By Bud Wilkinson of RIDE-CT.com
After handling advertising campaigns for Harley-Davidson for 31 years, Minneapolis-based Carmichael Lynch announced today that it has resigned as the agency of record. “We anticipate shock and disbelief from some in our industry over our decision, but the fact is our agency leadership came to the consensus that we’ve taken the Harley-Davidson brand as far as we can,” said Carmichael Lynch president Doug Spong in a statement. The “Minneapolis/St. Paul Business Journal” has the story.
While it does seem shocking, and any number of factors could have come into play, it seems obvious to RIDE-CT that Carmichael Lynch was in a no-win situation. For one, sales of new motorcycles are in the tank because of the economy and a rebound isn’t in sight. No amount of advertising is going to sell bikes if consumers don’t have the money to buy, especially when the used market is flooded with low mileage Harleys of recent vintage that can be purchased for less. Perhaps the only thing Carmichael Lynch saw on the horizon from Harley was blame.
You also can bet that given its belt-tightening mentality of the moment, Harley wasn’t about to be lavish with spending to promote its products on a mass basis. If you can’t adequately get the message out to the masses, what’s the sense in banging your head against a wall?
Add in the fact that Harley’s owner base is aging and starting to give up riding, and mix in the fact that Harley lacks new models that appeal to young riders, and the future looks even bleaker from an ad agency standpoint. Resigning such a large account may not be easy, but sometimes it’s the wisest decision.