What motorcycle company will be the first to fall due the Covid-19 [Archive]

spanner spinner

7th June 2020, 22:35

Bonez

8th June 2020, 00:39

A few seem to be doing alright here. Including a scooter outfit. Some need to drop their new prices by 4 grand-yip you triumph...:baby: One even moved to new bigger premises.

tri boy

8th June 2020, 06:29

Not sure of the state of all parent companies. But NZ retailers who don't have access to farming brands will suffer the most. MHO

sidecar bob

8th June 2020, 08:41

Meanwhile one big city bike shop owner I'm in frequent contact wih is absolutely run off his feet since he re opened after lockdown & sales have been many times the normal level, including a heap of cash transactions.
I had a bike transporter in to relocate a bike on Friday, he also said they were flat out, although a fair percentage of it was guys selling bikes that were on HP that had lost their job, spouse had lost their job, or were on reduced hours.
And a lot of those bikes were high value poser type bikes.

R650R

9th June 2020, 11:38

Meanwhile one big city bike shop owner I'm in frequent contact wih is absolutely run off his feet since he re opened after lockdown & sales have been many times the normal level, including a heap of cash transactions.

I was one of those cash buyers, been looking around for awhile, was hoping post Covid would be bigger discounts but good deal in end.
A lot of guys that were perhaps fence sitting on to buy or not have prob been chomping at the bit to get a bike after the lockdown loss of freedom, especially those close to retirement age.
Also in times of economic crisis it’s dangerous to have too much cash reserve incase Aunty Jacinda mandates a bail in to save our Aussie banks!

R650R

9th June 2020, 11:45

Any guesses what the first motorcycle company will close it doors first due to the Covid-19 economic downturn?

all the company's seem to be suffering at the moment, 20% downturn on top of flat sales for the last few years doesn't bode well for the future of your company.

https://www.bikesales.com.au/editorial/details/covid-19-blitzes-europe-bike-industry-124455/

https://m.economictimes.com/industry/auto/two-wheelers-three-wheelers/two-wheeler-sales-may-have-a-double-digit-decline-in-fy21-due-to-covid-19-icra/articleshow/75008350.cms

Didn’t read your links but in any depression people will only spend their money on quality products and services.
Apparently the japs never stopped working so they have plenty of inventory to flood market with.
Some interesting vids on YouTube about how Harley has neglected the younger market segments with nothing entry level and its loyal brand followers are slowly going old and dying off.
But they still have a quality product with good resale value.
It’s hard to say what will happen really...
You still in same house? Will have to drop by with the new scooter :)

HenryDorsetCase

9th June 2020, 14:42

Triumph.

10 chars.

9th June 2020, 17:52

Guzzi and MV Agusta- they have made a habit of financial failure so at least they have a wealth of experience on how to go broke.

pritch

9th June 2020, 17:56

I posted an article on KB pointing out that Triumph are in trouble. And now that all their models are made in Thailand it's not as if they can go to the government and ask for a handout to protect 'British industry'.

Reportedly people have been cancelling orders because of the bikes originating from Thailand.

https://www.youtube.com/watch?v=ofIHT4pOILo

HenryDorsetCase

9th June 2020, 18:03

Bimota! oh, wait.

jellywrestler

9th June 2020, 18:34

Triumph.

10 chars.

yip, many models of the same engine, costly, royal enfeild are taking a larger chunk of their pie each month

ellipsis

9th June 2020, 18:38

yip, many models of the same engine, costly, royal enfeild are taking a larger chunk of their pie each month

...funny ole life, innit...

9th June 2020, 19:36

I was one of those cash buyers, been looking around for awhile, was hoping post Covid would be bigger discounts but good deal in end.

Good point. I was expecting a price war and discounting after lockdown to kick start sales and get some urgent cash flow but there's been little sign of that so far. New car and bike prices seem to be getting further out of reach of every day Kiwis the last few years.

jellywrestler

9th June 2020, 22:13

Good point. I was expecting a price war and discounting after lockdown to kick start sales and get some urgent cash flow but there's been little sign of that so far. New car and bike prices seem to be getting further out of reach of every day Kiwis the last few years.

maybe the margins have been caned for so long there's no room to move?

10th June 2020, 20:18

maybe the margins have been caned for so long there's no room to move?

I take back my comment.
I paid $15,500 in 2006 for a new 636. Today $19,500. So that's annual inflation of $321 a year or 2% increase p.a.
I paid $4k for a Honda GB400 in 86. Now a CBR500 is $12,500 (closest I could find). That's $235 increase a year. Not that bad really. Our wages have gone up since 1986 a lot more in percentage terms.

HenryDorsetCase

10th June 2020, 20:44

I take back my comment.
I paid $15,500 in 2006 for a new 636. Today $19,500. So that's annual inflation of $321 a year or 2% increase p.a.
I paid $4k for a Honda GB400 in 86. Now a CBR500 is $12,500 (closest I could find). That's $235 increase a year. Not that bad really. Our wages have gone up since 1986 a lot more in percentage terms.

I too paid $4299 for a GB400Mk 2 in early 87.

Funny thing is its worth that or more today......

Blackbird

11th June 2020, 08:15

I too paid $4299 for a GB400Mk 2 in early 87.

Funny thing is its worth that or more today......

Interesting! I paid $3900 for mine at the same time! A dark blue Mk 2, which is what attracted me in the first place as I'd never seen one in that colour. It actually got me into a bit of strife as I'd driven to Auckland to pick up a yacht sail and putting a deposit on the GB was pure impulse as the dealer was almost next door to the sailmaker in Barrys Pt Road. Trouble was, I didn't talk to my wife first and she was really pissed off. It ended up with her buying a piano at twice the cost of the GB to teach me a lesson. :no: Still, it was the bike that got me back into motorcycling so it was worth it!

Ulsterkiwi

11th June 2020, 09:22

Interesting! I paid $3900 for mine at the same time! A dark blue Mk 2, which is what attracted me in the first place as I'd never seen one in that colour. It actually got me into a bit of strife as I'd driven to Auckland to pick up a yacht sail and putting a deposit on the GB was pure impulse as the dealer was almost next door to the sailmaker in Barrys Pt Road. Trouble was, I didn't talk to my wife first and she was really pissed off. It ended up with her buying a piano at twice the cost of the GB to teach me a lesson. :no: Still, it was the bike that got me back into motorcycling so it was worth it!

aw bless you Geoff, Jenny was always going to buy that piano, that way she made you think it was on you, clever lady :msn-wink:

Blackbird

11th June 2020, 09:41

aw bless you Geoff, Jenny was always going to buy that piano, that way she made you think it was on you, clever lady :msn-wink:

Hahaha - I got a real dressing-down Paul - still etched in my mind 33 years later :eek5:

I wish I still had it to pootle about on as a second bike. Our eldest son used to ride it but when he went to varsity, I'd got the K100 RS and the Honda just sat in the shed. Sold it to someone from Hawera.

release_the_bees

11th June 2020, 11:47

What a beautiful bike!

Sent from my SM-G965F using Tapatalk

Blackbird

11th June 2020, 12:10

What a beautiful bike!

Sent from my SM-G965F using Tapatalk

Thanks! I know that beauty is in the eye of the beholder but I think it's the nicest-looking bike I've ever owned. I had the fairing made by a company in Hamilton. It was based on an RZ350 fairing and altered to suit the Honda. I had the paint matched and computer-cut lettering done by an auto painter in Leamington, Cambridge and he did an awesome job.

autonoob

11th June 2020, 13:06

I am seeing a lot of articles about how Harley-Davidson change of strategy during the pandemic, but I am saying that they will fall out of business.
Moving on, I just read and saw this article online which you guys may want to check out.

https://www.motorcyclesdata.com/2020/05/21/british-motorcycles-market/

It's not just the motorcycle industry that is affected by Covid-19.

Paul in NZ

11th June 2020, 13:55

During the Great Depression a LOT of brands went to the wall and largely it was the luxury brands that didnt have an economical model that suffered.

It also changed motorcycling. Prior to the depression and even into the early stages many brands were experimenting with exotic engine layouts but what sold were simple single cylinder bikes. Many brands failed or were crippled and absorbed into big groups. Of course not long after the depression came WW2 but the lessons stuck firm in the minds of the Boards of Directors and innovation was stifled leading to the inability of the British industry to respond to the Japanese..

I suspect triumphs in do do and maybe regretting becoming a 'premium' brand...

I think HD will struggle against Indian

I think Royal Enfield have a good chance with their 650 twins

FJRider

11th June 2020, 16:28

... And a lot of those bikes were high value poser type bikes.

With low km's ... Seldom go anywhere ... except to be seen at poser pubs and (more often) Cafe's ... not far from home.

Two day stubble on their face ... because they have to shave come Monday ...

FJRider

11th June 2020, 16:42

I am seeing a lot of articles about how Harley-Davidson change of strategy during the pandemic ...

It seems weird that LAM's allowed Harley Davidson's are available. To even suggest such a thing might eventuate 20 years ago ... the laughter from the "Made in the US of A" brigade would be heard world wide.

To stay in business in changing times ... new strategies must be employed.

Many components for most Harley's are already made (under license) in India

BUT ... Built (OK ... assembled) in the US of A ...

11th June 2020, 18:07

Interesting! I paid $3900 for mine at the same time! A dark blue Mk 2, !

What amused me was they were a new model launched, as far I recall, as the GB MkII. Yet there never was a MkI as far as I know :laugh:r

Was a smart looking bike I reckon. A bit gutless. Ok, a hell of a lot gutless.
If anyone knows the fate of 18QRE rego let me know.

ellipsis

11th June 2020, 18:16

Was a smart looking bike I reckon. A bit gutless. Ok, a hell of a lot gutless.
If anyone knows the fate of 18QRE rego let me know.

...the GB500 was a different machine to the 400 but still soft...still, it gets more points from me cos' it's a Honda...

simpsonkenneth

12th November 2020, 19:25

I don't know what company, but it so sad hearing that there are businesses that needs to close due to pandemic.

R650R

14th November 2020, 13:40

It seems weird that LAM's allowed Harley Davidson's are available.

Given that is based on power to weight ratio Harley’s should have been first in the line up lol

James Deuce

14th November 2020, 14:36

I take back my comment.
I paid $15,500 in 2006 for a new 636. Today $19,500. So that's annual inflation of $321 a year or 2% increase p.a.
I paid $4k for a Honda GB400 in 86. Now a CBR500 is $12,500 (closest I could find). That's $235 increase a year. Not that bad really. Our wages have gone up since 1986 a lot more in percentage terms.

Disposable income has dropped markedly. The cost of living has outstripped both of the indicators you used there.

FJRider

14th November 2020, 14:59

Given that is based on power to weight ratio Harley’s should have been first in the line up lol

659cc's limit ... otherwise there might have been a few others that would qualify too ... :2thumbsup