Ad Agency Drops Harley After Three Decades

According to an Associated Press wire report, Harley-Davidson Inc.’s main ad agency of 30-plus years has dropped the motorcycle maker in favor of new business.

Ad agency Carmichael Lynch, a unit of Interpublic Group, said many factors went into the decision, including the fact that the Milwaukee-based motorcycle maker has slashed its marketing spending in recent years amid slumping sales.

Carmichael Lynch President Doug Spong also said Harley-Davidson was also never a big spender on traditional advertising. “It got to the point where we no longer felt we could take that brand forward,” Spong said.

According to Kantar Media, Harley-Davidson spent about $11 million on television ads and other measured media last year, half of its 2007 media buy.

Harley-Davidson said it will not conduct an agency review process or look to replace Carmichael Lynch.

This news comes on the heels of a 5.5 percent decline in second quarter retail sales as well as continuing union negotiations that may result in the Motor Company moving Milwaukee-area manufacturing to its Kansas City, Mo., plant.

Race Winning Brands (RWB) and its portfolio of brands (BoostLine Products, CORSA Performance, Dart Machinery, Diamond Racing, Haltech, JE Pistons, Manley Performance, MGP, PAC Racing Springs, ProX Racing Parts, Rekluse, RevMax Performance, Transmission Specialties, Trend Performance, Volant and Wiseco Performance Products) is announcing its transition to a Unilateral Retail Pricing Policy, reflecting its commitment to maintaining the quality and reputation of its products in the performance components industry. The implementation of Minimum Retail Price (MRP) for its portfolio of brands is aimed at addressing challenges such as counterfeit product sales, advertising and selling practices that focus solely on price.