utv market
By Glenn Hansen
opportunities it ’ s worth the work
The Kawasaki Mule carved a functional path for UTVs , then followed a bit as machines have adopted a fun attitude .
awasaki introduced its Mule utility vehicle brand in the 1980s ; it was way more functional than the oncepopular three-wheeler and far easier to use than a pickup or tractor . It didn ’ t take long for competitors to field new vehicles , and for entrepreneurial owners to improve them . And while Kawasaki has updated its Mule family , today ’ s utility vehicle stable is full of thoroughbreds and mustangs and Clydesdales . It ’ s one of the strongest market opportunities available today , and outdoor power equipment dealers should look closely at it .
From beefed up golf carts to wanna-be pickup trucks , the list of utility vehicles and manufacturers is long . The vehicle market continues to grow , making it difficult to define and to quantify . I ’ ve seen reports predicting a compound annual growth rate that ranges from three percent to nearly five percent between now and 2027 . That would grow the North
American market to an estimated $ 5.0 billion or higher .
What about in your neighborhood ? How big is your UTV market , and can it keep growing ? The growth potential for your sales of UTVs and accessories depends on where you are right now , of course . The outdoor power equipment dealer closest to my home carries a vehicle mix representative of the local demography . Diesel-powered 96-inch mowers share floor space with fully dressed cruiser motorcycles . And in between is a utility vehicle built for a mix of work and play . Your store might not have floor space to display all that , nor a customer base interested in all that . But if you isolate the vehicle , of those three , with the broadest market appeal , the most versatility , and potentially the largest profitability over the long term , you ’ re focusing on the utility vehicle . Here ’ s what you need to know about the recreational / utility side of the UTV market , and how it might work for you .
18 OPE Business March 2023 www . OPEBusiness . com