With competition getting stronger, Harley-Davidson is mapping out a 10-year business plan they hope will increase ridership, grow its international business and reduce its impact on the environment. In addition, the company aims to launch 100 new motorcycle models during that timeframe, 50 more than was previously announced.
Harley-Davidson CEO and President Matt Levatich said in a statement, “By 2027, our objectives are to build 2 million new Harley-Davidson riders in the U.S., grow our international business to 50 percent of annual volume, launch 100 new high-impact motorcycles, deliver superior return on investment capital and grow our business without growing our environmental impact.”
New Motorcycles Emerging
This quarter, Harley-Davidson has already launched two new models: The Road King Special and the Street Rod. Although the company continues to dominate its market, recent moves by Indian Motorcycles have led to new strategies aimed at reversing a trend of fewer motorcycle riders.
International Expansion
Harley-Davidson plans on taking advantage of a huge international market by adding 150 to 200 dealerships around the globe by 2020. Already, the Milwaukee-based motorcycle manufacturer has added locations in China, India, Norway, Slovenia, Spain and Thailand. Long an iconic symbol of America, Harley understands the need to expand globally to remain successful.
While sales in Asia have been sluggish, due in part to competition with Asian manufacturers such as Honda, Latin America has seen a 24.2 percent increase in motorcycle sales since last quarter.
Building a New Generation of Rider
While the Harley brand is known worldwide, attracting new riders in the U.S. is proving to be a challenge. One step the company is taking is increasing its investment is the Harley-Davidson Riding Academy program. In 2017, the program has trained more than 8,800 students, a 10-percent increase compared to the first quarter of 2016.
Additionally, Harley-Davidson has already announced rebates on 2016 models to help speed up the introduction of new 2017 bikes.