Before the bike industry can ascertain the impact of the credit crunch, it will have to wait for the weather to improve, writes MICHAEL SHERIDAN
FIGURES for 2008 from the Central Statistics office show that the market for new bikes was just 3,194 registrations, a mere drop in the ocean compared to new car registrations. 2000 was by far the best for new cars, with 225,269 registered, whereas 2001 was the best year for bikes, with 6,919.
What’s more, 58 per cent of motorcycles registered for the first time in the State in 2008 were imports. While it’s not clear from the statisics what age these imports are, industry experts suggest that the majority would be between six months and three years old.
Motorcycles sales do not show a January rush but instead tend to follow the weather. Spring and summer are the busiest times, as motorcycle registrations peak when the climate heats up.
The promise of dry roads brings out the biker in many who are otherwise happy to mostly use four-wheel transport during the winter months.
Nobody is prepared to say where the market will be this year, as most dealerships are anxiously waiting for March and April, when bike sales generally take off.
According to the most recent figures from the RSA (2007), motorcyclists make up just 2 per cent of road users, numbering 37,178 vehicles out of a total of 2,441,564.
The 2008 statistics show that riders were content to buy new, smaller-powered machines in Ireland, such as mopeds and learner-legal motorcycles. When it came to larger machines that require a full A licence, buyers preferred to go abroad. The strong euro tempted many buyers to go North and to the UK, where considerable savings could be made.
Smaller machines tend to be used by new and novice riders on learner permits and A1-class licenced riders who are restricted to lower powered bikes.
Mopeds of 49cc and larger super scooters are also popular, as they offer very efficient and economical transport for shorter journeys. They are also incredibly easy to ride as they have automatic gears and bicycle-like brake levers.
In terms of Irish registrations in 2008, the top five sellers were Honda (596), Suzuki (589), Yamaha (472), BMW (264) and Harley Davidson (247). The imported top five for the same year were Honda (1,567), Yamaha (678), Suzuki (647), BMW (324) and Harley Davidson (261).
Japanese machines are clearly the most popular, followed by German and American metal, with Italian and French machines making up the majority of the remaining numbers. Rumours of stockpiles of Japanese bike and general oversupply have seen a dramatic realigning of prices. I found a brand new 2005 Yamaha XT660 on sale for €5,850; it was once €8,359.
Kate Short, motorcycle manager with BMW Ireland, says while the motorcycle market was down 10 per cent in 2008 from 2007, it is too early to predict 2009’s market, especially as the weather has been so bad. To date, BMW sales are down 17 per cent on this time last year – but one must remember that BMW launched the 1200GS last January, with great success.
While car dealers are offering, for example, discount and 0 per cent finance, BMW is encouraging growth with an all-in-one offer. For €280 a month, riders get a 650GS (800cc), personal protective clothing (PPE) and equipment, insurance cover and rider training.
The forthcoming Bike Show at the RDS should give a better indicator of the state of the market and among the highlights will be BMW’s World Superbike contender, the S 1000 RR.
Short believes that the relatively high cost of car motoring will bring more and more people to motorcycling.
Niall Stephens of Bikeworld expects the market to remain similar to 2008. Bikeworld was ahead for the year up to September, but the last three months slowed dramatically.
Stephens blames the general negative economic sentiment and the weakness of sterling for the decline.
“People are thinking twice about getting a new car and shifting to a bike. . . Many two-car houses are selling one and getting an economical motorcycle for the commute.”
Stephens points out that a customer can buy a Chinese-built Sinnis 50cc moped for just €1,550 – or even a 125cc commuter bike for €1,950.
“Importers have dropped their prices, with the exception of Suzuki,” he says. A Kawasaki GTR1400 tourer that was €18,950 is €14,950; a new ZX6 is €3,000 cheaper than last year.
There is clearly value to be had for bike buyers but another hurdle will shortly be placed in the way of new riders and their machines – the introduction of Compulsory Bike Training (CBT) this summer. A pilot scheme, involving some 38 instructors who will evaluate the syllabus, starts this week.
The key areas covered include PPE, placing a bike on and off its stand, the use of controls, rear observation and use of mirrors, emergency braking, the law and biking, road surfaces, anticipation and reaction, junctions, gradients and bends.
Niall Stephens of Bikeworld welcomes CBT, saying it is long overdue, but feels frustrated that it only applies to motorcyclists and not other road users.
CBT, coupled with private rider-training schools and other programmes such as Bikesafe, operated by the Garda, should help significantly reduce the motorcyclist death toll.
Motorcycling is still primarily a recreational activity, although more drivers are switching to bikes to beat the traffic.
More and more mature riders are also coming back to biking, which has also led to a growth in rider training.