Polaris Industries is starting the year off with some surprising news, announcing that it will cease operation of Victory Motorcycles and other related business operations to the brand.
Scott Wine, Polaris Industries Chairman and CEO, explained the decision as coming down to basic business factors, with Victory not showing the growth and volume in order to sustain its continued existence.
Polaris in its press release also cites the changing landscape of the motorcycle landscape, and that the resources and investments required to make Victory competitive going forward were too hard to justify for the troubled brand.
Instead, Polaris will focus solely on its Indian and Slingshot brands, for the motorcycle space.
“This was an incredibly difficult decision for me, my team and the Polaris Board of Directors,” said Wine. “Over the past 18 years, we have invested not only resources, but our hearts and souls, into forging the Victory Motorcycles brand, and we are exceptionally proud of what our team has accomplished.”
“Since inception, our teams have designed and produced nearly 60 Victory models that have been honored with 25 of the industry’s top awards.”
“The experience, knowledge, infrastructure and capability we’ve built in those 18 years gave us the confidence to acquire and develop the Indian Motorcycle brand, so I would like to express my gratitude to everyone associated with Victory Motorcycles and celebrate your many contributions.”
Polaris will assist Victory dealerships in unloading their current inventory, and of course Victory owners will still have access to the regular terms of their warranties, while parts will continue to be available for the next 10 years – as is required by law.
“This decision will improve the profitability of Polaris and our global motorcycle business, and will materially improve our competitive stance in the industry,” added Scott Wine.
“Our focus is on profitable growth, and in an environment of finite resources, this move allows us to optimize and align our resources behind both our premium, high performing Indian Motorcycle brand and our innovative Slingshot brand, enhancing our focus on accelerating the success of those brands.”
“Ultimately this decision will propel the industry-leading product innovation that is core to our strategy while fostering long-term growth and increased shareholder value.”