Could Leases Solve Harley-Davidson’s LiveWire Inventory Issues?
H-D’s electric LiveWire isn’t pulling in as many riders as hoped due to its MSRP. Leasing could allow the MoCo to save face, move units.
The march to electrification is on. If it involves motoring of any sort, a manufacturer is either building an EV right now, or looking into one to put into production soon. Harley-Davidson is already on the ball with its LiveWire, the MoCo’s first-ever electric motorcycle. Though designed to appeal to new, younger writers, Harley hoped the LiveWire would pull in long-time fans, too.
Alas, the MoCo’s not having the greatest time moving the electric motorcycle out of the showroom. The albatross around its fork? The starting MSRP of nearly $30,000. Electric power along is a hard-sell to die-hards, but the high MSRP on such an unknown might be doing more harm than good. Luckily, YouTube channel Cyclotron has a solution: leasing.
“Harley clearly doesn’t want to discount this flagship electric motorcycle,” said CJ, “and kill the resale market, just get a black-eye over it. They probably have more modestly priced motorcycles. If they drop the price on their flagship, that’s going to put pressure on subsequent motorcycle models.”
The best Harley is doing for the LiveWire currently is a $2,000 trade-in credit on any brand of motorcycle for the electric wonder. While some might jump for the offer, most riders, especially those who would jump into the electric circus, need more on the table before taking a LiveWire home. CJ’s local Harley dealer alone still has its full allotment from 2019, paying a huge cost to try to sell the motorcycle. Sounds like a bold move is in order to move them out.
“Why didn’t Harley-Davidson offer a lease on this bike?” CJ asked. “I think this is the way to handle this situation with this LiveWire, and clear ’em out of the showrooms.”
Though commonplace in the car market, leasing is a rarity at the motorcycle dealership, let alone Harley. And though it might be hard for the MoCo to figure out the residual value on the LiveWire, leasing would attract the ridership it seeks for the bike. Plus, off-lease rides could turn a few more into EV owners.
“I think this is sort of a face-saving opportunity for Harley,” said CJ. “They don’t have to discount the bike to get it out of the showroom right now […] They could discount the price of the used LiveWire, kinda have it go under the radar than trying to discount the price of a new bike.”
Photos: Harley-Davidson
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