NMDA DEALER ATTITUDE SURVEY SPRING 2015 RESULTS REVEALED

Published 07/05/2015 00:00:00 in Press Releases

The improvements in motorcycle sales in this year’s first quarter gave high expectations to see an uplift in the NMDA Dealer Attitude Survey Spring 2015 results. This was not the case as a large number of dealers were concerned about three main issues: target sales, supply and profitability. 

When studying the results in detail, one must bear in mind the inclusion of two additional brands, Kymco and Lexmoto, due to the volume of bikes they sell. However, only a few of their dealers responded hence lowering the overall participation in the survey. 

Only 4 Kymco dealers (3%) and 7 Lexmoto dealers (6%) submitted responses to the survey so one must take their responses as not necessarily representative of the overall result. This shows the total dealer participation in the survey as 178 dealers equal to 22%. Whereas if you exclude these 2 brands the participation of the main 10 brands would be 167 dealer replies out of 556 dealers, which equates to a response level of 30%. 

Many motorcycle dealers believe their manufacturer’s performance, in terms of improving retail sales incentives and promotions, has paid off and this score moved up 2% in line with increased sales volumes. At the same time dealers were concerned that additional sales did not coincide with additional profits and the results of the question ‘satisfaction with profit returns’ declined 4% against the previous survey.  

The NMDA Spring 2015 Dealer Attitude Survey, published today (Thursday 7 May 2015), shows that there has been a decline in the overall value of the franchise.

  • When asked about the overall value of the franchise, the all dealer average declined from 7.0 to 6.6. 
  • Triumph, Harley Davidson and BMW were recorded as the top 3 franchises whilst the least valued franchise by respondents were Honda.
  • Honda dealers were more dissatisfied this time with issues around stocking & supply, target setting, profitability and the burden of control over them on day-to-day procedures. As you can imagine the newly entered brands, although possibly not representative due to low numbers, do not suffer from this over-control issue
  • It was pleasing to see the Piaggio Group improving in the rankings with improvements in ‘retail sales incentives & promotions’, ‘profitability’ and ’listening to dealers views & opinions.’ 

 Stephen Latham, Head of the National Motorcycle Dealers Association, comments:

“It is concerning to see the decline in both current and future profitability following our survey this Spring 2015, despite the overall increase in sales volumes in the last few months. There has been a noticeable increase in the number of motorcycle enthusiasts entering motorcycle dealerships. There have also been a significant number of leisure bikers who enjoy motorcycling; suggesting a return in consumer confidence and financial security which should have a positive impact on the sales of motorcycles in this sector for now and the future". 

 

ENDS

NOTES TO EDITORS:

Rupal Rawal, Communications Officer
Tel: 020 7307 3412
Mob: 07528 977 157
Press Office direct line: 020 7307 3422
Press Office fax: 020 7307 3406

Web: www.rmif.co.uk  Email: rupal.rawal@rmif.co.uk

The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.

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