Why is Harley riding on a decline?
#731
02-26-2018, 06:56 PM
Just my .02
Harley has done a great job of building the "Harley Culture", maybe too good. I've seen that concept in itself turn people away.
But think about it. Harley is, and always has been, the "bad boy bike". It's the stuff of Easy Rider, and Hells Angels. But those people don't generally buy new bikes. They have a healthy, perpetual supply of the highly preferred older bikes that they customize to their liking.
So Harley, and the bikers, built the image, but sales rely on the baby boomer generation. And yes, that's most of us on this forum. We have the disposable incomes to afford these over priced machines, and we still buy into the "bad boy" image. But we're starting to "age out" and getting too old to ride. And right there is what's losing Harley market share.
The next generation, the "Millennials" as they call themselves, didn't grow up at the drive in theater watching Biker movies. They grew up sitting in their bedrooms, in front of their laptops, video games, and cell phones whining about how bad life sucks, and trying to figure out what gender they "identify with", all while blaming their parents! (I don't pretend to be politically correct. They can pull up their big boy pants and get the freak over it.) I grew up in a generation where going home crying about being "bullied" would only get your *** whipped by Dad for being such a sissy! But I digress.
But they consider these huge, loud, lumbering machines to be, over rated, over priced, and over valued, and they don't get the idea of bad boy bikers at all. That generation is NOT going to be flocking to the Harley dealer and signing up for payments on a new bike. If they get the riding bug at all, they want crotch rockets, They want the thrill and excitement of twisting the throttle and going 175 mph, all at a fraction of the cost of a high end Harley.
I started riding when I was 10. My dad bought me a mini-bike kit, and he and I set in and built it together. I had a feaking ball riding that thing! When I finally outgrew that, Dad found me an old Honda. He parked it in the garage and said.. you want to ride, get it running, And I did! Tore up the local gravel pit with it. I limped home on many an occasion, and loved every moment of it. But I learned! I picked up Matchless 500 single cylinder for free! A friends brother had left it out in the yard. We pried it out of the muck, took it home, fixed it up, and it was my first street bike. Next I chopped a burned out Sportster that I got for a song.
My point is, that kind of mindset doesn't exist today, Kids today wouldn't go through that. And our society is losing a valuable resource of "can do" attitudes.
In short, Harley, and the Harley Culture have marketed themselves into a corner. The mindset that made Harley great isn't present in the current generation. If Harley is to survive, they need to re-invent themselves "again". And it's going to be tough. Those from our generation won't accept anything less than the ground thumping roar we all know and love as the unmistakable sound of a Harley, but carve out of new niche for the younger generation coming up.
Harley has done a great job of building the "Harley Culture", maybe too good. I've seen that concept in itself turn people away.
But think about it. Harley is, and always has been, the "bad boy bike". It's the stuff of Easy Rider, and Hells Angels. But those people don't generally buy new bikes. They have a healthy, perpetual supply of the highly preferred older bikes that they customize to their liking.
So Harley, and the bikers, built the image, but sales rely on the baby boomer generation. And yes, that's most of us on this forum. We have the disposable incomes to afford these over priced machines, and we still buy into the "bad boy" image. But we're starting to "age out" and getting too old to ride. And right there is what's losing Harley market share.
The next generation, the "Millennials" as they call themselves, didn't grow up at the drive in theater watching Biker movies. They grew up sitting in their bedrooms, in front of their laptops, video games, and cell phones whining about how bad life sucks, and trying to figure out what gender they "identify with", all while blaming their parents! (I don't pretend to be politically correct. They can pull up their big boy pants and get the freak over it.) I grew up in a generation where going home crying about being "bullied" would only get your *** whipped by Dad for being such a sissy! But I digress.
But they consider these huge, loud, lumbering machines to be, over rated, over priced, and over valued, and they don't get the idea of bad boy bikers at all. That generation is NOT going to be flocking to the Harley dealer and signing up for payments on a new bike. If they get the riding bug at all, they want crotch rockets, They want the thrill and excitement of twisting the throttle and going 175 mph, all at a fraction of the cost of a high end Harley.
I started riding when I was 10. My dad bought me a mini-bike kit, and he and I set in and built it together. I had a feaking ball riding that thing! When I finally outgrew that, Dad found me an old Honda. He parked it in the garage and said.. you want to ride, get it running, And I did! Tore up the local gravel pit with it. I limped home on many an occasion, and loved every moment of it. But I learned! I picked up Matchless 500 single cylinder for free! A friends brother had left it out in the yard. We pried it out of the muck, took it home, fixed it up, and it was my first street bike. Next I chopped a burned out Sportster that I got for a song.
My point is, that kind of mindset doesn't exist today, Kids today wouldn't go through that. And our society is losing a valuable resource of "can do" attitudes.
In short, Harley, and the Harley Culture have marketed themselves into a corner. The mindset that made Harley great isn't present in the current generation. If Harley is to survive, they need to re-invent themselves "again". And it's going to be tough. Those from our generation won't accept anything less than the ground thumping roar we all know and love as the unmistakable sound of a Harley, but carve out of new niche for the younger generation coming up.
#732
02-26-2018, 09:06 PM
Stellar HDF Member
#734
02-27-2018, 07:01 AM
Seasoned HDF Member
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big papa AZ (02-27-2018)
#735
02-27-2018, 07:34 AM
They'll figure it out. WHen they first are able to identify themselves genderly, that is.
I mean, let's face it. Some people need to ride in order to stay sane. Millenials haven't figured out that it is the reason why. And of course, they aren't.
You want your brain back? Want a clue about life? Get a bike. Doesn't matter if it's a Harley or not. But truth be told, it does matter.
I mean, let's face it. Some people need to ride in order to stay sane. Millenials haven't figured out that it is the reason why. And of course, they aren't.
You want your brain back? Want a clue about life? Get a bike. Doesn't matter if it's a Harley or not. But truth be told, it does matter.
#737
02-27-2018, 06:35 PM
Extreme HDF Member
Dr Midnight - Your figures are for the years stated profits not revenue. Re check the 4th qtr 17 statement. Revenue was 1.05 Billions dollars. Profit was down to about 32 million if my memory is correct. The drop in profit was due to a end of year write off related to the new tax structure so H-D lowered its dividend which that along with the huge sell off in the stock market went down.
Stock levels have little to do with a company's survival. Look at Tesla. ln many years they never made a profit and aren't forecast to do so in the coming years. Yet no one is saying doom and gloom for them like they are with H-D which is profitable every year.
Stock levels have little to do with a company's survival. Look at Tesla. ln many years they never made a profit and aren't forecast to do so in the coming years. Yet no one is saying doom and gloom for them like they are with H-D which is profitable every year.
#738
02-27-2018, 08:22 PM
Advanced
#739
02-27-2018, 09:15 PM
#740
02-27-2018, 09:30 PM
Extreme HDF Member
Dr Midnight - Your figures are for the years stated profits not revenue. Re check the 4th qtr 17 statement. Revenue was 1.05 Billions dollars. Profit was down to about 32 million if my memory is correct. The drop in profit was due to a end of year write off related to the new tax structure so H-D lowered its dividend which that along with the huge sell off in the stock market went down.
Stock levels have little to do with a company's survival. Look at Tesla. ln many years they never made a profit and aren't forecast to do so in the coming years. Yet no one is saying doom and gloom for them like they are with H-D which is profitable every year.
Stock levels have little to do with a company's survival. Look at Tesla. ln many years they never made a profit and aren't forecast to do so in the coming years. Yet no one is saying doom and gloom for them like they are with H-D which is profitable every year.