Watch the news for too long and the term "economic crisis" will jam its way into your daily lexicon. Keep watching and you'll eventually think nobody in America has a job, every house is being foreclosed on and not a single bank loan is being approved. Given this outlook, the media is persistently reminding us the situation is "toxic" and a "dire emergency," so how could we possibly justify doing something so seemingly frivolous as race dirt bikes? Is this industry immune? Are the original equipment manufacturers (OEMs) still posting record sales? Are the racing budgets as unlimited as titanium parts on a full-factory 450?
According to a February 2009 press release from the Motorcycle Industry Council (MIC), the off-highway motorcycle market dropped off 30 percent in 2008, and word around the shops is the first months of 2009 are just plain scary. Industry insiders say they've been hearing a new phrase in the pits: "Does that fit in the budget?"
First, The Good News
It may seem like we already broke the bad news with the report on decreased bike sales. A harder, historical look reveals the industry experienced 14 years of rising sales from 1993-2006 and total sales of all new motorcycles and scooters topped the one million mark for six straight years leading into 2008, beating the record sales from 1970-'74, according to the MIC's Press Relations Manager Ty Van Hooydonk.
"I know a lot of other industries that would love to have those numbers," he said. "Twenty years ago, motorcycle sales were a quarter of what they are now."
With "economic crisis" keeping new models on the showroom floor longer, a lot of riders are taking the iron they already have and making it last longer. One company that's experiencing a record year in sales is Dubach Racing Development (Dr.D), an aftermarket performance engineering firm led by former Yamaha factory star Doug Dubach. Terry Beal, Dr.D's vice president of sales and marketing, experienced that aforementioned 14-year industry surge while working for companies like O'Neal Racing and Yamaha Motor Corporation U.S.A. He has a sharp sense for what feeds the industry, and right now that's keeping old bikes looking new. Beal said January '09 was their second highest month ever and that by February 4 they had 60 percent of that month's goals already committed to paper.
"The aftermarket companies are doing pretty well," he said. "We're a growing company, and people are upkeeping and upgrading their bikes. Doug and I agree this is no time to slow down. If you get scared, you'll shrivel up and die. When things turn, you'll be at the front and you can take advantage of it."
Other than some examples of strong aftermarket sales, there are factors that show our sport is still popular. The attendance at the first 10 rounds of the AMA supercross season was no indicator of a troubled economy.
According to one Feld Entertainment Motor Sports official, the series' promotions body, there was a slight scare before the opener in Anaheim when advanced ticket sales were weak. However, the walk-up crowd on race day was strong, the posted attendance actually topped the 2008 numbers by 700 seats and the crowd was less than 3000 shy of a sellout. Phoenix, one of the economically hardest-hit cities in the country, did see almost a 20 percent drop in attendance from 2008, but the numbers picked back up all the way through Daytona and the series set a record in Indianapolis at the new Lucas Oil Stadium with over 61,000 fans.
Supercross has long been known to offer the $10 ticket, but Feld officials don't release how many tickets are offered at specific price points. Another selling point is that, compared to other major league sports like the NFL where tickets go into triple digit costs for comparable seats, supercross is more affordable and the accessibility to the athletes is better. It seems it's a working man's sport, even if they aren't working.
If the quality of the competition and the loyalty of the fans during the supercross season was an indicator, then the AMA Motocross Championship may optimistically see major high notes in 2009.
The sport survived the tough recessions of the mid-'70s and early '80s, but in today's market, the outdoor series seems to be thriving months before the first moto ever takes off as the new promoter, MX Sports, has made announcements and additions to the series almost weekly. The 2009 season will see more changes in one year than the sport has received since its inception in 1971. The major announcements included a bold move to a one-day, Saturday-only format, a television package split between Speed TV and NBC that will air six of the 12 races live and a new title sponsor in Lucas Oil, the same name that adorns the stadium where the NFL's Indianapolis Colts play. The goal, according to MX Sports officials, was maximum exposure to keep the top riders in the sport while keeping the budgets of the teams and local riders in mind.
"This [economy] isn't going to last forever," said Davey Coombs, vice president of MX Sports. "By investing now we feel it will help our teams, sport and industry. We don't want the top riders and teams to look at the series and say, `We're just going to race supercross.'"
For the fans, Coombs said the whole atmosphere is being changed from an event to a festival with attractions outside of practice and motos.
"We're trying to make this more of a happening than just a race."