Motor Industry News
It is well accepted that operating in the two wheel market cannot be described as being easy at the moment but we really have not been helped by the added frustration of pretty appalling weather conditions throughout the past few weeks. It’s such an important factor for these months and can have either a positive or negative affect upon sales.
There is of course the added distraction of an itinerary of high profile events in full flow this summer, from the Diamond Jubilee Celebrations to the European Football Championships, followed by the 2012 Olympics. None of which are known to help our market with sales impetus. Although it will be interesting to see if Scooter and Lightweight sales improve around the Olympic Stadia as people see the benefits of beating the expected congestion levels in the area.
Given all these factors which, in reality, cannot be helping to drive showroom traffic, then it has to be said that the market is holding up reasonably well. The emphasis is still upon the Lightweight sector when looking at the new market. However overall sales are running much in line compared to last year with a total of 44,000 machines registered YTD, just over 1.5% down on last year.
Dealers reported that the used market had gone a little flat from the end of May into the middle of June, although things had picked up a little going into July. There has been a noted decline in export demand, probably due to the exchange rates and Euro uncertainty. This could have had a detrimental effect upon the used market. In truth though more dealers are taking the opportunity to buy at less inflated prices and, interestingly, high-value more obscure models are well sought after at the moment.
It has also been noted that there is an increased number of bikes available to buy at the door. Previously it had been felt that owners were hanging on to their bikes, which was a concern for the flow of used bikes, but with the TT now over, and perhaps as we mentioned earlier, fewer opportunities to get out and ride due to the poor weather, then more people are looking to bail out (no pun intended!).
We have included a number of new model records again this month and these include the Ducati Panigale and Triumph Explorer. There have already been one or two used example of the Ducati on the market despite the limited numbers involved and obviously these have attracted exceptionally strong residuals, these will undoubtedly ease once more bikes become available and the real response to this bike become clear. Most of the Triumph Explorers were launch editions with added extras, but these dealer demonstrators are now being sold on and used examples are becoming available.
This month is too early to adjust values down as there is still plenty of opportunity in the next couple of months. As a result we have not made any major changes to values this month. The market is finely balanced and without a really good run of decent weather then things could tail off fairly quickly. We will of course monitor the situation closely.
VIPDATA is part of CDL Vehicle Information Services Ltd (CDL VIS) the vehicle data arm of CDL Group Holdings Ltd, based in Stockport, Cheshire. www.cdl.co.uk
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