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Harley-Davidson Removes Branded Merchandise From Amazon

by Brendan Menapace from https://www.goprintandpromo.com Harley-Davidson Removes Branded Merchandise From Amazon, Prioritizes Its Own E-Commerce Initiative Harley Davidson CEO Jochan Zeitz said his company will no longer sell branded merchandise on Amazon, instead choosing to prioritize its own dealers’ e-commerce efforts. “We want to have a fully integrated, digital e-commerce business with our dealers,” Zeitz said, according to The Detroit News. “Amazon was not really something that got our dealers into the mix.” It’s not hyperbole to say that Amazon dominates e-commerce. But there has been pushback against the site through initiatives such as Small Business Saturday and from big brands such as Nike, which previously announced it would stop selling sneakers and apparel on the site. For Harley-Davidson, the concern is that Amazon is cutting into branded merchandise revenue from its dealerships. This is particularly pressing after Harley posted fourth-quarter losses, with Zeitz looking to steer the bike toward growth after years of declining sales in the U.S. That plan, which Harley is calling “Hardwire,” will include premium apparel and accessories as a means of strengthening its brand as more than just a motorcycle company. The decision to move away from Amazon is also a direct reversal of a previous plan to boost the company, after former CEO Matt Levatich debuted the “digital storefront” on Amazon in October 2018. If selling on Amazon didn’t work, maybe becoming more autonomous in its e-commerce offerings could help. Consumer habits have changed, and the simple convenience of buying from Amazon isn’t always more popular than being able to buy directly from a company. We might not see a mass brand exodus from Amazon any time soon, but between Nike and Harley-Davidson, we’re seeing a few major brands testing the waters of e-commerce without Amazon involvment.

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Harley-Davidson Acquires Company That Makes Electric Bikes for Kids

Harley-Davidson is trying to attract a new generation of riders at a very young age. The iconic motorcycle company announced Tuesday that it was buying StaCyc, which makes two-wheel electric bikes for kids. StaCyc has two models — the 12eDrive and 16eDrive — that the company describes as “the perfect choice for little rippers” between the ages of 3 and 7. The bikes have a top speed of about 10 miles per hour and sell for a range of $649 to $699. Harley-Davidson said in a statement that Harley-Davidson branded versions of StaCyc’s two models will be available at select Harley-Davidson dealers in the United States in the third quarter of 2019. “The StaCyc team shares the same vision we have for building the next generation of riders globally and we believe that together, we will have a significant impact in bringing the fun and enjoyment of riding to kids everywhere,” said Heather Malenshek, Harley-Davidson senior vice president of marketing and brand, in the statement. Harley-Davidson is increasing its bets on electric vehicles as sales of traditional bikes slow. The company has already announced plans to launch the LiveWire premium electric motorcycle this fall. It is also developing other electric bikes that it plans to start selling in 2021. Harley-Davidson needs new growth opportunities as the company struggles to deal with tariffs from the Trump administration that have hurt earnings. Sales and profits are expected to fall this year and revenue is only expected to rebound slightly in 2020. Shares of Harley-Davidson have rallied this year with the rest of the market, rising 10% so far in 2019. But the stock is trading nearly 20% below its 52-week high.

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