Motorcycle Overview August 2019

Talk around the trade is again of a mixed time that has been the “norm” for the last few months. As the season starts on the inevitable road to the quiet times there has been a proliferation of manufacturer schemes and extensions to current ones offered in an attempt to stem the tide.

New Market

After a good start to the year that was the opposite of the car industry that suffered losses, the motorcycle industry is now indicating what was feared in some circles. MCIA statistics for June were suggesting economic uncertainties are really starting to undermine consumer confidence in our industry too, after the second monthly drop. The total number of powered two-wheelers registered at the half way point of the year that could be considered still in high season was 11,643, a reduction of 11%. Even though there has been two consecutive reductions compared to last year, the total for the year to date with the six monthly scores on the doors of 59,784 is still above the 2019 total for the same period of 57,784 or 2.9% up. Good news in the 50cc sector was a 1.7% increase (to 526), a full nine more for the month than the same one in 2018 and continuing the year trend which is 17.4% up.  The rest of the sectors though, did not fare as well. Sport/Tour has had a bad year to date with 394 less than last year, or reducing by 21.4% and even though the actual monthly unit numbers are relatively low the percentage decline of 55.3% is by any stretch a bad result. Custom types are also in a bit of a bind both in the month and Y-T-D with -20.4% and -18.4% respectively. Even the big sectors in the market share stakes are not having it good, with both Adventure Sport and Naked in a negative position as opposed to the Y-T-D which after good numbers at the start of the year, propping up the first half numbers and currently keeping them in a positive place.

June 2019 and Year to Date - New Registrations by Style

Mopeds	Registrations		%	Market Share (%)		Year to date		YTD	Market Share (%)
	Jun-19	Jun-18	Change	Jun-19	Jun-18	2019	2018	% Change	2019	2018
Scooter	417	422	-1.2%	79.3%	81.6%	2,321	2,032	14.2%	80.9%	83.1%
Other	109	95	14.7%	20.7%	18.4%	548	412	33.0%	19.1%	16.9%
Totals	526	517	1.7%	100.0%	100.0%	2,869	2,444	17.4%	100.0%	100.0%

June 2019 and Year to Date - New Registrations by Engine Band

Engine Band	Registrations		%	Market Share (%)		Year to date		YTD	Market Share (%)
	Jun-19	Jun-18	Change	Jun-19	Jun-18	2019	2018	% Change	2019	2018
0-50cc	593	539	10.0%	5.1%	4.1%	3,047	2,557	19.2%	5.1%	4.4%
51-125cc	3,329	3,815	-12.7%	28.6%	29.1%	17,146	16,505	3.9%	28.8%	28.6%
126-650cc	2,298	2,275	1.0%	19.7%	17.4%	12,777	11,331	12.8%	21.5%	19.6%
651-1000cc	2,914	3,618	-19.5%	25.0%	27.6%	13,896	14,362	-3.2%	23.4%	24.9%
Over 1000cc	2,509	2,842	-11.7%	21.5%	21.7%	12,599	13,029	-3.3%	21.2%	22.5%
Total Registrations	11,643	13,089	-11.0%	100.0%	100.0%	59,465	57,784	2.9%	100.0%	100.0%

Little worth a mention on the rest of the tables that7 is overly different to most months, with perhaps the exception of the manufacturer numbers. Yamaha move from their usual spot, down two places to fourth to be replaced by Triumph and BMW

June 2019 and Year to Date - Highest Registering Model by Style

Mopeds	Highest Registering Model by style	Jun-19
Scooter	Lexmoto ECHO 50	74
Other	Lexmoto HUNTER 50 TD 50 Q	28

Motorcycles	Highest Registering Model by style	Jun-19
Adventure Sport	BMW R 1250 GS ADVENTURE	151
Custom	Keeway SUPERLIGHT	59
Naked	Honda CB 125 F	173
Scooter	Honda PCX 125	293
Sport/Tour	Kawasaki Z1000 SX	67
Supersport	Lexmoto LXR 125 SY 125-10	92
Touring	BMW R 1250 RT	62
TRAIL/ENDURO	KTM 300 EXC TPI	96

Tricycles	Highest Registering Model by style	Jun-19
SCOOTER	Piaggio MP3 300 HPE	24
OTHER	Harley-Davidson TRI GLIDE ULTRA 1868	9

June 2019 - Highest Registering Model by Engine Size

Engine Band	Highest Registering Model by Engine Band	Jun-19
0-50cc	Lexmoto ECHO 50	74
51-125cc	Honda PCX 125	293
126-650cc	Royal Enfield INTERCEPTOR INT 650	127
651-1000cc	Yamaha MT-07 ABS	132
Over 1000cc	BMW R 1250 GS ADVENTURE	151

June 2019 - New Registrations by Brand

Major Brands	Jun-19
Honda	2,129
Triumph	1,324
BMW	1,154
Yamaha	1,119
Kawasaki	730
KTM	636
Lexmoto	619
Suzuki	543
Ducati	475
Harley-Davidson	464

Used Market

Trade buying patterns are different to the retail ones. To have stock ready for customers, the dealer needs to buy early enough to prepare and display, so therefore the trade buying season starts before the retail buyers come out of hibernation. The same applies at the other end of the buying cycle, when a dealer needs to manage the fine balance of cash-flow and stock levels over the slower times and in both times prices start to change in accordance. Both of these are flexible and not necessarily defined, but the signs for change can creep up on us slowly, or the weather can throw a spanner in the works and finish a season. This year the signs of retail slowdown are making an appearance already and although there is no big halt on trade buying, research is pointing there and auction results are agreeing. Consequently here has been small but widespread lowering of prices in this month’s edition.

Auctions

As above, the signs in the auction halls are of a move from a couple of “into book”, to “a couple behind”, as far as percentage is concerned. That said, although prices have eased, buying has not slowed. BCA with the Black Horse entries which represented the main bulk of the sale saw 80% sold from the 161 under the hammer. Up in the Northern MAG sale in Rotherham the pattern was similar in the earlier sale, but with a slightly fewer 114 entries selling three-quarters and 96% of CAP. Both results suggest there is still a thirst for stock, but at the right price. The later MAG sale had fewer entries and much lower attendance as the holiday season starts, but again achieving 96% of CAP with a lower 60% sold from the 91 entries. 

End Notes

Continuing the past few months comments in this section, American dealers have reportedly taken customer deposits on about half of the initial US allocation of Harley-Davidson’s LiveWire electric motorcycle. The model is the first high profile launch from what could be described as a big name manufacturer. It’s doing the rounds with the press and is getting plenty of airtime and should be a toe in the water of the way the industry is moving forward. And on the same subject, The Department for Transport has released a bill as part of its ‘Road to Zero’ strategy that will see all electric cars fitted with acoustic devices that signal their whereabouts to ‘vulnerable road users’ when the car is travelling at below 20kph (12mph). The move will mean cars will emit a sound similar to a car’s engine when the vehicle is reversing or moving at low speed. There is no mention of bikes as yet, so perhaps we get away with it, or go back to putting a lolly pop stick in the spokes?

In Europe some are actively encouraging motorbikes to be used instead of cars as a means of tackling congestion and pollution, by contrast cities in Africa are actually banning the use of motorbikes in an attempt to reduce crime. Ethiopia’s capital Addis Ababa is the latest city to make it illegal to ride a motorbike as they are being used in robberies, ride-by incidents and violent attacks. It’s not the first time in Africa where motorbikes are more readily available and the best form of transport for getting around quickly, but also getting away from a crime scenes. Nigeria the first to crack down with bans in Lagos, Abuja, and Port Harcourt. There are even reports of motorbikes being seized to enforce it. Let’s hope the measures being taken in this country have enough effect before the masses start to suggest it is a way to cut some of the problems we are seeing.

Speed limiters will not be introduced for motorcycles the European Commission has confirmed, but technology will warn riders that they are speeding. This is after a request from FEMA (Federation of European Motorcyclists' Associations) confirmed that after the April news stating that the EC wanted over ridable Intelligent Speed Assistance (ISA) for cars. FEMA says a large part of the automotive and motorcycle press reported the development as “speed limiters for cars and motorcycles”. The EC has confirmed this is not correct and motorcycles are not within the scope of the General Safety Regulation and the Pedestrian Safety Regulation.

Sometimes in this last bit of these editorials, there is a mention of the loss of a big name in motorcycling, usually a result of racing accidents. This month there is a loss to the industry but one with a happy ending. In an environment full of nice people there is sometimes the odd one nicer than the rest. After 44 years in the motorcycle industry, starting with Honda, moving to Triumph at the start of the re-launch of the flag carrying British brand in 1990, there can’t be many people not aware of Bruno Tagliaferri and certainly none with anything but nice words for him. Apparently now aged 68, but with the enthusiasm of an 18 year old, he has decided it is time to let the next generation to have a go. Big shoes to fill and have fun Bruno.