Harley-Davidson seeks to move throttle to meet changing demographics

Jim Heppe bought his first motorcycle nearly a half century ago, when he was a teenager, and has been riding most of his life.

Now 65, he has throttled back some from riding 800 miles in a single day, but he still takes an occasional trip to Sturgis, S.D., and many trips closer to his home.

That bodes well for companies such as Harley-Davidson, the world’s largest manufacturer of heavyweight motorcycles, which want to keep folks such as Heppe in the saddle — and buying new bikes — as long as possible.

“I am going to keep riding as long as I can. I believe that when you quit, you get older a lot quicker,” said Heppe, who has owned about 10 motorcycles in his lifetime and now rides a 2009 Harley-Davidson Street Glide.

In Wisconsin, the average age of a motorcycle license holder is 51, according to the most recent figures from the state Department of Transportation.

More than 58 percent of the 518,567 motorcycle license holders in the state were 50 or older, the data from 2013 showed. Nationwide, 39 percent of motorcycle owners are 51 to 69, according to the Motorcycle Industry Council.

Americans older than 50 control 77 percent of the total net worth in the nation, U.S. News & World Report said in 2014, and that represents a huge market for companies such as Harley-Davidson, which operates a plant near Kansas City International Airport.

Harley’s core customers — white males 35 and older — continue to be an important part of the business even as the company aggressively pursues “outreach” customers — people ages 18 to 34, women, African-Americans and Hispanics.

The company takes a “balanced approach” to make sure it has the right products for customers at all stages of their lives, said Ken Ostermann, integrated marketing operations general manager.

Some of that includes comfort features that appeal to older riders and others who spend a lot of time in the saddle but that don’t give the bikes a “senior look.”

Some older bikers want fast motorcycles, known as “sport bikes,” where the rider is in a crouched position for aerodynamics and bike performance.

An Erik Buell Racing 1190RX, for example, has a top speed of 167 miles per hour and can travel from 0 to 60 mph in under three seconds.

Priced at $19,000, it’s aimed at experienced riders still on the young side of the sport.

But baby boomers are buying these kinds of bikes too, said Erik Buell, founder of the Wisconsin company that bears his name.

“I am 64 and I ride a sport bike all of the time,” Buell said. “I would also rather drive a sports car than a luxury car, and I am willing to bet that people who buy Corvettes are also a bit older. It makes you feel young.”

Much of the advertising for consumer products, including cars, is aimed at buyers 18 to 34. But in 2011, the peak age range of car buyers rose to between 55 and 64 from between 35 and 44, according to the University of Michigan Transportation Research Institute.

Younger consumers don’t always have the purchasing power of their parents.

“I think advertisers are missing out on this one,” said Abdur Chowdhury, a Marquette University economics professor.

By 2030, more than one in three Americans will be over 50. Right behind the baby boomers come members of Generation X, whom Harley-Davidson expects will continue to buy bikes as they approach their senior years.

The company has “very high confidence” in the pool of available customers, Ostermann said.

If there’s a downside to more older folks on motorcycles, though, it’s that a high number of them are seriously injured or killed in crashes.

In 2012, the worst year for motorcyclist fatalities in Wisconsin in decades, 60 percent of the victims were between the ages of 46 and 65 — an increase from years ago when most of the fatal crashes involved much younger riders.

Some of the increase stems from motorcyclists, overall, being an older crowd now. But some of it could be linked to more people starting to ride in their 50s or returning to the sport after a long hiatus and losing their skills.

“There are guys who rode when they were in their 20s, then got married, had a career, raised a family and the bike took a back seat. Now they’re starting to relive their youth,” said Tony Sanfelipo, an accident investigator for the law firm Hupy & Abraham and a founder of Abate of Wisconsin, a motorcyclists rights group.

This story was originally published April 10, 2015 at 4:54 PM with the headline "Harley-Davidson seeks to move throttle to meet changing demographics."