Harley-Davidson has decided that it would be best for it to cut its model range by 30 percent in the near future and focus on its core models alone.
This comes after the motorcycle maker witnessed a $92 million (Rs. 687.5 crores) net loss in the second quarter (Q2) this year. No manufacturer has proven to be impervious to the COVID-19 virus and its effects.
Global bike sales of Harley-Davidson were down 27 percent due to COVID-19 and revenue took a 47 percent hit when compared to the same period (Q2) last year.
In April 2020, the firm came up with the “Rewire” strategy to replace the old “More Roads to Harley-Davidson” plan. By the fourth quarter of this year, the plan will be named “Hardwire”.
Under the Hardwire plan, Harley-Davidson model range will be slashed by 30 percent, dropping many ambitious products and returning its focus on core customers.
First up, the firm has decided to extend its 2020 model year, thus pushing back introduction of new models to 2021. Thus the Pan America adventure bike that was promised this year will not come until 2021.
Other models like Bronx streetfighter, a “high-performance custom model” that will use the 1250cc, water-cooled engine from Pan America (which is coming first) will come later and so will electric bikes.
The VR1000-inspired, faired sportsbike that we expected to be present in the Harley-Davidson model range and smaller-capacity bikes, like the 338cc model developed with Benelli owners Qianjiang, might not see the light of day at all.
Harley-Davidson Model Range
- Harley-Davidson to cut its product lineup by 30 percent
- The bike maker has faced huge losses due to COVID-19
- To refocus on its core models alone for the foreseeable future
