Harley Rejected BRP Offer to Buy Buell

[Kootenanny]

The board at H-D:

[falconati]

Take us to your leader head merchandiser!

[Rogue]

LOL!  

Nice one Koot!

[BCRider13]

I will add that the reason Buell enthusiasts so rejected H-D is because of what it represented.  H-D is all about style and nostalgia.  Meanwhile, Buell was all about function and performance.  These two are a direct clash of cultures.

This statement is spot on for the most part and a reason why the Buell division was an easy target for being shut down when times got tough for the Motor Company.  Like it or not the bulk of HD revenue is from HD branded products and the new brass are betting that it's better to spend time and money supporting the HD brand then be fragmented with Buell and MV Agusta.  

As for not selling Buell, a lot not being said (and HD isn't obliged to say anything).  Yes they are spending a lot of money shutting down the division but what they are not saying is how much they will take in with parts sales, potentially licensing some of the patents that came from Buell and savings in taxes and wages over the next few years.

At this point it really doesn't matter as firing up Buell would be basically be like starting a new company but without the start-up R&D costs.

[Brad1445]

....................

At this point it really doesn't matter as firing up Buell would be basically be like starting a new company but without the start-up R&D costs.

I politely disagree as the lack of product was a big factor in having to close shop.

[wbrisett]

This statement is spot on for the most part and a reason why the Buell division was an easy target for being shut down when times got tough for the Motor Company.  Like it or not the bulk of HD revenue is from HD branded products and the new brass are betting that it's better to spend time and money supporting the HD brand then be fragmented with Buell and MV Agusta.  

If sales from the two local HD dealerships are any indication, 2010 is going to be a real downer for HD... Mind you we've had colder weather than normal for Texas, but even in the winter sales are usually pretty good since we can ride year round. However, according to the sales managers at both locations, sales aren't great. But then HD has had to tighten up their lending policies and as one of the sales managers told me, that has really hurt sales since they have had to turn people away. The flip side is, why would you want to sell a bike, just to take it back as a repo six to nine months from now? That's what got them into trouble before.

Wayne

[Rogue]

That's because H-D is strictly a company that sells high end products now.  They don't sell anything much below $10k.  Their entry level bike is the Sportster 883 and it's only for girls.  And who would want that lump of shit when you can get an equivalent Ninja 250 for less yet still go faster?  Okay, how about a kawasaki ER-n or Suzuki Gladius?  Hell, Triumph's Bonneville is so much better!  Of course none of those are Harleys!  

[chornbe]

Range Rover and Ferarri only build to certain classes of customers, too.

[wbrisett]

Their entry level bike is the Sportster 883 and it's only for girls.   

I'll let you tell that to my buddy Declan who has been riding an touring on Sportys exclusively now for about 25 years.  

[BCRider13]

That's because H-D is strictly a company that sells high end products now.  They don't sell anything much below $10k.  Their entry level bike is the Sportster 883 and it's only for girls.  And who would want that lump of shit when you can get an equivalent Ninja 250 for less yet still go faster?  Okay, how about a kawasaki ER-n or Suzuki Gladius?  Hell, Triumph's Bonneville is so much better!  Of course none of those are Harleys!  

Actually the MSP on a new Sportster 883 is about $7,000.00 and you can pick up a low mileage used one for significantly less.  All the bikes you mentioned are great entry level bikes and in the case of the Sportster a low cost entry into the Bar and Shield cult.  None of the bikes mentioned would be considered technologically advanced or high performance but they are easy to ride, fun and reliable.  The price is right too.

What does this have to do with Buell?  Well, on average for every Buell motorcycle shipped to a dealer, 6 Sportsters were shipped.  My guess is the profit margin on the Sportster is better then the Buell too.

[chornbe]

I know there was a $1000 padded into my Sportie, 'cause I got it for $6000, new. It's a base 883.