Ducati boss achieves record sales and plans sustainable racing machines

Bologna The Italian motorcycle manufacturer Ducati set two records in 2022. First a sporty one that can be seen in the Ducati Museum, right next to the factory on the outskirts of Bologna. Next to the old models that the Italian company has produced since the 1950s are two red machines that made history in 2022. For the first time, motorcycles from one brand have won the two largest motorcycle competitions in one year, the world championships in Moto GP and Superbike.

Ducati announced the second economic record on Thursday: For the first time, Ducati made more than one billion euros in sales in 2022 – an increase of 24 percent compared to the previous year. “It was a magical year,” says company boss Claudio Domenicali in an interview with the Handelsblatt. Ducati sold around 61,500 motorcycles last year, more than ever in one year. The market environment with the Ukraine war and high inflation was not easy. “We had a very difficult and exhausting time in the spring,” reports Domenicali. Control units, headlights, semiconductors or aluminium: there were problems in the supply chain for almost all preliminary products and raw materials. Ducati delivered with months of delays.

At the same time, demand increased significantly. On the one hand, this was due to new models and, on the other hand, to the ending corona pandemic. “The motorcycle became a coveted object during the pandemic because it gave you freedom without crowds,” says Domenicali. Many customers would have rewarded themselves with a purchase. In 2023, however, the market will become more complicated again, believes 58-year-old Domenicali, who has managed Ducati since it was taken over by Audi in 2013: “The macroeconomic situation is not positive.”

Germany is the third largest market for Ducati

A large proportion of the motorcycles are financed by credit, and the corresponding packages are becoming more expensive as a result of rising interest rates. Some manufacturers have already flooded the market with special offers because demand is falling. Nevertheless, the Ducati boss wants to try to repeat the result from 2022. The profit margin, which was ten percent for the first time, should again increase slightly.

Ducati does not have a volume target. But like all other brands in the VW Group, a ten-point plan that Domenicali had to present in Wolfsburg. His priorities in it: sharpening the brand profile, improving quality, increasing customer satisfaction. “Customers are our best salespeople, they talk about the company with enthusiasm and passion.” Domenicali does not see Ducati’s competition in mobility, but in entertainment, more in long-distance travel than in buying a car.

Street Fighter V2

A 955 cc 90-degree V engine is installed in the Ducati Streetfighter V2.

Germany is Ducati’s third most important market after Italy and the USA, with sales up nine percent year-on-year. Of the approximately 107,000 motorcycles registered in Germany in 2022, almost 6,700 came from Bologna. The market share grows to 6.1 percent, which means seventh place among the brands. Market leader BMW comes to 21.5 percent.

Volkswagen boss Oliver Blume met Domenicali in 2013, when Blume was still head of production at Porsche. Whether after his appointment as Porsche CEO or most recently as head of the group: “Oliver hasn’t changed his style, is very interested in leading people who see each other as a team,” says Domenicali. After winning the World Cup, he joined the team via video call. “You can tell that he comes from Porsche, where we have the same family mentality.” But Ducati, with its around 1,600 employees, has never been so close to Audi either: CEO Markus Duesmann and CFO Jürgen Rittersberger are passionate motorcyclists themselves . “They know the product and the brand.” That makes a lot of things easier.

E-motorcycle by the end of the decade?

The switch to electric drives is the biggest challenge for Ducati according to Domenicali. An e-motorcycle suitable for everyday use will probably not be available until the end of the decade, but he does not want to give an exact date yet. They only want to “offer customers an e-motorcycle when the product is mature, when it is light enough and has a sufficient range.” The energy density of the batteries is still not optimal, which forces compromises to be made. They are “easier to overcome in a car than on a motorcycle.”

Domenicali is therefore an advocate of e-fuels. The Moto GP racing series is scheduled to run without fossil fuels by 2027. Ducati is currently conducting tests with synthetic fuels together with Shell. “Legislators should leave a few doors open in order to achieve the important and necessary goal of CO2 neutrality.” It should be up to each manufacturer to decide which battery or fuel solution is best for which product.

>>Read here, how to ride the new Ducati motorcycles.

Another construction site for Domenicalis is the digitization of the motorcycle: the connection to the cloud, virtual experiences, the metaverse. “Ultimately, we sell emotions,” says Domenicali. They’re currently in the analysis phase, but “the Metaverse is definitely a possible future for the brand.” Also to introduce a new generation of customers to Ducati. A first project with digital tokens, so-called NFTs, could start this year.

Domenicali does not want to comment on a possible IPO Ducatis, about which there is repeated speculation – these are strategic decisions in Wolfsburg. Ducati is in “very good condition” in terms of numbers, investment plan and progress in the electric world.

A definitive cancellation sounds different. It is therefore possible that they will have to immortalize another milestone in the Ducati Museum in the near future.

More: Five for a quick switch – these electric motorcycles are already available

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