Everyone was riding the pandemic boom.
The outdoors were the only safe place to be. And getting yourself further into them, whether it was on a motorcycle, jet ski, or snowmobile, was the name of the game. But UTVs were the hottest thing around, as they let you and your whole family get outside all at once. No longer were you stuck in the house, watching as Covid tests returned good or bad news.
But then the world started opening up, people began grappling with rising inflation, groceries became far more expensive, and wallets started to tighten. The pandemic spending on the outdoors didn't exactly dry up, but it absolutely contracted. And the first thing hit were the expensive items like UTVs.
While the rest of the powersports industry saw declines, none were as drastic as UTVs. It's not hard to see why, either, as they're the most expensive of the bunch. And folks had the habit of tacking on all the accessories they could've ever needed or wanted.
Those variables, however, led to a decline in sales that the industry has been feeling ever since. But according to new data, the UTV market is beginning to see that downturn righted. Seems folks still want to get outside with their families and go on wild adventures.
Who knew money could actually buy happiness?
According to research by Power Products Marketing out of Minnesota, the UTV market recovered by about 3.5% in 2023. While that's not a lot, the margins that the UTV players are playing in aren't big either, so it represents a good spread of growth. Of the top ten UTVs sold in volume, five were from Polaris, while John Deere, Can-Am, CFMoto, Kubota, and Hisun made up the other spots.
All in, the market sold 568,944 UTVs total.
Now, those top ten stats aren't all that surprising, given we already knew that BRP, Can-Am's parent company, has been struggling in recent months. The manufacturer's offerings are more expensive than others in the space, as well as they have fewer dealerships. But to only have one, Can-Am's Defender Max Limited, be included, that's certainly cause for concern.
As for what's next, well, while the first half of 2024 has seen growth within the space, it's been cooling ever since. And though interest rates have begun to decline, inflation hasn't. Wages have also remained stagnant for the vast majority of Americans. Add a presidential election year, one that's beyond chaotic, and consumers tend to hold their bank accounts a little closer to the vest. But if you add all those variables up, you're likely to see either the UTV market remain flat or decline slight for this year.
But hey, maybe we all win the lottery and start buying toys left and right? One can certainly dream.
