In an industry searching for young riders, the new mobile app and digital bike-buying platform RumbleOn believes it has a formula that’s resonating with millennials, Marshall Chesrown, the startup’s founder and chief executive, told Powersports Finance.
Harley-Davidson Inc. in particular is in the midst of a campaign to attract younger riders, as others such as Polaris Industries Inc.’s Indian brand gain steam, according to The New York Times.
“Right now, the average age of our buyer is running 15 years younger than Harley-Davidson, and about 90% of our total business is Harley,” Chesrown said, adding that RumbleOn has “significantly less” trade-in volume than a traditional brick and mortar. “It’s an extreme benefit for the manufacturer in the long run because you are bringing first-time buyers into the marketplace … We believe as a company, there is a better way to do that and that is with [emphasizing] what they can afford to buy.”
The company’s average buying age currently hovers around 40, whereas Harley’s is at 55, he said.
RumbleOn allows consumers to buy or finance motorcycles all online with a haggle-free price and have it delivered to their home, much like Chesrown’s former auto venture Vroom. The platform is working with more than 10 lenders, including MB Financial and Commerce Bank.
Additionally, the startup is eyeing leasing as a way to attract younger buyers as well.
“There are a couple of lease providers out there right now such as MotoLease and a couple others,” Chesrown said. “We’re looking at those and long term I think leasing would be a very effective tool in this space if executed properly. That’s definitely on the radar screen.”