The Hogs are getting Beefier

Harley Davidson has announced a new line-up of motorcycles for 2016 with more powerful engines. Bigger engines will go into their Fatboy, Slim and Softail models and a Road Glide Ultra is being added to Harley’s Rushmore line. The newly introduced Fat Boy S and Softail Slim S will be powered by the company's Twin Cam 110 engine, previously only available in the CVO line. 

The new 2016 Iron 883 and Forty-Eight models.

 "People have been asking for more power," said Harley's Senior Vice President and Chief Marketing Officer, Mark-Hans Richer.

Richer said the 2015 introduction of the Street 500 and 750 machines had helped the company continue to dominate the U.S. motorcycle market, and to increase the brand's popularity among consumers who are new to it - particularly to the younger, more urban consumer than has been attracted to Harley in the past.

According to Richer, Harley Davidson is now the No. 1 seller, in terms of new motorcycle registrations, to young adults, women, African Americans and Latinos - groups that Harley includes in its "outreach" program to target new riders. 

"We're reaching new consumers and building relevance with them," Richer said. "We're seeing a lot of first-time Harley riders coming through the door."

Sales to outreach consumers, Richer added, have grown twice as fast as sales to "core" consumers, those who are already Harley owners or likely buyers. Richer credited the Street line in part for creating that boost, especially among young adults who are attracted to the bikes' raw looks and lower MSRP, and among buyers overseas. He said that the Street has helped make Harley the No. 1 brand in Australia, and has become the top selling Harley of all time in the Asia Pacific region.

The venerable old lady of American bike-building made the announcement shortly after presenting its Q2 earning for 2015, which revealed a slight drop of about 1% compared to the same quarter of last year. But trouble may be brewing for the Milwaukee-based manufacturer when you look a little closer at the figures, as the only revenue growth was seen in the Asia Pacific region where booming markets such as China and India, and to an extent Australia, had been affording immense growth opportunities. With a slowdown in at least two of those markets, Harley may struggle to provide good news to their investors by the end of the year.