Harley-Davidson Doesn’t Need Millennials for Success
Harley’s current financial outlook is as shiny as chrome on a sunny day.
For months, industry pundits and so-called market experts have been lamenting Harley-Davidson’s “failure” to get Millennials riding new bikes. Apparently, that wasn’t enough to put a stick in Harley’s spokes.
Earlier this week, Harley-Davidson announced its first-quarter performance for 2018, and the company is simply doing great. According to the New York Post, Harley beat quarterly profit estimates and is on track to reach its goal for new motorcycle shipments in 2018.
Although shipments dropped nearly 10% in the first quarter (just under 64,000 new bikes shipped), that’s no surprise to anyone — many potential buyers are scared off by winter weather and tax season. With tax refunds coming in and temperatures rising, Harley-Davidson intends to ship between 67,500 and 72,500 motorcycles in the second quarter, making up that lost ground and then some.
This is Harley-Davidson’s second straight quarter of growth, a welcome change after five straight quarters of losses. Even the company’s stock price is inching back up to where it was before.
Harley-Davidson has been working hard to foster interest among newer riders both at home and internationally, and H-D is finally starting to see results. For the first time in over a year, international sales are up, albeit by less than a percent. Still, that’s better than sliding further.
This is Harley-Davidson’s second straight quarter of growth. Even the company’s stock price is inching back up to where it was before.
Harley-Davidson’s new rider programs are drawing more people — both young and old — into dealerships and making them into riders. They’re working hard to cut costs and redistribute that money to marketing and product development, a bold strategy that will hopefully result in additional growth. Early reports like these are positive.
Closing the Kansas City, Missouri, plant and moving those operations to York, Pennsylvania, is one of many cost-cutting measures designed to make the Motor Company more profitable in the face of declining sales. And that alone gives us confidence that Harley is only going to continue to get bigger, better, faster, and even more successful as the motorcycle industry continues to grow in a world of constantly-evolving new technologies and demands from consumers. And to that we tip our helmets to the greatest motorcycle manufacturer on the planet.
Join the H-D Forums now!
