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Interesting Article on Motorcycle Sales in US

Not very reassuring at all, but circumstances change and HD isn't a charity. Still, it's not good news for the industry.
 
I didn't see this post until after I posted the same link in another forum but will comment here:

From my observation (living in an almost ideal motorcycle climate) the problem is:

1. Motorcycles are 98% a luxury item which, in the current economic status are not affordable for most younger people.

2. The younger generation tends to put their money into technology and not into higher tier vehicles and definitely not into motorcycles.

3. Bikes and trikes in the Spyder and Hardley and Goldwing classes are getting way too expensive for the majority of potential buyers.

4. People in general see bikes as very dangerous given the traffic conditions of today. Virtually every motorcycle wreck here has resulted in a fatality.

5. The older riders are a dying breed (and yes, I am including myself in that category). Either we have health or disability issues or we have been most places we want to go (aside from bar-to-bar riding) and would rather swap the wind in our face for air conditioning and a great stereo. Our generation is not being replaced at a substantial rate.
 
Wonder how BRP sales stacked up with the industry last year? And, wondering if the sub 10K model next year is their advance read on this. If so, excellent foresight on BRP's part.
 
I think the auto racing industry is experiencing much the same. In general, the younger generation just isn't interested in machinery like motorcycles and cars. I have 3 friends who's kids ( in there mid 20's ) still don't have there driver license and have no intention of getting one. Back when I was a kid ( sound like my dad! ) we couldn't wait to get a learners permit then a drivers license. but at the same time we had a rotary phone with a 50 ft cord.
 
Things are a change'n.....

The guys I know and occasionally ride with are all ancient warriors, veterans who are accustom to risks and risk taking. My kids and their friends on the other hand, avoid just about anything involving a risk. They've invested their money and use their expendable incomes to go boating, snow skiing and attending concerts. Some of them also go camping, hiking, hunting and fishing but none of them own or are interested in motorcycles. Interestingly and sadly enough, there are way too many deaths of young veterans returning home from the middle east due to motorcycle accidents. The son of an acquaintance who recently returned from two tours of duty, a strapping young man with potentially a great life ahead of him, went down with his crotch rocket on the interstate and will never be the same again. For the rest of her life his mom will be spoon feeding him until she passes away. Many young college grads these days totally avoid unnecessary risk taking, and I perceive that is how and why things are changing.
 
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The HD downturn is in spite of all the "innovation" they have put into their line up in the last couple years. At least 20 "new" models.

A sign of the times. Cost for the new stuff is one of the factors. HD has at least four that top out at $40K. They have exceeded my "fun quotient" for sure.

We will see if other brands with their price adjustments down to sub $25K will spur their sales for some of the "good stuff."

:bbq::bbq::bbq:
 
It is sad....

Technology is wiping away many things and though great advancements it is sad to see all the many things slowly fade away...:banghead::banghead: won't be in my time :clap:
 
"The world's largest maker of heavyweight motorcycles has struggled to reverse a four-year sales slide, with growth overseas somewhat helping offset a decline in the U.S. bike market. The Milwaukee-based company said its net income fell 82% in its fiscal fourth quarter to $8.3 million, compared with a year earlier. Earnings per share were 5 cents, down from 27 cents a year earlier. Revenue was $1.23 billion, up from $1.11 billion. The earnings drop came in part because of a charge associated with President Trump's tax cut and a $29.4 million charge for a voluntary product recall. Harley-Davidson worldwide retail motorcycle sales fell 6.7% in 2017 compared to 2016. The company's U.S. sales fell 8.5% and international sales were down 3.9%.

How do you grow revenue in a declining market? Raise prices....
 
BRP may be on to something with their sub $10k Spyder and I think their success or failure is going to depend on how well they are able to market the product. I live in a college town and it would really surprise a lot of you to see how many of the kids are riding scooters to and from class. It would also raise your eyebrows to see how aggressively they drive. But it is not because they are thrill seeking, it's more like the vehicles and scooters are mere tools to get them where they want to go...quickly.

A smart marketing plan would tap into their desire to be efficient, cost effective, technologically savvy, and safer. But even then it is still a big price tag for a college student.

But, if Can-Am is able to instill at least a little bit of fun factor into these kids and generate some brand loyalty then maybe these kids will be the salvation of the industry.
 
Another article about the HD story above: http://www.mcall.com/business/manuf...vidson-york-consolidation-20180130-story.html. Here are some excerpts from the article.

The Milwaukee-based motorcycle maker will close its factory in Kansas City, Mo. and consolidate production in York, ...

The move will mean 800 layoffs at the Kansas City facility,...

The company said it will add up to 450 new positions at the York facility.

... as its bike sales fall on every continent. And the pain won't end this year: The company projected global sales will drop as much as 4.9 percent more in 2018 after a 6.7 percent decline last year.

U.S. motorcycle ridership has stalled...
"The story is, or continues to be, that Harley is in the throes of a significant secular decline," he wrote.
Sales in the crucial U.S. market fell 11 percent in the fourth quarter and 8.5 percent for the year....
Click to expand...
 
It's been happening even in the horse industry. Costs have skyrocketed, from droughts decimating hay crops to crazy insurance rates to boarding or trainers fees for those who can't keep their animals at home. The cost of showing - trucks, horse trailers, insurance on everything including the horses - and the plummeting interest among today's kids who were once the backbone and future of that industry, has decreased the number of shows. Tattersall's auction grounds in Lexington KY, a 125 year tradition that brought sellers and buyers from across the country for breed-specific sales, and located in the front "yard" of the Red Mile Racetrack, was sold to the disbelief of us all, demolished, and replaced with college student housing.

Fewer of today's youth are interested in physical activities. Our dirt roads used to be dotted with hoof prints and "road apples", but rarely are now. If the kids are out there, it's on their ATVs, but oddly, they don't seem to be graduating to motorcycles when they're older. In fact, they abandon their quads once they can drive a car. I don't see basketball hoops on garages or barns any more. And never a snowman. When we were kids, every yard had snowmen and snow forts. This is a very different world.
 
I think the problem is HD. Total sales of all motorcycles has stayed basically flat since 2011. One Triumph dealer where I bought a motorcycle sold his dealership to focus only on repairs since he thought Triumph was nuts to focus on cruisers, but sales took off. I personally would not pay a premium for an HD over other motorcycles.

https://www.webbikeworld.com/motorcycle-sales-statistics/
In 2017 about 500,000 units were sold.
 
Samson said:
I think the auto racing industry is experiencing much the same. In general, the younger generation just isn't interested in machinery like motorcycles and cars. I have 3 friends who's kids ( in there mid 20's ) still don't have there driver license and have no intention of getting one. Back when I was a kid ( sound like my dad! ) we couldn't wait to get a learners permit then a drivers license. but at the same time we had a rotary phone with a 50 ft cord.
Click to expand...

YOU HIT IT RIGHT ON THE HEAD!! I'm not far from 60 myself, and like you, I could not get my drivers license fast enough so with the money I earned working on the farm, I could "cruise the gut" with my hot rodding school buddies (when dad would throw in the towel and let me go, knowing full well....)! But I've got grand kids that would rather expect mom or dad drive them around then go and get their license, much less go out to the garage and spin wrenches on some beater car and see how it works. Hell, it's all MY kids can do to get them to go and get a summer job (WORK.....what's that???). So I see it around me all the time. We live in a much changed society today. Mad Mac:doorag:
 
wow ! you were upper class

Samson said:
I think the auto racing industry is experiencing much the same. In general, the younger generation just isn't interested in machinery like motorcycles and cars. I have 3 friends who's kids ( in there mid 20's ) still don't have there driver license and have no intention of getting one. Back when I was a kid ( sound like my dad! ) we couldn't wait to get a learners permit then a drivers license. but at the same time we had a rotary phone with a 50 ft cord.
Click to expand...

you had a 50 foot cord on your rotary phone ! ( lucky dogs ) :roflblack: .... remember when the cord started the curl ? ( the cord was pulled so many times it started too twist around itself , took longer to untwist ,than to make the call ! :banghead: ) as far as the Harley cycle sales I think a lot is that they are expensive as others mentioned here , at one point last year , local Harley dealer was pushing out a new cycle every other day ! ( followed them in facebook magazine :p ) got tired of seeing folks photos with those nice street glides and iiron class cycles , I unfollowed , but , the bug was set - I picked up a -------- > luxury item myself , a freak purchase you might say , and heck yeah the tags are pricey ! I am thinking the cycle sales are like the waves , they come and go !
 
Monthly Ride

Seems Like the industry Does Not SEE the True Picture. :banghead: I hope that Someone can turn this around. Be it BRP, HD or GW. :thumbup: Motorcycle RYDING/ENJOYMENT needs not to be an expensive Sport. :yes:
 
HD is not the problem. They are an example of the problem which is effecting almost all brands here in the US. The decline in motorcycle sales in the US is not unique to HD, but they perhaps suffer the most and are the most visible. There are exceptions (R1200GS for one) in sales increase by some models.
Many of the reasons mentioned above pretty much hit the nail on the head. It will be interesting to see if the investment by Royal Enfield in the US will meet their sales goals.
Meanwhile, in the rest of the world bikes sales rise as they are everyday transportation not the toys they are to us. The Bajaj Auto Company sold over 2.5 million motorcycles in 2017, and about 60% (1.5 million) were sold in one country-India. Honda worldwide sales were 17 million in fiscal 2016. Their US sales are a drop in the bucket (probably around 500,000).

For a young new rider to get into motorcycling he/she must buy a bike, buy the gear, pay for maintenance and insurance, operate the clutch, deal with weather issues, and keep hands empty to operate it.
They can go get an old beater Corolla and drive out of the rain/sun with one hand free to text.
And smaller, fun, economical bikes are not promoted-it's all about 100hp at the rear wheel, wheelies and behavior that is publicized and scorned at by most.
I am not surprised at declining bike sales.
 
perhaps if cities were to promote m/c riding the way they do bicycles it might help sales. in nyc they have
congestion pricing because of the traffic in midtown manhattan, less cars & more m/c's would make things better
the media nor the city mentions it at all. i find parking in manhattan a lot easier with my scout or spyder much
easier then a car.
 
addictions

Friends at Ocean City MD Bike Week last September discussed this.
We generally agreed that MCs are outrageously expensive and getting worse.
We also agreed that sooner or later we would buy our last bike as a result.
I did some math.......I have spent roughly $50,000 on bikes in just the last 12 years.
50,000 / 12 = $4,000+ per year I could have spend on vacations.
That $4,000 does NOT include vacations done on the MC.
I have considered an RV or other avenue of enjoyment just so I can get away from being what I consider "robbed".
Unfortunately I love riding and like all addictions......it whispers to me....softly....buy me, ride me, make me your b*tch.:yikes:
 
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