KTM is flailing.
Sales are hella down, the public's view of the company is in shambles after its trashfire statements over its camshaft issues and subsequent "OK, we didn't do them right" reversals, and the company's leadership just haven't a clue. Pierer, KTM's parent company, even just brought the hammer down on the group's board, something that never happens in the business world, as god forbid you cut an executive.
What's worse for the company's future health? KTM's decision-makers just don't understand what the buying public is after. No, they're continuing barrelling along just as they've always done and building, and failing to sell, expensive motorcycles. Don't believe me? I'd like to point you to the absolutely tone-deaf debut of the 1390 Super Adventure S Evo adventure motorcycle taking place ahead of the new 390 Adventure series. You know, a $25,000 motorcycle that only a few rich folks can afford or even want compared to the $7,500 motorcycle that has likely kept the firm afloat.
Talk about an unforced error.
I'll first say this. KTM's new 1390 Super Adventure S Evo is cool. It's tech-forward, makes gobs of power, does blisteringly fast wheelies, and was made to cross continents in a hurry. There's no denying that this bike will be a ton of fun and that its more than capable of handling the street, track, or with some knobbies, a trail. But a ton of fun at the 1390 Super Adventure S Evo's likely eye-watering price point isn't going to move a lot of motorcycles. And with KTM's sales already struggling, putting more emphasis on the 1390 vs. its upcoming small-displacement 390 series is just mind-bogglingly dumb.
Right now, the companies that are winning are the ones that are putting more emphasis on their small-displacement and inexpensive motorcycles. The Triumphs, Royal Enfields, Bajajs, and CFMotos of the world—the latter two of which build part of KTM's lineup. Each of those brands is defying expectations and raking in the sales like never before. And the reasons why are two-fold: price and usability.
While I love high-horsepower, manic, twitchy, ludicrous machines, there's no real daily use there. At least not how I'd like to. If I did, I'd likely be serving 5-10 for wheelieing past a cop at 130 mph. You just don't need horsepower like these full-size bikes have when you're headed to the grocery store or even on your favorite mountain road.
Likewise, the folks who maybe have the money to burn to afford those machines are at the age where they're likely not engaging in those hooligan antics anymore. At least not on a daily basis—I'll have you know I still pull wheelies. But those buyers don't need 200+ horsepower. They're slowing down or trading those big bikes in for more manageable and fun middleweights and small displacement motorcycles.
And here's where KTM's debut schedule enters its tone-deaf stage.
The vast majority of new riders—you know, the folks who'll continue buying motorcycles long after my generation, as well as the generations before me, is dead and will make up KTM's future customers—want something they can just hop on and cruise with. They want a motorcycle that they can grow into. They want something that's not super twitchy. Not loaded with unnecessary tech. And most of all, they want something they can afford.
That's the case for a lot of other riders, too. They're transitioning from those more expensive motorcycles as interest rates remain high, wages remain low, and the US election is in full swing, meaning more and more people are putting off large purchases. Just ask Polaris or Harley how they're doing.
But there's a reason I'm still daydreaming about the Royal Enfield Himalayan 450 compared to the BMW F900 GS.
KTM is likely to drop the new 390 series motorcycles at EICMA in a few days, which means it absolutely could've swapped the releases of the 1390 and the 390. It wouldn't have been that hard. And it would've shown that the brand understands where it needs to go in the future, i.e. deemphasizing its larger motorcycles for smaller, less expensive motorcycles that will bring new loyal customers to the brand. KTM's brass absolutely has the sales figures telling the story that the brand's smaller displacement motorcycles are outpacing its bigger bikes to back that up, too.
But KTM didn't.
Instead, the company is doubling down on a strategy that's clearly not working in a fit of "We have to hold onto the old ways! We sell the most capable large displacement motorcycles on the planet! Damned be the smaller bikes!" It's incredibly short-sighted and I honestly have zero confidence in KTM seeing its mistake this quickly and putting the emphasis on the 390s in the coming weeks they deserve. Because if you look online, sift through the comments on social media, and on Reddit, way more people are interested in the as-yet-to-be-release 390 compared to this big-bore tourer.
There may be a silver lining to all of this doom and gloom I'm prophesizing, though. With KTM's parent company doing so horridly right now, maybe there's an opportunity for Bajaj to swoop in and purchase a controlling stake? That company is, as mentioned above, doing great as its focusing on the motorcycles the world wants. And given its partnership with KTM, it has the real possibility to turn the struggling brand around just like others have done for both Royal Enfield and Triumph.
KTM could also just call me and ask for my advice. I'm likely waaaaaaaay cheaper than all those fancy pants focus groups or strategy companies they're likely employing. Yo, Stefan Pierer, my line is always open for you.
