It was mentioned last month that there was little clarity on the Brexit situation and no idea of long term effects to our industry. Well it could be argued that it is less clear now than this time last month. There is still talk that the uncertainty is having some impact on the industry, but at this moment it would be very difficult to attribute a definitive figure and let’s face it we always look for a reason/excuse why the performance is not as expected. This bit could go on longer than The Archers, more next month.
New Market
The latest MCIA new registration figures have been released for March, the end of the first quarter and start of the real rise in retail activity is usually a good indicator of the season’s upcoming activity. The new plate introduction this year hasn’t failed to deliver and inject some hope into all the negatives around with a 9.7% increase in total registrations. Not only has the month increased by 1,474 over the 2018 return (to 16,682), but the year to date also continues to impress with a 27,131 total, a 10.2% increase of 2,522.
March 2019 and Year to Date - New Registrations by Style
Mopeds
Registrations
%
Market Share (%)
Year to date
YTD
Market Share (%)
Mar-19
Mar-18
Change
Mar-19
Mar-18
2019
2018
% Change
2019
2018
Scooter
425
330
28.8%
78.6%
86.6%
980
930
5.4%
78.5%
84.5%
Other
116
51
127.5%
21.4%
13.4%
268
171
56.7%
21.5%
15.5%
Totals
541
381
42.0%
100.0%
100.0%
1,248
1,101
13.4%
100.0%
100.0%
Motorcycles
Registrations
%
Market Share (%)
Year to date
YTD
Market Share (%)
Mar-19
Mar-18
Change
Mar-19
Mar-18
2019
2018
% Change
2019
2018
Adventure Sport
3,882
3,267
18.8%
24.2%
22.2%
5,405
4,629
16.8%
21.0%
19.8%
Custom
1,069
1,320
-19.0%
6.7%
9.0%
1,685
1,981
-14.9%
6.5%
8.5%
Naked
5,357
4,539
18.0%
33.4%
30.8%
8,030
6,992
14.8%
31.2%
29.9%
Scooter
2,386
2,326
2.6%
14.9%
15.8%
5,002
4,358
14.8%
19.4%
18.7%
Sport/Tour
562
595
-5.5%
3.5%
4.0%
722
767
-5.9%
2.8%
3.3%
Supersport
1,487
1,405
5.8%
9.3%
9.5%
2,160
2,058
5.0%
8.4%
8.8%
Touring
487
501
-2.8%
3.0%
3.4%
660
707
-6.6%
2.6%
3.0%
Trail/Enduro
814
777
4.8%
5.1%
5.3%
2,069
1,833
12.9%
8.0%
7.8%
Unspecified
1
7
-85.7%
0.0%
0.0%
4
30
-86.7%
0.0%
0.1%
Totals
16,045
14,737
8.9%
100.0%
100.0%
25,737
23,355
10.2%
100.0%
100.0%
Tricycles
Registrations
%
Market Share (%)
Year to date
YTD
Market Share (%)
Mar-19
Mar-18
Change
Mar-19
Mar-18
2019
2018
% Change
2019
2018
Scooter
43
59
-27.1%
0.3%
0.4%
76
97
-21.6%
0.3%
0.4%
Other
53
31
71.0%
0.3%
0.2%
70
56
25.0%
0.3%
0.2%
Total Registrations
96
90
6.7%
0.6%
0.6%
146
153
-4.6%
0.5%
0.6%
Summary
Registrations
%
Market Share (%)
Year to date
YTD
Market Share (%)
Mar-19
Mar-18
Change
Mar-19
Mar-18
2019
2018
% Change
2019
2018
Total Moped, Motorcycle & Tricycles (exc Scooters)
13,828
12,493
10.7%
82.9%
82.1%
21,073
19,224
9.6%
77.7%
78.1%
Total Scooters
2,854
2,715
5.1%
17.1%
17.9%
6,058
5,385
12.5%
22.3%
21.9%
Total Registrations
16,682
15,208
9.7%
100.0%
100.0%
27,131
24,609
10.2%
100.0%
100.0%
There was a bit of a mixed bag across the styles with Custom, Sport/Tour and Touring returning a negative this year both for the month and the Y-T-D. Perhaps as these tend to be updated less or have a longer model life, this year is a down year in the buying cycle? One point worth noting is the Moped sector, which has returned a 42% increase for the month that also dragged it into a 13.4% positive for the Y-T-D, that’s got be a first for quite some time. Let’s not forget though that a large increase in percentage terms for something that is a small number anyway and the increase in real registrations is 160 for the month with the first quarter 147 better than last year.
March 2019 and Year to Date - Highest Registrations by Engine Band
Engine Band
Registrations
%
Market Share (%)
Year to date
YTD
Market Share (%)
Mar-19
Mar-18
Change
Mar-19
Mar-18
2019
2018
% Change
2019
2018
0-50cc
579
427
35.6%
3.5%
2.8%
1,302
1,161
12.1%
4.8%
4.7%
51-125cc
3,815
3,375
13.0%
22.9%
22.2%
7,802
6,935
12.5%
28.8%
28.2%
126-650cc
3,768
3,390
11.2%
22.6%
22.3%
6,362
5,475
16.2%
23.4%
22.2%
651-1000cc
4,125
3,891
6.0%
24.7%
25.6%
5,779
5,400
7.0%
21.3%
21.9%
Over 1000cc
4,395
4,125
6.5%
26.3%
27.1%
5,886
5,638
4.4%
21.7%
22.9%
Total Registrations
16,682
15,208
9.7%
100.0%
100.0%
27,131
24,609
10.2%
100.0%
100.0%
In the above engine size table we see an encouraging sign in the two biggest growers for the month are in the smaller capacities and can only hope this continues as it is where you see the “new to riding” type of buyer and as much discussed there is a concern to where future customers are coming from. As you would perhaps expect at this time of year as leisure riders choose their steed for the summer, the two bands at the larger end of the scale are the two with the largest market share for the month.
Perhaps the last of the reported tables are not generally pointing anything out of the ordinary, but the new Interceptor model from Indian brand Royal Enfield has got to be worth a mention. Development work carried out in the Midlands and receiving critical praise could cause some irritation to some of the more expensive retro brands in the coming years.
March 2019 and Year to Date - Highest Registering Model by Style
Mopeds
Highest Registering Model by style
Mar-19
Scooter
Lexmoto ECHO 50
62
Other
Lexmoto HUNTER 50 TD 50 Q
23
Motorcycles
Highest Registering Model by style
Mar-19
Adventure Sport
BMW R 1250 GS
582
Custom
Honda CMX 500 REBEL
79
Naked
Royal Enfield INTERCEPTOR INT 650
262
Scooter
Honda PCX 125
325
Sport/Tour
Kawasaki Z1000 SX
302
Supersport
Multiple Items
148
Touring
BMW R 1250 RT
21
TRAIL/ENDURO
Honda CRF 250 LA
89
March 2019 - Highest Registering Model by Engine Size
Tricycles
Highest Registering Model by style
Mar-19
SCOOTER
Piaggio MP3 500 LT SPORT ABS
11
OTHER
Harley-Davidson TRI GLIDE ULTRA 1868
10
Engine Band
Highest Registering Model by Engine Band
Mar-19
0-50cc
Lexmoto ECHO 50
62
51-125cc
Honda PCX 125
325
126-650cc
Royal Enfield INTERCEPTOR INT 650
262
651-1000cc
Honda CRF 1000
246
Over 1000cc
BMW R 1250 GS
582
March 2019 - New Registrations by Brand
Major Brands
Mar-19
Honda
3,321
BMW
2,176
Yamaha
1,661
Kawasaki
1,481
Triumph
1,333
Suzuki
902
KTM
864
Harley-Davidson
737
Lexmoto
657
Ducati
540
Used Market
As the first third of the year draws to a close and the nights get lighter, we are as every other year, at the start of “the season” and in line with that activity increases. This year is no different and is backed up by feedback from the usual dealer research. One thing worth a mention is that there is an almost universal agreement that things are going quite well. The custom type of purchase has a smaller window of opportunity than most types, so we see perhaps an increased focus at this time of year. Some older types becoming thin on the ground, including ones that didn’t sell that well when available new also get to a point where prices increase above the normal seasonal changes. Adjustments have been made this month, mainly in the upwards direction as research has dictated.
Auctions
The auction calendar has had a bit of a change this last research period, with the MAG venue in Rotherham moving to the afternoon on the third Thursday and an extra sale on the first Monday for finance house entries. This is a trial from some feedback with buyers and time will tell if it suits better than one sale at night. The Black Horse sale was an eye-opener for some with the prices of some bikes well outside of what would be described as normal. Even the attendee who have been strong bidders in the past had some reservations on some hammer prices. At the sale the power of the mobile internet helped raising eyebrows as retail prices were checked against hammer prices and amongst the polite (printable) statements, it would appear that many would find it difficult attaining any profit. Again the possible threat of Brexit blocking cross channel buyers stirred activity from these that had a significant effect in pushing prices up. Overall 109 from 115 sold at 103% of CAP. As we are at a time when quality part exchanges arrive from the plate change and retail activity is high, it is never a surprise that the quality of entries at auctions is not always fantastic as dealers hold onto their best stock.
End Notes
Donald Trump is at it again with proposed new tariffs on $11 billion of EU-made products and motorcycles are on the preliminary list of targets. The latest round of trade battles being the new proposed duties, which are a response to EU support for European aircraft aerospace firm Airbus. The US has had a problem with EU subsidies to Airbus, which they believe gives the European firm an advantage over the company’s main American rival, Boeing. They are not the only ones, as the World Trade Organization ruled last year that the EU’s financial assistance to Airbus’ A380 and A350 projects was illegal, adversely affecting Boeing sales. Motorcycles got dragged into the fray for both parties last year when the American President announced plans to place taxes on imported steel and aluminium from the EU. The discussions to prevent the tariffs failed and the EU retaliated in the middle of last year with additional taxes on US made goods, including certain motorcycles over 500cc. It put an extra 25% tax on to bikes, on top of the existing 6% duty. The exact level of the tariffs at the time of writing has yet to be set, so the further impact is not yet known. The (possible) end to the UK’s membership of the EU will not prevent the tariffs being applied to the likes of Triumph, as the UK has involvement with Airbus and the proposed tariffs also include additional ones for aircraft parts from countries involved in Airbus.
On 8th April this year London’s Ultra Low Emissions Zone (ULEZ) comes into force, applying additional daily charges to all vehicles entering the area that are deemed to be too polluting. This has an effect on all riders, cars and light commercials if it does not meet the pre-determined emissions limits and weighs less than 3.5 tonnes. The charge is the same £12.50 every day that you enter the ULEZ. The current Congestion Charging Zone exempts powered two wheelers because they can’t be blamed for adding to traffic problems, this new ULEZ does not and this is despite a bike won’t be spending any time idling in traffic jams or emitting anything like the crud from the exhaust. Another difference between the two is that the ULEZ operates 24 hours a day and not as the Congestion Charge does which is time limited between 7am and 6pm. The possible good news for dealers is that if the bike is Euro 3 and later, then they are able enter the ULEZ without paying the charge. So any machine type-approved after 1st January 2006 and anything registered after 1st July 2007 has a possible new audience. Arguments could be any car driver going to swap, would have by now, but this is a double whammy charge for older cars that just might tip the balance.
The University Hospital Coventry and Warwickshire NHS Trust has ended its long-standing arrangement with the Coventry and Warwickshire Pathology Service and the Warwickshire and Solihull Blood Bikes. The service which was previously offered by the WSBB’s volunteers since it was founded in 2012 will now be carried out by QE Facilities Ltd as part of a new £14 million contract. There are always things around about the good deeds motorcyclists do, Easter egg runs, Christmas trips with toys to kids hospitals amongst many, but one constant over the last seven years and all year round has been The National Association of Blood Bikes. The NABB is a charity which relies on volunteers to provide free out-of-hours medical transport and delivery across the UK and no one can argue with the altruism of the cause and the great work they do. But they claim they were excluded from the tendering process, Mark Lavery, chairman of WSBB said: “We are shell shocked and gutted” when apparently they found out by accident when someone spotted a delivery vehicle at the hospital and had to make their own enquiries to find out they had been replaced. They had completed over 7,000 calls in all weather conditions since they were founded in 2012 and it is estimated they saved the trust nearly £700,000 in that time. A Trust spokesman said the transport service was previously delivered by a wide range of suppliers, with some contracted through CWPS and others through third party organisations. With complexities increasing and the service potentially expanding to cover areas such as Hereford and Worcester, a decision was made to standardise delivery to ensure current and future needs, as well as stringent UK accreditation requirements, are met and exceeded. In line with public sector procurement regulations, we went out to open tender and supplier days were held to inform organisations of our requirements”. The only positive was the contract awarded to QE Facilities, (a wholly owned subsidiary company of Gateshead Health NHS Foundation Trust) and any profit generated is reinvested in health care and not transferred to independent shareholders. To put the amount of usage of Blood Bikes into context, they transported around 1,000 samples a year equating to 0.01% of the total received by CWPS.
A topic gaining momentum over the whole of the transport sectors is the alternatives to fossil fuels. The problem for some is amount of use on one charge, but as with other road users for some this might not be a problem for short distances. Let’s face it in our industry for the more leisure orientated riders it can be all or nothing, touring across Europe to a run to the local dealership to talk with like-minded individuals at the extremes. Perhaps both are being serviced by the announcement recently on the back of the summer launch of Harley-Davidson’s LiveWire. Dealers across America have been installing EV charging stations and are planning to have at least one dealer stocking the model in every state with dedicated sales staff. To get more onto electric bikes they have to be reasonably easy to use, which includes the ability to fill them with a source of power.
On 4 April 2019 the European Commissioner for Transport Violeta Bulc addressed a video message to motorcyclists, in which she encouraged riders “to embrace a responsible approach to motorcycling and to attend voluntary advanced safety training on a regular basis”. Also pointing out that “Europe has some high-quality training schemes on offer” and pointing out that the European Motorcycling Training Quality Label. It goes without saying that quality post-licence training helps motorcyclists to improve their riding skills, making riding not only more enjoyable but also safer. This is part of the sector’s long-term safety strategy, will have a very positive impact on motorcycle safety across Europe. It was launched in 2015 by ACEM and DVR, (the German Road Safety Council), with the aim to help motorcyclists to easily identify high-quality post-license training programmes across Europe. Later the International Motorcycling Federation, joined the partnership and the European Transport Safety Council, ETSC, provided its endorsement. To date, a total of 28 post-license motorcycle training programmes have been certified in Sweden, France, Spain, the Netherlands, Austria and Germany. But no mention of the UK! Is this something we will be missing out on after/if Brexit happens? It would be a real shame if an initiative to improve riding standards doesn’t get here.
