It depends largely on the price elasticity of the product. If prices are fairly inelastic then a change in price will have little effect on the quantity demanded. HD feel this applies to the Sportster range because of high demand for the product. If prices are relatively elastic then changes in price will have a large effect on the quantity demanded.
Revenue is maximized when a balance is found between the two, not by selling more for less or less for more. I don't know what the Price elasticity of HD products are, they probably do or they are testing the market right now. I would guess in a depressed market like we have now, prices would be very elastic, since HD are already 3% down this year. Maybe they are just cashing in on the desirability of the new product at release and we might see prices ease later next year. I would if I had a product that people waited for the release of each year. Either way the market will decide what happens, not the government, or a crusader, or a forum. Fuckit I got one and I'm just gonna ride it, could care less about all this other shit.
If Victory/indian had their small engine bike ready, things would be different.
Personally I think HD have traded on the loyalty of its core customers when times were tough and its those core people that kept it afloat many times. But I am quickly getting to the point of fuckyou HD because they are more and more blatant in their cynical attitude towards treating us like some dumb ignorant fuckwits that can be kept on the hook with some new shiny shit each year . You've just spent the best part of $35,000 or more and then another $10,000 personalising it and the next year the MOCO bring out what you've just built as standard. If they fucking know thats what you as a customer want why not just build and sell it that way in the first place. I'm all for them making money and being financially strong but I would like to see some fair dinkum loyalty given back to the customer and not some industry jargon and bullshit for why they are ripping us off now when the dollar is so strong.
Only one answer.STOP BUYIN EM for a couple of years at least, keep the one youve got and only buy new if you have to.when the indian harleys come through they are not going to be cheeper only in quality and for harley to produce. so they will fk you in all directions.
As a Harley rider for 34 years, I hate to say this, but I am over it! Yep, there are fluctuations and realignments etc etc etc, but at the end of the day the reality is that the Aussie dollar is up substantially against the USD, for quite some time now. To try and justify a 10.5% increase as 'realignment' is just insulting to customers. I love the product, and always will, but if they are going to try this on with the Big Twins, they can forget about my business, particularly when they are finally bringing out an oil cooled head in 2013.
