Powersports OEMs were less aggressive on incentives in July following sales growth spurred by improved weather, according to a report BMO Capital Markets provided to Powersports Finance.
Promotions were lower than they had been in the prior two months, likely a positive sign that dealers had less inventory to move in July, Analyst Gerrick Johnson said in the report.
Polaris continued its Summer Sales Event into July with offers that were lower year over year. All current and prior model year off-road vehicles have a 3.99% APR offer, compared with 2.99% financing at the same time last year.
The OEM was more aggressively promoting Scout model motorcycles with 1.99% financing or up to a $1,000 trade-in offer. Scout models had no offers in the prior-year period. Middleweight motorcycles had no offers in July, compared with 1.99% financing or six months of no payments last year.
BRP’s offers on current model year product was “mostly consistent” with prior months, however, prior model year ATVs, snowmobile, personal watercraft, and Spyders all had larger offers year over year, Johnson said in the report. For example, Spyders were offered with rebates up to $5,500, compared with $4,500 year over year.
Japanese OEMs, such as Honda and Yamaha, ran “minimal” promotions in July, Johnson said. For example, Honda’s Ride Red sales event began in July for customers with a Honda Powersports credit card. “Overall, promotions were mostly comparable to last year,” Johnson explained.