The sales trends in two-wheel machines can attract interest from enthusiasts and potential buyers keen to stay across how the market is tracking. The Federal Chamber of Automotive Industries (FCAI) released their 2023 motorbike sales data in early January. After an impressive uptick in sales during the COVID years sales for 2023 were down slightly on 2022 figures. For buyers, the question may arise of whether or not it is a good time to buy and if there are any implications for motorbike finance?
Whatever the market position, it can always be diligent to assess many factors when planning to take on credit to purchase goods such as bikes. This includes the goods, the seller, the pricing and of course the funding options, especially how to get the best interest rates.
To assist buyers to interpret the latest sales data in regard to deciding if the time is right to buy a new machine with credit, we present some factors to consider and ways we can assist riders acquire new machines with affordable credit.
Motorbike Sales Data Considerations
Any data, including sales figures, needs to be considered in context. That is, how it is compiled, what it does and does not include and if issues apart from buyer preference have an influence on the results.
With the FCAI data a key point to note is that the sales figures are for purchases of new machines only and only for sales as reported to the Chamber from its members. Not all motorbike manufacturers are members of the FCAI. It can be worthwhile knowing which manufacturers are FCAI members and report figures and which are not to put the results into context and perspective.
According to reports in key media, the companies representing brands such as Benelli, Royal Enfield, CFMOTO and Sherco are not FCAI members and hence their sales would not be included in the figures.
Another consideration in using the latest figures as assistance with purchase timing and choices, is that they are reported in categories only – on-road, off-road, scooters, and off highway vehicles (OHV). Information is not reported on which particular makes and models were the top selling machines. From a buying perspective, for purchases looking for what machines are attracting buyer interest, the data may not provide the specific guidance they are seeking.
From a financing perspective, the general interest rate environment, especially the consecutive rate rises through 2022 and 2023, will be impacting sales of major goods. Individuals are dealing with higher costs and possibly higher mortgage rates. Buying a new ride may be one move which has to be postponed due to economic times.
From the other perspective, in times of lower interest rates, such was the situation in 2020 and 2021, credit is cheaper and this has been seen to be a major driver of sales in many markets. But monthly and annual sales figures would not influence the general interest rate market.
With sales of new rides dropping, there may be potential for increased demand in the second-hand market. This was particular evident in the auto sector when supply was restricted as a result of COVID supply issues. Prices rose significantly on used cars. Buyers in the second-hand market may need to keep a close eye on pricing if demand does start to rise in the used bike market.
From another perspective, if demand for new machines is slower than dealers would like, they may be prepared to offer better deals.
FCAI Sales Report
The annual sales figures on OHVs and motorcycles from the FCAI shows a 3.1% fall in sales compared with 2022. Off-road models fell by 3.7%, road models by 3%, OHV by 7.8% while scooter sales were up 15.4%. The Chief Executive of the Chamber, Tony Weber, said that factors such as interest rate rises and pressures from the costs of living would have been contributors to the fall in sales.
Mr Weber noted that purchases of recreational goods – discretionary spending, can often be some of the first buys to be impacted when finances are tight.
While the 2023 figures were down around 3% on 2022, that is a much smaller drop that 2022 compared with 2021 when sales fell over 19%. This may indicate that buyers did start returning to the market in 2023.
Making NOW a Good Time to Buy with Motorbike Finance
With the assistance of Jade Bike Loans to source lower interest rates, buyers may find now is an ideal time for a new ride with motorbike finance. In fact, with our access to a vast number of banks and lenders, we are always ready to find the lender that will offer each of our customers the best credit at the best finance rate for motorcycles.
To find out if NOW is the right time for you to purchase a new ride with credit, request a quote to see how affordable we can make your new machine.
For lower rates and better motorbike finance, connect with Jade Bike Loans on 1300 000 003 or online.
DISCLAIMER: IN REGARD TO ANY ERRORS OR MISREPRESENTATIONS IN THIS MATERIAL, NO LIABILITY IS ACCEPTED. THE DETAILS, CONTENT AND DATA IS PRESENTED PURELY FOR GENERAL INFORMATIONAL PURPOSES FOR MOTORBIKE BUYERS AND THOSE SEEKING MOTORCYCLE LOANS. THIS IS NOT INTENDED AS THE SOLE SOURCE OF INFORMATION FOR FINANCIAL DECISIONS. IF SPECIFIC ADVICE IS REQUIRED AROUND FINANCIAL DECISIONS, READERS SHOULD SEEK THEIR OWN FINANCIAL ADVISOR.