Harley-Davidson dealership owners are closing up shop as sales sag

"There are few things more evocative of the free American spirit and the nation's wide-open spaces than the image of a Harley-Davidson motorcycle zooming down a stretch of empty highway. But while taking one of the legendary hogs for a spin may still be liberating for riders, the company's independent dealership owners are feeling an increasingly tight financial and business squeeze."

"As a result, owners of a growing number of Harley-Davidson dealerships have hung the "Closed" sign for good. Those include some well-known, high-profile stores in New York City and Florida, and the century-old Dudley Perkins location in San Francisco. But reports say many more closures in smaller cities and towns across the U.S. drew far less attention while adding to the tally of shuttered businesses."

Independent Harley-Davidson dealerships are experiencing rising financial pressure as motorcycle sales decline and operating costs increase. Profit margins on new bikes have compressed, leaving many dealers unable to make money from new-vehicle sales. A growing number of dealerships across major cities and smaller towns have closed permanently, including well-known and long-standing locations. The dealer ecosystem now faces a swift reversal from earlier gains, creating survival challenges for both independent owners and the parent company. The COVID-19 period previously produced a sales boom fueled by government stimulus and very low interest rates that temporarily expanded the buyer base.

Read at Fast Company