American Motorcycle Dealer AMD 180 July 2014

™ OUR NOW IN 1 At 2YEsR T H E O N LY M A G A Z I N E F O R T H E W O R L D W I D E V- T W I N PA R T S , A C C E S S O RY A N D P E R F O R M A N C E I N D U S T RY Harley-Davidson dealers report slow store traffic HE latest quarterly AMD/Baird authorized Harley-Davidson dealer survey (April and May 2014) reported “weaker than expected retail, largely as a result of depressed traffic trend.” Citing weather as a factor that continued to play a role especially in the early part of the survey period, Baird are now projecting in the region of 6 - 7 percent US retail growth for the year, but that by excluding the impact of Street bikes shipped into the Rider Academy training program, Baird is modelling 3 – 4 percent retail growth. 66 percent of dealers surveyed said that customer traffic in April and May was worse than expected, with 36 percent saying that new bike retail sales failed to meet expectations. However, Baird are reporting that used bike sales in April and early May were running at some 7 percent up year on year. Internationally, Baird’s research T suggests that new unit retail sales were down in Canada, but strongly up in Europe and other international markets. Dealer sentiment was mixed with one telling us that the “Rushmore bikes [are] having little spill-over to other models,” and another saying that they were “down this year about 25% in new bike sales.” One dealer stated that “floor traffic is down 5%,” and another that they were “down 20% in floor traffic”; however, another dealer reported “April traffic was up 23%” and that by mid-May their MTD (Month to Date) was running at +5%. The one thing that all dealers are agreed upon is the impact of the weather, and by way of a wider perspective one dealer told us that he had just attended a MotorCo Town Hall and that “most sentiments are the same – current conditions and outlook ratings are up across the board after being down since the economy took that hit.” Dealers indicated that new bike inventory remains generally lean, with 83 percent indicating that it is “too low” or “about right” for this time of year. However, dealer responses suggest that the delayed start to the spring selling season has resulted in pockets of excess inventory in some models, but that Rushmore inventory remains “tight.” Used bike inventory appears appropriate for this time of the year, with 69 percent of dealers reporting that used inventory is “too low” or “about right.” Baird say that overall lean channel inventory levels are leaving dealers willing to stock more units, which they ISSUE #180 NEWS H-D reveals LiveWire project BACK PAGE >> Warr’s Harley-Davidson celebrate their 90th anniversary Hesketh launches first new model in 30 years Continued on page 11 >>> Soft Hearted Killer Peder Johansson, the owner of Hogtech in Sweden, combined his talents with Netherlands based Paul Funk to create Soft Hearted Killer a motorcycle inspired by American cars JULY 2014 PRODUCTS