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Posts Tagged ‘BMW Motorrad’

Harley-Davidson® Pan America™ motorcycles

A lot has been written in the motorcycle media with photos of high mountains, plateaus, deep forests, beaches along the Pacific coast, fantastic riverbeds and deep mountain lakes that provide an epic backdrop for an exciting motorcycle launch.

Of course, I’m talking about what has been labeled the “real deal”—a highly capable, uncompromising large-displacement Adventure bike—the Harley-Davidson® Pan America™ motorcycle.

Harley-Davidson® Pan America™ motorcycle

Journalists cheered… remotely of course.  There were tears and applause, then more tears as the press fell apart during the historical motorcycle launch. Even Jochen Zeitz, chairman, president and CEO Harley-Davidson, made a cameo as a film actor riding — yes, RIDING — an actual motorcycle.  It was in the scenic landscape of Kenya, Africa no less.  The narrative is how he traveled to the vast wildlife preserves to lasso the twin Adventure Motorcycle and bring it back to America!

It’s the new AMERICAN adventure touring motorcycle that the motor company wants you to grab a tent stake, a Jetboil camping stove and join in on the outback camaraderie. Even the NY Times marked it as a “New Era” for Harley Davidson.

Not only were journalists drooling to throw a leg over the new Adventure Bike, Harley executives were exuberant for “knobs and tread blocks” to throw some dirt on the competition and share with the world what they’ve teased out for several years now. In this under two minute video you even get to meet workers from the H-D factory in York, Pennsylvania — the talented folks who assemble the new motorcycles. It’s pretty cool!

You might recall the new Adventure (ADV) model was revealed during an onslaught of online-presentations, keynotes and of course streamed worldwide across every social channel platform. It also included Jason Momoa (“Aquaman” actor) talking about his epic riding adventures.  Because who can’t relate to a Hollywood produced video of a multimillionaire actor’s motorcycle experiences? If you missed the initial launch you can replay it HERE. Or if you have time at work and want to watch a 25-minute video with dramatic musical overdubs about how this isn’t Harley’s first dirt rodeo check it out HERE.

I’m not sure about you, but I’m challenged to recall the last time I shipped a motorcycle overseas and tasted the bright red African soil on Kenya roads humming the tunes from the soundtrack of the Disney’s “Lion King.”

But, I’ve really wandered off the trail.

BMW R1250 GS

In this post, I’m NOT going to pontificate on the tsunami of Pan America jaw dropping impressions. I’ve previously posted on the Pan America engine HERE.  I promise that I’ll cover the Pan America motorcycle spec sheet in a future post.

I want to review the BMW Group with its four brands BMW, MINI, Rolls-Royce and BMW Motorrad. Harley-Davidson is going up against the world’s leading premium manufacturer of automobiles and motorcycles.

For nearly 3-years, (since early 2018), Harley-Davidson has been “pissing” on BMW Motorrad’s parade without the courtesy of calling it rain!  Using a drip, drip, drip teaser marketing strategy, while pre-broadcasting their intent to enter the Adventure motorcycle segment.  The same segment that BMW Motorrad owns. It’s important to note that BMW achieved it’s 2nd BEST sales result in company history in 2020 and doing so during a world-wide pandemic!  Sales stats are below.

BMW R18

After a couple of years listening to Harley’s ADV bluster, BMW launched their own salvo at Milwaukee with the new BMW R 18: a nostalgic touring and supreme cruising motorcycle. BMW borrowed from the famous R 5 models for both technology and visual impact, shifting the focus back onto the motorcycle essentials: purist, no-frills technology and the most powerful “Big Boxer” engine (1802 cc) as the epicentre of riding pleasure. This happens to be Harley-Davidson’s wheel-house.  The motorcycle features and stats are impressive, but equally important is the BMW collaboration with Roland Sands Design, Mustang seats and Vance & Hines exhaust systems.

Will the blue-and-white roundel aggressively defend its Adventure segment sales crown?  You bet, because BMW appeals to a youthful and more dynamic consumer and making money is important to any business.  But, lets get one thing out there on BMW immediately; I’ve encountered numerous riders who claim they used to own BMWs but switched brands due to the absurdly high cost of everything—parts, service and the motorcycles themselves. We could debate that Harley-Davidson follows the same premium parts, service and motorcycle strategy too.

BMW R 1250 GS Adventure – Edition 40 Years

Clearly 2020 was a tough year for the motorcycle industry, but let’s double-click on BMW.

BMW Motorrad delivered 169,272 BMW motorcycles and scooters to customers. However, the German brand sales dropped in 2020 (the first in nine years), which they considered a positive result considering the pandemic circumstances. The Bavarian press team is busy spinning its 2020 motorcycle achievements with market launches of thirteen new models and sales figures being the second-best sales (previous best year: 175,162 vehicles) result in BMW Motorrad’s history (which they are), though the success varies greatly by region.

BMW R18

In Europe as a whole, BMW Motorrad saw its sales volume drop by 5.3%, though Germany (27,516 units) and France (17,539 units) both had record years for motorcycle sales, posting 4.7% and 1.4% gains respectively. Those gains were offset by significant losses from Italy, Spain, and the UK/Ireland. BMW Motorrad didn’t provide the 2019 figures for these countries, nor their percentage drop, in its 2020 sales press release, but scrapping the internet and through mathematical deductions in my HP 12C, these sales numbers follow percentage decreases: Italy (-10.7%), Spain (-12.5%), and UK/Ireland (-23.9%).

We also know from past reports that the BMW R 1250 GS and R 1200 GS models claimed top honors as the bestseller in the lineup and the company is market share leader in the Adventure segment. In terms of motorcycle models, the GS is supreme, with over 59,000 units of the company’s boxer-twin ADV bike (R1200GS / RS1200GSA) sold in 2019. You read that correctly.  Just one model with two variants accounts for one-third of BMW Motorrad’s sales and in the U.S. it accounted for around 7.6 percent of BMW’s global motorcycle sales.

Oh, did I neglect to mention the BMW racing crew with first podium finishes in the FIM World Superbike Championship (WorldSBK) and the successful entry into the Endurance World Championship (FIM EWC) with the new BMW S 1000 RR?

And, I haven’t even started comparing the Ducati Multistrada V4 S Sport, KTM 1290 Super Adventure, Honda CRF1100L Africa Twin or Triumph Tiger 1200 lineup.

You’re likely thinking about now… Mac, you’re just one of those doubters.  That’s fair, but after reading a significant number of top tier media reports, watching a fair amount of YouTube interviews with motorcycle magazine writers, I have just one question. Why did so many riders/writers have unplanned dismounts?  Several of the riders laid down their 574 pound Pan America on the sandier trails during testing at that remote camp in the Mojave Desert, about 100 miles north of Los Angeles.

Did a year of the pandemic downtime diminish their riding skills or is it the motorcycle?

Harley has been enjoying about half of all new motorcycle sales in the U.S. over 600cc, but I remain a bit skeptical that the motor company can enter a new market segment where the Bavarian manufacturer dominates even with how good the Pan Am motorcycle is right out of the crate!

I hope to test ride the Pan Am soon.  Today, I’m having an expresso, but tomorrow I could be heading out on the TransAmerica Trail.

Photos courtesy of BMW Motorrad and Harley-Davidson.

All Rights Reserved © Northwest Harley Blog

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The heavyweight motorcycle market is approximately a $4 billion market.  Harley-Davidson is the market segment share leader with 2010 revenue of $3.14B.

Last week Polaris (CEO – Scott Wine) announced the acquisition of Indian, the nation’s oldest motorcycle brand. Indian’s best-selling model, the Chief, became known for the Red Indian logo on its fuel tank.  After twice filing for bankruptcy the manufacturing of Indian motorcycles restarted three years ago in Kings Mountain, NC.  The terms of the acquisition from British investment firms Stellican Ltd. and Novator Partners LLP were not announced, but given the strong brand portfolio of Indian I’m sure it didn’t come at garage-sale prices!

Polaris entered the heavyweight motorcycle market about 12 years ago and of the Polaris $2B in annual sales, about $82M comes from Victory motorcycles.  The Indian brand will help the company build on the Polaris’ presence in the market and directly compete with Harley-Davidson in the heritage brand sub-segment with its classic style.

Clearly the motorcycle landscape is changing and if you need further evidence just look at the recent announcement by BMW Motorrad who saw a 12.3% growth in the last financial year and sold 110,000 motorcycles.  They announced that Hero Motors (India company), as the sole supplier who will provide gearboxes for BMW’s motorcycles.  Not only are they the supplier, but Hero provided the engineering and developed the advanced technology for all BMW transmissions.

According to this Sioux City Journal article,  the U.S. production of Indian Motorcycles will shift to Polaris Industries’ Spirit Lake plant later this year.  Polaris is based in Medina, Minn., and they will close the existing Indian manufacturing plant in Kings Mountain in the next two to three months.

Photo taken at and courtesy of Indian booth.

All Rights Reserved © Northwest Harley Blog

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It was a Dark Sky Film made in 1970.

The film also appeared under the title Nam’s Angels.  The plot included a biker gang, the Devil’s Advocates who were recruited by the CIA to execute a daring rescue behind enemy lines in Cambodia. After customizing their Yamahas into combat-ready death machines, the gang roars into action on this unlikely suicide mission. Heavy casualties ensue. I kid you not.

I’m not sure if the movie did much if anything to propel Yamaha sales, but this week there are reports the Japanese motorcycle maker (Yamaha Motor) has plans to close seven factories globally with a loss of 1,000 jobs.  This is all in an effort to bounce back from a  Y216.1 billion ($2.7 billion) annual loss in 2009.  Yamaha is the world’s second biggest motorcycle manufacturer after Honda and this streamlining is in addition to a previously announced 10% reduction in the company’s global workforce of 17,000 which is underway.  This is Yamaha’s first loss in 26 years.

Specific plant closure include 5 of its 12 domestic factories by 2012, all in Shizuoka prefecture (central Japan) who now produce parts for motorcycles, marine products and buggies.  In addition, Yamaha will close a motorcycle factory in Italy and a marine products plant in Florida.

It looks like the only motorcycle manufacture beating down the 2009 slowing motorcycle trend was BMW Motorrad.  New products like the K1300GT, S1000 RR Superbike along with the opening of 8 new dealers in the past 5 months has them bullish on the future.

An interesting side bar on The Losers — it’s playing on a television in the background of a motel-room scene between Bruce Willis and Maria de Medeiros in Pulp Fiction. Clearly Quentin Tarantino is one of its fans.

Photo courtesy of Dark Sky.

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