General Harley Davidson Chat Forum to discuss general Harley Davidson issues, topics, and experiences.
Sponsored by:
Sponsored by:

Why is Harley riding on a decline?

Thread Tools
 
Search this Thread
 
  #441  
Old 02-04-2018, 07:58 AM
jclax01's Avatar
jclax01
jclax01 is offline
Road Warrior
Join Date: Apr 2013
Location: St Louis
Posts: 1,295
Received 481 Likes on 265 Posts
Default

Man. A lot of folks really need a course or 2 in business.

Harley did not lose money.... They just didn't make as much money as they wanted to. Add to that part of that involved a one year charge. Honestly I do not think the loss of profit is what drove Harley to SAY they are going to close the KC plant. I believe they have wanted to close it for a while to shift the labor south of the boarder (keeping mexico great). KC is going to offer something to Harley to try to save that plant (tax breaks, tiff money or something). I do not know if it will work or if that will be in Harley's long term plan to decrease labor cost.

I don't think riding a Harley is on the decline. I think the whole motorcycle industry is in a decline as has been discussed on this forum. This is because (as discussed) the changing demographics. most of us HATED being inside all day. to most of us, that was punishment. This generation grew up inside on video games, smart phones, etc. I don't know if there is ever going to be an answer to this issue.

The lack of a popular show or movie about motorcycles being available. some of you may scoff or laugh at this, but seriously, look at motorcycle sales when sons of anarchy was on the tube. Near the end of that shows run, it became an hour long Harley parts and bike commercial. Now don't get me wrong, I loved the show, but think back to all the cool add on parts and bikes that were on that show in the last few seasons.
 
The following users liked this post:
Heritage07 (02-04-2018)
  #442  
Old 02-04-2018, 08:21 AM
army_eod's Avatar
army_eod
army_eod is offline
Road Warrior
Join Date: Apr 2010
Location: Alabama
Posts: 1,635
Received 594 Likes on 292 Posts
  #443  
Old 02-04-2018, 08:22 AM
cobalt07's Avatar
cobalt07
cobalt07 is offline
Road Master
Join Date: Feb 2010
Location: N.E.Ohio
Posts: 768
Received 248 Likes on 155 Posts
Default

I was at the Cleveland Ohio IX center motorcycle show last weekend. Lots of people......... over 55. Seriously I would guess 2/3rds were greyhairs, as I am also. Some young families, but not many. Many clubs of all types, appeared to be like a social run. $10 to park, $16 to get in. Last time I will go, they are pricing themselves out of the family market for a show that is much smaller then it used to be.
 
  #444  
Old 02-04-2018, 08:42 AM
NugBa's Avatar
NugBa
NugBa is offline
Cruiser
Join Date: Jan 2018
Location: Downingtown, PA
Posts: 117
Received 20 Likes on 14 Posts
Default

Originally Posted by jclax01
Man. A lot of folks really need a course or 2 in business.

Harley did not lose money.... They just didn't make as much money as they wanted to. Add to that part of that involved a one year charge. Honestly I do not think the loss of profit is what drove Harley to SAY they are going to close the KC plant. I believe they have wanted to close it for a while to shift the labor south of the boarder (keeping mexico great). KC is going to offer something to Harley to try to save that plant (tax breaks, tiff money or something). I do not know if it will work or if that will be in Harley's long term plan to decrease labor cost.

I don't think riding a Harley is on the decline. I think the whole motorcycle industry is in a decline as has been discussed on this forum. This is because (as discussed) the changing demographics. most of us HATED being inside all day. to most of us, that was punishment. This generation grew up inside on video games, smart phones, etc. I don't know if there is ever going to be an answer to this issue.

The lack of a popular show or movie about motorcycles being available. some of you may scoff or laugh at this, but seriously, look at motorcycle sales when sons of anarchy was on the tube. Near the end of that shows run, it became an hour long Harley parts and bike commercial. Now don't get me wrong, I loved the show, but think back to all the cool add on parts and bikes that were on that show in the last few seasons.
So true! That was my first glimpse of Harley Davidson that made me see how sweet their rides are. I rode BMWs at that time back in 2014. It was not the idea of being a gangster that attracted me to them. It was the commercials during SOA that showcased the new entertainment system where the guy does not answer for his boss and Jax sweet ride with the blinkers in the mirrors. I decided to check out Harley as a last stop before I bought my new BMW 1200 RT and I got hooked and instead bought an Ultra Limited at the time. I just bought my second Harley 2018 SGS and now if you ask me. I would not even consider going back to croch rockets or BMWs although Indian almost got me this time around until I rode a new M8.

Over Harley 115 year history they have been in and out of pop culture many times. I agree the closing of that plant is not because they are hurting. It was just good business.

John
 
  #445  
Old 02-04-2018, 08:57 AM
Cbyway's Avatar
Cbyway
Cbyway is offline
Outstanding HDF Member
Join Date: Sep 2017
Location: Great State of Texas
Posts: 2,008
Received 786 Likes on 467 Posts
Default

I don't think the young generation will understand what these bikes are all about until guys like us start dying off and they start riding our bikes they inherited.
 
The following users liked this post:
rideon (02-04-2018)
  #446  
Old 02-04-2018, 09:18 AM
Heritage07's Avatar
Heritage07
Heritage07 is offline
Road Warrior
Join Date: Sep 2006
Location: NJ
Posts: 1,323
Received 88 Likes on 71 Posts
Default

Harley’s earnings before taxes was over $863,000 on $5 million in revenue in 2017. Many companies struggle to have 10% EBIT or more and Harley made a whopping 17%! Harley’s making money, but the money their making is not enough for them to be satisfied. Moving all production back to their York facility which used to produce all models will increase profits even if sales decline. Not condoning the closing of the K.C. plant, but since the dynas are gone the sportster is the only bread a butter model built there.
https://www.prnewswire.com/news-rele...300589869.html
 
The following users liked this post:
Stretchman (02-04-2018)
  #447  
Old 02-04-2018, 09:25 AM
not a sock's Avatar
not a sock
not a sock is offline
Seasoned HDF Member
Join Date: Mar 2013
Location: NC
Posts: 11,630
Received 985 Likes on 552 Posts
Default

Originally Posted by jclax01
Man. A lot of folks really need a course or 2 in business.

Harley did not lose money.... They just didn't make as much money as they wanted to. Add to that part of that involved a one year charge. Honestly I do not think the loss of profit is what drove Harley to SAY they are going to close the KC plant. I believe they have wanted to close it for a while to shift the labor south of the boarder (keeping mexico great). KC is going to offer something to Harley to try to save that plant (tax breaks, tiff money or something). I do not know if it will work or if that will be in Harley's long term plan to decrease labor cost.

I don't think riding a Harley is on the decline. I think the whole motorcycle industry is in a decline as has been discussed on this forum. This is because (as discussed) the changing demographics. most of us HATED being inside all day. to most of us, that was punishment. This generation grew up inside on video games, smart phones, etc. I don't know if there is ever going to be an answer to this issue.

The lack of a popular show or movie about motorcycles being available. some of you may scoff or laugh at this, but seriously, look at motorcycle sales when sons of anarchy was on the tube. Near the end of that shows run, it became an hour long Harley parts and bike commercial. Now don't get me wrong, I loved the show, but think back to all the cool add on parts and bikes that were on that show in the last few seasons.
JC, surely you don't expect these alleged business folk to use common sense, do you?

Both businesses I've been involved with over the years have done the same things as you have mentioned here.
Reorganization and restructuring are part of the business world.

Besides, Harley is in the business to make money. Making and selling motorcycles are what accomplishes that.............
 
  #448  
Old 02-04-2018, 07:45 PM
Stretchman's Avatar
Stretchman
Stretchman is offline
Stellar HDF Member
Veteran: Air Force
Join Date: Feb 2006
Location: South Florida
Posts: 2,288
Received 221 Likes on 139 Posts
Default

Originally Posted by Heritage07
Harley’s earnings before taxes was over $863,000 on $5 million in revenue in 2017. Many companies struggle to have 10% EBIT or more and Harley made a whopping 17%! Harley’s making money, but the money their making is not enough for them to be satisfied. Moving all production back to their York facility which used to produce all models will increase profits even if sales decline. Not condoning the closing of the K.C. plant, but since the dynas are gone the sportster is the only bread a butter model built there.
https://www.prnewswire.com/news-rele...300589869.html
We're keeping our fingers crossed, we're hoping they keep the XL line alive.
 
  #449  
Old 02-04-2018, 09:44 PM
NugBa's Avatar
NugBa
NugBa is offline
Cruiser
Join Date: Jan 2018
Location: Downingtown, PA
Posts: 117
Received 20 Likes on 14 Posts
Default

Originally Posted by Cbyway
I don't think the young generation will understand what these bikes are all about until guys like us start dying off and they start riding our bikes they inherited.
Or they might just inherit your Harleys and trade them in for a downpayment on a Hyundai.

IT COULD HAPPEN!!!

John

GO EAGLES!!!
 
  #450  
Old 02-04-2018, 10:09 PM
hd_usa's Avatar
hd_usa
hd_usa is offline
Tourer
Join Date: May 2013
Location: CA, USA
Posts: 428
Received 97 Likes on 74 Posts
Default

Originally Posted by Dillbilly Bone
I agree totally with the first sentence above.


I'd like to agree with the second sentence, but it's probably wishful thinking in most parts of the country.


Probably dozens of reasons why bikes have become passé as daily transportation for all but a tiny minority. Weather issues. Safety issues. Related gear issues. The hassle factor. By far I think safety issues are the main reason bikes are falling into disfavor. We're a very risk-averse nation and culture. Drunk/drugged/texting/eating/distracted/ drowsy drivers make life hazardous. It's just easier to commute in a car...by far. And with today's reliance on connected technology, cars make that experience easier too.


I am one of those who looks at a motorcycle for myself as a 2-wheeled RV. It's an option in my life. I only ride for enjoyment. I'm willing to guess that 8/10 (or more) road bike owners only ride for pleasure the majority of the time.
What you said there are true, but by commuting on a motorcycle, I spend 40 hours less in traffic per month. Yes, a saving of 40 hours per month. If you think about it, that's the same amount of time in a standard work week !!!
 
The following users liked this post:
StoneTrekker (02-05-2018)


Quick Reply: Why is Harley riding on a decline?



All times are GMT -5. The time now is 12:40 AM.