You are currently not logged in.  Logon or register to access more features. Vision-Riders.com is a FREE service provided by Victory Riders Network.

Search:




Polaris Annual Report
Jump to page : 1
Now viewing page 1 [25 messages per page]
View previous thread :: View next thread
   Discussion -> Vision DiscussionMessage format
 
Denny Pink
Posted 2009-01-29 9:27 PM (#27878)
Subject: Polaris Annual Report


Cruiser

Posts: 80
I listened in on the year-end annual report today and learned that Victory motorcycle sales were down 40% for the 4th quarter (Oct to Dec) and down 17% overall during 2008. As a result, Polaris is making some sound business and manufacturing changes by reducing 2009 motorcycle production by 25%. (By my best quess that would reduce production to about 3750 bikes for 2009.) They want to reduce left over 2008 and earlier inventory. During the question and answer portion, the Polaris guy declined to answer a direct question about how much unsold Victory inventory there is. He did say inventory was, "higher than it should be."

Sounds bleak for 2009 motorcycle sales, but I was impressed with Polaris' long range plans, and back up plans if the conditions worsen. It was clear that Polaris likes their motorcycle division, and remains committed to it's success.

DP






Top of the page Bottom of the page
kevinx
Posted 2009-01-29 9:50 PM (#27880 - in reply to #27878)
Subject: Re: Polaris Annual Report


Visionary

Posts: 1340
Gainesville Fl Home of the Gators
Vic has done well, and been paying it's own way fo the last three years. Polaris had it's nose in the wind earlier this year, and smelled the change on the horizen. Not only did they flat SLASH the minimum order for new Vics. They also changed the delivery method from bulk to on demand. This allowed dealers to not have to carry all the bikes on their floor plan for extended periods. This will be a VERY tough year for EVERY manufacturer, but Polaris survived the Carter administration, and will make it through this with all there lines intact.
The scary thing for many in the industry is that HD reports the same kind of declines with nothing other then aparrell to back them. Their finance arm lost in the 4th quarter almost as much as Vic made during the whole year.
Top of the page Bottom of the page
VaParadox
Posted 2009-01-29 11:38 PM (#27891 - in reply to #27878)
Subject: Re: Polaris Annual Report


Iron Butt

Posts: 1158
Richmond, Virginia
Point of financial reference. Most Americans who own and wear HD apparel DO NOT OWN HD bikes !!! There are more HD clothing retailers nationwide then there are HD motorcycle dealers. How many people out there are walking around with Victory clothing that dont own a Vic bike?? HD over rated, over dated.
Top of the page Bottom of the page
VaParadox
Posted 2009-01-29 11:39 PM (#27893 - in reply to #27878)
Subject: Re: Polaris Annual Report


Iron Butt

Posts: 1158
Richmond, Virginia
oh, sorry "I MEANT THAT WITH LOVE".......... now go put on your headwrap with the fake pony tail sewn in the back...
ha ha ha ha ha
Top of the page Bottom of the page
divesharc
Posted 2009-01-30 12:08 AM (#27895 - in reply to #27878)
Subject: Re: Polaris Annual Report


Cruiser

Posts: 297
VA
Interesting, I really hope the bike lines survives, because I will be pissed if it goes under and I can't get parts of service from anyone. I doubt that would happen, but man I would be mad.

However, I think Victory is missing the boat with their apparel. First, not many of the retailers have a lot of inventory, and I can understand since inventory costs money, but that also means that Victory is missing a lot of revenue, and advertising. Last year when I joined, one of the guys wrote a good article about this very same point and I agree. Love 'em or hate 'em, HD does a great job of marketing itself. Why would someone wear HD brand clothing if they didn't own an HD? Reason, beacuse HD is iconic.

Not saying I want Victory to be HD and spend more in clothing that R&D and manufacturing, but I think that in lean times such as these when all sales are going to be down, especially on big-ticket items such as bikes, that putting something into the apparely may help them get by. I know I am very proud to own my Victory. I have several shirts, but most of them came from demo rides before I bought the bike. A lot of their clothing, to me, is not very appealing. I am very particular about what I will wear, I admit, but some of their shirts are just ugly, and they lean towards the cheap looking logos. It's hard to find just a Victory logo without all these flames and other stuff on it. I was looking for a simple hat, with just a Victory logo, and the "trucker" cap was all they had. It was a one size fits all and hurt to wear. But, enough of the ranting.

Top of the page Bottom of the page
varyder
Posted 2009-01-30 6:50 AM (#27902 - in reply to #27895)
Subject: Re: Polaris Annual Report


Visionary

Posts: 8144
New Bohemia, VA

A dollar is a dollar, whether from a sale of a bike or apparel. I agree most of the clothing vic hangs is not for me, or my wife, it don't fit me either. Okay, I won't go down that road far. I fail to understand why all the apprarel seems to be an after thought when it can be one of the biggest means of advertisement. I guess this is another one of those rants that will change very little but HD figured this out a long time again to become iconic. Most people when they talk of getting a motorcycle, they don't say motorcycle they say they are getting a Harley because they don't think anything else is out there. I even have non-riding friends that refer to me as a Hawg rider. But that's okay because I respond, "No. I got the Victory."

But anyway, the small guy like Victory can actually survive these hard times for two reasons, one most people don't know they exist so they pay little attention to any news hype of struggles, and they have low overhead infastructure. When HD drops in sales, it is headliner, and when they close stores and lay off folk, it is headlining. So folk may back-off when they hear the news and begin to think negative thoughts toward the giant, much of what will work against Indian. Victory though I believe will hold the line and survive the downturn because of the inventory strategies and more personalable thinking rather than a big corporate think-tank. The under $8k sportster is a cheap shot to keep the brand awareness going for those who can't afford a 30K HD but "I can swing one of those and still ride a Harley" attitude, something I don't ever see Vic doing or having to do.

Top of the page Bottom of the page
divesharc
Posted 2009-01-30 10:28 PM (#27953 - in reply to #27878)
Subject: Re: Polaris Annual Report


Cruiser

Posts: 297
VA
Well said varyder. I do think that Victoryh as a company can survive. But I think the real problem is can the dealers survive, and stay open for the duration. Some of the dealers are multi-brand, so while bigger ticket bikes, such as Victory (let's face it, they aren't cheap), will slack off, their other, less expensive brands, may do OK. I doubt anyone will do a great business. There was a post awhile ago about who rides for transportation and who rides for recreation. Even though I ride more than I drive in the summer, it is still recreational for me. And I think that most people who buy bikes are buying that for recreation. Let's face it, most of us who could afford these bikes are married, maybe have some kids, and other bills. We're buying the bikes for some fun, and escape from the normal day-to-day life stuff.

Most of us are buying cars because with kids and stuff, it's more practical.

That said, what I worry about is a common fear with buying a Victory bike. Can I find a dealer if I need one. The closest dealer to me is over an hour away. I hear other people talking about how much further their dealer is. Combine that with a brand that is still relatively young, and you get a fear that your bike is going to be like Betamax or HD-DVD. Interesting fact, beta was superior to VHS, however, VHS let other brands copy the technology for cheaper. The same thing was true of Apple computers and IBM, which is why most of the computers out there today are windows based. But, most people agree that Apple is a better OS. Sorry, but just making a point.

I think most of us, at least on this site, would agree that Victory makes a better bike than HD. At least in standard options, performance, etc. But, HD is iconic. Even though Victory is smaller, and able to chage gears faster than HD, and that may save them from carrying a lot of extra stock...it's still going to hurt. Because if they lose dealers because no one is buying any bikes, let alone Vics, than they lose a place to sell those same bikes.

I hope you're right, I really do. I just hope that the dealers can survive the bad times and stay open for when things do turn around. By all accounts, it may not be real soon.
Top of the page Bottom of the page
varyder
Posted 2009-01-31 12:19 AM (#27957 - in reply to #27953)
Subject: Re: Polaris Annual Report


Visionary

Posts: 8144
New Bohemia, VA

I have to babble a few more lines. I don't know everybody but there are several hearts to motorcycling. There are those who are recreationalist, toys if you will. There are those who are practical, and then there are those with the passion. I think the motorcycling world needs to have all aspects to stay alive, but the last man standing will be the biker. The rich recreationalist keeps the industry pumped with dollars to keep the dealers and manufacturers going that supports the biker. So if all the dealers of all manufacturers would close their doors, the bikers would still be riding, but these guys are the ones who keeps the image going because they do ride. When I first started riding in 1984 I got the strong desire, mostly from wandering, or should I aptly put it, rambling and riding was the vehicle to feed that desire. My pilot light burned for 20 long years before I lit the flame of passion when I got my GL1200 three years ago. I've ridden consistantly year round since then and there is no letting up. From my perspective, it may have been a good thing that it went dormant as I would not have had the life I have now if it didn't. Though I ride everyday, it is routine in what I do, work, church, store, etc except I ride. My wife says all I think about is that bike, but she didn't say that about my Jeep when that was the way I got around. But the passion makes it a way of life, maybe because of the risk, or maybe it is the soul that riding has.

So when the giant hd's percentage of recreationalist and wannabe's are greater than the bikers, in hard times they go into a spin like they are now. But I also believe that Victory has more passion riders that will help maintain, but we'll see. That is an observation that I have made that most are very serious on riding, and could not live without a bike. As for the dealers being few and far between, to me that actually adds to the appeal. I am thankful that I have one close by, but even if they shut the doors, that would not affect my decision to continue to own my Vision or have future dealings with Victory as long as they stay around. When I went to Texas on my 1,654 mile ride I never even got the "rescue list" or found the dealers a long the way. I know the Vision is made for the long haul and breaking down was the furthest from my mind. But there is an assurance I believe that if I was to break down, I would have been assisted by another biker, and at worst, loaded the Vision on a u-haul and headed home.

Even though I have the extended warranty, I'm going old school and learn more about my bike, though some stuff I'll never figure out, but it can't be more complicated than what a jeep is. I plan on doing most of my own work, except major engine work, and even that would not be out of the question.

I'm working to completely pay off my Vision, half way there, so if all else fails, I'll have my bedroll and bike and hopefully my wife.

Well I'll end my babble by affirming my personal assesment that I don't see Victory or HD closing their doors, reorganizing, maybe, but closing, no. Indian has the greater chance of sucking hindteet again, or maybe pairing up with Big Dog. No' I'm not trying to start rumors, but as much as I would love to have an Indian, they are way out of my reach, as would be a Big Dog. I don't see functionality, I see struting you're stuff, a sure loser in a topsy-turvy economy. But this is my keyboard and my rant, so I now digress and turn it over to you... yes you... with your fingers on the keyboard....go....



Edited by varyder 2009-01-31 12:24 AM
Top of the page Bottom of the page
daryl65
Posted 2009-02-13 12:13 AM (#28195 - in reply to #27878)
Subject: RE: Polaris Annual Report


New user

Posts: 3
i traded my harley in for my kingpin in may 08.
i love the bike it is an excellent motorcycle.
i am now considering trading it in for a victory vision street model an 08,because of the curent deal victory has going with the 5yr warranty and money back.
as i said i love my vic it is an awsome bike that has given me no trouble at all.
but therewas one thing that did cocern me,was the fact that i noticed the dealer had leftovers going back over two model years,my kingpin was a brandnew 06 leftover i bought in 08.
this seems to be the theme with most dealers up here in newengland.
some do better than others but all have leftovers going back two years.
harley by comparison also has leftovers but they usually are the previous model yr and they sell them all by the end of the next model yr,it is extremely rare to see a two yr old leftover on their showroom floors.
i for one do hope victory is making money and does hang around for many years to come as i feel they build the best bikes out of anyone with harley a close second.
it will help that they are part of polaris and polaris is a good size company.
i will let you all know if i do end up getting the vision will go in and start dealing with my sales man and hopefully we can come to an agreement,i will miss my kingpin though it is a great bike.
Top of the page Bottom of the page
RedRider
Posted 2009-02-13 6:46 AM (#28201 - in reply to #27878)
Subject: Re: Polaris Annual Report


Visionary

Posts: 1350
My opinion is that Victory will survive but how many dealers live on the edge. It's tough to invest money into inventory that sits. A dealer gets out his crystal ball and looks into the future of what bike his customers will want. Is his/her taste like his customers? How many times have you been into a dealer and find a jacket you like but they don't have your size? Of course there are 4 of every other size hanging there.
How many posts on this site and others about owners complaining about not getting a discount? That discount is paying for the lights. We as customers like to get discounts but remember someone else is taking the hit for it.
Owners talk about how many dealers are out there. At least in my area there is only 1 HD dealer, 1 Honda/Kaw dealer and the 1 Susuki dealer is 30+ miles away. The nearest Triumph dealer is 55 miles away and I have no idea where another is. Maybe we notice other make dealers signs are bigger and we are used to seeing them?
Everything will take a hit in these times. The ones that adjust best will survive that's dealers, manufactures and owners.
Top of the page Bottom of the page
Jump to page : 1
Now viewing page 1 [25 messages per page]
Jump to forum :
Search this forum
Printer friendly version
E-mail a link to this thread

Copyright © 2007-2024 Victory Riders Network™