Last year was a difficult year for the motorcycle industry, due primarily to the regional lockdowns, production stoppages, and disrupted supply chains.
The effect has been a loss in motorcycle sales across the board, and KTM is no different from the bulk of the two-wheeled brands.
Reporting a drop of 3.4% in motorcycle units sales, KTM ended last year selling 270,047 motorcycles worldwide (compared to 280,099 units in 2019).
It was strange to see another press release from Ducati Motor Holding about the 2020 sales year – you would think that the Italian brand would like to forget about the 9.7% sales drop it reported for last year.
Like virtually every other motorcycle brand in the industry, last year was tough on unit sales, though there were some very promising trends later in the season. As such, everyone is trying to spin the events and put their best foot forward – Ducati included.
So while it is at least strange to see the Bologna brand touting its cash flow results for 2020, one can at least understand why they are doing so.
What is more interesting though are some of the tidbits Ducati released in the process, which shows an insight into the company’s operations and trends.
Hidden by talk of the Harley-Davidson “Hardwire” business plan, which seems like more business speak than actual business substance, we also have the American brand’s Q4 results from last year, as well as the yearly sales results from 2020.
If you need a two-word summary of those sales results, we will provide you with a “not good” response.
Harley-Davidson finished the year down 17.4% compared to the sales numbers of 2019, with Q4 2020 showing a 14% drop over the same time period last year.
By all fair accounts, BMW Motorrad’s sales drop in 2020 (the first in nine years) should still be considered a positive result considering the circumstances, though perhaps not quite the extent that BMW’s press release would lead you to believe.
This is because the German brand is busy spinning its 2020 motorcycle sales figures with a full-court press, including the caveat that 2020 was the second-best sales result in BMW Motorrad’s history (which they are), though the success of BMW Motorrad varies greatly by region.
As we saw with the Ducati Motor Holding’s sales report from earlier today, 2020 was an obviously tough year for the motorcycle industry, and that trend continues with the BMW Motorrad’s results for the year.
In its preliminary report on the BMW Group’s annual sales, the German brand quotes that it sold 169,272 motorcycles and scooters to customers in 2020.
Despite BMW Motorrad spinning this as its second-best sales year ever, this number of bikes sold is a 3.4% drop compared to 2019’s sales volume, and it is the first time in nine years that sales for BMW Motorrad have not grown.
The beancounters are working hard to close the books on 2020, which means we are starting to see our first reports on the total economic situation from last year.
With factory closures, disrupted supply chains, and stay-at-home orders featuring heavily in the first-half of the year, the coronavirus decimated motorcycle sales worldwide.
Then, the second-half of the year saw a huge bump in two-wheel interest, buoyed by economic relief efforts, delayed sales trends, and a renewed interest in the ultimate social-distancing machine.
This makes for a grab bag of perspectives when it comes to motorcycles sales, and nothing could be more true than what Ducati Motor Holding is reporting today.
Harley-Davidson continues to hemorrhage motorcycle unit sales in 2020, with the Bar & Shield brand reporting an 8% loss worldwide on its third-quarter numbers.
This Q3 result means that Harley-Davidson is down 18% for the first nine months of the year, compared to the same point in time as last year.
The news isn’t all bad however, as Harley-Davidson is also reporting that the net income for the third-quarter was up 39% for a total of $120 million – the company’s highest Q3 income since 2015.
2020 continues to be a tough year for motorcycle sales, though it comes with the silver lining that brands have seen a strong summer and early fall in terms of customers buying bikes.
Today, we see early sales numbers from BMW Motorrad typifying that trend, as the German brand is reporting big gains for Q3 2020, to the tune of 20.9% (52,892 units sold to customers).
That good news is tempered by the bigger picture though, as BMW Motorrad is still off the mark for the year so far, having sold only 129,599 motorcycles in the first nine months of 2020 – a 5.4% drop compared to this time last year.
Motorcycle sales in the United States have had a tumultuous year so far, starting Q1 off with a 9% sales decline from 2019. That figure didn’t tell the whole story though, as not all segments were reacting similarly to the coronavirus lockdown.
While street bike sales were down 23%, off-road bikes were up an astounding 30% (dual-sport sales split the difference, and were down 5% for the first quarter).
That dichotomy has continued onward as 2020 marched on, with the MIC now reporting that dirt bike sales continued to impress this year with a 50.3% gain, when tallying the first six months of the year.
As more quarterly reports come in, we continue to see the trend that the global motorcycle industry is down by double digits for the year, and today’s numbers from Ducati Motor Holding continue to show that trend.
Reporting a 24.2% drop in sales worldwide for the first half of 2020, we also learn that Ducati sales were down 24.6% for Q2 2020.
While those numbers are nearly identical, diving into the model segments and quarterly results provides some intriguing data.
The second quarter sales results for Harley-Davidson are in, and once again the American brand is seen floundering with its sales, not only in the United States, but also abroad.
For Q2 2020, Harley- Davidson sees its American sales dropping by 27% compared to Q2 2019 – the same can be said of Harley-Davidson’s worldwide sales for the same time period, which fell by the same percentage.
Added to the already lackluster results from the first quarter of the year, Harley-Davidson sales have sunk 22% for the first-half of the year, with worldwide sales diving 23% so far this year, compared to last.