Harley-Davidson is at a crossroads. The company faces difficulties in market adaptation despite maintaining a devoted fanbase and its extensive historical background. The company’s product range continues to be expensive and designed for older buyers which prevents it from reaching younger riders. For Harley-Davidson to survive it needs to adopt both product and manufacturing advancements.
The current market demands affordability. The motorcycle brands Triumph and Royal Enfield and Honda succeed with their affordable products but Harley continues to sell most of its models in the price range of $20,000 to $40,000. The X350 and X440 bikes are scarce in major markets and riders who start with these entry-level models have no logical path to progress to Harley’s heavyweight cruiser lineup.
The U.S. market requires Harley to introduce an affordable entry-level motorcycle priced below $10,000 which should also include its Riding Academy program. Discounts provided to new riders would establish brand loyalty from the beginning which creates lifelong customers. The company needs to extend its product range past its heavyweight cruiser segment. The Pan America adventure bike showed promise yet Harley-Davidson has failed to give it proper attention. A middleweight or small-displacement version of their lineup similar to KTM’s 390 Adventure or Honda’s Transalp would generate new revenue streams while attracting more potential customers.
The absence of innovative model development by Harley Davidson threatens the company’s future success. The company possesses the capability to build affordable versatile lightweight motorcycles yet needs to move swiftly. Harley riders are getting older while the new generation shows no interest in purchasing their expensive cruiser models. Harley needs to reach various riders by adjusting their pricing structure and introducing new designs and more affordable motorcycles.
Harley must transform its operations to remain relevant because the motorcycle market continues to develop into a new direction. Harley-Davidson needs to adapt to a broader and more inclusive future to survive after enduring past storms.
