, Chief Revenue Officer at UBCO. “Up to 92% of Americans currently don’t participate in Powersports and we want to change that by providing approachable, easy to ride vehicles that expand Powersports to the masses. Octane’s purely digital experience is a key part of the value proposition to our customers.”

“We’re thrilled to partner with UBCO to bring our seamless buying experience to even more enthusiasts and to fuel our customers’ lifestyles in an environmentally-friendly way,” said Jason Guss, CEO and Co-Founder of Octane. “The EV industry allows us to merge technology, sustainability, and innovation while tapping into a rapidly-expanding market and delivering on our mission to connect people with their passions.”

Today’s announcement follows a period of growth for Octane. The company recently surpassed $1B in year-to-date originations and brought its digital buying experience to three new markets: RVs, tractors and trailers.

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Octane Surpasses $3B in Aggregate Originations on Its Journey to Make Buying Better

Octane Completes $400 Million Asset-Backed Securitization, Upsize from Initial $300 Million Target Issuance

Octane Introduces Advertising on Its Renowned Octane Media™ Properties, which include Cycle World® and UTV Driver®

Octane Launches Prequal Flex™, Digital Soft Pull Tool that Can Instantly Prequalify Consumers Anywhere Dealers Market Their Products

Octane Launches “Octane Preferred”, B2B Loyalty Program with Exclusive Benefits

Octane Completes $407 Million Asset-Backed Securitization, Upsize from Initial $305 Million Target Issuance

Octane Grew Originations by 74% in 2022 with its Fast, Easy Digital Experience

Three tips for powersports dealers to be prepared for anything

Octane Partners with UBCO to Bring a Seamless, Digital Buying Experience to Electric Bikes

The Fast-Growing Electric Vehicle (EV) Industry Marks Octane’s Fourth Market Entrance in 2022

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