DECEMBER 16, 2004

OFFBEAT
By Olga Kharif


A Motorbike of Their Own
Women are the fastest-growing group among riders -- and the underserved area that Wicked Women Choppers is shaping its products for
Christine Vaughn always knew how to make an entrance. While most moms would pick up their kindergartners in the requisite minivans, she roared to the curb every day on a Harley-Davidson, a trail of exhaust in her wake. Now, years later, she's hoping to make an equally dramatic foray into the motorcycle manufacturing industry with her startup, Wicked Women Choppers.

With a de facto mission statement of "well-behaved women seldom make history," Vaughn's Herrin (Ill.)-based concern is quickly making a name for itself. Talk-show host Jay Leno, a motorcycle aficionado who boasts a collection of rare models, is a fan of Vaughn, calling her personally earlier this year to tell her so. Already, a movie production outfit is vying for the rights to the life story of this hog-riding mother -- all this before Wicked Women Choppers has sold a single bike.

BETTER PROPORTIONED. The business will release its first model in February. In the male-centric motorcycle industry, Wicked Women will offer bikes designed specifically for the 51% of the population all but ignored by other manufacturers.

With names like "The Vixen" and "The Shady Lady," the outfit's bikes are equipped with special seats that can be lowered to allow even a petite, 4-ft.-10-in. woman to plant her feet flat on the ground while waiting at a traffic light. The handlebars are also extended, making them easier to reach with shorter arms. And the seat and gas tank are narrower, to provide women with a more comfortable ride.

These are features that Vaughn, who's 5 ft. 6 in., has built into her own motorcycles for years, while designing a matching one for her husband Dan. Her customizations have been so popular that on more than one occasion the couple had to walk home after being persuaded to part with their unique his-and-hers bikes for a hefty sum.

GROWING PACK. Such interest led Vaughn, who previously managed real estate and worked as an executive assistant to Dan, a retired phone company executive, to make a living with bikes. She called it Wicked Women Choppers because in the Wild West, women who didn't stick to the kitchen were often called wicked.

First, she had to persuade motorcycle-parts manufacturers to work with her -- not just an unknown, but an unknown woman. Her letter to Brett Smith, president of Viola (Wisc.)-based S&S Cycle, one of the world's largest motorcycle-engine makers, started with, "Remember when S&S was just S? That's where I am now. Can you help?" He did.

"If women are the fastest-growing demographics in the industry and someone wants to cater to these demographics, I want to be part of that," says Smith, who has introduced Vaughn to other industry leaders. Besides, he says, "I have a soft spot in my heart for the women in this industry." Smith's own grandmother Marjorie, something of an industry legend, helped run S&S in the '50s and '60s.

NEGLECTED MARKET. Today, that industry is red-hot. As rebellious Baby Boomers near retirement, with plenty of money to spend, motorcycle sales in the past four years have exceeded those in all of the 1990s by 24%, according to the Irvine (Calif.)-based Motorcycle Industry Council (MIC).

A chunk of that explosive growth came as women left bikes' back seats and grabbed the handlebars themselves. In 2003, female motorcycle ownership reached 9.6% of all bikes, up from 6.4% in 1990, according to the MIC. "There's definitely a women-centric niche in this market," says Lance Ealey, director of automotive practice for market consultancy the Freedonia Group in Cleveland.

Yet, motorcycles sold today are still designed with men in mind. That represents a significantly underserved market for Vaughn. After several years of tinkering and 16-hour work days, her business is about to go into full gear. Her shop, employing four full-time and two part-time workers -- half of them women -- is starting production of its first motorcycle, the Shady Lady, to be priced at $34,000.

Vaughn plans to sell at least 500 bikes through distributors in the U.S. and Canada in 2005 and expects to turn a profit in the same year. She has had at least one early sign of potential demand -- Wicked Women Choppers' $18 T-shirts are selling like hot cakes.

TOUGH ROAD. By 2009, Vaughn hopes her startup's annual unit sales will be double its 2005 level. But that's some way off. To get there, the Vaughns, who have already poured about $250,000 of their own money into the business -- even selling their Harleys -- are looking for $5 million in private investment to help with production costs.

Despite the early buzz, Vaughn's ride may not be a smooth one. U.S. motorcycle buyers tend to go for brand names more than features, says Freedonia's Ealey, making a new entrant's job even harder. What's more, if her idea does take off, industry giants like Harley (HDI ) could jump into the game.

"The big dogs may come out with a line of women's bikes," Vaughn says. "I'd take that as an honor and respect." Until then, full speed ahead.


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Kharif is a reporter for BusinessWeek Online in Portland, Ore.
Edited by Rod Kurtz