Polaris Kills Its Firstborn Motorcycle Brand

Polaris Kills Its Firstborn Motorcycle Brand

In a surprising move Monday Jan 9, 2017, Polaris Industries announced that it plans to halt production of Victory Motorcycles. The Motorsports firm, which manufacturers motorcycles as diverse as ATVs, side-by-sides, snowmobiles, and the unique three-wheeled Slingshot, will assist dealers in selling off current Victory inventories and will continue to supply parts for ten years. Polaris says it will honor service and warranty coverage for Victory owners and dealers, too.

The announcement cited Slingshot as a brand that would benefit from the restructuring saying Victory has "struggled to establish the market share needed to succeed and be profitable."

"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," said Polaris Industries Chairman and CEO Scott Wine. "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."

Polaris decided it doesn't make sense to have two brands producing similar motorcycles, marketed at similar audiences. A slide presentation with additional details, titled "Polaris to Wind Down Victory Motorcycles Operations," is available online

Polaris said it's exit of Victory does not qualify as a “discontinued operations” event for it's dealers.

 

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