1 © 2015 Ipsos.11

DARRELL BRICKERGlobal CEO of Ipsos Public Affairs

September, 2015

Power Sports

2 © 2015 Ipsos.

METHODOLOGY• These are the findings of an Ipsos poll of 2,006 Canadians

conducted online via the Ipsos I-Say panel

• The study was in field from August 18 to 25, 2015.

• Quota sampling an weighting was employed to balance demographics to ensure that the sample’s composition reflects the overall composition of Canada according to census information.

• The accuracy of Ipsos online polls is measured using a credibility interval. In this case the results are considered accurate to within +/- 2.5 percentage points, 19 times out of 20, of what the results would have been had the entire population of adults aged 18+ been polled.

3 © 2015 Ipsos.

Participation in power sports activities

4 © 2015 Ipsos.

Series1 41%

23%

23%

22%

21%

23%

59%

Q1. Which of the following sports and activities have you engaged in in the past (more than once), and which would you be interested in doing in the future? Base: All respondents (n=2006)

40%

29%

23%

16%

10%

8%

60%

Engaged in more than once

Interested in future

Participated/interested in at least one activity

NoneNone

Forty percent of Canadians have participated in at least one power sport activity. In general, those interested have already tried, so it’s about re-engaging those who have already experimented with it.

5 © 2015 Ipsos.

Women – 34%Ontario – 36%British Columbia – 36%

Skews men – 45%18-34 years old – 45%< High school or less – 49%$60-100K – 46%Alberta – 46%Quebec – 43% Atlantic – 49%

Who is engaged in power sport activities?

Who are less engaged?

6 © 2015 Ipsos.

TOTAL Male Female 18-34 35-54

Participated in Past

Interest in Future

Participated in Past

Interest in Future

Participated in Past

Interest in Future

Participated in Past

Interest in Future

Participated in Past

Interest in Future

N=2006 n=945 n=1061 n=523 N=784

Any 40% 41% 45% 46% 34% 36% 45% 60% 41% 41%

Snowmobiling 29% 23% 32% 23% 25% 22% 30% 39% 29% 20%ATVing 23% 23% 26% 26% 21% 20% 30% 37% 27% 21%4X4 truck/Jeep off-roading 16% 22% 19% 25% 13% 19% 23% 35% 17% 22%Off-road motorcycling 10% 21% 12% 25% 7% 17% 12% 37% 11% 20%Side-by-Side ROVs 8% 23% 10% 28% 6% 19% 13% 36% 8% 23%None of the above 60% 59% 55% 54% 66% 64% 55% 40% 59% 59%

Q1. Which of the following sports and activities have you engaged in in the past (more than once), and which would you be interested in doing in the future? Base: All respondents (n=2006)

The greatest opportunity for expansion appears to be in 4X4, off-road motorcycling and side-by-side ROVs.

7 © 2015 Ipsos.

BC AB SK/MB ON QC ATL

Past Future Past Future Past Future Past Future Past Future Past Future

243 196 172 717 474 204

Any 36% 32% 46% 44% 40% 40% 36% 41% 43% 44% 49% 42%Snowmobiling 24% 20% 35% 27% 29% 26% 26% 23% 30% 20% 37% 24%

ATVing 16% 18% 31% 29% 22% 21% 20% 24% 28% 20% 30% 23%4X4 truck/Jeep off-roading

18% 13% 20% 27% 16% 22% 14% 23% 15% 21% 17% 26%

Off-road motorcycling 10% 15% 15% 25% 6% 23% 8% 22% 11% 22% 11% 18%Side-by-Side ROVs 5% 13% 12% 30% 10% 18% 8% 22% 8% 28% 9% 25%None of the above 64% 68% 54% 56% 60% 60% 64% 59% 57% 56% 51% 58%

Q1. Which of the following sports and activities have you engaged in in the past (more than once), and which would you be interested in doing in the future? Base: All respondents (n=2006)

And across provinces, Ontario and Quebec provide the most opportunity for growth, both in propensity and population...

8 © 2015 Ipsos.

Q2. Where have you participated in these activities?Base: Rebased to total population

Interested in any power sport in the

future

Not interested in future

N=767 N=1239

Participated in any power sport (more than once) in the past 28% 12%

Not participated in the past 12% 48%

The core target market of power sports enthusiasts is roughly four in ten Canadians, with only 12% being brand new participants.

New users

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Q6. Thinking about the power sports industry, to what extent do you agree or disagree with the following statements..?Base: All respondents (n=2006)

8%

7%

6%

22%

22%

19%

26%

26%

24%

45%

46%

51%

Strongly agree Somewhat agreeSomewhat disagree Strongly disagree

I have a strong interest in getting more involved in participating in

power sports

I have a strong interest in getting more involved in watching organized

power sports as an audience member

I'd be interested in joining a power sports club

29%

29%

25%

% agree

Almost one-third of Canadians are interested in participating or watching power sports. One-quarter would want to join a power sports club.

10 © 2015 Ipsos.

Q7. Which of the following would make you more likely to be involved in power sports and activities?Base: Rebased to those interested (n=923)

If I could afford it

If I had friends that I could participate with

If I could rent rather than buy the equipment to give it a try

If there were more places to participate in the power sport/activity I'm interested in

If I had more experience in power sports/activities

If a family member was comfortable with me participating

If I could join a club that participated in the power sport/activity I'm interested in

68%

47%

32%

31%

26%

15%

15%

The biggest barriers to increasing participation are affordability and having friends to participate with.

Among those interested in power sports

67%

53%

36%

35%

36%

23%

19%

18-34 years old

11 © 2015 Ipsos.

Attitudes towards power sports activities and industry

12 © 2015 Ipsos.

13%

19%

16%

13%

11%

10%

40%

44%

38%

36%

33%

33%

26%

20%

24%

27%

30%

31%

21%

17%

21%

24%

26%

25%

Very favourable Somewhat favourableNot very favourable Not at all favourable

53%

63%

54%

48%

44%

44%

The power-sports industry,

overall

Q3. Based on your experience with these sports and activities, or just your general impression, how favourable are you towards the following…?Base: All respondents (n=2006)

% favourable

Just over half of Canadians are favourable towards the power sports industry, but more favourable in Quebec. Beyond ATVing, and snowmobiling, more are negative.

QC-64%

QC-54%

QC-59%

QC-54%

QC-64%

QC-65%

13 © 2015 Ipsos.

Q4. Based on your experiences or impressions, how well do power sports riding organizations/ industry perform in the following areas…?Base: All respondents (n=2006)

15%

14%

14%

12%

12%

10%

58%

54%

50%

47%

44%

38%

20%

26%

28%

31%

32%

39%

7%

6%

8%

9%

12%

14%

Very well Fairly well Poorly Terribly

Contributing to Canadians' quality of life and leisure

Contributing to the Canadian economy

Promoting safety and preventing injuries

Being a good neighbour

Respecting landowners' property

Working to protect the environment

73%

68%

64%

59%

56%

48%

% very/fairly well

Majority of Canadians think that power sports riding organizations/ industry perform well in contributing to quality of life and leisure.

Two-thirds think there is some room for them to improve on promoting safety and preventing injury.

14 © 2015 Ipsos.

Q5. To what extent do you agree or disagree with the following..?Base: All respondents (n=2006)

29%

27%

22%

48%

50%

43%

16%

17%

26%

7%

7%

9%

Strongly agree Somewhat agreeSomewhat disagree Strongly disagree

If government is to provide more financial support to the power sports community, they should also provide more oversight and regulation of its

activities.

Government and power sports organizations should work together to

expand trail riding and tourism, promote safety, and enhance other

mutually-beneficial goals.

It should be left up to the power sports industry to create trails and

other places to practice the sport, and to manage and grow the industry, not

the government.

77%

76%

65%

% agree

Over three-quarters believe that gov’t and power sports orgs should work together to enhance mutually beneficial goals, more than leaving the industry to do it on their own.

15 © 2015 Ipsos.

Q5. To what extent do you agree or disagree with the following..?Base: All respondents (n=2006)

11%

26%

35%

50%

29%

15%

25%

9%

Strongly agree Somewhat agree Somewhat disagreeStrongly disagree

I support a portion of the gas tax being dedicated to help expand

power sport tourism, rider safety and environmentally sound places to

engage in power sports.

I support a portion of power sport vehicle registration fees being used to enhance trails or other places to

engage in power sports.

46%

76%

% agree

Over three-quarters support the use of sport vehicle registration fees to be used to enhance trails for power sports.

Less than half support gas tax being dedicated to expand tourism, safety and the environment for power sports.

16 © 2015 Ipsos.

Q6. Thinking about the power sports industry, to what extent do you agree or disagree with the following statements..?Base: All respondents (n=2006)

14%

8%

46%

43%

29%

33%

11%

15%

Strongly agree Somewhat agreeSomewhat disagree Strongly disagree

My understanding of power sports is that it is largely an

individual/private activity where people can do as they please

I think power sports are well organized (i.e. safety standards,

environmental regulations, providing places to participate in the

sports, etc.)

60%

52%

% agree

The industry is seen as a bit lawless: Almost two-thirds think that power sports are largely an individual activity where ‘people can do as they please’.

Half of Canadians believe that power sports are well organized; half do not.

17 © 2015 Ipsos.

Q2. Where have you participated in these activities?Base: Total answering (Base sizes vary)

n=450 n=191 n=294 n=159 n=558Authorized access to private land 47% 38% 42% 32% 44%

Crown land 30% 30% 30% 28% 28%Organized/managed trails 26% 26% 27% 25% 33%A privately-owned club or facility 15% 9% 12% 15% 13%Unauthorized access to private land 7% 7% 5% 8% 5%

Other 9% 11% 10% 7% 5%None of the above 1% 5% 3% 7% 3%

Most access private land, crown land or managed trails for each of the activities, but 7% admit to trespassing (and 9% “other”), contributing to the “lawless” attitudes towards the industry.

18 © 2015 Ipsos.

Summary

19 © 2015 Ipsos.

sParticipation in power sports activities

Forty percent of Canadians have participated in at least one power sport activity in the past.

Targeted opportunity to grow market….40% are interested in participating in the

future, including 12% who have never tried…biggest opportunity among young

men of higher income but lower education.

20 © 2015 Ipsos.

sParticipation in power sports activities

Greatest Opportunity to move those who are already engaged into different

types of power sports: 4x4 truck, motorcycle off-roading, and side-by-side ROVs

Greatest barriers to participating more: affordability and having friends to go with