Indian Line-Up Gaining Traction

2014 Indian Chieftain

It looks like Indian Motorcycles’ three new models are gaining traction in the marketplace, and gaining traction against its major rival in the heavyweight market, Harley-Davidson.

Not that Milwaukee-based Harley is hurting: It reported a 30% increase in profit from a year ago. In the second quarter, Harley dealers worldwide sold 90,218 new motorcycles, no great change from the prior year. The company has downsized its shipment forecast a few percentage points.

Polaris Industries, which owns the Indian Motorcycles brand, reported a 21% increase in second-quarter profits, a significant increase in sales of its recently relaunched motorcycle brand. Polaris said sales for its motorcycles division, which includes Victory Motorcycles, more than doubled to $103.1 million.

Polaris says its three Indian models, the Chief Vintage, Chief Classic and Chieftan, have experienced steady and strong growth and acceptance in the marketplace. As of December of last year, the company’s motorcycle division had already reported a sales surge 94% for a total of about $70 million in revenue.

Polaris also owns Victory motorcycles, whose sales are also up.

The success of Indian is certainly due in large part to its new pricing strategy. The motorcycles used to retail for as much as $37,000. The new models are priced between $18,000-$23,000, a range that puts them in direct competition with Harley.

Harley said in the most recent quarter its share of the heavyweight motorcycle market as slipped from 53% to 50%.