Just a note from working at one of the HD Dealerships......
Well.....we just got word today about the Buell thing. In fact, we found out just as everybody else did. Harley gave us no early heads up or anything. In fact, the decision regarding the Buell and the MV Agusta stuff was made yesterday. I don?t think there?s any coincidence that they got their third quarter earning report yesterday as well.
To be honest, I think Harley is in trouble big time and isn't saying anything. Controversial or not, Buell just took the Daytona championship and that?s big (advertising) bragging rights. It makes no sense to dump the line up just after winning.
At the beginning of this year, Harley knew it was struggling and put on a strong face and made some definitive, decisive, and admirable cuts and decisions in an attempt to survive. However, when the third quarter report arrived, I think Harley had to accept the reality of their situation. I think they?ve moved to panic and are liquidating anything they possibly can as fast as they can. Whether they admit it or not, Harley is in trouble.
As far as predictions:
The Harley market is overly saturated with Harley bikes. This is killing bike sales and value. (Great if you?re trying to buy) With Harley already reducing production of new bikes, there?s going to be fewer bikes to go to each dealer. It would not surprise me to see Harley step in and start closing dealerships. By reducing the number of dealerships, they can reduce the competition between the dealers and be able to supply each dealership with a fuller inventory of bikes to sell. With fewer dealerships, the customer dollar would be more concentrated towards the remaining dealers allowing them to stay profitable and more importantly?.stay open.
Well.....we just got word today about the Buell thing. In fact, we found out just as everybody else did. Harley gave us no early heads up or anything. In fact, the decision regarding the Buell and the MV Agusta stuff was made yesterday. I don?t think there?s any coincidence that they got their third quarter earning report yesterday as well.
To be honest, I think Harley is in trouble big time and isn't saying anything. Controversial or not, Buell just took the Daytona championship and that?s big (advertising) bragging rights. It makes no sense to dump the line up just after winning.
At the beginning of this year, Harley knew it was struggling and put on a strong face and made some definitive, decisive, and admirable cuts and decisions in an attempt to survive. However, when the third quarter report arrived, I think Harley had to accept the reality of their situation. I think they?ve moved to panic and are liquidating anything they possibly can as fast as they can. Whether they admit it or not, Harley is in trouble.
As far as predictions:
The Harley market is overly saturated with Harley bikes. This is killing bike sales and value. (Great if you?re trying to buy) With Harley already reducing production of new bikes, there?s going to be fewer bikes to go to each dealer. It would not surprise me to see Harley step in and start closing dealerships. By reducing the number of dealerships, they can reduce the competition between the dealers and be able to supply each dealership with a fuller inventory of bikes to sell. With fewer dealerships, the customer dollar would be more concentrated towards the remaining dealers allowing them to stay profitable and more importantly?.stay open.