[BUSINESS]
Interview with Harley Davidson CEO Jim Ziemer
by Alan Cathcart & Paul Corruthers
Q: When did the talks with MV start?
Jim Ziemer: Earlier this year.
Q: Who approached whom on the deal?
JZ: They approached us.
Q: Why did Harley want MV if you already had Buell which is viewed as the sporting brand of the Harley-Davidson family?
JZ: Good question. The performance bike market is a huge market. It’s basically 60 percent of the worldwide market of heavyweight motorcycles. There are many different people, riding styles, types of bikes, brands, preferences, that you need to be successful in this arena. Buell and MV Agusta play to two different pricing segments, two different customers and, thirdly, MV Agusta is expremely successful in Europe. So for us it gives us a great way to have a bigger presence in Europe – both in terms of sign and marketing, as well as giving us a little insight into their manufacturing environment. It gives us a more global view of the motorcycle world. There are a lot of reasons that we continue to look at things beyond Buell. Buell is successful at addressing at one group of costumers, but there are many different costumers in this segment.
Q: Along with LV comes the Cagiva badge. Does Harley have plans to develop that as an offroad brand?
JZ: We wouldn’t comment on future products, but the whole MV and Cagiva family are not only great brands, but great brabds with great technology, and we will continue to look at those products and what we can do with them.
And thay won’t be as financially strapped as they were before.
Q: The 650 single that Cagiva currently has under development – do you see that being developed as a family of MV singles ? do you see it used as a post-Blast Harley streetbike or Supermoto bike ? Or a dirttracker?
JZ: We’re going top look at successfully growing the MV brand, their technologies and products, and that’s the current focus – making them a successful and viable product, especially in Europe.
Motorcycles are the heart, soul and passion of Harley-Davidson, Buell and MV Agusta. All have great products and close connections with incredibly devoted costumers. The MV Agusta and Cagiva brands are well-known and highly regarded in Europe. They are synonymous with beautiful, premium Italian performance motorcycles.
Q: Do you see any MV products being sold under the Harley name?
JZ: Again, we can’t comment on any future products, but we’ve acquired MV to grow this great brand with the benefit of Harley-Davidson’s management, marketing, sales, and manufacturing along with their great technology and brand and their current distribution.
I think with the combination of the two we can grow MV, and that’s what we’re looking at right now.
Q: Does [motorcycle designer] Massimo Tamburini come as part of the package?
JZ: We have a contract with Massimo to continue working for the MV Agusta group on motorcycles.
Q: How will the company be run? Will you put an American management team into Italy?
JZ: Right now my first responsibility will be put in a management team in the next several weeks, up to the point where we fully acquire MV. And this will be with Claudio Castiglioni’s involvement, but I will be putting in a management team that is going to be in Italy.
Q: What will Castiglioni’s involvement be?
JZ: He is going to be Chairman of the Board and he will be in charge of R&D and racing.
Q: Does Harley have plans to underwrite an MV Agusta racing program of any sort?
JZ: We are going to go in and evaluate that proposition but they have a rich history of successful racing and obviously we are going to look at that.
Q: MV’s biggest issues are with regard with manufacturing. What plans do you have to fix that?
JZ: Right now our initial thrust is to fix what they currently have. Part of looking at that is that we need a bigger critical mass, and part of fixing their problem is increasing sales, so we need to get into production and help with the distribution and dealer system – as well as looking at their production, in terms of what they manufacture, and the way they manufacture it. But that will be done in the current facilities, in the near term. Claudio and his whole team are a great collection of people who are very passionate about motorcycling and so are their costumers – and again, that’s what makes it a great match.
When I look at Buell and Harley Davidson and MV Agusta, it’s all about passion and commitment to the sport and about motorcycling.
That’s what we really share the most. We’re going to help steer that passion so we are all successful.
re-printed by permission from International Dealer News
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