Polaris 2014 Annual Report Download - page 10

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Q: What do you have to do dierently with this
targetmarket?
A: Powersports are new to most of these customers,
so we need to broaden and increase awareness
that we have a unique way for them to experience
o-roading.
Q: How else are you growing the ORV business?
A: We know that customers want both value and
premium vehicle options tailored to their needs.
But they don’t want to spend time choosing and
adding accessories; they want us to do it for them.
So we created several packages that pair vehicles
with multiple factory-installed accessories to meet
customers' specific needs. To date, we have five
packages:
RANGER
® hunter, trail and cold weather
editions, and
RZR
® mud and desert editions. The
packages have been so successful that we’re adding
five more in 2015-16.
Q: You have two brands that have surpassed the
$1billion sales mark, and another that’s close.
What’s the secret to success?
A: Competitors can’t match our breadth and depth
of quality. We have the broadest range of customer
applications in the industry, providing high-
performance, high-value ORVs to meet every need.
Q: O-Road Vehicle (ORV) sales have increased
185percent in the past five years. Is there still
growthopportunity?
A: Absolutely. Today, we only have 2 percent household
penetration with our ORVs. As we continue to
strengthen our portfolio, our goal is to reach 5 percent
household penetration in the next five years.
Q: How will you increase household penetration?
A: Using the same successful formula we’ve been
using: Develop great brands and products that meet
customer needs for o-road mobility, recreation
and work. The latest example is ACETM. We launched
it last year under the SPORTSMAN® brand as a new
ATV category. It’s been so successful at bringing us
incremental customers that we made it a separate
brand. This could be a $500 million brand for us
infiveyears.
Q: Who’s buying ACE?
A: ACE customers include a lot of women, Baby
Boomers and people who’ve never owned an ORV.
They like that ACE gives them a new opportunity to
experience the outdoors with friends and family.
OFF-ROAD VEHICLES
DAVID LONGREN //  VICE PRESIDENT OF OFF-ROAD VEHICLES
6
POLARIS INDUSTRIES INC. ANNUAL REPORT
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