Data published by the Motor Cycle Industry Association (MCIA) showed that registrations in July declined by 7.3%. Except for modern classics, which saw growth, all other style categories were behind last year’s numbers. So far, the peak season has been disappointing, and as a result, year-to-date registrations to the end of July were 1.6% behind last year.
Feedback from dealers in July continued to suggest a tough market, with quieter activity compared to recent years. Elevated insurance premiums have also had a negative impact, with some orders being cancelled as a result.
However, few dealers report a very poor season, and a lull in the market has not been unexpected, given the number of background factors hindering consumer spending. Strong manufacturer promotions, broad deposit contributions, and finance deals continue. However, some dealers are now offering strong discounts to avoid being heavily stocked come autumn.
The Triumph Scrambler and Speed 400 models continue to be successful, while the Suzuki GSX-8R, Kawasaki ZX-4RR and Yamaha Tracer 9 GT have also sold well. Meanwhile, the BMW R1250 GS Adventure was buoyant until recently, but demand is now easing as the new R1300 GS Adventure arrives.
Used Motorcycle Market
The used motorcycle market in July was variable, with some dealers having a stronger month for new, whilst others did better for used. However, the market remains tougher than last year, particularly for machines up to three years old, which can be challenging to retail due to the strong deals available on new sales.
Middleweight machines, four years and older is where the broad demand is and this continues the recent trend, with larger machines less buoyant, due to price and an ageing rider demographic. Japanese and Triumph brands are typically popular for most dealers.
Outlook
July was a mixed month weather-wise. The first half was cool and wet at times, while the second half was much warmer and drier, providing fine riding conditions. August has also started on a variable note. Now that the peak holiday season is here and the market typically experiences a slowdown, combined with strong deals and increasing discounts offered on new, Glass’s expects residual values to ease during the coming weeks across all segments.
Paul McDonald
Leisure vehicles editor