Gloomy Motorbike Market

Motorcycle companies recently introduced a lot of new models with different price segments in the Vietnamese market. Traders and agents still use tips to sell at high prices but consumers seem to have weak demand and lack interest.

 

Since the start of this year, motorcycle manufacturers have launched many new models to stimulate purchasing. For example, Yamaha introduced Exciter 2012 and Nozza special edition. Honda upgraded Wave RSX, and most recently cheap SH 125 and 150 localised scooters. SYM launched Attila Elizabeth 2012 and Attila Passing. Piaggio marketed sporting Liberty and legendary Vespa PX, which is priced nearly VND130 million each unit.

 

However, motorbike markets in Ho Chi Minh City like An Duong Vuong, Nguyen Tri Phuong (District 5), Phan Dang Luu, Hoang Van Thu (Phu Nhuan) and authorised agents do not find many customers. Major retailers like Quang Phuong (District 5) and Ly Tu Trong (District 1) have only a few visitors day.

 

Nguyen Tan Phong, a motorcycle shop owner on Nguyen Tri Phuong Street, said the motorcycle market is slack. The market was warmer in the past days because many families bought the motorised two-wheeler for their children after passing university exams. But, their choices are budget models like Honda Wave and Yamaha Sirius.

 

While touring some motorbike shops on Nguyen Tat Thanh Street (District 4), Nguyen Minh Hung, a resident on Mai Van Vinh Street (District 7), said: “I am finding a motorbike for my son to study at a university in Thu Duc District. But, I have not made decision because I feel over VND20 million a unit is too expensive. Maybe, I will consider a second-hand one.”

 

Unlike car sellers whose sales figures are published monthly, motorbike sales are not public.

 

A communication official working for a motorbike company, who wanted to remain anonymous, said sales dropped a lot from previous years. However, he refused to provide a figure. Other vehicle sellers also did not give exact sales data.

 

According to a survey, many motorcycle models are selling at lower prices than recommended rates from manufacturers. For example, a Honda Lead scooter is sold for VND35 million, a Honda Vision scooter for VND26.8 - 27 million, a Yamaha Nouvo scooter for VND34 million, Honda PCX scooter for VND54.5 - 55.5 million, a Honda Air Blade scooter for VND37 - 37.2 million, and a Yamaha Nozza scooter for VND34 million. Yamaha Cuxi is offered at a third of the price recommended by the producer.

 

Tran Huu Thai, owner of an imported motorcycle shop in Ly Tu Trong Market, District 1, said imported motorcycle sales have never been as poor as now. The market showed no signs of recovery although prices dropped from 15-20 percent.

 

Unlike launch fevers in previous years, Honda did not create a similar phenomenon with its budget Honda SH 125 and 150 scooters. However, it is not easy to buy a Honda SH at quoted prices on official channels. Prices are overcharged as usual. Hong, a salesgirl at Honda Head shop on Nguyen Trai Street (District 1), said many visitors asked for information about the new models but the number dropped as time went on.