United Kingdom March. Husqvarna the fastest growing in a market up 2%

British Motorcycles Market

British Motorcycles Market in the first quarter of the 2019 was moderately positive after the flat score reported in the previous year. Honda keeps dominating with over 20% of market share, ahead of Yamaha and BMW. Improving 48%, Husqvarna was the fastest growing brand in this quarter.

 

Economic Environment

British economy appears to have grown meagerly in Q1 against a backdrop of heightened Brexit uncertainty, with the services and manufacturing PMIs hovering only slightly in expansionary territory in the first two months of the year amid soft new orders. More positively, in the three months to January employment surged, the unemployment rate dipped, and wage growth remained at a multi-year high.

The strong labor market should have supported private consumption in Q1, as suggested by healthy retail sales growth in January and February.

The outlook for 2019 hinges on the outcome of Brexit; leaving the EU with a deal, or remaining in the EU, would likely unleash pent-up investment and boost consumer sentiment, while leaving with no deal could cause a serious economic shock.

 

Market Trend

According to data released by the British Minister of Transportations, in the 2018 the British motorcycles market has gained only 0.3% of volume with 108.816 registrations, hit by low consumer demand related to uncertainty for BREXIT effects.

The medium trend is almost flat with last seven years sales in the range of 92.549 units (2012 and 128.644 (2016) with a strong correlation with economic trend, considering the high mix of motorbikes.

Indeed, this market includes 75% of motorcycles and only 25% of scooters and within them, the below 50cc are really marginal with 2018 sales at 5%, down 32.6% from the previous year.

Actually the British market stands as the sixth biggest in Europe,  after France, Italy, Germany, Spain and Turkey.

At Global level the market is only 30th, ahead of South Korea and Australia and behind Ecuador and Paraguay.

The start of the 2019 was moderately positive, well below the trend of the rest of Europe. Indeed, sales reported in January were up 8.7%, In February up 13.0% and in March down 2.7% with first quarter figures at 25.182 sales (+2.3%).

 

Competitive Arena

The British market is almost concentrated with the Top 10 brands holding 76.6% of the total volume, while 122 brands have registered at least one units in the 2018.

As in the last years, in the first quarter 2019 the leader was Honda with 5.418 sales (+10.1%) holding 21.2% of share. Honda is market leader uninterruptedly since years.

The second best-selling brand was Yamaha with 2.614 units (+2.5%) and with 10.2% of market share.

In third place BMW with 2.520 (+0.4%) with 9.8% of market share, followed by Kawasaki with 2.089 (+2.6%), Triumph with 1.827 units (-5.9%), and KTM with 1.619 (+22.2%).

Husqvarna improved 48.2% and was the best year in year in this quarter, while Ducati has lost again (-4.1%).

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