• by Karl Greenberg , May 1, 2008

Harley-Davidson is hoping younger riders zig toward cruisers instead of zag toward sport bikes.

The company has launched a sub-brand called "Dark Custom" that comprises literally darker versions of Harley's lineup of Sportsters, Soft Tails, and Fat Boys.

It is promoting the bikes with a microsite on Harley-Davidson.com that features video segments on bikes with names like "Night Rod," "Cross Bones," "Nightster" and "Fat Bob." It also has vids of the Hollywood launch party, in which one of the bikes was unveiled.

In the U.S., Harley-Davidson has for years led all other manufacturers in sales--a circumstance not at all lost on import brands like Yamaha and Suzuki, both of which have in the past three years launched cruiser sub-brands.

Analysts say the company needs to get younger buyers. "The renaissance of the Harley brand came in a good part because they were able to move the brand from its bad-boy Hell's Angels crowd and evolve it to appeal to a more mainstream market," says marketing analyst Wes Brown with IceOlogy, Los Angeles. "They have been able to shift the brand from a niche-appeal product to a much more mainstream product without upsetting or alienating their core consumer and equity."

The importance of the brand's mystique is even reflected in the acronym for Harley-Davidson's national owners club, "HOG" (Harley-Davidson Owners Group). "But looking forward, that only takes you so far because Boomers are aging," notes Brown. "They have ridden that wave, but they can't ride it 'til it hits the shore."

Lenny Sims, motorcycle editor at auto research site NADAguides, notes that in the last few years the average age of the Harley-Davidson buyer has increased from 44.5 to 49. "One could contend it's good news because it reflects brand loyalty, but it also says they aren't bringing youth to the market."

The company tried to address the appeal of sport bikes to younger buyers by acquiring American-made sport bike brand Buell in the 1990s. And within its own lineup, the company has come out with a sleek, less chromified bike called the VRSC--which in the Custom Dark line division is the Night Rod Special.

Tapping the next generation will be tough because 20- and 30-something consumers prefer high-performance sport bikes. "They like the image of speed, and they like the racing aspect," says Brown, who notes that fan demographics for Moto GP motorcycle racing are in the low- to mid-30's, male and affluent.

"These are kids every car company salivates over. And they may have the perception--right or wrong--that Harley-Davidson motorcycles aren't as 'green' as high-performance bikes out of Japan because of the exhaust noise, perceptually."

Still, he says that what Harley has going for it is its counterculture ethos. "Gen Y loves tattoos; they are incredibly brand-conscious and brand-savvy and like to associate themselves with counterculture, which is what Harley is about. Which is why Boomers bought them in the first place."