Introduction of Innovative Features and Accessories Push Growth of Personal Motorized Recreational Vehicles in 2005

PALO ALTO, Calif., Dec. 5, 2005 -- Motorized recreational vehicles are fun, entertaining and new developments in design, power and pricing have made them appealing to a greater proportion of the North American population. Observers of recreational products and activities believe that ATVing is the fastest growing recreational activity in North America today.

ATVs and electric powered recreational vehicles are growing at compound annual growth rates in excess of 5 percent between the base year of 2004 and 2011.

The majority of the products included in the personal motorized recreational vehicle market are in the development phase of the product lifecycle. The innovative nature of the category has drawn a number of new participants to the category in turn altering the distribution landscape. The competitive landscape is forcing many participants to choose a primary market penetration strategy. Frost & Sullivan's study reviews the various distribution options and provides an analysis of key market factors to support competitors in their strategy development process.

New analysis from Frost & Sullivan (http://www.transportation.frost.com/ ), North American Personal Motorized Recreational Vehicles Market earned revenues in excess of $3.8 billion in 2004 and is estimated to reach $5.2 billion in 2011.

If you are interested in a virtual brochure, which provides manufacturers, end users, and other industry participants an overview of the latest analysis of the North American Personal Motorized Recreational Vehicles Market, then send an e-mail to Tolu Babalola -- Corporate Communications at tolu.babalola@frost.com with the following information: full name, company name, title, telephone number, e-mail address, city, state, and country. The brochure will be e-mailed to you upon receipt of this information.

"Two initiatives by manufacturers are responsible for the strong growth trends in the personal motorized recreational vehicle market," explains Consulting Analyst Mary-Beth Kellenberger. "Expansion of entry level products has been instrumental in driving unit shipments demands whereas new technological developments that have enhanced value are instrumental to the overall rise in pricing, margins and customer satisfaction."

Because the market for motorized personal recreational vehicles is expanding rapidly, in the current market, there is plenty of room for the variety of products that the market is currently supporting. The looming challenge for this industry is to avoid commoditization that will erode prices and profit margins.

Safety issues overshadow virtually all of the personal motorized recreational vehicle categories. By far, the majority of the deaths and injuries associated with these vehicles are due to improper use of the product by the driver.

As the number of vehicles and concentration of users increase, there will be mounting concerns toward public safety. "The challenge for the industry is to improve rider safety as the number of customer touchpoints increases," states Consulting Analyst Mary-Beth Kellenberger.

North American Personal Motorized Recreational Vehicles Market, part of the 9801 Automotive Aftermarket subscription, provides an overview and outlook for the market. This study has been segmented into All Terrain Vehicles, E-bikes, Minibikes and Electric Personal Mobility Devices. This research includes detailed market opportunities and industry trends that have been evaluated following extensive interviews with market participants. Interviews are available to the press.

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics. For more information, visit http://www.frost.com/ .

      North American Personal Motorized Recreational Vehicles Market
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   Contact:
   Tolu Babalola
   Corporate Communications - North America
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   E: tolu.babalola@frost.com

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   Corporate Communications - Europe
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