Victory Motorcycles gets the axe

2017's first bombshell has already arrived: Victory Motorcycles, the American cruiser and touring marque that first went to market in 1998, is being wound down by parent company Polaris.

The full shut down will take 18 months, with Polaris assisting dealers in liquidating existing inventories while continuing to supply parts for a period of 10 years. Polaris will also provide service and warranty coverage to Victory dealers and owners.

The announcement does not affect any other Polaris business units, so that means Indian Motorcycles will continue under the Polaris umbrella.

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“This was an incredibly difficult decision for me, my team and the Polaris Board of Directors,” said Polaris Industries Chairman and CEO Scott Wine. “Over the past 18 years, we have invested not only resources, but our hearts and souls, into forging the Victory Motorcycles brand, and we are exceptionally proud of what our team has accomplished.

"Since inception, our teams have designed and produced nearly 60 Victory models that have been honoured with 25 of the industry’s top awards. The experience, knowledge, infrastructure and capability we’ve built in those 18 years gave us the confidence to acquire and develop the Indian Motorcycle brand, so I would like to express my gratitude to everyone associated with Victory Motorcycles and celebrate your many contributions.”

Polaris has cited a number of factors for the decision, notably the difficulty in turning a profit with Victory. And with Indian, acquired by Polaris in 2011, continuing to experience significant growth, there's an obvious business case to redirect resources into that direction.

In a nutshell, Polaris has apparently decided that it doesn't make sense to have two brands pitching motorcycles at similar audiences.

“This decision will improve the profitability of Polaris and our global motorcycle business, and will materially improve our competitive stance in the industry,” continued Wine. “Our focus is on profitable growth, and in an environment of finite resources, this move allows us to optimize and align our resources behind both our premium, high performing Indian Motorcycle brand and our innovative Slingshot brand, enhancing our focus on accelerating the success of those brands.

"Ultimately this decision will propel the industry-leading product innovation that is core to our strategy while fostering long-term growth and increased shareholder value.”

Closer to home, the Managing Director of Polaris Industries, Australia and New Zealand, Peter Alexander, has thanked Victory owners for their passion and commitment.

"We first launched Victory Motorcycles here in Australia in October 2008 with our flagship dealership in Melbourne that set new benchmarks for motorcycle retail in Australia. Victory Motorcycles, through its innovation and engineering prowess, also set new standards in heavy cruiser motorcycle design and performance," said Alexander.

"In just eight short years there are now four flagship stores plus independent dealers in major markets in Australia and New Zealand, all conceived and driven by the Victory brand. The learnings and plain hard work of launching Victory has now set Indian Motorcycle on the path to even greater success."

"I have been privileged enough to meet and ride with many Victory owners at rides and other events and look forward to riding with you well into the future. We and our dealer network are committed to continue to supply parts, service and warranty to ensure this happens."

"Victory Owners will always be part of the Polaris family, they will always be welcome and we will be continuing to sell these world class motorcycles for some time. Although the history books will start being written a little earlier than we would have liked, I'd like to thank all current and future Victory Owners for helping write a little bit of that history."

In 2016, 274 Victory Motorcycles were retailed in Australia, compared to 640 for Indian.