Thursday, June 5, 2008

Having failed with Ducati, HD now tries to buy MV Agusta

According to this Forbes.com report, Harley-Davidson is in an advanced stage of talks to buy part or all of Italian motorcycle company MV Agusta. Why would HD buy an Italian sportbike company when they already have Buell?

Because big companies have to grow sales - year-over-year, quarter-over-quarter - always growing. When sales slow (as they have in the motorcycle market for the past year or so) there are only two things you can do:

• Invest in developing new products or new markets for your existing products (both of which take time)
• Buy customers (and sales) via acquisition

When it comes to buying motorcycle companies, Italy is about the only place you can go. H-D flirted with buying Ducati last year but was rebuffed. We'll see if this turns out differently.

Tuesday, June 3, 2008

Why has only one company successfully entered the MX market since 1985?

To my knowledge only one (1) company has successfully entered the motocross market since 1985 - the small Hillsdale, MI firm of Cobra Motorcycle Mfg. What did Cobra do? They brought innovation to a market the Big Four were ignoring. They met a need. They built good products - right here in the USA.

Once - in almost 30 years - has new blood successfully entered the motocross market. And they only did it in minibikes - 50cc-85cc. Ask yourself - is this really the best it can be? It's difficult to make a credible claim than an industry (any industry) is healthy and competitive when it's consisted entirely of the same five (really four) suppliers for more than 25 years. Are we really that naive? Or, like the Soma pills in Orwell's 1984, have we swallowed the company marketing sedative so long we no longer care to see reality?

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Are AHRMA ticket prices really too high?

Recently there was some discussion group dialog about the gate fees at AHRMA nationals. The $20/head fee at the Perris national did not sit well with some attendees. I thought it might be instructive to look at comparable prices for other entertainment. Here's what I found:

• The average trail use fee for mountain bikes is $4.
• The average movie ticket price in the US is $7.
• The average dinner at a restaurant is $20 if you don't drink (based on my personal observations around the country.)
• The average MLB ticket price is $25
• The average cost of a SX ticket is $30
• The average concert ticket price is $50.35
• The average US cable bill (in 2004) was $51
• The average NBA ticket price is $51
• The average NFL ticket price is $55

Now I'll be the first to admit the current economy sucks, and the price of everything just keeps going up. It seems like you can't do anything for less than $100. Vintage riding and racing is no exception. But I think we need to back up and realize that's all it is - vintage racing events are feeling the same pinch as everyone else. You're not being gouged. In fact, a full day of classic vintage entertainment for $20 is a much better deal than all the major sports tickets listed above. Too often vintage racers try to keep their wallets in the same bygone era as their bikes. We're not in Oz anymore, Dorothy. Your vintage hobby is still a great deal compared to everything else. You just have to maintain some perspective.

Saturday, May 31, 2008

MX Nationals on SPEED

I watched the Glen Helen national on SPEED TV tonight. It was pretty good. I think one of the main improvements is the absence of Ralph Shaheen. He was replaced by Aussie Leigh Diffey, who also calls the Rolex Sports Car Series and the American LeMans Series. Diffey is a good match for the MX Nationals. He understands racing and strategy and doesn't try to embellish the race with artificial soap-opera drama. Shaheen always sounds like he's calling a Monster Truck show presented by Entertainment Tonight. Diffey even makes Emig sound better.

But no one beats Dave Despain and David Bailey. Those were the good ole days...

Friday, May 30, 2008

Residents and Greenies fight new track in Seattle

This Seattle Times news story tells the tale of another local battle to prevent legal riding areas. MXGP of Kirkland, WA have a 467-acre tract in rural Washington state, about an hour from Seattle. The promoters want to use 75 acres to build a multi-track MX facility and have gone to great lengths to address noise and environmental issues. Of course, there is no such thing as addressing all the issues where EcoNazis are concerned.

No doubt, this is the future all all riding facilities - new or old - and we had better get our act together on the federal, state, and local levels and begin a coordinated effort across the country to keep our right to ride intact. [Found via Blogandt]

Sunday, May 25, 2008

Finally! D.C. says we'll get our answer this week.

In this week's Racer Head Davey Coombs said the Big News we've all been waiting for - what's going to happen to the AMA Toyota Motocross Championshps - will likely be announced before Hangtown next weekend. To quote DC:

Needless to say, there are going to be a few confused people out there, but the vast majority of motocross fans and industry folks will just be glad to put this all behind them and start focusing on the racing and the future.

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