Power Sports Market: Banking on Side by Side (SxS) ATV Segment

The two major segments of the power sports industry - core All Terrain Vehicles (ATVs) and snowmobiles has not been performing to the levels expected by the industry in the last two years. The only silver lining of the hitherto sluggish power sports industry is the side by side or SxS ATV segment that is growing in double-digits.

While the core ATV segment has grown in double-digits till 2004, sales have plummeted showing signs of a maturing industry. Snowmobile segment of the power sports industry, on other hand has seen declining unit sales over the last ten years mostly because of inadequate snowfall that used to support riding seasons.

In the maturing ATV segment - SxS is gaining popularity because of the convenience of seating a second passenger along side the driver - a concept that was not explored earlier. As a result, the SxS segment is growing in double-digits but the most striking growth is achieved by the recreational sub-segment of the SxS ATV segment.

The three major brands that have gained popularity in the SxS segment are Polaris Ranger, Yamaha Rhino and the Kawasaki Mule. While Polaris has a significant presence in the SxS segment, the snowmobile major Arctic Cat is also taking keen interest in this segment.

The report is a study on the power sports industry - the industry that caters to the recreational requirements of individuals. The focus of the report is on three segments of the power sports industry - ATV, snowmobiles and heavyweight motorcycles. The performance of all these three segments has been analyzed and the competitive intensity in each of the segments has been studied. Further, the report focuses on two major companies operating in the power sports industry - Polaris and Arctic Cat.